July 20, 2021
Kite Realty Group Trust announced on Monday that it would acquire rival Retail Property of America Inc. for approximately $ 2.8 billion to establish one of the top five shopping center real estate investment trusts in the United States.
Retail property shares will be converted to 0.6230 shares of newly issued kite realty in all equity transactions. This is an asking price of $ 12.98 per share, which means a premium of about 13% of the closing price of retail properties on Friday.
According to Kite Realty, the merged company is expected to have a market capitalization of approximately $ 4.6 billion and a corporate value of approximately $ 7.5 billion.
The combination also creates a portfolio of 185 outdoor shopping centers with a total leasable area of approximately 32 million square feet.
Retail Properties will be integrated into a subsidiary of Kite Realty, and Kite Realty will continue to be the surviving company after the transaction closes in the fourth quarter of 2021.
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Kite Realty Merges Retail Property With $ 7.5 Billion Transaction
Source link Kite Realty Merges Retail Property With $ 7.5 Billion Transaction