UPDATE: Jefferies & Company Reiterates Hold Rating, Raises PT on HCP

In a report published Wednesday, Jefferies & Company reiterated its Hold rating on HCP

, and raised its price target from $42.00 to $45.00. Jefferies noted, “On 10/16/2012, HCP announced that it will acquire 133 senior housing communities for $1.73B from a joint venture between Emeritus (ESC, $22.93, NC) and an affiliate of Blackstone (BX, $15.36, Buy). While the 6.1% initial (i.e first-year) lease yield may raise some eyebrows, we view the deal as a positive given it's accretive nature to earnings, attractive contractual step-ups, and downside protection from the triple-net leases.” HCP closed on Tuesday at $45.92.