Farmland Partners Sells 46-Farm Portfolio For $289M: Details
Portfolio Pulse from Nabaparna Bhattacharya
Farmland Partners Inc. (NYSE:FPI) is selling a 46-farm portfolio for $289 million, aiming to reduce debt, buy back stock, and pursue acquisitions. The sale is expected to generate a $50 million gain. FPI shares are trading lower by 1.04% following the announcement.
October 03, 2024 | 12:21 pm
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Farmland Partners Inc. is selling a 46-farm portfolio for $289 million, which will help reduce debt by $140 million, buy back stock, and pursue acquisitions. The sale is expected to result in a $50 million gain, and a significant special distribution to shareholders is anticipated at year-end.
The sale of the farm portfolio is a significant move for FPI, impacting its financial strategy by reducing debt and potentially increasing shareholder value through stock buybacks and special distributions. However, the immediate market reaction is negative, with shares trading lower by 1.04%, possibly due to concerns about the impact of asset sales on future revenue.
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