NHP Preferred Tender Draws About $25.3M of $100M Authorized as Most Holders Pass at $22.50

National Healthcare Properties, Inc. will repurchase about $25.3 million of its preferred stock – roughly a quarter of the $100 million authorized – after most holders declined to sell at $22.50 per share, according to preliminary results of two self-tender offers that expired June 16.

The concurrent but separate offers covered NHP’s 7.375% Series A (Nasdaq: NHPAP) and 7.125% Series B (Nasdaq: NHPBP) cumulative redeemable perpetual preferred stock, each at $22.50 per share in cash. Based on a preliminary count by depositary Computershare Inc., about 556,049 Series A shares and 566,229 Series B shares were validly tendered and not withdrawn, for an aggregate purchase price of approximately $25.25 million. The totals are preliminary and subject to confirmation.

The $22.50 price sat below the preferred stock’s $25 liquidation preference but modestly above recent trading levels; the Series A traded near $21 in mid-June. Holders who kept their shares retained an annual dividend of 7.375% or 7.125% on the $25 face amount, plus any recovery toward liquidation value – a trade-off that left roughly three-quarters of the authorized capacity untapped.

The buyback continues what NHP has described as an effort to streamline its capital structure since the company – formerly Healthcare Trust, Inc. – listed its common stock on Nasdaq earlier this year and launched the $100 million tender in May. In 2025, the REIT repurchased about $8.6 million in aggregate liquidation preference of preferred stock at a weighted average yield of 11.5%, at steeper discounts to par than the current offer represents.

Under SEC tender offer rules, NHP is restricted from repurchasing additional preferred shares for at least 10 business days. The preferred offers are unrelated to a separate, unsolicited mini-tender for NHP common stock launched this week by MacKenzie.

Visit the AltsWire directory page.