Annaly Capital Management Inc., the largest real estate investment trust that buys mortgage debt, agreed to purchase Hatteras Financial Corp. for $1.5 billion as the company expands its property business.
Annaly's offer values Hatteras Financial at $15.85 a share and it will acquire the Winston-Salem, N.C.-based REIT using a combination of cash and its own shares, the companies said in a statement on Monday. The offer is a premium of about 24% to the 60-day volume-weighted average price of Hatteras’ stock and the deal is expected to close in the third quarter.
"This strategic transaction represents a unique and sizeable value-creation opportunity for our shareholders," Kevin Keyes, chief executive officer and president of New York-based Annaly, said in the statement. "With the acquisition of Hatteras, we significantly grow our diversified portfolio and broaden our investment options, further fortifying Annaly's position as the market-leading mortgage REIT."
The board of directors of Hatteras unanimously approved the offer.
