Real estate investment trust Ashford Hospitality Prime has commenced an underwritten public offering of 8 million shares of common stock, with the intent to use the net proceeds to acquire the Sofitel Chicago Water Tower and the Pier House Resort in Key West, Fla., and for general corporate purposes and working capital, including the acquisition of additional properties in the ordinary course of business.
BofA Merrill Lynch and Morgan Stanley are acting as the joint book-running managers for the offering. KeyBanc Capital Markets, Credit Agricole CIB, Credit Suisse, Baird, and Stifel are acting as senior co-managers. FBR, JMP Securities, MLV& Co., and Craig-Hallum Capital Group are acting as co-managers.
Ashford Hospitality Prime is focused on investing in high-RevPAR full-service and urban select-service hotels and resorts located predominantly in domestic and international gateway markets.