Latham & Watkins Advises Realty Income on US$1 Billion Convertible Senior Notes Offering

Realty Income Corporation (NYSE: O) has announced the pricing of a US$1 billion private offering of convertible senior notes due 2031, including the full exercise of the initial purchasers’ option to purchase additional notes. The company intends to use a portion of the net proceeds to fund capped call transactions designed to reduce potential dilution from note conversions and to repurchase shares of its common stock in privately negotiated transactions. Realty Income expects to use the remaining net proceeds for general corporate purposes, including the repayment of indebtedness, acquisitions, development and redevelopment projects, and other strategic initiatives.

Latham & Watkins LLP advised Realty Income in the offering with a corporate team led by partners Darren Guttenberg, Lewis Kneib, Reza Mojtabaee-Zamani, and counsel Devon MacLaughlin, with associates Abby Timmons, Daniel Weiss, Kennedy Holmes, Robertson Dorsett, and Adam Zhang. Advice was also provided on tax matters by partners Ana O’Brien, Bora Bozkurt, Aaron Bernstein, and counsel William Kessler, with associates Daniel Mousseri and Michael Yu.