American Homes 4 Rent Closes $600M Senior Notes Offering

TL;DR

AMH just closed a $600M debt offering, likely for more property buys.

AI Summary

On June 18, 2024, American Homes 4 Rent (AMH) filed an 8-K to report the closing of its previously announced offering of $600 million aggregate principal amount of 5.375% senior notes due 2034. The offering was completed on June 17, 2024, and the net proceeds are intended for general corporate purposes, including funding future acquisitions and development activities.

Why It Matters

This offering provides American Homes 4 Rent with significant capital, likely to fuel expansion and development in the single-family rental market.

Risk Assessment

Risk Level: low — The filing is a routine debt offering announcement, not indicating any immediate operational or financial distress.

Key Numbers

• $600.0M — Senior Notes Offering (Capital raised for general corporate purposes and future investments.)
• 5.375% — Interest Rate (Coupon rate on the senior notes.)
• 2034 — Maturity Year (Year the senior notes are due.)

Key Players & Entities

• American Homes 4 Rent (company) — Issuer of the senior notes
• $600 million (dollar_amount) — Aggregate principal amount of senior notes offered
• 5.375% senior notes due 2034 (dollar_amount) — Details of the debt offering
• June 17, 2024 (date) — Closing date of the offering
• June 18, 2024 (date) — Filing date of the 8-K

FAQ

Key Financial Figures

• $500,000,000 — ng Partnership agreed to issue and sell $500,000,000 aggregate principal amount of the Opera
• $492.5 million — ting Partnership, will be approximately $492.5 million. The offering is expected to close on J

Filing Documents

• tm2417194d5_8k.htm (8-K) — 39KB
• tm2417194d5_ex1-1.htm (EX-1.1) — 192KB
• tm2417194d5_ex5-1.htm (EX-5.1) — 18KB
• tm2417194d5_8kimg001.jpg (GRAPHIC) — 12KB
• tm2417194d5_ex5-1img001.jpg (GRAPHIC) — 11KB
• 0001104659-24-073374.txt ( ) — 580KB
• amh-20240618.xsd (EX-101.SCH) — 3KB
• amh-20240618_def.xml (EX-101.DEF) — 28KB
• amh-20240618_lab.xml (EX-101.LAB) — 37KB
• amh-20240618_pre.xml (EX-101.PRE) — 26KB
• tm2417194d5_8k_htm.xml (XML) — 8KB

01. Other Events

Item 8.01. Other Events. On June 18, 2024, American Homes 4 Rent, L.P. (the "Operating Partnership"), the operating partnership of American Homes 4 Rent (the "Company"), entered into an Underwriting Agreement (the "Underwriting Agreement") with BofA Securities, Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC, as representatives of the several underwriters named therein (the "Underwriters"), pursuant to which the Operating Partnership agreed to issue and sell $500,000,000 aggregate principal amount of the Operating Partnership's 5.500% Senior Notes due 2034 (the "Notes"). The Notes will be issued at 99.455% of par value with a coupon of 5.500% per annum. Interest on the Notes is payable semi-annually in arrears on January 15 and July 15 of each year, commencing January 15, 2025. The Notes will mature on July 15, 2034. The Operating Partnership estimates that the net proceeds from this offering, after deducting underwriting discounts and commissions and estimated offering expenses payable by the Operating Partnership, will be approximately $492.5 million. The offering is expected to close on June 26, 2024 subject to the satisfaction of customary closing conditions. The offering was made pursuant to an automatic shelf registration statement filed with the Securities and Exchange Commission on June 9, 2023 (File Nos. 333-272547 and 333-272547-01), a base prospectus, dated June 9, 2023, and prospectus supplement, dated June 18, 2024, filed by the Operating Partnership with the Securities and Exchange Commission pursuant to Rule 424(b) under the Securities Act of 1933, as amended (the "Securities Act"). The Operating Partnership intends to use the net proceeds from the offering for the repayment of outstanding indebtedness, which may include the repayment or voluntary prepayment of all or a portion of the outstanding 2014-SFR3 asset-backed securitization notes, as well as general corporate purposes, including, without limitat

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 1.1 Underwriting Agreement, dated June 18, 2024, by and among American Homes 4 Rent, L.P. and BofA Securities, Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC, as representatives of the several Underwriters named therein. 5.1 Opinion of Hogan Lovells US LLP regarding the legality of the Notes. 23.1 Consent of Hogan Lovells US LLP (included in Exhibit 5.1). 104 Cover Page Interactive Data File (embedded within the Inline XBRL documents).

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrants have duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: June 20, 2024 AMERICAN HOMES 4 RENT By: /s/ Sara H. Vogt-Lowell Sara H. Vogt-Lowell Chief Legal Officer Date: June 20, 2024 AMERICAN HOMES 4 RENT,L.P. By: American Homes 4 Rent, its General Partner By: /s/ Sara H. Vogt-Lowell Sara H. Vogt-Lowell Chief Legal Officer

View Full Filing

View this 8-K filing on SEC EDGAR