Blackstone Pays $5.8B To Acquire Preferred Apartment Communities: What You Need To Know
February 16, 2022 | Phil Hall | Markets Business Insider
Blackstone Inc. (NYSE:BX) is acquiring Preferred Apartment Communities Inc. (NYSE:APTS) for $5.8 billion in an all-cash transaction.
What Happened: The acquisition values Preferred Apartment at $25 per share. The purchase price represents a premium of approximately 39% over the unaffected closing stock price on Feb. 9, the date before a media report that uncovered the companies were exploring a deal.
Blackstone is coordinating the acquisition through its Blackstone Real Estate Income Trust, and the deal encompasses Preferred Apartment’s portfolio of 44 multifamily communities totaling approximately 12,000 units and 54 grocery-anchored retail properties across the Southeast. Also included are Preferred Apartment’s two office properties and 10 mezzanine/preferred equity investments that have been collateralized by multifamily assets that are either under construction or newly built.
