American Realty Capital Properties Inc., the landlord that’s trying to repair its reputation after an accounting scandal last year, rose after investor Keith Meister said it may be worth $13 a share.
American Realty Capital Properties, also known as ARCP, climbed 1.7 percent to $8.75 at the close of trading. The shares gained as much as 4.7 percent earlier Wednesday after Meister made his remarks at the CNBC Institutional Investor Delivering Alpha Conference in New York.
“This company has done the right thing to repair itself,” said Meister, whose Corvex Management holds 7.8 percent of ARCP’s shares. “We think there’s 25 to 50 percent upside.”
ARCP executives including Chairman Nicholas Schorsch and Chief Executive Officer David Kay resigned last year after disclosures of accounting errors that were intentionally concealed. The Phoenix-based real estate investment trust, which owns about 4,650 properties across the U.S., had faced pressure from shareholders including Corvex to overhaul its board. It’s named new directors and in March hired Glenn Rufrano, the former head of brokerage Cushman & Wakefield Inc., as its CEO.