American Realty Capital Healthcare Trust, Inc. (ARC Healthcare) announced today the preliminary results of its tender offer. The REIT, which focuses on acquiring income-producing healthcare properties, announced last month its intention to purchase up to $150 million worth of shares of its common stock at $11 per share.
The offer commenced the same day as ARC Healthcare’s listing on the NASDAQ (NASDAQ: HCT), which was April 7, 2013.
Since HCT began trading on the exchange, the stock has traded between $10 and $10.98 per share making a tender offer at $11 per share a great deal. At the time of this article, HCT is trading at $10.27.
DST Systems is the paying agent and depository for the tender offer, and according to its preliminary count, 70,239,505 shares of common stock were tendered. ARC Healthcare will only accept for purchase 13,636,364 shares at $11 per share for an aggregate price of $150 million.
Due to the oversubscription of the tender offer, approximately 19.10% of each stockholder’s tendered shares will be accepted for purchase.
The 13,636,364 shares to be accepted for purchase in the tender offer represent approximately 7.5% of the Company’s currently issued and outstanding shares of common stock. ARC Healthcare expects that once the tender offer is settled, it will have approximately 169,301,904 shares outstanding.
The final number of shares to be purchased and the final proration information will be announced once the confirmation process is complete.