Deals
Housing for the Elderly Targeted After Record Premium: Real M&A
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The takeover of Sunrise Senior Living Inc. at the biggest premium ever paid for an operator of homes for the elderly is turning companies from Brookdale Senior Living Inc. to Emeritus Corp. into the next targets.
Brookdale, the industry’s largest company with a market value of $2.7 billion, has the group’s lowest valuation relative to cash flow, and its operating margin is projected to reach a record high next quarter, according to data compiled by Bloomberg. Emeritus, the second-biggest, fell last month to the cheapest price since 2005 versus the cash it generates.