Welltower (NYSE: WELL) has recently announced its plans to raise additional capital through a $750 million private placement offering to pay down loans and invest in new senior housing assets. The Toledo, Ohio-based real estate investment trust (REIT) disclosed that its operating company, “Welltower OP,” will be launching the offering with an option for initial purchasers to buy notes worth up to an additional $112.5 million.
With a focus on “general corporate purposes,” including debt repayment and investments in health care, wellness, and senior living properties, Welltower aims to utilize the capital effectively. Despite the company’s stock price experiencing a minor dip on Monday, the firm remains active in the investment landscape with agreements worth billions of dollars in the current year.
Amidst macroeconomic uncertainties and capital market dislocations, Welltower sees an opportunity to acquire assets at attractive prices. By strategically allocating capital and targeting discounted assets in regional clusters, the company aims to enhance its portfolio and drive growth.
In addition to the private placement offering, Welltower has maintained strong liquidity and is well-positioned to fund announced acquisitions. Moreover, the company is undergoing changes in its senior housing operating portfolio (SHOP), with recent transitions to new operators for certain properties, such as the 89 Holiday by Atria communities.
