Shares of Healthcare Trust of America Inc. HTA, +1.21% surged 2.5% toward a 19-month high in premarket trading Monday, after activist investor Elliott Investment Management L.P. urged the real estate investment trust that owns and operates medical office buildings to explore a sale. In a letter to Healthcare Trust's board, Elliott said given the company's "long-term underperformance" relative to its peers, broader REIT sector and the broader stock market, the "status quo is untenable" as the company's cost of capital makes it uncompetitive. Elliott said it was "confident that highly credible buyers will present compelling offers to acquire the company at a substantial premium to the current trading price," and prices seen since the recent resignation of Chief Executive Scott Peters. The stock, on track to open at the highest price seen during regular-session hours since March 2020, has rallied 21.5% over the past 12 months, while the SPDR Real Estate Select Sector ETF XLRE, +0.16% has climbed 20.8% and the S&P 500 SPX, +0.45% has advanced 26.3%.
https://www.marketwatch.com/story/healthcare-trust-stock-surges-after-activist-investor-urged-reit-to-explore-a-buyout-deal-2021-10-11
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.