09:49 AM EDT, 09/10/2024 (MT Newswires) -- Seaport Entertainment Group ( SEG ) said Tuesday that its board has approved a plan for a $175 million rights offering to sell up to 7 million shares of its common stock for $25 apiece.

Seaport said it will distribute the right to buy additional Seaport shares among investors on Sept. 20 in proportion to their respective stakes in the entertainment and hospitality company.

The subscription rights will begin trading on the NYSE American exchange on Sept. 24 under the SEG-RT ticker symbol and will continue until the end of the Oct. 9 session, with stock purchases starting Oct. 10, the company said.

Seaport said Pershing Square Capital Management has agreed to backstop the upcoming offering and will exercise any unsold Seaport subscription rights to buy up to 7 million shares at $25 each.

Seaport said it plans to use net proceeds for general operating, working capital and other corporate purposes.

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