M&A · Financials · Real Estate Investment Trusts
Blackstone Real Estate Income Trust, Inc. to acquire Preferred Apartment Communities Inc
Announced Feb 16, 2022 · Closed Jun 23, 2022
Deal value$5.80BEV $5.80B
Premium39.0%To unaffected price
EV / Adj. EBITDA18.9x12.4x EV / Revenue
ConsiderationAll cash$25.00 per share
Transaction
- Acquirer
- Blackstone Real Estate Income Trust, Inc. (BSTT)
- Target
- Preferred Apartment Communities Inc (APTS)
- Buyer type
- Private equity
- Offer price per share
- $25.00
- Enterprise value
- $5.80B
- Status
- Closed Jun 23, 2022
Deal protections
- Break fee (target pays)
- $80.0M · 1.4%
- Reverse fee (buyer pays)
- $300M · 5.2%
- Go-shop
- Go-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- BofA Securities, Lazard, Wells Fargo
- To the target
- Goldman Sachs, KeyBanc Capital Markets
Sector context · Financials
- Comparable deals
- 69 in the prior 24 months
- Premium
- 39.0% vs. 33.9% sector median
- EV / Adj. EBITDA
- 18.9x vs. 23.7x sector median
- Break fee
- 1.4% vs. 3.6% sector median
Timeline
- AnnouncedFeb 16, 2022
- Proxy filedMar 25, 2022
- Definitive proxyApr 14, 2022
- Shareholder voteJun 7, 2022
- ClosedJun 23, 2022
Valuation · fairness opinions
Future share price$12.76$24.00
Discounted cash flow$13.04$23.56
Premiums paid$20.36$22.56
Offer $25.00
Implied value per Preferred Apartment Communities Inc share by analysis, from Goldman Sachs · DCF discount rate 8.5%–11.5%.