Real estate investment trust Sun Communities Inc (SUI.N) said it would buy privately held Carefree Communities Inc for about $1.68 billion from an affiliate of private equity firm Centerbridge Capital Partners II LP. Sun Communities said it would assume debt of about $1 billion upon closing and will issue $225 million in shares at $67.57 per share. The rest of the purchase price will be paid in cash. The deal will expand Sun Communities’ manufactured housing and recreational vehicle communities in California and Florida. “The Carefree acquisition adds highly desirable locations in California…and also broadens our market share throughout Florida where we continue to see high demand,” Sun Communities Chief Executive Gary Shiffman said. Carefree Communities owns about 103 manufactured housing and recreational vehicle properties in California and Florida. Citigroup Inc (C.N) was the financial adviser for Sun Communities, while Jaffe, Raitt, Heuer & Weiss, Professional Corp acted as its legal adviser. Goldman Sachs & Co was the financial adviser to Carefree Communities, and Simpson Thacher & Bartlett LLP was its legal adviser.
Source: Reuters.comSun Communities to buy Carefree Communities for about $1.68 billion
Industry: Realty 2016-03-23
