Near-term earnings are a bit weaker than expected and it will take years to realize the expected benefits of the merger The stock trades at one of the lowest valuations in the sector because the balance sheet and income statement remain difficult to analyze The market may have overlooked the benefits of the recently announced … Continue reading Colony Northstar Is Becoming Simpler And More Valuable
Colony Northstar (CLNS) management did an admirable job of bringing their 3-way merger to completion. Northstar Asset Management (NSAM) shareholders have earned a total return over 50% since I wrote last July that shares had potential for a 60% return (LINK). What next? CLNS has not updated its future guidance since the initial merger presentation … Continue reading Colony Northstar Delivered a 50% Return. What’s Next?
, UPDATE May 31 2017: Activist Bow Street Capital sold all of its Northstar Realty Europe shares to Colony Northstar on May 12 (link to SEC filing) and withdrew its acquisition offer. Bow Street LLC has offered to buy Northstar Realty Europe for $13/share (LINK): "We firmly believe that NRE’s true value will never be … Continue reading Northstar Realty Europe – Activist Sees Opportunity in Advisor’s Change of Control
The pending Colony Northstar merger (described in prior articles) did not address the future of Northstar Realty Europe (NRE). NRE claims to be undervalued for reasons similar to Northstar Realty Finance (NRF) (see NRE presentation): Share price ($9.86 on 10/27) is well below Net Asset Value independently assessed at $16.64 at 6/30/16. Quarterly dividend of … Continue reading No Real Excitement for Northstar Realty Europe