Wheeler Real Estate Investment Trust, Inc., a Maryland-based company specializing in real estate investment trusts, announced today that it has received no redemption requests from holders of its Series D Cumulative Convertible Preferred Stock during the July 2024 redemption period. This latest development follows the company's processing of 182 redemption requests to date, which cumulatively resulted in the redemption of 948,631 shares of Series D Preferred Stock.
In exchange for these redemptions, Wheeler REIT has issued approximately 560,000 shares of its common stock, with a par value of $0.01 per share. These issuances were made in settlement of an aggregate redemption price of about $35.9 million. The company's recent one-for-24 and one-for-five reverse stock splits, occurring on May 16, 2024, and June 17, 2024, respectively, have adjusted these figures.
As of today, Wheeler REIT has 566,814 shares of common stock and 2,686,916 shares of Series D Preferred Stock outstanding. Looking ahead, the deadline for the next monthly round of Series D Preferred Stock redemptions is set for July 25, 2024, with the subsequent Holder Redemption Date scheduled for August 5, 2024.
Investors interested in the redemption process can find the necessary forms and a list of frequently asked questions on the company's website.
This news is based on a recent SEC filing by Wheeler Real Estate Investment Trust, Inc.
In other recent news, Wheeler Real Estate Investment Trust, a Maryland-based firm, announced changes to its reverse stock split strategy in its latest SEC filing. The company has shifted from a one-for-six to a one-for-five reverse stock split. This modification will become effective at 5:00 p.m. Eastern Time on June 27, 2024, and will not change the number of authorized shares or the company's ticker symbol.
The firm has submitted the necessary amendments to its charter, including the stock split and a reduction in the par value of common stock from $0.05 to $0.01 per share. Stockholders will not receive fractional shares but will be compensated with a cash payment equivalent to the fractional share's value.
This action is part of Wheeler REIT's efforts to meet Nasdaq's minimum bid price requirement, though it may lead to non-compliance with Nasdaq’s Publicly Held Shares Rule due to a reduced number of publicly held shares.
InvestingPro Insights
Wheeler Real Estate Investment Trust, Inc. (WHLR) has shown a remarkable resilience in its stock performance over the recent period. While the company has not faced any redemption requests for its Series D Cumulative Convertible Preferred Stock during the July 2024 redemption period, it's important for investors to consider the broader financial context in which WHLR operates.
InvestingPro Data highlights that WHLR has a market capitalization of $9.1 million, indicating a relatively small size within the real estate investment trust market. Despite a challenging environment, the company has managed to maintain a gross profit margin of 65.69% in the last twelve months as of Q1 2024, showcasing its ability to generate income from its operations efficiently. Furthermore, the Revenue Growth of 17.09% in the same period signals a strong operational performance.
InvestingPro Tips suggest that WHLR's stock trades with high price volatility, which is echoed by the stock's significant price movements. This volatility is evident in the stock's one-month price total return of 90.43%, demonstrating a sharp contrast with the one-year price total return of -97.8%. Additionally, with liquid assets exceeding short-term obligations, the company shows a degree of liquidity that may reassure investors concerned about immediate financial stability.
For investors looking to delve deeper into the financials and future outlook of Wheeler REIT, InvestingPro offers additional tips that can provide valuable insights. Currently, there are 10 more InvestingPro Tips available for WHLR, which can be accessed for further analysis. For those interested in a comprehensive investment analysis tool, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription at InvestingPro.
As Wheeler REIT continues to navigate the complexities of the real estate investment sector, these InvestingPro insights can help investors make more informed decisions about their investment strategies.
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