Kite Realty Group Trust (NYSE:KRG) Signs Merger Agreement With Inland Diversified Real Estate Trust, Inc


Dallas, Texas 03/20/2014 (FINANCIALSTRENDS) – Kite Realty Group Trust (NYSE:KRG) last month announced that it has signed a merger agreement with Inland Diversified Real Estate Trust, Inc. The deal will be stock for stock merger, worth around 2.1 billion with an equity value of approximately $1.2 billion. It is expected to be completed second or third quarter this year with approvals from shareholders of both the companies. The merger of these two retail companies will significantly increase the magnitude and scale in core markets and potentially allow them to explore new markets. With the merger the total combined assets across 26 states consisting of 131 properties will be around 20.3 million sq.feet. It will have a total equity market capitalization of approximately $2.1 billion and an enterprise value of approximately $3.9 billion.

According to the agreement, the shareholders from Inland Diversified Real Estate Trust, Inc will receive Kite Realty Group shares in exchange for each share of Inland Diversified common stock. After the merge, Kite Realty’s Board of Trustees will have six of current trustees from Kite Realty and three from Inland Diversified. The company’s current CEO, CFO and chairman will continue to be same after the merge. The company will continue with Kite Realty name and will carry on to trade under the NYSE ticker symbol KRG.

Kite Realty Group Trust (NYSE:KRG) EPS On Target 

According to the earnings reports shared by the company, the EPS reported was $0.11 for the quarter, meeting the analysts’ consensus estimate of $0.11. It reported revenue of $36.00 million for the quarter, compared to the consensus estimate of $33.38 million. The company with market cap of 804.95M witnessed 52-week low and high of $5.27 and $6.91 respectively and 50-day moving average of $6.33 and a 200-day moving average of $6.20.