Mack-Cali CEO Michael J. DeMarco says the board continues to have serious concerns regarding Bow Street's proposal, including:
Bow Street hasn't provided evidence of its ability to finance the proposed transaction;
Unrealistic assumptions regarding post-transaction trading levels of the new residential REIT;
New residential REIT likely wouldn't have enough cash flow to carry substantial debt, fund multifamily development, or pay meaningful dividends to stockholders;
Sees proposed deal "grossly" undervaluing Mack-Cali's commercial assets.
Previously: Bow Street says Mack-Cali dismissed proposal `hastily' (April 16)
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