“NEW YORK (AP) — Real estate investment trust Mid-America Apartment Communities Inc. is buying peer Colonial Properties Trust Inc. in an all-stock deal, expanding its presence in the South and Southwest portion of the U.S.
The combined company will include 285 properties and some of its biggest markets will include Atlanta, Houston and Orlando, Fla. The offer valued Colonial shares at about $2.15 billion at Friday’s closing prices.
MAA shareholders will own 56 percent of the combined company upon completion of the deal whileColonial Properties shareholders will get 44 percent.
The combined company will keep the MAA name and its corporate headquarters will remain in Memphis, Tenn.
Each Colonial share will be converted into 0.36 of a share of MAA. At Friday’s closing MAA price, that would be worth $24.46. That is an 11 percent premium over Colonial’s closing price of $22.11 on Friday….”
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