Deals
CommonWealth Surges After Activists Challenge Stock Sale
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CommonWealth REIT surged the most in more than two decades after activist investor Keith Meister and Related Cos. challenged the company’s plan to sell shares and said they’re prepared to make a $2.1 billion bid.
Related and Meister, a onetime Carl Icahn protege who started activist fund Corvex Management LP, said they see the opportunity to “meaningfully increase” their $25-a-share offer after completing due diligence, according to a letter sent to CommonWealth today and obtained by Bloomberg News. They are also prepared to file a lawsuit to stop the share issue, the letter shows. The shares jumped 54 percent, the most since at least Dec. 18, 1986, according to data compiled by Bloomberg.