AUS Edition 
BRA Edition 
CA Edition 
CHN Edition 
ESP Edition 
FRA Edition 
GER Edition 
GRC Edition 
IND Edition 
ITA Edition 
NLD Edition 
NZ Edition 
POL Edition 
PRT Edition 
RUS Edition 
SWE Edition 
UAE Edition 
UK Edition 
USA Edition 
ZAF Edition 
Highlights
- Bluerock Residential Growth REIT, Inc. (BRG) has entered into a definitive agreement with Blackstone affiliates.
- Under the agreement, Blackstone will acquire all outstanding shares of Bluerock’s (BRG) common stock
- The deal value is US$3.6 billion.
Stocks of Bluerock Residential Growth REIT, Inc. (AMEX: BRG) were trending on Wall Street Monday after the real estate investment trust announced entering a definitive agreement with Blackstone Real Estate affiliates on Dec 20. Under the agreement, Blackstone would acquire all outstanding shares of the common stock of Bluerock (BRG).
The all-cash deal is worth US$3.6 billion or US$24.25 per BRG share.
Also Read: Top 3 US 5G stocks to watch in 2022
Bluerock Residential is a REIT firm that aims to increase its long-term stockholder value by acquiring and developing well-located institutional properties across the US.
The New York-based company has investments in around 60 real estate projects, comprising over 17,900 units. On the other hand, Blackstone, a leading real estate investment firm, operates globally and is headquartered in New York.
Also Read: 2 US energy stocks with over 7% dividend yield
Under the agreement terms, “Blackstone would buy 30 multifamily properties, comprising around 11,000 units, along with a loan book secured by 24 multifamily assets,” Bluerock said in a statement. The properties are of high quality with sprawling greenery. The properties are in Atlanta, Austin, Orlando, Denver, Phoenix, etc.
Also Read: Nauticus Robotics to go public with CleanTech Acquisition SPAC deal
Also Read: 5 best US oil & gas stocks that returned over 100% in 2021
Stock performance and financial highlights of Bluerock Residential Growth REIT, Inc. (AMEX: BRG)
The BRG stock traded at US$26.90 at 9:20 am ET on Dec 20, up 74.22% from its previous close. The firm has a market cap of US$406.80 million, a P/E ratio of 140.36, and an EPS of US$0.11.
Also Read: What is special about NASA’s new James Webb telescope?
The stock saw the highest price of US$16.62 and the lowest price of US$8.80 in the last 52 weeks. Its trading volume on Dec 17 was 2,180,146, up over eight times the average trading volume in the last five days. The stock value jumped 27.81% YTD.
The company's total revenue was US$53.79 million in Q3, FY21, compared to US$54.58 million in the same quarter of the previous year. Its net income attributable to common shareholders was US$12.54 million, or US$0.45 per diluted share, against a loss of US$17.05 million, or US$0.71 per diluted share in the comparable quarter of the previous year.
Also Read: Why Society Pass (SOPA) stock jumped 47% in pre-market on Monday?
Bottomline
Bluerock plans to spin off its rental business into a single operation before the acquisition. The newly formed real estate investment trust will be named Bluerock Homes Trust, Inc. (BHOM), which would own interests in around 3,400 homes. The Bluerock shareholders will receive BHOM shares.
-
Rupam Roy - Analyst923 PostsAfter completing his graduation in English literature, Rupam briefly worked in content management and digital marketing. At Kalkine, he writes on the US markets. His hobbies include composing songs and music....
-
Sanjeeb Baruah - Financial Journalist368 PostsSanjeeb is a senior journalist who has been in the media for nearly two decades. He wrote on various topics, from politics, international relations, business to wildlife. At Kalkine, he writes on stock markets, companies, equities, and IPOs, etc....
