Retail Opportunity Investments Corp. Completes $4 Billion Privatization by Blackstone
Deal News | Feb 12, 2025 | Blackstone
Blackstone Real Estate Partners X has completed the acquisition of all outstanding shares of Retail Opportunity Investments Corp. (ROIC) for $17.50 each in an all-cash deal totaling approximately $4 billion, including outstanding debt. This transaction marks a significant venture for Blackstone, known for its global presence in real estate investment. Blackstone was advised by Morgan Stanley, BofA Securities, Citigroup, Wells Fargo, Newmark, and Eastdil Secured, with legal counsel from Simpson Thacher & Bartlett LLP. Meanwhile, J.P. Morgan served as the exclusive financial advisor for ROIC, and Clifford Chance US LLP provided legal counsel. ROIC, a prominent real estate investment trust (REIT) specializing in grocery-anchored shopping centers on the West Coast, owns 93 shopping centers that cover roughly 10.5 million square feet. The move underlines Blackstone’s strategic emphasis on well-positioned real estate assets, reinforcing its dominance as a global leader in the sector.
Sectors
- Real Estate Investment
- Private Equity
Geography
- United States – This transaction involves companies based in the US, with a specific focus on the West Coast markets.
- New York – Blackstone's headquarters are located in New York, representing a central hub for the company's activities.
- San Diego – San Diego is mentioned as one of the locations for the press release distribution, indicative of ROIC's operational presence.
Industry
- Real Estate Investment – The article discusses the acquisition of a real estate investment trust (REIT), emphasizing Blackstone's engagement in the acquisition of commercial real estate.
- Private Equity – Blackstone represents one of the largest private equity firms in the world, involved in the acquisition of other companies, such as ROIC in this instance.
Financials
- $4 billion – The total value of the transaction, including the assumption of debt.
- $17.50 per share – The price paid by Blackstone for each of ROIC's outstanding common shares.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Retail Opportunity Investments Corp. | Target | Company | A real estate investment trust focused on grocery-anchored shopping centers on the US West Coast. |
| Blackstone | Acquirer | Company | One of the world’s largest private equity firms, known for its significant investments in various sectors including real estate. |
| J.P. Morgan | Financial Advisor (ROIC) | Company | Served as the exclusive financial advisor to ROIC for this transaction. |
| Clifford Chance US LLP | Legal Counsel (ROIC) | Company | Provided legal advice to ROIC during the acquisition process. |
| Morgan Stanley & Co. LLC | Financial Advisor (Blackstone) | Company | One of the financial advisors to Blackstone. |
| BofA Securities | Financial Advisor (Blackstone) | Company | Advised Blackstone on the financial aspects of the transaction. |
| Citigroup | Financial Advisor (Blackstone) | Company | Acted as a financial advisor to Blackstone. |
| Wells Fargo | Financial Advisor (Blackstone) | Company | Involved as one of the financial advisors for Blackstone. |
| Newmark | Financial Advisor (Blackstone) | Company | Participated in providing financial advisory services to Blackstone. |
| Eastdil Secured | Financial Advisor (Blackstone) | Company | Part of the financial advisory team for Blackstone. |
| Simpson Thacher & Bartlett LLP | Legal Counsel (Blackstone) | Company | Provided legal counsel to Blackstone during the acquisition. |