HOUSTON, Jan. 19, 2021 /PRNewswire/ -- The Howard
Hughes Corporation® (NYSE: HHC) (the "Company")
announced today the pricing of $650
million in aggregate principal amount of senior notes due
2029 (the "2029 Notes") and $650
million in aggregate principal amount of senior notes due
2031 (the "2031 Notes," and together with the 2029 Notes, the
"Notes"). The 2029 Notes will pay interest semi-annually at a rate
of 4.125% per annum and the 2031 Notes will pay interest
semi-annually at a rate of 4.375% per annum, in each case payable
on February 1 and August 1 of each year,
beginning on August 1, 2021. The
Notes will be unsecured senior obligations of the Company and will
be guaranteed by certain subsidiaries of the Company. The offering
of the Notes (the "Offering") is expected to close on February 2, 2021, subject to the satisfaction of
customary closing conditions.
The Company intends to use the net proceeds from the Offering,
as well as available cash on hand, to (i) repurchase, pursuant to
the Company's previously announced tender offer for, or otherwise
redeem, all of its $1 billion
outstanding principal amount of 5.375% senior notes due 2025, plus
any accrued and unpaid interest; (ii) repay all of the
approximately $280 million
outstanding under its bridge loans for The Woodlands® Towers at the
Waterway and The Woodlands Warehouse maturing June 2021; and (iii) pay all premiums, fees and
expenses related to the foregoing.
The Notes are being offered in a private placement, solely to
persons reasonably believed to be qualified institutional buyers in
reliance on the exemption from registration provided by Rule 144A
under the Securities Act of 1933, as amended (the "Securities
Act"), or outside the United
States to persons other than "U.S. persons" in reliance on
Regulation S under the Securities Act. The Notes have not been
registered under the Securities Act or the securities laws of any
other jurisdiction and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements.
This notice does not constitute an offer to sell the Notes, nor
a solicitation for an offer to purchase the Notes, in any
jurisdiction in which such offer or solicitation would be
unlawful.
About The Howard Hughes Corporation®
The
Howard Hughes Corporation owns, manages and develops commercial,
residential and mixed-use real estate throughout the U.S. The
Company's assets include master planned cities and communities, as
well as operating properties and development opportunities
including: the Seaport District in New
York; Columbia, Maryland;
The Woodlands®, The
Woodlands Hills®, and Bridgeland® in the
Greater Houston, Texas area;
Summerlin®, Las Vegas;
and Ward Village® in
Honolulu, Hawaiʻi.
Forward-Looking Statements
Certain statements
contained herein are "forward-looking statements" within the
meaning of the federal securities laws. Statements that are not
historical facts, including statements about our beliefs,
intentions and expectations are forward-looking statements.
Statements containing the words "anticipate," "believe,"
"estimate," "expect," "forecast," "intend," "likely," "may,"
"plan," "project," "realize," "should," "transform," "would," and
other statements of similar expression constitute forward-looking
statements. Forward-looking statements involve known and unknown
risks, uncertainties and other factors that may cause our actual
results, performance and achievements to materially differ from any
future results, performance and achievements expressed or implied
by such forward-looking statements. Such factors include, but are
not limited to, the following: (1) the Company's ability to satisfy
the conditions contained in the agreement with the initial
purchasers with respect to the Offering; (2) the intended use of
proceeds from the Offering; and (3) other factors discussed in our
public filings, including the risk factors included in the
Company's most recent Annual Report on Form 10-K and Quarterly
Reports on Form 10-Q. Readers are urged to consider these factors
carefully in evaluating the forward-looking statements and are
cautioned not to place undue reliance on such forward-looking
statements. Except as required by applicable law, including the
securities laws of the United
States and the rules and regulations of the SEC, we are
under no obligation to publicly update or revise any
forward-looking statements after the date hereof.
Contacts:
For Media
The Howard Hughes
Corporation
Cristina Carlson, 646-822-6910
Vice President, Corporate Communications & Public Relations
cristina.carlson@howardhughes.com
For HHC Investor Relations
David M. Striph, 972-232-2672
Executive Vice President, Head of Operations & Investor
Relations
david.striph@howardhughes.com
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SOURCE The Howard Hughes Corporation