Blackstone to Acquire Tricon Residential Inc. in a $3.5 Billion Deal

Blackstone announced today that it has entered into an agreement with  Tricon Residential Inc.  under which Blackstone Real Estate Partners X together with Blackstone Real Estate Income Trust, Inc. will acquire all outstanding common shares of Tricon for $11.25 per Common Share in cash. The total equity transaction value based on fully-diluted shares outstanding is $3.5 billion.

Under Blackstone’s ownership, Tricon plans to complete its $1 billion development pipeline of new single-family rental homes in the U.S. and $2.5 billion of new apartments in Canada.

Tricon provides quality rental homes and apartments in high-growth markets such as Atlanta, Charlotte, Dallas, Tampa, Phoenix, and Toronto. The company also has a Canadian multifamily development platform that is building approximately 5,500 market-rate and affordable multifamily rental apartments.

The completion of the transaction is expected to occur in the second quarter of this year, subject to customary closing conditions, including court approval, the approval of Tricon shareholders, and regulatory approval under the Canadian Competition Act and Investment Canada Act.

BREIT, which made an initial $240 million exchangeable preferred equity investment in Tricon in 2020 and is maintaining its ownership stake, has entered into a support agreement whereby it has agreed to vote its Common Shares in favor of the Transaction. Following the completion of the Transaction, funds affiliated with Blackstone Real Estate together with BREIT will own 100% of the outstanding Common Shares. The Common Shares will no longer be listed on the NYSE or TSX, and Tricon will remain headquartered in Toronto, Ontario.

Read Blackstone's full release here.