Affordable Residential Communities considers $1.84 billion transaction with Farallon Capital

By Lisa Kerner

Charlotte, N.C., April 9 - Affordable Residential Communities Inc. entered into an agreement to negotiate exclusively with Farallon Capital Management, LLC through April 16 regarding Farallon's potential purchase of the company's manufactured home community business.

The proposed $1.84 billion transaction calls for Farallon to purchase substantially all of Affordable Residential's operating assets, other than its recently acquired insurance subsidiary Nlasco, for cash, according to a company news release.

Affordable Residential could receive proceeds of between $520 million and $545 million, or about $9.00 and $9.40 per common share. The company said it would keep $125.0 million par value of series A preferred stock, $96.6 million of senior exchangeable notes due 2025 and $25.8 million of trust preferred securities due 2035.

Affordable Residential, based in Englewood, Colo., operates primarily all-age manufactured home communities.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.