Why Urstadt Biddle Properties Shares Are Jumping Today
Portfolio Pulse from Lekha Gupta
Regency Centers Corp (REG) announced the acquisition of Urstadt Biddle Properties Inc (UBA) in an all-stock transaction for around $1.4 billion. The combined company will have a pro forma equity market capitalization of about $11 billion and a total enterprise value of around $16 billion. The acquisition is expected to be immediately accretive to core operating earnings.

May 18, 2023 | 4:41 pm
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POSITIVE IMPACT
Regency Centers Corp (REG) acquires Urstadt Biddle Properties Inc (UBA) for $1.4 billion, creating a combined company with a pro forma equity market capitalization of about $11 billion. The acquisition is expected to be accretive to core operating earnings.
The acquisition of UBA by REG is expected to be immediately accretive to core operating earnings, which is a positive sign for REG's stock price. The combined company will have a larger market capitalization and a more extensive portfolio, which could attract more investors and drive the stock price up in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
POSITIVE IMPACT
Urstadt Biddle Properties Inc (UBA) is being acquired by Regency Centers Corp (REG) in an all-stock transaction for around $1.4 billion. UBA's stockholders will receive 0.347 of a newly-issued REG share for each UBA or UBP share they own, representing around $20.40 per share.
The acquisition of UBA by REG is a positive development for UBA stockholders, as they will receive a premium of over 20% to UBA's May 17, 2023, closing price. This news has already led to an increase in UBA's stock price by 18.7%, and it is likely to continue to have a positive impact on the stock price in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100