EdR to be acquired by Greystar-led fund for $4.6bn

Deal expected to close in the second half of 2018

Education Realty Trust (EdR) — a leading developer, owner and manager of high-quality collegiate housing communities in the US— has announced that it would be acquired by an affiliate of Greystar Real Estate Partners for about $4.6bn, including debt.

Under the terms of the merger agreement, Education Realty shareholders will receive $41.50 per share in cash from Greystar Student Housing Growth and Income Fund. The deal has an equity value of $3.15bn, based on Education Realty’s shares outstanding as on May 1.

In conjunction with the deal, which is expected to close in the second half of 2018, a joint venture between an affiliate of Blackstone Real Estate Income Trust Inc and a Greystar affiliate will buy a portfolio of off-campus student housing assets.

The company said it will discontinue its regular quarterly dividends as per the agreement.