Brixton and Shidler Seek to Acquire TCI’s Outstanding Capital Stock

Brixton Capital and The Shidler Group seek to acquire 100 percent of the outstanding capital stock of Transcontinental Realty Investors (TCI) for $44.40 per share in cash. For the last two months, the acquisition group has attempted to engage in constructive conversations with TCI’s board of directors to discuss how the transaction would benefit all the shareholders of TCI.

The acquisition group reached out to the board again last week to further communicate the terms of its offer and detail its proposal. The group is sharing this information publicly to ensure that all the shareholders are informed and aware of its offer.

It hopes to facilitate a productive discussion and ultimately negotiate a mutually agreeable transaction that is in the best interest of all TCI shareholders. The group believes its proposal would deliver a meaningful premium to TCI’s shareholders that also represents an opportunity for shareholders to obtain immediate liquidity at what it believes is a full and fair valuation based on its extensive review of TCI’s publicly available information.

The $44.40 offer price represents a 48 percent premium to TCI’s year-to-date volume-weighted average stock price of $30.00 and a 28 percent premium to TCI’s last closing stock price of $34.77 as of Sep. 20, 2021.