Company: EGP
Filing Date: 2025-12-05
Form Type: 424B5
Source: 0001140361-25-044550
Chunk: 21

Company: EASTGROUP PROPERTIES INC
Filing Date: 2025-12-05
Form: 424B5
Chunk 21
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, as well as the settlement between the relevant Forward Seller and buyers of such shares of our common stock in the market, will generally occur on the first trading day (or such day as is industry practice for regular-way trading) following each date the sales are made. The obligation of the relevant Forward Seller under the Sales Agreement to execute such sales of our common stock is subject to a number of conditions, which each Forward Seller reserves the right to waive in its sole discretion.

In connection with each Forward Contract, we will pay the relevant Forward Seller, in the form of a reduced initial forward sale price under the related Forward Contract with the related forward purchaser, commissions at a mutually agreed rate that will not exceed, but may be lower than, 1.5% of sales prices of all borrowed shares of common stock sold during the applicable forward hedge selling period by it as a Forward Seller. We refer to this commission rate as the forward selling commission. The forward hedge selling period will be the period determined by us in our sole discretion and as specified in the relevant transaction notice.

The forward sale price per share under each Forward Contract will initially equal the product of (1) an amount equal to one minus the applicable forward selling commission and (2) the volume-weighted average price per share at which the shares of borrowed common stock were sold pursuant to the Sales Agreement by the relevant Forward Seller. Thereafter, the forward sale price will be subject to adjustment as described below.

The Forward Contracts, the maximum terms of which may not exceed two years, will provide that the forward sale price, as well as the sales prices used to calculate the initial forward sale price, will be subject to increase or decrease based on an overnight interest rate, less a spread, and subject to decrease by amounts related to expected dividends on our common stock during the term of the particular Forward Contract. If such overnight interest rate is less than, or greater than, the spread on any day, the interest factor will result in a daily reduction, or a daily increase, respectively, of the forward sale price.

Before settlement of a particular Forward Contract, we expect that the shares of our common stock issuable upon settlement of that particular Forward Contract will be reflected in our diluted earnings per share and dividends per share calculations using the treasury stock method. Under this method, the number of shares of our common stock used in calculating diluted earnings per share and dividends per share is deemed to be increased by the excess, if any, of the number of shares of our common stock that would be issued upon full physical settlement