Regency Centers (NASDAQ:REG) will acquire Urstadt Biddle Properties (NYSE:UBP) in an all-stock transaction, valued at ~$1.4B, including the assumption of debt and preferred stock.
The combined company is expected to have a pro forma equity market capitalization of ~$11B and total enterprise value of ~$16B.
Under the terms of the agreement, Urstadt Biddle’s common stockholders will receive 0.347 of a newly-issued REG share for each UBA or UBP share they own, representing a total consideration of ~$20.40 per share based on Regency’s closing share price on May 17, 2023.
Upon closing, Regency and Urstadt Biddle shareholders will own ~93% and 7% of the combined company, respectively.
UBP stock is up 14.5% during pre-market on Thursday.