Shares of Paramount Group Inc. soared 21.3% toward an 8-month high after the real estate investment trust (REIT) focused on officer properties confirmed it received an “unsolicited” buyout bid from private-equity firm Monarch Alternative Capital LP. The bid, for $12 a share in cash, represents a 29.2% premium over Thursday’s closing price of $9.29, and implies a market capitalization for Paramount of about $2.2 billion. The stock hasn’t closed above $12 since March 5, 2020, which was before COVID-19 was declared a pandemic. Paramount said shareholders don’t need to take any action at this time, as it will “carefully review the unsolicited proposal” to determine what is in the best interest of the company and its shareholders. A buyout bid from Monarch was reported earlier by Bloomberg. The stock has rallied 19.5% over the past 12 months, while the SPDR Real Estate Select Sector ETF has run up 19.4% and the S&P 500 has gained 13.8%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
0
0
