(Reuters) – Regency Centers Corp said on Thursday it has agreed to acquire Urstadt Biddle Properties Inc in an all-stock deal valued at about $1.4 billion, including the assumption of debt and preferred stock.
The transaction will help Regency expand its footprint in grocery-anchored shopping centers in suburban trade areas.
Regency’s CEO Lisa Palmer said “the portfolio that Urstadt Biddle has carefully assembled over more than 50 years offers a highly aligned demographic and merchandising profile to Regency.”
Under the terms of the deal, Urstadt stockholders will receive 0.347 of a newly-issued REG share for each Class A Common (UBA) and Common (UBP) share they own.
This works out to $20.40 per share, and represents a premium of about 21% to Urstadt’s last close.
(Reporting by Granth Vanaik and Kannaki Deka in Bengaluru; Editing by Shailesh Kuber)
