In new issuance this week we got one convertible deal and another large mandatory offering. American Tower (AMT) announced Tuesday it was offering $1.25 billion of mandatory convertible preferred shares. Concurrently the company offered 23.5 million shares of common stock resulting in gross proceeds of $2.28 billion. AMT, a Boston-based REIT, is a leading, independent global owner, operator, and developer of wireless and broadcast communications real estate with a portfolio of approximately 76,000 communications sites. The proceeds from both transactions will be used to fund a portion of a planned transaction with Verizon Communications to lease, acquire, or otherwise operate and manage 11,000 Verizon wireless communications sites. As we mentioned last week, we would prefer to see a convertible bond deal, but we'll take what we get. The deal didn't leave much room on valuation, especially in light of the significant equity dividend.
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