MCB Real Estate, a firm specializing in commercial real estate development and investment management, has announced the submission of an enhanced acquisition offer to the Board of Trustees at Whitestone REIT (WSR). The revised proposal increases the purchase offer by $1 per share, bringing the total cash transaction to $15.00 per share.
This updated proposal provides a 14.5% premium over Whitestone's share price as of June 3, 2024, which was the final trading day before MCB’s initial proposal became public. In addition, it offers an 11.4% premium over the most recent trading share price, and notably, a 61.8% premium over Whitestone's share price preceding reports of the Fortress proposal in October 2023.
The acquisition proposal from MCB is presented without a financing contingency, with plans to finance the purchase through a combination of equity and debt. Previously, on June 3, 2024, MCB had proposed a $14.00 per share cash acquisition. Since that initial offer, Whitestone's stock has underperformed in comparison to its industry peers and is trading at levels similar to those at the time of the initial offer by MCB.
