Realty Income Corporation Issues $1.0 Billion Convertible Senior Notes

Details

The notes were issued in a private placement under Rule 144A of the Securities Act of 1933. The initial conversion rate is 13.7512 shares of common stock per $1,000 principal amount of notes, with an initial conversion price of approximately $72.72 per share. The net proceeds from the offering, approximately $981.9 million after deducting costs, were used to repurchase shares, pay for capped call transactions, and for general corporate purposes. The capped call transactions, with a cap price of approximately $83.55, are intended to reduce potential dilution and offset cash payments upon conversion of the notes.

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About Realty Income Corporation

Realty Income Corporation is a real estate investment trust specializing in net-lease commercial properties across the United States, the United Kingdom, and multiple countries in Europe. The company focuses on free-standing, single-tenant assets, often under long-term triple-net lease structures, where tenants are responsible for property taxes, insurance, and maintenance. Its portfolio spans retail, industrial, distribution, manufacturing, gaming, and select office properties, serving a broad range of corporate and institutional tenants across numerous industries. Realty Income operates as a full-service real estate capital provider, offering sale-leaseback and structured transaction solutions to large, often investment-grade, occupiers seeking stable, long-duration occupancy. This model positions Realty Income as an important player in the net-lease and income-oriented real estate segment, providing predictable rental income from a geographically diversified property base. Founded in 1969 and headquartered in San Diego, California, Realty Income is recognized within the real estate sector for its focus on consistent cash flow from operations and its emphasis on long-term, contractual rental streams.