- Hospitality Properties Trust (NASDAQ:HPT) completes its acquisition of a net lease service retail portfolio from Spirit MTA REIT (NYSE:SMTA) for $2.4B in cash, excluding transaction costs.
- In addition to the purchase price, HPT paid $82.1M of prepayment penalties related to SMTA’s extinguishment of existing mortgage debt on the portfolio.
- In connection with the completion of the deal, HPT will change its name to Service Properties Trust and will trade under the new ticker symbol “SVC” starting at the open of trading on Sept. 25, 2019.
- HPT funded the acquisition with net proceeds from its recently completed $1.7B senior notes offering and by drawing on its revolving credit facility. The company terminated its previously announced commitment for a $2.0B term loan facility upon completion of the notes offering.
Date: September 23, 2019
Source: Seeking Alpha
