April 29, 2013
Brinson Patrick Securities Corporation
, a boutique investment bank specializing in at-the-market (ATM) offerings, reported today that U.S. companies raised roughly
through ATMs in 2012, compared to
in 2011, a 13 percent year-over-year increase.
In the fourth quarter of 2012, U.S. companies raised
through ATMs, compared to
in the fourth quarter of 2011, a 7 percent increase. Companies whose ATMs were active in the fourth quarter included:
Kinder Morgan EnergyPartners, LP.
DCT Industrial Trust, Inc.
Enterprise Products Partners, LP.
"2012 demonstrated that more public companies utilized ATM offerings to strategically raise capital compared to 2011," said
, CEO of
. "Companies continued to find opportunities to raise capital at attractive prices with the U.S. equity markets having a strong year. The great benefit of an ATM offering is that a company can choose to only raise capital during its most advantageous times of the year."
An ATM provides an efficient means of raising equity capital over time by enabling a publicly traded company to tap into the existing secondary market for its shares on an as-needed basis. With an ATM, an exchange-listed company incrementally sells newly issued shares into the trading market through a designated broker-dealer at prevailing market prices, rather than via a traditional underwritten offering of a fixed number of shares at a fixed price all at once. ATMs are also generally less expensive and less complicated to execute than traditional equity offerings and do not require a lot of executive time.