VeriSign enters into sale-leaseback deal

Date : 06/11/2008 @ 5:35PM
Source : TFN
Stock : Verisign (VRSN)
Quote : 28.67  0.77 (2.76%) @ 8:00PM
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VeriSign enters into sale-leaseback deal

        NEW YORK (AP) - VeriSign Inc., which runs many of the Internet's core
systems, said Wednesday it has signed a deal to sell and lease back a portion of
its Mountain View, Calif., headquarters.
    VeriSign plans to sell about 159,000 square feet of its 290,000 square-foot
headquarters to PR III Middlefield Road LLC for $49 million, according to a
filing with the Securities and Exchange Commission. Following a due diligence
review, PR III Middlefield can choose to cancel the sale for any or no reason.
    Upon closing of the sale, which is expected later this month, VeriSign will
enter into a separate leaseback agreement with PR III Middlefield, whereby
VeriSign will rent the property for an initial term of 30 months for $12.5
million. VeriSign has the option to extend the lease for five years.
    VeriSign shares fell 54 cents to close at $39.17.
    
Copyright 2008 Associated Press. All rights reserved. This material may not be
published, broadcast, rewritten, or redistributed.
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