Public Storage Prices $2.2B Debt Offering To Fund Simply Self Storage Buyout

Public Storage PSA disclosed the pricing of a public offering of senior notes worth $2.2 billion.

The company plans to mainly fund the recently announced Simply Self Storage buyout through the multi-tranche offering, which includes an inaugural 30-year senior note offering.

Notably, the company plans to issue in four tranches, with an initial weighted average interest rate of approximately 5.3%. 

Yesterday, Public Storage penned a deal with Blackstone Inc's BX Blackstone Real Estate Income Trust, Inc. (BREIT) to acquire Simply Self Storage from BREIT for $2.2 billion.

The offering is expected to close on July 26, 2023, subject to the satisfaction of customary closing conditions. 

Price Action: PSA shares closed higher by 1.34% at $295.65 on Monday.