Campus Crest Communities, Inc.NYSE
Should Campus Crest Be Heading For A Proxy Contest?
Management Overhaul = Long-Needed Transformation At Campus Crest, 50% Upside For Shareholders
Stanislav Ermilov • 25 Comments
Stanislav Ermilov • 25 Comments
Investing With An Edge: Campus Crest
Andrew Walker, CFA • 24 Comments
Andrew Walker, CFA • 24 Comments
Wed, Mar. 2, 5:19 PM
- Harrison Street has wrapped up its acquisition of Campus Crest Communities (NYSE:CCG), a deal that comes to $1.9B including debt.
- Campus Crest was delisted at the close today. Shareholders will get $7.018 in cash per share.
- The company also set aside funds to redeem its 8% Series A preferred stock, which will be redeemed tomorrow at a price of $27.256 ($25 par value plus accrued dividends). Its operating partnership will commence an offer to buy its outstanding 4.75% senior exchangeable notes.
Tue, Jan. 26, 5:16 PM
- Nearly all those votes cast were in favor of the sale to Harrison Street Real Estate. There's no official closing date as of yet.
- Campus Crest (NYSE:CCG) closed the session at $6.87 vs. the sale price of $6.97 per share in cash plus a CVR worth a few cents.
- Related: Investing With An Edge: Campus Crest (Jan. 25)
Oct. 19, 2015, 12:43 PM
Oct. 19, 2015, 9:13 AM
Oct. 16, 2015, 6:53 PM
- Campus Crest Communities (NYSE:CCG) is up 5.6% after hours, having agreed to a sale to Harrison Street Real Estate Capital for total consideration of $7.03/share -- $1.9B, including debt.
- That's a 24% premium over today's close. Shares closed up 0.5% today and were trading up to $6.80 after hours.
- The $7.03 price includes net sale proceeds of up to $0.13/share tied to Campus Crest's sale of its evo Montreal joint venture, and therefore $6.90/share in cash. Exact closing will be dependent on closing of the Montreal sale.
- The board has unanimously agreed to the sale to Harrison Street.
Sep. 29, 2015, 10:26 AM| Sep. 29, 2015, 10:26 AM
Sep. 29, 2015, 7:13 AM
- Campus Crest (NYSE:CCG): FQ2 FFO of $0.10 misses by $0.07.
- Revenue of $45.68M (+82.8% Y/Y) misses by $3.66M.
Jul. 16, 2015, 8:15 AM
- Campus Crest (NYSE:CCG): FQ1 FFOA of $0.10 misses by $0.05.
- Revenue of $40.33M (+63.2% Y/Y) misses by $8.59M.
Jun. 18, 2015, 9:48 AM
- Should all of the agreed-upon deals close, it could cut CCG's JV exposure to six assets versus 50 last November when the company announced its strategic repositioning.
- Campus Crest has also settled upon a new accounting firm to begin serving along with the Q2 financial reporting cycle. Upon finalization of the engagement letter, the name of the new firm will be announced.
Jun. 3, 2015, 10:25 AM
- There's a bit of a selling panic going on in fixed income, with the 10-year Treasury yield up another nine basis points on this session to 2.35%, and now up 25 bps this week. The carnage across the pond is worse.
- The IYR is lower by 0.9%.
- Individual equity REITs: Realty Income (O -1.2%), Ventas (VTR -2.5%), Omega Healthcare (OHI -0.9%), HCP (HCP -1.5%), Equity Residential (EQR -2.1%), AvalonBay (AVB -1.8%), Simon Property (SPG -1.3%), General Growth (GGP -1.5%), Kimco (KIM -1.2%), Public Storage (PSA -1%), Boston Properties (BXP -1.1%), Hospitality Properties (HPT -1.2%), Liberty Property (LPT -1%), Campus Crest (CCG -2.2%).
- Mortgage REITs: Annaly (NLY -1.2%), American Capital Agency (AGNC -0.9%), Invesco (IVR -1.1%), Hatteras (HTS -1%), Ellington Residential (EARN -1%).
- ETFs: IYR, VNQ, MORL, REM, MORT, DRN, URE, RQI, SCHH, ICF, SRS, RWR, RNP, JRS, KBWY, RFI, NRO, DRV, RIT, REK, RIF, FRI, FTY, PSR, DRA, FREL, WREI, LMBS, IARAX
May 28, 2015, 5:30 PM
May 21, 2015, 11:19 AM
- Pre-leasing for the entire portfolio of 69.9% is up 240 basis points from this time a year ago, though same-store pre-leasing of 73.3% is lower by 150 bps.
- "We are experiencing difficulties in select markets," says CIO Aaron Halfacre. Statesboro, GA and Mt. Pleasant, MI are experiencing negative leasing velocity following increased market supply, and Grand Forks, ND will likely lease materially below the current year following construction delays and management turnover. Also Copper Beach at Columbia, SC is having a tough time of it after an "isolated crime" which took place there in November.
- The Q1 10-Q will not be filed by the previously hoped-for time of May 29.
- CCG +0.5%
May 4, 2015, 10:22 AM
- As part of the deal, Clinton Group nominees Raymond Mikulich and Randall Brown are appointed to the board, along with Curtis McWilliams. The board size is now up to 8, all of whom are independent.
- McWilliams and Mikulich - along with non-executive chairman Richard Kahlbaugh - will now make up the Transaction Committee overseeing the strategic alternatives process. Clinton partner Campus Evolution Villages is invited to sign a NDA and also participate.
- Previously: Embattled Campus Crest makes big management changes (April 27)
- CCG +1.6%
Apr. 27, 2015, 8:43 AM
- Campus Crest Communities (NYSE:CCG) in nearing a deal to retain management consulting firm Alvarez & Marsal North America to assist with overhauling the company. As part of the agreement, Alvarez & Marsal managing directors David Coles and John Makuch have been appointed as interim CEO and CFO, respectively.
- Previous interim CFO Scott Rochon will continue on as Chief Accounting Officer. Aaron Halfacre will stay on as President and CIO.
- Non-executive Chairman Richard Kahlbaugh was the previous interim CEO.
- Previously: Activist turns up pressure on Campus Crest after dividend suspension; shares up 5.9% (April 2)
Apr. 2, 2015, 3:36 PM
- "Student housing is a unique asset class that requires very hands on management and expertise," says Andrew Stark, CEO of Campus Evolution Villages, which - together with investor Clinton Group - is angling to take over Campus Crest Communities (CCG +5.9%). "We believe bringing [our] management philosophy to Campus Crest will enable us to right the ship and create shareholder value."
- "The dividend cut is disappointing especially in light f the board's ongoing process to sell the company," says Clinton Group's Joseph De Perio.
- Previously: Activist investor nominates four for Campus Crest board (Dec. 5, 2014)
- Previously: Under activist pressure, Campus Crest exploring strategic alternatives (Feb. 17)
Apr. 1, 2015, 7:19 AM
- In connection with the filing of its annual report, the company does not anticipate being subject to any REIT-required minimum distributions, and does not intend to declare any dividends this year short of certain asset sales, capital raises, a refinancing, or sizable improvement in operations.
- "We remain extremely focused on pursuing Campus Crest's (NYSE:CCG) strategic repositioning, and strengthening our financial and liquidity position," says Richard Kahlbaugh, non-executive chairman.