Shares of Veris Residential (NYSE:VRE) climbed 13% on Monday after the company reached an agreement to be acquired for $3.4 billion in cash by an investor consortium led by Affinius Capital, in partnership with Vista Hill Partners.
Under the terms of the merger agreement, Veris will be taken private at a price of $19.00 per share in cash. That per-share consideration equals a 13% premium to the company’s closing price of $16.77 on the preceding Friday. The transaction values the company at an implied enterprise value of $3.4 billion and represents a 23.2% premium to Veris’ closing share price on February 4, 2026.
The merger agreement provides that holders of Veris common stock will receive $19.00 in cash for each share they own. Similarly, holders of common units in Veris’ operating partnership will be paid $19.00 in cash for each common unit held.
The sale follows a comprehensive review of strategic alternatives that Veris conducted with financial advisors J.P. Morgan and Morgan Stanley. During that process, the company engaged with a range of potential counterparties including financial sponsors, sovereign wealth funds, pension funds and multifamily investment platforms.
Bow Street LLC, which manages funds that beneficially own approximately 5.6% of Veris’ outstanding shares, has agreed to vote in favor of the transaction.
The company’s board of directors unanimously approved the deal. The transaction is expected to close in the second quarter of 2026, subject to shareholder approval and other customary closing conditions. Financing for the transaction will include equity investments and debt facilities, among them a committed senior secured bridge loan facility totaling $2.08 billion.
Veris expects to pay its regular quarterly cash dividend for the first quarter of 2026, but has agreed to suspend dividends after that distribution. Upon closing of the transaction, Veris’ common stock will be delisted and will no longer trade on the New York Stock Exchange.
Context and implications
The transaction moves Veris from a public multifamily REIT to a privately held platform under the ownership of a sponsored investor group. The financing mix and the planned suspension of dividends signal the consortium’s operational and capital plans for the company once the deal is completed.