ATLANTA, April 13, 2015 /PRNewswire/ -- AdCare
Health Systems, Inc. (NYSE MKT: ADK) (NYSE MKT: ADK.PRA) (the
"Company") announced today that it has closed an underwritten
public offering of 575,000 shares of its 10.875% Series A
Cumulative Redeemable Preferred Stock (the "Series A Preferred
Stock") at a public offering price of $25.75 per share. The Series A
Preferred Stock is listed on the NYSE MKT under the symbol
"ADK.PRA."
The shares of Series A Preferred Stock were sold in a "best
efforts" underwriting. MLV & Co. LLC and Northland
Capital Markets acted as Joint Book-Running Managers for the
offering. Northland Capital Markets is the trade name for
certain capital markets and investment banking activities of
Northland Securities, Inc., member FINRA/SIPC. GVC Capital
LLC acted as Co-Manager for the offering.
The net proceeds to the Company from the offering were
approximately $13.5 million, after
deducting underwriting discounts, commissions and estimated
offering expenses. The Company intends to use the net proceeds from
the offering to repay certain indebtedness and for general
corporate purposes, which may include the repayment of other debt
or the funding of potential acquisitions.
The offering was made pursuant to the Company's existing
effective shelf registration statement that was previously filed
with, and declared effective by, the Securities and Exchange
Commission. Copies of the final prospectus and related
prospectus supplement with respect to these securities may be
obtained by contacting MLV & Co. LLC, 1301 Avenue of the
Americas, 43rd Floor, New York, New
York 10019, Attention: Randy
Billhardt, Email: rbillhardt@mlvco.com; Telephone: (888)
344-2272 or Northland Capital Markets, 45 South 7th
Street, Suite 2000, Minneapolis,
Minnesota 55402, Attention: Adam J.
Sandvig, Email: asandvig@northlandcapitalmarkets.com;
Telephone: (612) 460-4803.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any securities of the Company, nor
shall there be any sale of these securities in any state or
jurisdiction in which such an offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction.
About AdCare Health Systems, Inc.
AdCare Health Systems, Inc. (NYSE MKT: ADK) (NYSE MKT: ADK.PRA)
is a self-managed healthcare real estate investment company that
invests primarily in real estate purposed for senior living and
long-term healthcare through facility lease and sub-lease
transactions. The Company currently owns, leases or manages
for third parties 40 facilities, primarily in the Southeast.
For more information about the Company, visit
www.adcarehealth.com.
Important Cautions Regarding Forward-Looking
Statements
This press release includes statements that may constitute
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, including statements
regarding the Company's intended use of proceeds from the offering.
Such forward-looking statements are subject to a variety of
known and unknown risks, uncertainties, and other factors that are
difficult to predict and many of which are beyond management's
control. Factors that can affect future results are discussed
in the documents filed by the Company from time to time with the
Securities and Exchange Commission. Except where required by
law, the Company undertakes no obligation to update or revise any
forward-looking statement to reflect events or circumstances after
the date of this press release.
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SOURCE AdCare Health Systems, Inc.