Oct. 31, 2014, 7:56 AM
- Aviv REIT (NYSE:AVIV) is higher by 14.6% premarket to $34.50 per share after agreeing to be sold to Omega Healthcare Investors (NYSE:OHI) in an all-stock deal for $3B, or $34.97 per share based on last night's closing prices.
- Under the terms, Aviv owners will receive 0.90 Omega shares for each share of Aviv they hold.
- The deal is expected to be accretive to Omega's adjusted FFO and FAD. Early 2015 adjusted FAD guidance of $2.81-$2.87 compares to 2014's $2.58-$2.61.
- Current Omega CEO Taylor Pickett will continue in that role when the companies are combined. Aviv Chairman and CEO Craig Bernfield will become a member of Omega's expanded board.
- Conference call at 8:30 ET
Oct. 31, 2014, 6:18 AM
- The transaction values AVIV at $3B, a premium of 16.2% based on yesterday's close.
- Combined firm will own 874 properties across 41 states.
- Source: press release
- Related: Omega Healthcare Investors Q3 2014 Earnings Call Transcript
- Related: Another Boring Dividend Increase For Omega Healthcare Investors
OHI vs. ETF Alternatives
Omega Healthcare Investors Inc is a self-administered real estate investment trust. The Company is engaged in investing in income-producing healthcare facilities, including long-term care facilities located in the United States.
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