IPO - MacKenzie Realty Capital, Inc.

Form Type: 424B5

Filing Date: 2025-03-03

Corporate Action: Ipo

Type: New

Accession Number: 000155091325000044

Filing Summary: MacKenzie Realty Capital, Inc. is conducting an offering of 1,534,034 shares of common stock at an offering price of $1.71 per share. Additionally, the company is offering pre-funded warrants to purchase up to 1,292,265 shares of common stock at a price of $1.7099 per warrant. The offering is aimed at a specific institutional investor to comply with the Common Stock Ownership Limit and Aggregate Stock Ownership Limit regulations. In a concurrent private placement, the company is issuing Series A and Series B unregistered warrants to purchase up to 4,239,448 shares of common stock at an exercise price of $1.71 per share. The Series A warrants will be exercisable six months post-issuance and expire after 18 months; Series B will also have similar terms but expire after five years. The company aims to utilize the net proceeds of approximately $4,289,543 for restructuring debt related to Main Street West property and acquiring additional properties. They are currently seeking refinancing options for the Main Street West property due to a default on its mortgage, which has an outstanding principal balance of $14,742,049 and bears interest at 8% per annum. The total offering amount is significant, reflecting a strategic attempt to enhance financial stability and capitalize on further investment opportunities. The delivery of securities is anticipated on March 3, 2025.

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