Brookfield Property REIT Inc. to Redeem All Outstanding Shares of 6.375% Series A Cumulative Redeemable Preferred Stock

Strategic Insights -

Brookfield Property REIT Inc. has announced plans to redeem all of its outstanding 6.375% Series A Cumulative Redeemable Preferred Stock (BPYU) for cash on August 19, 2021. The redemption price will be $25.00 per share, plus all accumulated and unpaid dividends, which will equal approximately $0.21250 per share. Upon redemption, the shares will no longer trade on the Nasdaq Stock Market.

This decision comes as part of the previously announced plan of arrangement where Brookfield Asset Management Inc. will acquire all of the limited partnership units of Brookfield Property Partners L.P. The plan, which was approved by the Ontario Superior Court of Justice (Commercial List), is expected to close on July 26, 2021, subject to customary closing conditions.

Key Takeaways:

  • Brookfield Property REIT Inc. will redeem all of its outstanding 6.375% Series A Cumulative Redeemable Preferred Stock (BPYU) for cash on August 19, 2021.
  • The redemption price will be $25.00 per share, plus approximately $0.21250 per share in accumulated and unpaid dividends.
  • Upon redemption, the shares will no longer trade on the Nasdaq Stock Market.
  • The decision is part of the previously announced plan of arrangement where Brookfield Asset Management Inc. will acquire all of the limited partnership units of Brookfield Property Partners L.P.
  • The plan, approved by the Ontario Superior Court of Justice (Commercial List), is expected to close on July 26, 2021, subject to customary closing conditions.
  • Brookfield Property REIT Inc. has obtained a final order from the Ontario Superior Court of Justice (Commercial List) approving the previously announced plan of arrangement.

Statistics:

  • Approximately $25.21250 per share will be paid to redeem each share of the 6.375% Series A Cumulative Redeemable Preferred Stock.
  • The redemption price includes a payment of $25.00 per share and approximately $0.21250 per share in accumulated and unpaid dividends.
  • The plan of arrangement is expected to close on July 26, 2021.
  • Brookfield Property REIT Inc. has obtained a final order from the Ontario Superior Court of Justice (Commercial List) approving the plan.

Sources:

  • "Brookfield Announces Redemption of Brookfield Property REIT Inc. 6.375% Series A Cumulative Redeemable Preferred Stock," [website].
  • "Brookfield Property Partners Announces Closing of Public Offering and Filing of Prospectus Supplement," [website].
  • "Form 8-K," [filed with the U.S. Securities and Exchange Commission on July 20, 2021].