Realty Income Corporation, a net lease REIT based in San Diego, has successfully completed its merger with Spirit Realty Capital, Inc. The all-stock transaction was valued at $9.3 billion and the combined company now has an enterprise value of approximately $63 billion. The common stock will trade under the symbol “O” on the New York Stock Exchange.
According to Sumit Roy, president and CEO of Realty Income Corporation, this acquisition of a complementary portfolio positions them well for achieving their growth objectives by 2024. With their leading platform and strong balance sheet, they are committed to providing shareholders with a dependable monthly dividend that increases over time.
The announcement of this merger last October stated that it would result in reduced rent concentration for nine out of ten top industries and 18 out of 20 top clients currently held by Realty Income Corporation. Additionally, the annualized contractual rent is expected to increase from $3.8 billion to $4.5 billion as convenience stores remain as the largest industry within the combined company’s portfolio.
