HTA - Healthcare Realty likely can't pay much more than $30/share for Healthcare Trust - analyst

Healthcare Realty (NYSE:HR) likely can't pay much more than $30/share for Healthcare Trust of America (NYSE:HTA) "without risking meaningful earnings dilution," according to Credit Suisse. Private market transactions imply that HTA could be worth $34-$37/share in a takeout, though this 20% premium would dilute HTA's earnings by 10%, Credit Suisse analyst Tayo Okusanya wrote in a note earlier. A $34-$37 take out price by HR is unlikely "without meaningful cost" or revenue synergies or "attractively priced capital" from a joint venture partner. The analysis comes after a WSJ report on Thursday that Healthcare Realty (HR) is said near a deal to combine with Healthcare Trust of America (HTA) in a stock and cash deal. The news follows HTA announcement in November that it was exploring options, including a potential sale,  after activist Elliott Management had been pressuring the company to sell itself. Okusanya called the news of potential deal with Healthcare Realty (HR) surprising and expected

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Healthcare Realty likely can't pay much more than $30/share for Healthcare Trust - analyst