Summary
Realty Income Corporation (O) announced an amendment to its unsecured commercial paper program on July 11, 2022, increasing the maximum aggregate amount outstanding from $1.0 billion to $1.5 billion. This move allows the company to access a larger pool of short-term debt financing, providing increased financial flexibility. The proceeds from these commercial paper notes will be used for general corporate purposes. The company also confirmed that its $4.25 billion revolving credit facility will serve as a liquidity backstop for these borrowings, ensuring ample capacity to repay the notes.
Key Highlights
- 1Increased commercial paper program capacity by $500 million, from $1.0 billion to $1.5 billion.
- 2This amendment provides enhanced short-term liquidity and financial flexibility.
- 3Proceeds will be used for general corporate purposes.
- 4The company's $4.25 billion revolving credit facility acts as a liquidity backstop for the commercial paper program.
- 5Commercial paper notes will rank pari passu with other unsecured senior indebtedness.
- 6Notes are offered under customary terms in the U.S. commercial paper market.
- 7Notes are not registered under the Securities Act of 1933 and subject to exemption requirements.