The Firm is representing Invitation Homes in connection with its merger-of-equals transaction with Starwood Waypoint Homes. Upon the closing of the transaction, Invitation Homes stockholders will own approximately 59 percent of the combined company’s stock, while Starwood Waypoint Homes stockholders will own approximately 41 percent. Based on the closing prices of Starwood Waypoint Homes common shares and Invitation Homes common stock on August 9, 2017, the equity market capitalization of the combined company would be approximately $11 billion and the total enterprise value (including debt) would be approximately $20 billion.
The combined company, which will operate under the name “Invitation Homes,” will bring together the best practices, technology and personnel from both firms to create the premier single-family rental company in the United States. The combined company would own and manage an irreplaceable portfolio of approximately 82,000 single-family homes.
The Firm has represented Invitation Homes since its formation by Blackstone five years ago and in numerous transactions, including its $1.8 Billion IPO earlier this year, which was the second-largest IPO in history by a REIT and one of the largest IPOs of 2017.
Invitation Homes (NYSE: INVH) is a leading owner and operator of single-family rental homes in the United States. Through disciplined market and asset selection, it has assembled a portfolio of nearly 50,000 high-quality homes in 13 major markets, with a focus on the Western United States and Florida.
Starwood Waypoint Homes (NYSE: SFR) is one of the largest publicly traded owners and operators of single-family rental homes in the United States. The company acquires, renovates, leases, maintains and manages single-family homes in markets that exhibit favorable demographics and long-term economic trends, as well as strengthening demand for rental properties.
The Simpson Thacher team includes Brian Stadler, Patrick Naughton, Matt Gabbard, Erika Tang, Elizabeth Romefelt, Alex Cushman and M. Shin (M&A); Greg Ressa, Mark Semotiuk and Kat Christoforatos (Real Estate); Josh Bonnie and Will Golden (Capital Markets); Jon Lindabury and Brian Gluck (Credit); Greg Grogan, Monisha Bhayana and Madeline Sprung-Keyser (Executive Compensation); Nancy Mehlman, Jackie Clinton and Jasmine Hay (Tax); Ellen Smiley (Public Company Advisory Practice); Joyce Xu and Lily Chen (Derivatives); and Adeeb Fadil and Louise Kruger (Environmental).