VEREIT Inc VER is moving higher in premarket trading Thursday after the company announced a merger with Realty Income Corp O.
What Happened: Realty Income and VEREIT announced that the two companies entered into a definitive merger agreement.
Realty Income will acquire VEREIT in an all-stock transaction, creating a combined company with an enterprise value of approximately $50 billion. VEREIT shareholders will receive 0.705 shares of Realty Income stock for every share of VEREIT stock they own.
"We believe the merger with VEREIT will generate immediate earnings accretion and value creation for Realty Income's shareholders while enhancing our ability to execute on our ambitious growth initiatives," said Sumit Roy, President and CEO of Realty Income in a press release.
Price Action: VEREIT traded as high as $42.50 and as low as $21.90 over a 52-week period. The stock was up 16.3% at $48.16 at last check Thursday.
Realty Income traded as high as $70.05 and as low as $47.68 over a 52-week period. The stock was up 1.72% at $69.78 at last check.
Photo courtesy of VEREIT.
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