ARC lights into Cole, may up bid again

Another day, another twist in the American Realty Capital/Cole III saga. On Tuesday, ARC questioned whether the board of the Cole REIT was considering a sweetened takeover offer or was simply playing for time.
APR 05, 2013
By  DJAMIESON
Management at American Realty Capital Properties Inc. has picked up where it left off last week, once again blasting the Cole Credit Property Trust III REIT board for not responding to ARC's unsolicited takeover offer. In addition, publicly traded ARC on Tuesday said it would consider sweetening its latest bid for the property trust giant. The improved offer would up to 60% from 20% the cash portion of its bid for the nontraded REIT and its management company, Cole Holdings Corp. “By giving a bigger pool of cash, it gives the board of the company knowledge that more cash is available for the investor,” said Nicholas Schorsch, ARC chief executive. “It makes it more reliable” as a takeover offer. Last week, ARC raised its initial bid for the Cole III REIT shares, upping the ante to no less than $13.59 a share in stock or $12.50 a share in cash. ARC's opening offering -- $12 in cash and stock -- was quickly rejected by the REIT's board. A committee of independent Cole III board members said last week it would consider ARC's revised offer. But Mr. Schorsch now says the Cole directors were simply playing for time while planning to go through with their own proposal to merge the REIT with the management company. In a letter Tuesday to the REIT's board, Mr. Schorsch claimed Cole has been unresponsive to ARC's overtures.

Latest News

Summit Financial, MassMutual boost advisor appeal with growth-focused tech
Summit Financial, MassMutual boost advisor appeal with growth-focused tech

Summit Financial unveiled a suite of eight new tools, including AI lead gen and digital marketing software, while MassMutual forges a new partnership with Orion.

SEC enforcement actions drop sharply, with focus shifting to investor fraud
SEC enforcement actions drop sharply, with focus shifting to investor fraud

A new analysis shows the number of actions plummeting over a six-month period, potentially due to changing priorities and staffing reductions at the agency.

MAI inks mega-deal with Evoke Advisors to form $60B AUM firm
MAI inks mega-deal with Evoke Advisors to form $60B AUM firm

The strategic merger of equals with the $27 billion RIA firm in Los Angeles marks what could be the largest unification of the summer 2025 M&A season.

Employees tapping retirement funds amid financial strain, led by Gen Zs
Employees tapping retirement funds amid financial strain, led by Gen Zs

Report highlights lack of options for those faced with emergency expenses.

LPL Financial on target to retain 90% of Commonwealth financial advisors, Wolfe Research analyst says
LPL Financial on target to retain 90% of Commonwealth financial advisors, Wolfe Research analyst says

However, Raymond James has had success recruiting Commonwealth advisors.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.