December 22, 2020
Monmouth Real Estate Investment Corporation, based in Holmdel. NJ, said Monday it had received an unsolicited proposal from Blackwells Capital LLC to acquire the outstanding shares of the company for $18.00 per share in cash, a valuation of nearly $1.8 billion. The Dec. 21 proposal follows an earlier bid from Blackwells for $16.75 per share, which the industrial REIT rejected.
In a statement, Monmouth’s board said it would “carefully review and consider the revised proposal at its next meeting.”
New York City-based Blackwells called for a special committee of the board to review its proposal. CIO Jason Aintabi said, “As a public company, Monmouth has significantly underperformed comparable industrial REITs over the last five years, further exacerbated by the stock’s lack of liquidity. Blackwells’ cash offer provides shareholders immediate liquidity at a 17% premium above consensus net asset value – though the stock has long traded at a discount to it.”
Pictured: A Monmouth industrial property in Pittsburgh.
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