Wheeler Real Estate Investment Trust processes July Series D preferred redemptions

Wheeler Real Estate Investment Trust (NASDAQ:WHLR) reported Monday that it processed seven redemption requests from holders of its Series D Cumulative Convertible Preferred Stock, redeeming a total of 11,490 shares. The redemptions were settled by issuing 65,898 shares of the company’s common stock.

According to a statement released through a SEC filing, the redemption price was approximately $41.15 per Series D preferred share, consisting of $25.00 per share plus accrued but unpaid dividends up to and including the July 7 Holder Redemption Date. The volume weighted average closing price of Wheeler’s common stock on the Nasdaq Capital Market for the ten consecutive trading days immediately preceding July 7 was approximately $7.17 per share.

Wheeler stated that the conversion price for its 7.00% Subordinated Convertible Notes due 2031 remains unchanged at approximately $2.82 per share of common stock, or about 8.87 shares of common stock for each $25.00 of note principal converted.

To date, the company has processed 358 redemption requests for its Series D preferred stock, redeeming a cumulative total of 1,652,493 shares and issuing approximately 301,500 shares of common stock in settlement. As of July 7, Wheeler reported 1,160,584 shares of common stock and 1,836,032 shares of Series D preferred stock outstanding. With EBITDA of $53.84 million in the last twelve months, the company demonstrates significant operational scale relative to its current market value. Discover more detailed financial metrics and 11 additional key insights with InvestingPro.

The company’s registration statement for up to 100,043,323 shares of common stock was declared effective on June 20. Wheeler indicated that future redemptions, including those for the upcoming August 5 Holder Redemption Date, will be settled with registered common stock. The deadline for the next round of Series D preferred stock redemption requests is July 25.

All information is based on a statement from Wheeler Real Estate Investment Trust’s recent SEC filing.

In other recent news, Wheeler Real Estate Investment Trust, Inc. has made several adjustments to the conversion prices of its 7.00% Subordinated Convertible Notes due 2031. The conversion price was initially reduced from approximately $4.71 to $2.82 per share, effective June 5, 2025, following the redemption of Series D Cumulative Convertible Preferred Stock. Another adjustment brought the conversion price down further from $1.97 to $0.67 per share as of May 5, 2025. These changes are part of the company’s broader strategy to manage its financial instruments and capital structure.

Additionally, Wheeler REIT has been actively exchanging its preferred stock for common shares. In recent transactions, the company issued 600,000 common shares in exchange for 20,000 shares each of Series D and Series B Preferred Stock, and 1,437,800 common shares for 102,700 shares of both Series D and Series B Preferred Stock. These exchanges were conducted without cash proceeds and under exemptions from registration requirements.

Wheeler REIT has processed a significant number of redemption requests, issuing approximately 235,500 shares of common stock to date to settle these. The company has indicated potential challenges in meeting future redemption requests due to limitations in registered common stock. To address this, Wheeler plans to file a new registration statement, although there is no guarantee it will be effective in time for upcoming redemption dates. These developments highlight Wheeler REIT’s ongoing efforts to manage its financial obligations and equity structure effectively.

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