Trending...
- NexGen Hotels Acquires Best Western Plus in Venice, Florida
- Dogs at the Dentist: How an unlikely partnership is helping treat dental anxiety
- After The Ink Dries - Will Savers Launches The First Physical Will & Trust Storage Service
MIAMI--(BUSINESS WIRE)--LuxUrban Hotels Inc. (or the "Company") (Nasdaq: LUXH), which utilizes an asset-light business model to lease entire hotels on a long-term basis and rent out hotel rooms in these properties in key major metropolitan cities, announced today the closing of an underwritten public offering of its 13.00% Series A Cumulative Redeemable Preferred Stock (the "Series A Preferred Stock").
The Company sold an initial 280,000 shares of Series A Preferred Stock with a liquidation preference of $25.00 per share for gross proceeds of $7 million. The Company expects to use the net proceeds of this offering for near-term acquisitions and general working capital purposes. In connection with the offering, the Company granted the underwriter a 45-day option to purchase up to an additional 15% of Series A Preferred Stock to cover over-allotments, if any.
The registration process for the offering provides the Company with the right to re-open the Series A Preferred Stock at any time. The Company expects to opportunistically utilize this right in the future to execute on its opportunity pipeline.
The Series A Preferred Stock is expected to commence trading on the Nasdaq Capital Market under the trading symbol "LUXHP" on October 27, 2023.
Alexander Capital, L.P. acted as the sole underwriter of the offering.
The securities were offered pursuant to a registration statement on Form S-3 (No. 333-274308) filed by the Company with the Securities and Exchange Commission ("SEC") and declared effective by the SEC on September 13, 2023, along with a supplement to the prospectus. A final prospectus supplement and accompanying prospectus relating to the offering have been filed with the SEC and are available on the SEC's website. A copy of the final prospectus supplement and accompanying prospectus related to the offering may be obtained from Alexander Capital L.P., 17 State Street, New York, NY 10004, Attention: Equity Capital Markets, or by calling (212) 687-5650 or emailing info@alexandercapitallp.com, or by logging on to the SEC's website at www.sec.gov.
More on The Floridant
This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
LuxUrban Hotels Inc.
LuxUrban Hotels Inc. utilizes an asset light business model to lease entire hotels on a long-term basis and rent out hotel rooms in the properties it leases to business and vacation travelers through the company's online portal and third-party sales and distribution channels. The company currently manages a portfolio of hotel rooms in New York, Washington D.C., Miami Beach, New Orleans and Los Angeles. As of the date of this release, the company has approximately 1,625 hotel rooms available for rent, and seeks to rapidly build its portfolio on favorable economics through the acquisition of additional accommodations that were dislocated or are underutilized as a result of the pandemic and current economic conditions. In late 2021, the company commenced the process of winding down its legacy business of leasing and re-leasing multifamily residential units, as it pivoted toward its new strategy of leasing hotels. This transition has been substantially completed.
Forward Looking Statements
This press release contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (set forth in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended). The statements contained in this release that are not purely historical are forward-looking statements. Forward-looking statements include, but are not limited to, the expected use of the net proceeds of the offering, and the Company's expectation regarding the trading of the Series A Preferred Stock on the Nasdaq. The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.
More on The Floridant
Contacts
Shanoop Kothari
President & Chief Financial Officer
LuxUrban Hotels Inc.
shanoop@luxurbanhotels.com
Devin Sullivan
Managing Director
The Equity Group Inc.
dsullivan@equityny.com
The Company sold an initial 280,000 shares of Series A Preferred Stock with a liquidation preference of $25.00 per share for gross proceeds of $7 million. The Company expects to use the net proceeds of this offering for near-term acquisitions and general working capital purposes. In connection with the offering, the Company granted the underwriter a 45-day option to purchase up to an additional 15% of Series A Preferred Stock to cover over-allotments, if any.
The registration process for the offering provides the Company with the right to re-open the Series A Preferred Stock at any time. The Company expects to opportunistically utilize this right in the future to execute on its opportunity pipeline.
The Series A Preferred Stock is expected to commence trading on the Nasdaq Capital Market under the trading symbol "LUXHP" on October 27, 2023.
Alexander Capital, L.P. acted as the sole underwriter of the offering.
