A definitive agreement is reached
Vestin Realty Mortgage II and Brighton Holdings – a privately held real estate development and management company – have signed a definitive agreement to merge for $5.03 million.
The all-cash transaction will see Brighton acquire the outstanding shares of Vestin for $4,020 per share, which the companies said reflects a premium of 209% to Vestin’s unaffected closing stock price prior to the announcement of the deal.
“The Vestin board of directors approved the definitive merger agreement following the recommendation of a special committee of the board that had previously been formed to oversee and review strategic alternatives for the company,” the company said in a release. “Vestin has also received an opinion from Cogent Valuation stating that the merger consideration is fair, from a financial perspective, to the holders of shares of the company’s common stock.”
Brighton holds the share ownership (67.7%) in Vestin’s common stock. Once the transaction is complete, Brighton will merge into Vestin, which will continue as the surviving entity. The deal is expected to close in the third quarter.
Founded in 1995, Las Vegas-based Vestin has been involved in commercial estate transactions totaling $2 billion, managing two publicly traded companies and a real estate investment fund.
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