SmartStop Self Storage REIT slips after launching stock offering

JPMorgan Chase & Co.

Mon 21:34

** Shares of SmartStop Self Storage REIT SMA.N down 4.3% to $38 in extended trading after equity offering news
** Ladera Ranch, California-based SMA commences 7 mln share offering
** Co expects to enter into forward sale agreements with affiliates of JP Morgan and Wells Fargo
** SMA says upon settlement of the agreements, anticipated to occur no later than Sept 30, 2028, it intends to use net proceeds to fund its investment in a Canadian joint venture fund and pending acquisitions, repay credit facility and Canadian term loan, among other purposes
** JP Morgan, Wells Fargo, KeyBanc, BMO and Truist Secs are joint bookrunners for offering
** SMA stock finished up 2% at record high close of $39.69 on Mon, up 21% over the past month
** Co, which went public in Apr 2025 after $810 mln IPO priced at $30, has ~55.37 mln shares outstanding
** Avg rating of 11 analysts is "buy'; median PT $37, per LSEG data
     

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com))