Chatham Lodging Trust Prices Initial Public Offering

PALM BEACH, Fla., April 15 /PRNewswire/ -- Chatham Lodging Trust (the "Company") today announced it has priced its initial public offering of 7,500,000 common shares of beneficial interest, $0.01 par value per share, at $20.00 per share, for total gross proceeds of $150 million, prior to underwriting discounts and offering expenses.

The offering is expected to close on April 21, 2010.  The underwriters have a 30-day option to purchase up to an additional 1,125,000 shares to cover overallotments, if any.  All of the shares are being offered by the Company.

The Company will contribute the net proceeds of the offering to its operating partnership, which will use $73.5 million of the net proceeds to purchase six Homewood Suites by Hilton^® hotels.  The Company's operating partnership will use the remaining net proceeds to invest in hotel properties in accordance with the Company's investment strategy and for general business purposes.

The common shares of the Company are scheduled to begin trading on April 16, 2010 on the New York Stock Exchange under the symbol "CLDT."

A registration statement relating to the offering of the Company's common shares discussed above was declared effective by the Securities and Exchange Commission on April 15, 2010.  This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Barclays Capital and FBR Capital Markets are acting as the joint book-running managers for the offering.  Morgan Keegan & Company, Inc. and Stifel Nicolaus are acting as senior co-managers and Credit Agricole CIB and JMP Securities are acting as co-managers.  A copy of the prospectus can be obtained by contacting Barclays Capital, c/o Broadridge, Integrated distribution Services, 1155 Long Island Ave., Edgewood, N.Y. 11717, telephone (888) 603-5847 or by e-mail at [email protected], or FBR Capital Markets, Prospectus Department, 1001 18^th Street, North, Arlington, Va. 22209 or by e-mail at [email protected].  The prospectus may also be obtained by contacting any of the other underwriters listed above.

WARNING REGARDING FORWARD-LOOKING STATEMENTS

THIS PRESS RELEASE CONTAINS FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OTHER FEDERAL SECURITIES LAWS. THESE FORWARD-LOOKING STATEMENTS ARE BASED UPON THE COMPANY'S PRESENT EXPECTATIONS, BUT THESE STATEMENTS ARE NOT GUARANTEED TO OCCUR. FOR EXAMPLE: THE FACT THAT THIS OFFERING HAS PRICED MAY IMPLY THAT THE OFFERING WILL CLOSE; BUT THE CLOSING IS SUBJECT TO CONDITIONS CUSTOMARY IN TRANSACTIONS OF THIS TYPE AND MAY BE DELAYED OR MAY NOT OCCUR AT ALL. IN ADDITION, THE FACT THAT THE UNDERWRITERS HAVE AN OVERALLOTMENT OPTION MAY IMPLY THAT THIS OPTION WILL BE EXERCISED.

HOWEVER, THE UNDERWRITERS ARE NOT UNDER ANY OBLIGATION TO EXERCISE THIS OPTION, OR ANY PORTION OF IT, AND MAY NOT DO SO. INVESTORS SHOULD NOT PLACE UNDUE RELIANCE UPON FORWARD-LOOKING STATEMENTS.

    
    
    Contact: 
    Jerry Daly, Carol McCune
    Daly Gray Public Relation
    (Media)
    (703) 435-6293

SOURCE Chatham Lodging Trust

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