Whitestone REIT (NYSE:WSR) is a Houston based Real Estate Investment Trust (REIT). This means that it makes money by owning and trading real estate. Whitestone operates primarily in established or growing diverse neighborhoods. In particular it owns commercial properties in Texas, Arizona, and Illinois. The company specializes in running easily visible locations.
The purpose of the IPO was to raise funds to allow Whitestone to acquire new commercial properties in target areas. The company also hopes to acquire loans of soon to be foreclosed properties so that it can get access to the underlying real estate. Whitestone also plans to use the money to redevelop properties it already owns.
The company's initial public offering of stock on the NYSE and occurred on August 25th, 2010. Its initial price range is $14-$16, but the stock priced at $12. The company sold 2.2M shares and raised $26M. The lead underwriters of the deal were Wunderlich Securities and [[Ladenburg Thalmann Financial Services (LTS). The REIT had originally planned to raise nearly twice as much -$50M by selling 3.3M shares.
As of June 2010, Whitestone owned $193M in property on its balance sheet. The company's total assets totaled $176M. In terms of revenue, WSR generated $7.8M in three months ended in 2010. Net income in the same period was $255K.