Blackstone to Buy BioMed Realty Trust
October 08 2015 - 7:20AM
Dow Jones News
Blackstone Group L.P. will acquire BioMed Realty Trust in an
$4.84 billion cash deal, adding more office buildings and
laboratory-capable facilities to its real estate portfolio.
The $23.75 per share price tag represents a 10% premium over
Wednesday's closing price. The deal may include debt.
Blackstone, the world's largest private-equity firm, has been
raising cash to make deals in the space, last quarter closing a
$15.8 billion distressed and opportunistic real-estate fund.
BioMed Realty owns a collection of office buildings catering to
life science and biotech tenants in what Nadeem Meghji, co-head of
U.S. real estate acquisitions for Blackstone, called the "gateway
markets" of Boston, Cambridge, Mass., San Francisco, San Diego and
Seattle.
BioMed Realty Chief Executive Alan Gold said that while growth
of the life science industry is at historic levels, "public markets
are not adequately valuing our assets."
The companies expect to complete the transaction in the first
quarter. If the deal closes after Jan. 1, BioMed shareholders will
receive a per diem amount of approximately $0.003 per share for
each day from Jan. 1 up to the closing date.
Blackstone's real-estate business was founded in 1991 and has
more than $91 billion in investor capital under management.
Write to Lisa Beilfuss at lisa.beilfuss@wsj.com
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(END) Dow Jones Newswires
October 08, 2015 07:05 ET (11:05 GMT)
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