M&A · Financials · Real Estate Investment Trusts
Blackstone Real Estate to acquire Bluerock Residential Growth REIT, Inc.
Announced Dec 20, 2021 · Closed Oct 6, 2022
Deal value$3.60BEV $3.60B
Premium124.0%To unaffected price
EV / Adj. EBITDA31.8x16.4x EV / Revenue
ConsiderationAll cash$24.25 per share
Transaction
- Acquirer
- Blackstone Real Estate
- Target
- Bluerock Residential Growth REIT, Inc. (BRG)
- Buyer type
- Private equity
- Offer price per share
- $24.25
- Enterprise value
- $3.60B
- Status
- Closed Oct 6, 2022
Deal protections
- Break fee (target pays)
- $60.0M · 1.7%
- Reverse fee (buyer pays)
- $200M · 5.6%
- Go-shop
- No-shop
- Financing
- Committed · Morgan Stanley
Advisors
- To the acquirer
- Barclays, Wells Fargo
- To the target
- Kroll, Morgan Stanley, Eastdil Secured
- Morgan Stanley fee
- $29.0M
Sector context · Financials
- Comparable deals
- 67 in the prior 24 months
- Premium
- 124.0% vs. 32.0% sector median
- EV / Adj. EBITDA
- 31.8x vs. 21.7x sector median
- Break fee
- 1.7% vs. 3.6% sector median
Timeline
- AnnouncedDec 20, 2021
- Proxy filedFeb 10, 2022
- Definitive proxyMar 11, 2022
- Shareholder voteApr 12, 2022
- ClosedOct 6, 2022
Valuation · fairness opinions
Trading comparables$13.55$17.29
Discounted cash flow$13.48$19.96
Discounted cash flow$17.57$26.18
Premiums paid$11.82$12.72
Premiums paid$15.01$28.25
Offer $24.25
Implied value per Bluerock Residential Growth REIT, Inc. share by analysis, from Morgan Stanley · DCF discount rate 5.4%–5.8%.