Quarterly report pursuant to Section 13 or 15(d)

Equity

v3.7.0.1
Equity
 3 Months Ended
Mar. 31, 2017
Equity [Abstract]  
Equity
11. Equity

Dividends and Distributions

Our board of directors declared the following dividends in 2016 and 2017:

 

Announced Date

    Record Date      Pay Date      Amount per share  

3/15/16

      3/30/16        4/7/16      $ 0.30  

6/07/16

      7/06/16        7/14/16      $ 0.30  

9/15/16

      10/05/16        10/13/16      $ 0.30  

12/13/16

      12/29/16 *       1/12/17      $ 0.33  

3/15/17

      4/5/17        4/13/17      $ 0.33  

 

* This dividend was treated as a distribution in 2017 for tax purposes.

We have an effective universal shelf registration statement registering the potential offer and sale, from time to time and in one or more offerings, of any combination of our common stock, preferred stock, depositary shares and warrants and rights (collectively referred to as the “securities”). We may offer the securities directly, through agents, or to or through underwriters by means of ordinary brokers’ transactions on the NYSE or otherwise at market prices prevailing at the time of sale or at negotiated prices and may include “at the market” (“ATM”) offerings or sales “at the market,” to or through a market maker or into an existing trading market on an exchange or otherwise. We completed the following public offerings and ATM offerings of our common stock in 2016 and 2017:

 

Closing Date

    Common Stock
Offerings		    Shares Issued1      Price
Per
Share		      Net
Proceeds 2		  
          (amounts in millions, except per share amounts)  

6/21/16

    Public Offering      4.60      $ 19.78 3     $ 91  

5/9/16 to 6/30/16

    ATM      0.065      $ 20.31 4     $ 1  

11/09/16

    Public Offering      4.025      $ 19.28 3     $ 77  

12/13/16 to 12/29/16

    ATM      0.407      $ 19.47 4     $ 8  

1/20/17 to 2/2/17

    ATM      0.197      $ 19.18 4     $ 4  

3/10/17

    Public Offering      3.45      $ 18.73 3     $ 64  

 

1  Includes shares issued in connection with the exercise of the underwriters’ option to purchase additional shares.
2  Net proceeds from the offerings is shown after deducting underwriting discounts, commissions and other offering costs.
3  Represents the price per share at which the underwriters in our public offerings purchased shares from our company.
4  Represents the average price per share at which investors in our ATM offerings purchased shares from our company.

 

Awards of Shares of Restricted Common Stock under our 2013 Plan

We have issued awards with service, performance and market conditions. During the three months ended March 31, 2017, our board of directors awarded employees and directors 701,982 shares of restricted stock and restricted stock units that vest in 2017 to 2020. The restricted common stock units have market based vesting conditions, and were granted at an average price of $18.99 for a total value of $4.8 million. As of March 31, 2017, as it relates to previously issued awards with performance conditions, we have concluded that it is probable that the performance conditions will be met.

For the three months ended March 31, 2017, we recorded $3 million of equity-based compensation expense as compared to $2 million for the three months ended March 31, 2016. The total unrecognized compensation expense related to awards of restricted common stock and restricted stock units was approximately $20 million as of March 31, 2017. We expect to recognize compensation expense related to these awards over a weighted-average term of approximately two years. A summary of the unvested shares of restricted common stock that have been issued is as follows:

 

     Restricted
Shares of
Common Stock		     Weighted Average
Share Price		      Value
(in millions) 		 

Balance — December 31, 2015

      1,248,069     $ 15.16      $ 18.9  

Granted

      661,055       18.62        12.3  

Vested

      (716,264 )      14.03        (10.0 ) 

Forfeited

      (11,188 )      17.25        (0.2 ) 
  

 

 

    

 

 

     

 

 

  

Ending Balance — December 31, 2016

      1,181,672     $ 17.76      $ 21.0  

Granted

      448,782       19.02        8.5  

Vested

      (79,211 )      16.94        (1.3 ) 

Forfeited

      —         —          —    
  

 

 

    

 

 

     

 

 

  

Ending Balance — March 31, 2017

      1,551,243     $ 18.17      $ 28.2  
  

 

 

    

 

 

     

 

 

  

A summary of the unvested shares of restricted stock units that have been issued is as follows:

 

     Restricted Stock
Units		      Weighted Average
Share Price		      Value
(in millions) 		 

Balance — December 31, 2016

      —          —          —    

Granted

      253,200      $ 18.99      $ 4.8  

Vested

      —          —          —    

Forfeited

      —          —          —    
  

 

 

     

 

 

     

 

 

  

Ending Balance — March 31, 2017

      253,200      $ 18.99      $ 4.8