Street Approves Of DuPont Fabros Merger With Digital Realty
DuPont Fabros Technology, Inc. (NYSE:DFT) shares are trading higher by $7.90 (12 percent) at $63.26 in Friday's session and shares of Digital Realty Trust, Inc. (NYSE:DLR) are trading nearly unchanged at $116.75.
Earlier, the companies announced they have entered into a definitive agreement under which DuPont Fabros will merge with Digital Realty in an all-stock transaction. Dupont Fabros shareholders will receive 0.545 of Digital Realty shares.
That conversion rate has investors scrambling to purchase shares of Dupont Fabros and has propelled the stock to a new all-time-high at $63.46. That far eclipses its former all-time high made on June 2 at $56.50.
The transaction between the two REITs is expected to close in the second half of 2017.
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