October 16, 2009 (FinancialWire) — Sunstone Hotel Investors, Inc. (NYSE: SHO) plans to issue 14 million shares of its common stock. BofA Merrill Lynch and Wells Fargo Securities will be the joint bookrunners of the offering.

The underwriters will be granted a 30-day option to purchase up to an additional 2.1 million shares to cover over-allotments.

Sunstone Hotel plans to contribute the net proceeds from the offering to its Sunstone Hotel Partnership subsidiary, in exchange for additional membership interests in the operating partnership.

The partnership will subsequently use the net proceeds from the offering for working capital and other general corporate purposes, which could include one or more hotel acquisitions.

San Clemente, California-based Sunstone Hotel Investors is a lodging real estate investment trust that has interests in 40 hotels comprised of 14,006 rooms operated under brands such as Marriott, Hyatt, Fairmont, Hilton, and Starwood.

FinancialWire(tm) is a fully independent, proprietary news wire service. FinancialWire(tm) is not a press release service, and receives no compensation for its news, opinions or distributions. Further disclosure is at the FinancialWire(tm) web site (http://www.financialwire.net/disclosures.php). Contact FinancialWire(tm) directly via inquiries@financialwire.net.

Free annual reports for companies mentioned in the news are available through the Free Annual Reports Service (http://investrend.ar.wilink.com/?level=279).

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.