W. P. Carey completes $400 million senior notes offering due 2030

Published 10/07/2025, 21:52
W. P. Carey completes $400 million senior notes offering due 2030

W. P. Carey Inc. (NYSE:WPC), a $13.7 billion market cap REIT with an impressive 28-year track record of consecutive dividend payments, announced Thursday it has completed a public offering of $400 million aggregate principal amount of 4.650% senior notes due 2030. The offering settled the same day. According to InvestingPro data, the company currently offers a substantial 5.83% dividend yield and maintains strong financial health metrics.

According to a press release statement filed with the Securities and Exchange Commission, the company intends to use the net proceeds from this offering to repay certain indebtedness, including a portion of amounts outstanding under its $2.0 billion unsecured revolving credit facility, and for other general corporate purposes. With total debt standing at $7.87 billion, this refinancing move comes at a time when the company’s stock is trading near its 52-week high of $66.10. For deeper insights into W.P. Carey’s financial health and valuation metrics, check out the comprehensive Pro Research Report available on InvestingPro.

The senior notes will accrue interest at an annual rate of 4.650%, with interest payments due semi-annually on January 15 and July 15, beginning January 15, 2026. The notes will mature on July 15, 2030. The securities are direct, unsecured, and unsubordinated obligations of W. P. Carey, and will rank equally with all existing and future unsecured and unsubordinated debt of the company. Notably, the company maintains a healthy current ratio of 1.16, indicating sufficient liquid assets to meet its short-term obligations.

W. P. Carey may redeem the notes in whole or in part at any time at a make-whole redemption price, as specified in the supplemental indenture. If the notes are redeemed on or after June 15, 2030, the redemption price will be equal to 100% of the principal amount plus accrued and unpaid interest to, but not including, the redemption date.

The indenture governing the notes includes covenants requiring W. P. Carey to maintain a specified ratio of unencumbered assets to unsecured debt and limits on incurring additional secured and unsecured indebtedness, subject to certain exceptions. The indenture also restricts the company’s ability to merge, consolidate, or sell substantially all of its assets, and provides for customary events of default.

This information is based on a statement from the company’s SEC filing.

In other recent news, W.P. Carey Inc. reported its first-quarter 2025 earnings, revealing mixed results with revenue surpassing expectations and earnings per share (EPS) falling short. The real estate investment trust reported a revenue of $409.9 million, exceeding the anticipated $388.95 million, while EPS was $0.57, missing the forecast of $0.61. Additionally, W.P. Carey has priced a $400 million public offering of 4.650% Senior Notes due 2030, with plans to use the proceeds to repay existing debt and for general corporate purposes. The company’s Board of Directors announced an increase in the quarterly cash dividend to $0.900 per share, reflecting an annualized rate of $3.60 per share. Analysts from Citizens JMP maintained a Market Perform rating for W.P. Carey, highlighting the company’s adept balance sheet management and flexible capital markets strategy. The issuance of unsecured notes was upsized from original expectations, securing a rate below recent issuances. These developments indicate W.P. Carey’s strategic initiatives and financial performance in the current market environment.

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