ATLANTA, April 2, 2012 /PRNewswire/ -- Preferred Apartment Communities, Inc. (AMEX: APTS) ("PAC") announced today that it has raised proceeds sufficient to break escrow on its continuous public offering of a minimum of 2,000 and a maximum of 150,000 Units, with each Unit consisting of one share of Series A Redeemable Preferred Stock and one detachable warrant to purchase 20 shares of PAC's common stock, or Unit Offering. PAC's common stock is currently traded on the NYSE Amex under the symbol APTS. On March 30, 2012 the Company accepted subscription funds in excess of $2.0 million and issued 2,155 shares of Series A Redeemable Preferred Stock and 2,155 warrants to its new Series A Redeemable Preferred Stock stockholders. The Company plans to have subsequent closings on a monthly basis.
"We are pleased with the early and high level of interest PAC has received from investors," said John A. Williams, Preferred Apartment Communities' President and CEO. "We believe that our targeted investment strategy is yielding attractive investment opportunities and we look forward to deploying our new stockholders' money." Williams added, "We also are excited to have broken escrow on our Unit Offering on March 30, 2012, only two months following the completion of FINRA's review of our marketing materials."
The warrants issued on March 30, 2012 can be exercised beginning March 30, 2013, expire March 30, 2016, and have an exercise price of $9.59 per share of common stock. Pursuant to the terms of the Series A Redeemable Preferred Stock, we expect the board of directors of PAC will declare a monthly cash distribution of $5.00 on each outstanding share of Series A Redeemable Preferred Stock to stockholders of record on April 30, 2012, payable on May 21, 2012, and to stockholders of record on the last day of each month thereafter, payable on the 20th day of the month following. The cash distributions equate to an annualized dividend rate of 6% based on the $1,000 stated value of the Series A Redeemable Preferred Stock.A registration statement relating to the offering of these securities has been filed with the U.S. Securities and Exchange Commission and declared effective. The offering will be made only by means of a prospectus. Copies of the prospectus for the offering may be obtained by contacting our dealer manager, International Assets Advisory, LLC, or a participating broker-dealer.