Highlands REIT accepted approximately 135.4 million shares in its completed self-tender offer at $0.20 per share. The shares represented approximately 18.7% of the nontraded REIT’s outstanding common stock when the offer commenced.
Investors tendered more shares than the original offer could accommodate. Highlands initially offered to purchase as many as 125 million shares for an aggregate cost of up to $25 million.
Rather than prorating requests to fit within that limit, Highlands exercised its right to purchase additional shares and accepted every share validly tendered. The expanded repurchase totaled approximately $27.1 million.
The transaction provides participating stockholders with liquidity while materially reducing the REIT’s outstanding share count. The $0.20 purchase price was established by the company’s board and was not based on a current appraisal of the REIT’s assets or an established trading market.
