ISS Recommends American Realty Capital Trust Shareholders Vote for Merger with Realty Income
American Realty Capital Trust (NASDAQ: ARCT) today announced that Institutional Shareholder Services ("ISS"), a leading independent proxy voting and corporate governance advisory firm, has reversed its prior recommendation in light of the amended merger agreement (the "Amendment") between ARCT and Realty Income Corporation (NYSE: O) ("Realty Income") that was disclosed on January 7, 2013. ISS is now recommending that ARCT stockholders vote FOR the proposed merger between the companies.
In its revised recommendation issued on January 8, 2013, ISS stated:
"Given the revised terms now present a much more compelling offer, ISS believes the revised terms warrant support, and recommends shareholders vote FOR the merger proposal as revised."*
"As the significant increase in expected dividends per O share, which fundamental analysis suggests should bolster O share prices, will likely have the effect of strengthening the merger's primary currency, moreover, ARCT shareholders can reasonably expect that the full market value of the consideration they receive will continue to improve as the market recognizes this increase in the value provided by O shares."*
"We are pleased that ISS recognizes