- Makarora Management and Ares Management will acquire Plymouth Industrial REIT for $22 per share in an all-cash deal valued at $2.1B.
- The transaction includes assumption of debt and represents a 50% premium over Plymouth’s stock price before a prior nonbinding offer from Sixth Street Partners.
- The deal arrives amid early signs of a rebound in REIT M&A activity, with Plymouth planning a 30-day “go-shop” period to solicit competing offers.
A Strategic Exit
Boston’s Plymouth Industrial REIT will go private in a $2.1B deal with Makarora and Ares Management, reports CoStar. The buyers will acquire all outstanding shares and limited partnership interests for $22 per share, while also assuming certain debts.
The transaction marks a nearly 50% premium over Plymouth’s stock price on August 18. That was the day before Sixth Street Partners, which owns 9.99% of the company, made a competing nonbinding offer of $24.10 per share.
Deal Details
The board of Plymouth unanimously approved the offer, and the deal is expected to close in early 2026, pending shareholder and regulatory approvals. Plymouth has launched a 30-day go-shop period ending November 23, allowing the REIT to seek and consider potentially higher offers.
KeyBanc Capital Markets and JP Morgan Securities advised Plymouth on the transaction. Legal counsel was provided by Morrison & Foerster and Alston & Bird.
Plymouth’s industrial portfolio spans approximately 32.1M SF across the Midwest and East Coast, catering to strong tenant demand near major population hubs.
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Market Context
The acquisition is one of the more notable transactions this year. Public REIT M&A has been quiet due to high interest rates and borrowing costs. However, recent activity suggests the sector may be regaining momentum. One example is the $7.1B all-stock merger between Rayonier and PotlatchDeltic.
What’s Next
With the industrial sector still outperforming other commercial real estate asset classes, the Plymouth deal highlights investor appetite for stable logistics and distribution-focused assets. The success of the go-shop period and regulatory review will determine if this marks the beginning of a broader REIT deal-making rebound.
