Crown Castle Prices Offering Of Common Shares & Mandatory Convertible Stock

(RTTNews) - Crown Castle International Corp. (CCI) announced that it has priced its concurrent offerings of 36 million common shares at $74.00 per share and 8.5 million shares of 4.50% Mandatory Convertible Preferred Stock, Series A, at $100.00 per share.

In addition, the underwriters have been granted an option to purchase up to an additional 5.4 million shares and up to an additional 1.275 million shares of Mandatory Convertible Preferred Stock.

The company specified that each share of Mandatory Convertible Preferred Stock will convert automatically on November 1, 2016, into between 1.0811 and 1.3513 shares of Crown Castle common stock.

Dividends on the shares of Mandatory Convertible Preferred Stock will be payable on a cumulative basis when, as and if declared by Crown Castle's board of directors, at an annual rate of 4.50% on the liquidation preference of $100.00 per share, the company stated.

The company expects offering net proceeds from common stock offering and the Mandatory Convertible Preferred Stock offering will be about $2.59 billion and $825.5 million, respectively, in each case after estimated expenses.

Crown Castle expects to use offerings net proceeds, together with cash on hand and additional debt financing to finance the consideration to be paid to AT&T, Inc. (T) in connection with the recently announced transaction between Crown Castle and AT&T.