Realty Income Corporation and Spirit Realty Capital, Inc. have entered a definitive merger agreement by which Realty Income will acquire Spirit in an all-stock transaction with an enterprise value of approximately $9.3 billion. The merger, once completed, will result in an enterprise value of approximately $63 billion for the combined net lease REIT.
“The merger with Spirit is yet another example of how our size, scale, and unique platform value continue to create substantial value for our shareholders,” said Sumit Roy, president and CEO of San Diego-based Realty Income. “Spirit’s assets are highly complementary to our existing portfolio, extending our investments in industries that have proven to generate durable cash flows over several economic cycles. We also believe this merger will strengthen our longstanding relationships with existing clients and allow us to curate new ones with partners whose growth ambitions can accelerate alongside Realty Income.”
Wells Fargo is serving as sole financial advisor and Latham & Watkins is acting as legal advisor to Realty Income. J.P. Morgan Securities LLC and Morgan Stanley are serving as financial advisors and Wachtell, Lipton, Rosen & Katz is acting as legal advisor to Spirit.
Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).