RICHMOND, Va.--(BUSINESS WIRE)--
Apple Hospitality REIT, Inc. (NYSE: APLE) (“Apple Hospitality” or the
“Company”) today announced the final results and settlement of its
previously announced modified “Dutch Auction” Tender Offer (the “Tender
Offer”) to purchase for cash up to $200 million in aggregate purchase
price of the Company’s common shares, which expired at 12:00 midnight,
at the end of the day, New York City Time, on June 22, 2015.
The Company has accepted for purchase approximately 10.5 million of its
common shares at a purchase price of $19.00 per share, for an aggregate
purchase price of approximately $200 million (excluding fees and
expenses relating to the Tender Offer), which was funded with borrowings
under its unsecured revolving credit facility. Payment for shares
accepted for purchase occurred on June 24, 2015, and the shares
purchased were automatically retired. American Stock Transfer & Trust
Company, LLC, the depositary for the Tender Offer, will issue payment
for the shares validly tendered and accepted for purchase in accordance
with the terms and conditions of the Tender Offer.
Shareholders who properly tendered and did not properly withdraw shares
in the Tender Offer at the final purchase price of $19.00 per share had
approximately 97% of their tendered shares purchased by the Company. The
10.5 million common shares purchased in the Tender Offer represent
approximately 6% of the Company’s common shares outstanding as of June
22, 2015. The Company had approximately 175.6 million common shares
outstanding immediately following payment for the shares purchased in
the Tender Offer. The total properly tendered common shares not accepted
by the Company, represented approximately 5% of the Company’s common
shares outstanding immediately after the settlement of the Tender Offer.
As previously announced, Apple Hospitality’s Board of Directors has
authorized a share repurchase program of up to $500 million of its
common shares following the completion of the Tender Offer. The Company
anticipates the program to be effective on July 8, 2015. The timing of
share repurchases and the number of common shares to be repurchased
under the program will depend upon prevailing market conditions,
operating results, investment options and other factors. The plan does
not obligate the Company to repurchase any specific number of shares and
may be suspended at any time at its discretion.
About Apple Hospitality REIT, Inc.
Apple Hospitality REIT, Inc. (NYSE: APLE) is a publicly traded real
estate investment trust (REIT) that owns one of the largest portfolios
of upscale, select service hotels in the United States. As of March 31,
2015, the Company’s portfolio consisted of 173 hotels, with 22,003
guestrooms, diversified across the Hilton® and Marriott® families of
brands with locations in urban, high-end suburban and developing markets
across 32 states. For more information, please visit www.applehospitalityreit.com.
Forward-Looking Statements Disclaimer
Certain statements contained in this press release other than historical
facts may be considered forward-looking statements. These
forward-looking statements are predictions and generally can be
identified by use of statements that include phrases such as “may,”
“believe,” “expect,” “anticipate,” “intend,” “estimate,” “project,”
“target,” “goal,” “plan,” “should,” “will,” “predict,” “potential,” and
similar expressions that convey the uncertainty of future events or
outcomes. Such statements, involve known and unknown risks,
uncertainties, and other factors which may cause the actual results,
performance, or achievements of Apple Hospitality to be materially
different from future results, performance or achievements expressed or
implied by such forward-looking statements. Such factors include, but
are not limited to, the ability of Apple Hospitality to effectively
acquire and dispose of properties; the ability of Apple Hospitality to
implement its operating strategy; changes in general political, economic
and competitive conditions and specific market conditions; adverse
changes in the real estate and real estate capital markets; financing
risks; the outcome of current and future litigation; regulatory
proceedings or inquiries; and changes in laws or regulations or
interpretations of current laws and regulations that impact Apple
Hospitality’s business, assets or classification as a real estate
investment trust. Although Apple Hospitality believes that the
assumptions underlying the forward-looking statements contained herein
are reasonable, any of the assumptions could be inaccurate, and
therefore there can be no assurance that such statements included in
this press release will prove to be accurate. In light of the
significant uncertainties inherent in the forward-looking statements
included herein, the inclusion of such information should not be
regarded as a representation by Apple Hospitality or any other person
that the results or conditions described in such statements or the
objectives and plans of Apple Hospitality will be achieved. In addition,
Apple Hospitality’s qualification as a real estate investment trust
involves the application of highly technical and complex provisions of
the Internal Revenue Code. Readers should carefully review Apple
Hospitality’s financial statements and the notes thereto, as well as the
risk factors described in Apple Hospitality’s filings with the SEC,
including, but not limited to, in the section entitled “Risk Factors” in
the Company’s Annual Report on Form 10-K for the year ended December 31,
2014 and Quarterly Report on Form 10-Q for the quarter ended March 31,
2015. Any forward-looking statement that Apple Hospitality makes speaks
only as of the date of this press release. Apple Hospitality undertakes
no obligation to publicly update or revise any forward-looking
statements or cautionary factors, as a result of new information, future
events, or otherwise, except as required by law.
For additional information or to receive press releases via email,
please visit our website at www.applehospitalityreit.com
View source version on businesswire.com: http://www.businesswire.com/news/home/20150624006432/en/
Apple Hospitality REIT, Inc.
Kelly Clarke, Director of Investor
Services
804‐727‐6321
kclarke@applereit.com
Source: Apple Hospitality REIT, Inc.