CIM Real Estate Finance Trust, Inc. (CMFT) declared it has procured CIM Income NAV, Inc. (INAV) in a stock-for-stock, tax-free merger exchange according to the conclusive understanding executed in September 2021. CMFT is a non-traded real estate investment trust (REIT) oversaw by partners of CIM Group, LLC (CIM). The exchange denotes one more advance in CMFT’s business plan execution and is expected to additional position the REIT for a public market posting, which, liable to market situations and the proceeded with fruitful execution of its strategy, is focused on for 2022.
“We believe the merger will result in significant benefits for stockholders, and in particular, the increased scale should make the company more attractive to investors as it prepares for a public market listing,” said Richard Ressler, Principal and Co-Founder of CIM Group.
Following the merger, CMFT will be one of the largest credit-focused REITs with approximately $6.1 billion in enterprise value and in excess of $3.1 billion in equity value. CMFT invests in credit leases and senior secured loans and believes that it will benefit from the greater scale, financial strength, and improved access to capital markets that this transaction brings.
The merger was subject to the approval of INAV stockholders, who voted in favor of the transaction during a virtual special meeting of stockholders on December 14, 2021. Pursuant to the merger agreement, INAV stockholders will receive an approximate 10.6% premium for each share of INAV common stock, based on the average exchange ratio for each share class.
- CIM Real Estate Finance Trust, Inc. declares the completion of the merger with CIM Income NAV, Inc.
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