Holmdel-based Monmouth Real Estate Investment Corp. on Thursday said its shareholders voted to approve the previously announced acquisition of Monmouth by Industrial Logistics Properties Trust, a Maryland real estate investment trust, for approximately $4 billion.
The completion of the merger is expected to occur before the end of the month and is subject to customary closing conditions.
Under the terms of the transaction, holders of Monmouth’s common stock will receive $21 per share in cash, without interest and subject to applicable withholding tax, and holders of Monmouth’s 6.125% Series C Cumulative Redeemable Preferred Stock will receive $25 per share in cash plus accumulated and unpaid dividends to, but not including, the date the transaction is completed.
“I thank our shareholders for their strong support of this transaction and our talented employees for their hard work and dedication over the years,” Michael Landy, CEO and president of Monmouth, said in a prepared statement. “With this significant milestone now behind us, we look forward to completing the transaction with ILPT and delivering immediate and certain all-cash value to our shareholders at a significant premium. I’d also like to extend my congratulations and gratitude to our founder and chairman, Eugene Landy, for the leadership, strength and vision that enabled Monmouth to prosper for over 53 years.”
Michael Landy continued: “This transaction with ILPT will create the preeminent single-tenant net-leased industrial portfolio leased long-term to investment-grade tenants. Given the substantial macro-tailwinds we are experiencing in the industrial real estate sector, we believe the future of the combined company will be very bright.”
The final voting results will be reported in a current report on Form 8-K to be filed with the Securities and Exchange Commission after certification by Monmouth’s inspector of elections.
Upon completion of the transaction, Monmouth’s common stock will no longer be listed on the New York Stock Exchange.