Home builder Lennar announced it would purchase fellow top 5 home builder CalAtlantic in a deal valued at roughly $9.3 billion, anticipated to close in the first quarter of 2018.
According to Thomson Reuters data, the equity value of the deal is $5.66 billion, and the implied value per share is $51.34. The deal includes net debt of $3.6 billion, CNBC reports.
The combined entity would have a market cap of about $18 billion, based on current prices, and control 1,300 active communities in 49 markets, Lennar said. On a pro forma basis, CalAtlantic stockholders are expected to own about 26 percent of the combined company.
