NEW YORK (AP) — Mid-America Apartment Communities Inc. is buying rival real estate investment trust Post Properties in a deal worth about $3.9 billion.
The deal brings together two companies that owns or operates rental communities in several southern cities, including Atlanta, Dallas and Charlotte, North Carolina.
The combined company will have nearly 320 properties with about 105,000 units.
As part of the deal, Post Properties investors will receive 0.71 share of MAA stock. Using MAA's Friday closing price of $102.15, that would mean Post Properties shareholders would receive about $72.53 for each share they own.
Shares of MAA, which is based in Memphis, Tennessee, fell more than 3 percent to $98.95 before the market opened Monday. Shares of Atlanta-based Post Properties Inc. jumped more than 12 percent to $69.84 in premarket trading.