Sila Realty Trust Inc., a publicly registered, non-traded real estate investment trust formerly known as Carter Validus Mission Critical REIT II, has sent a letter to shareholders recommending they reject an unsolicited tender offer by CMG Partners and its affiliates, CMG Income Fund II LLC, CMG Liquidity Fund LLC and Blue River Capital LLC.
CMG is offering to purchase up to 300,000 Class A shares for $3.57 each, approximately 59 percent less than the REIT’s most recent net asset value per share of $8.69, announced in December 2020. CMG’s offer expires on July 15, 2021, unless extended.
“We believe the CMG offer represents an attempt by CMG to catch current stockholders of the company off-guard and acquire the shares at a low price in order to make a profit and, as a result, deprive the stockholders that tender their shares of the company’s common stock of the full potential long-term value of the shares,” said Michael Seton, Sila’s chief executive officer and president.
Sila Realty Trust recently announced plans to sell its entire 29-property data center portfolio to subsidiaries of Mapletree Industrial Trust, a REIT listed on the Singapore Exchange, for more than $1.3 billion. The transaction is expected to be completed in one or more closings during the third quarter of 2021.
As of March 31, 2021, Sila Realty Trust owned 153 real estate properties, consisting of 29 data centers and 124 healthcare properties located in 70 markets across the United States with a total purchase price of approximately $3.2 billion, including capital expenditures on development properties placed into service.