Landmark Infrastructure Partners is be acquired by Landmark Dividend, the company that formed it.
Where Landmark Dividend owns a large number of data centers across the US, LIP is focused on wireless communication, outdoor advertising, and renewable power generation industries. Its assets include cell towers, rooftop wireless sites, billboards, and wind turbines.
The deal marks the end of a conveluted acquisition process. LIP’s parent company Landmark Dividend was acquired by Digital Colony – since renamed DigitalBridge – in May. As part of that deal, Digital Colony was to submit a proposal to buy the Landmark Infrastructure Partners subsidiary in a deal that would have valued the company at around $972 million.
However, both Verde Investments, Inc and asset management firm Melody Investment Advisors LP intervened and tried to gazump Digital Colony with higher offers. At the time, Melody said its proposal was “financially superior,” offering $16.25 per Landmark common unit compared to Digital Colony’s $13.
This week Landmark Infrastructure Partners said that after “lengthy negotiations” between the Board’s Conflicts Committee, the company will be acquired by Landmark Dividend. Landmark public unit holders will receive $16.50 in cash for each common unit owned.
The deal values the company’s common equity value at around $421 million, and gives the company a total value of around $1 billion.
“This transaction offers certainty as well as compelling and immediate value for unit holders,” the company said. The deal is expected to close later this year.
Landmark Dividend said it is not considering third party offers for LIP or its assets in the event the deal doesn’t go through. Landmark Dividend owns 100 percent of the General Partner for Landmark Infrastructure Partners, so will retain control of the company whether or not the deal completes.
Landmark Dividend’s most recently announced data center deal saw it acquire a third data center from Chirisa Investments in March, though it has since added a facility in Baltimore to its list of acquisitions, which seems to be 7939 Honeygo Blvd; a multi-tenant office site.