Strategic Hotels & Resorts, Inc. (the “Company”) (NYSE: BEE) announced today that it plans to make a public offering of 16 million shares of its common stock (the “Offering”). The Company expects to grant the underwriters an option to purchase up to 2.4 million additional shares of common stock to cover over-allotments, if any. Deutsche Bank Securities and Raymond James & Associates, Inc. will act as joint book-running managers for the Offering.
The Company intends to use the net proceeds from the Offering for general corporate purposes, including, without limitation, reducing its borrowings under its secured bank credit facility, funding the payment of accrued and unpaid preferred dividends through the first quarter of 2012, repaying other debt and funding capital expenditures and working capital.
The offering of the shares will be made under the Company’s effective shelf registration statement filed with the Securities Exchange Commission (the “SEC”). The Company has filed a prospectus supplement with the SEC for the common stock offering to which this communication relates. When available, the prospectus supplement and accompanying base prospectus, meeting the requirements of Section 10 of the Securities Act of 1933, may be obtained from Deutsche Bank Securities Inc., Attention: Prospectus Department, Harborside Financial Center, 100 Plaza One, Jersey City, NJ 07311 or by calling (800) 503-4611 or e-mail at [email protected], or from Raymond James & Associates, Inc., 880 Carillon Parkway, St. Petersburg, FL 33716 or by calling (800) 248-8863 or e-mail at [email protected], or by visiting the EDGAR database on the SEC’s web site at www.sec.gov.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any shares of the Company’s common stock, nor shall there be any sale of these securities in any jurisdiction in which such an offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The offering may be made only by means of a prospectus and a related prospectus supplement, which have been filed with the SEC.