The securities were offered pursuant to a registration statement on Form S-3 (No. 333-274308) filed by the Company with the Securities and Exchange Commission ("SEC") and declared effective by the SEC on September 13, 2023, along with a supplement to the prospectus. A final prospectus supplement and accompanying prospectus relating to the offering have been filed with the SEC and are available on the SEC's website. A copy of the final prospectus supplement and accompanying prospectus related to the offering may be obtained from Alexander Capital L.P., 17 State Street, New York, NY 10004, Attention: Equity Capital Markets, or by calling (212) 687-5650 or emailing info@alexandercapitallp.com, or by logging on to the SEC's website at www.sec.gov.
More on The Floridant
- Local Cremo Cigars Factory Boosts Tourism in Overtown
- Blueprint to Success: Creating a Unique and Effective Supplement Formula with Private Label Express
- CREFC Welcomes Commercial Real Estate Finance Industry to Annual Miami Conference on January 7-10, 2024
- Essential Speech and ABA Therapy to Expand Autism Services for a Growing Community
- Vero Beach Florida End Of Year Real EstateTrends
This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
LuxUrban Hotels Inc.
LuxUrban Hotels Inc. utilizes an asset light business model to lease entire hotels on a long-term basis and rent out hotel rooms in the properties it leases to business and vacation travelers through the company's online portal and third-party sales and distribution channels. The company currently manages a portfolio of hotel rooms in New York, Washington D.C., Miami Beach, New Orleans and Los Angeles. As of the date of this release, the company has approximately 1,625 hotel rooms available for rent, and seeks to rapidly build its portfolio on favorable economics through the acquisition of additional accommodations that were dislocated or are underutilized as a result of the pandemic and current economic conditions. In late 2021, the company commenced the process of winding down its legacy business of leasing and re-leasing multifamily residential units, as it pivoted toward its new strategy of leasing hotels. This transition has been substantially completed.
Forward Looking Statements
This press release contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (set forth in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended). The statements contained in this release that are not purely historical are forward-looking statements. Forward-looking statements include, but are not limited to, the expected use of the net proceeds of the offering, and the Company's expectation regarding the trading of the Series A Preferred Stock on the Nasdaq. The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.
More on The Floridant
- Jan Fritz For All Your Cudjoe Key Florida Real Estate Needs
- Government-funded IBAS Program Enters Next Phase of Silicon Interposer Development at NeoCity in Florida
- Coral Springs Center for the Arts to Present ILANA GLAZER LIVE on March 7
- Florida: MEMORANDUM
- Empowering Voices: Houston's Black Authors Illuminate the Blockchain World with 'Chain Reaction'
Contacts
Shanoop Kothari
President & Chief Financial Officer
LuxUrban Hotels Inc.
shanoop@luxurbanhotels.com
Devin Sullivan
Managing Director
The Equity Group Inc.
dsullivan@equityny.com
Filed Under: Business
0 Comments
Latest on The Floridant
- Carbon Pollution Mandates – Revolt – Reduce Pollution Today Without Going Electric – ECOFuelMax
- Why It Is A Good Time To Make Big Pine Key Florida Your Home
- Tax Advantages Of Owning A Vero Beach Rental Home
- Emmy Award Winning Journalist Joins Prominent Haddonfield Real Estate Agency
- duPont REGISTRY Group names Javier Villamizar and Sandeep Chugani to Board of Directors
- Sidus Space Awarded Additional Bechtel Cable Assembly Contract for Mobile Launcher 2
- LRP's National Institute Reveals Eight Captivating Conference Symposiums
- Founder Brings Inaugural Event To Braselton Georgia At Legendary Resort and Winery
- HBCUs Among Groups Heading to The Bahamas for Track & Field Competition in March 2024
- Noble World Foundation Proposes UN Security Council Reform to Foster Global Peace
- Doral Art & Cultural Center To Be Transformed Into A Modern Garden For Doral Art & Flowers Festival
- BNP Paribas Europe's Leading Bank To Officially Open New Miami Office
- OATS from AARP Opens Senior Planet Miami: The First Technology-Themed Community Center for Older Adults in Miami
- Expert Writer Melanie Green to Host The Freelance Writing Podcast
- Gift the Power of Transformation: Mind Mastered Subscription, the Ultimate Holiday Present
- Grace Callahan Renews Pro Staff Contract with Dawn Grant Mental Training & Hypnosis Meditation
- India Fest 2024 on Jan 27, 2024 at KY Expo Center
- Avi C. Shoham Joins Kalis, Kleiman & Wolfe as an Associate
- The NEW FX10- cutting-edge industrial composite 3D printer
- Jazwares Acquires Australian Toy Distributor Big Balloon