Landsea Homes plans $300M senior notes offering
© Reuters.
DALLAS – Landsea Homes Corporation (NASDAQ:LSEA), a residential homebuilder, announced today its intention to offer $300 million in senior notes due in 2029. The offering is contingent on market conditions and other factors. These notes will be guaranteed by the company’s material wholly owned subsidiaries and will be on par with other unsecured and unsubordinated debt.
The company aims to use the proceeds to reduce its outstanding borrowings under its revolving credit facility. The notes are targeted at qualified institutional buyers in accordance with Rule 144A and non-U.S. persons outside the United States under Regulation S of the Securities Act.
The notes have not been registered under the Securities Act of 1933, as amended, and cannot be sold in the U.S. without registration or an exemption from registration requirements. There will be no public offering of the notes, and any potential sale will be conducted through a confidential offering memorandum.
Landsea Homes, headquartered in Dallas, Texas, is known for building high-quality homes and sustainable communities in sought-after markets across the United States, including New York, Boston, Arizona, Colorado, Florida, Texas, and California.
This news is based on a press release statement from Landsea Homes.
InvestingPro Insights
As Landsea Homes Corporation (NASDAQ:LSEA) navigates the capital markets with its recent announcement to offer $300 million in senior notes, investors and market watchers are closely monitoring the company’s financial health and stock performance. According to InvestingPro data, Landsea Homes has a market capitalization of $447.39 million and an adjusted price-to-earnings (P/E) ratio for the last twelve months as of Q4 2023 of 10.64, suggesting that the company’s earnings might be undervalued compared to the market average.
InvestingPro Tips highlight that Landsea Homes’ management has been actively repurchasing shares, which could signal confidence in the company’s value and future prospects. Additionally, the company’s liquid assets exceed its short-term obligations, providing financial stability and flexibility. With analysts predicting profitability for the current year and a notable price increase of 30.87% over the past six months, Landsea Homes might be an interesting option for investors looking for growth potential in the residential construction sector.
Investors considering Landsea Homes can find more insights and tips on InvestingPro, including a total of 7 additional InvestingPro Tips for LSEA, which might help them make a more informed decision. For those interested in a deeper dive into the company’s metrics and future outlook, they can use the exclusive coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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