Omega Prices Public Offering of Common Shares on a Forward Basis

Omega Healthcare Investors, Inc. (NYSE:OHI) today announced that it has agreed to sell 7,500,000 shares of its common stock on a forward basis in connection with the forward sale agreement described below, which is expected to result in gross proceeds of approximately $300 million to the Company. The forward purchaser (as described below) has also granted the underwriters a 30-day option to purchase up to an additional 1,125,000 shares of the Company's common stock.

BofA Merrill Lynch is acting as sole book-runner for this offering.

The Company entered into a forward sale agreement with BofA Merrill Lynch or its affiliate (the "forward purchaser"). The forward purchaser or its affiliate is expected to borrow from third parties, and sell to the underwriters, 7,500,000 shares of the Company's common stock in connection with the forward sale agreement (or an aggregate of 8,625,000 shares if the underwriters exercise their option to purchase additional shares in full).

Subject to its right to elect cash or net share settlement, the Company agreed to issue and deliver, upon physical settlement of the forward sale agreement on one or more dates specified by the Company within 12 months of entry into the forward sale agreement, up to 7,500,000 shares of the Company's common stock to the forward purchaser (or an aggregate of 8,625,000 shares if the underwriters exercise their option to purchase additional shares in full). In exchange for the shares, the Company will receive cash proceeds per share equal to the applicable forward sale price per share, which will initially be equal to the public offering price per share less the underwriting discount per share, subject to certain adjustments as provided in the forward sale agreement.

The Company intends to use the net proceeds, if any, received upon settlement of the forward sale agreement, to finance a previously announced pending acquisition, with any remaining proceeds to be used for general corporate purposes, including repayment of its outstanding indebtedness, or to fund other potential acquisition, development and investment opportunities.

This offering is being made pursuant to an effective shelf registration statement and prospectus and a related preliminary prospectus supplement filed by the Company with the Securities and Exchange Commission. This press release shall not constitute an offer to sell or the solicitation of any 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.