BOCA RATON, Fla.–(BUSINESS WIRE)–DigitalBridge Group, Inc. (NYSE: DBRG) (“DigitalBridge” or the “Firm”) at present introduced it has accomplished the beforehand introduced sale of its Wellness Infrastructure enterprise (the “Wellness Sale”) to an funding group comprised of two main actual property funding companies, Highgate and Aurora Well being Community.
The $3.2 billion Wellness Sale consists of whole web worth to DigitalBridge of $316 million (comprised of $161 million in money and a $155 million 5-year vendor’s observe), the idea of $2.6 billion in consolidated investment-level debt, and $294 million of subsidiary-level debt.
“We’re happy to shut this complicated transaction on our authentic timetable because of the onerous work of Wealthy Welch and his workforce, who led this division by way of an unprecedented pandemic,” mentioned Jacky Wu, Chief Monetary Officer of DigitalBridge. “This transaction marks the completion of our ‘diversified to digital’ transformation and additional strengthens our company capitalization as we give attention to persevering with to construct our industry-leading digital infrastructure platform.”
“Highgate is happy to conclude one other vital transaction with DigitalBridge,” mentioned Mahmood Khimji, Co-Founder and Managing Principal of Highgate. “This funding marks a significant dedication by Highgate to the diversified healthcare actual property area. Highgate appears to be like ahead to partnering with Aurora and the various valued workers throughout this enterprise and bringing Highgate’s current working capabilities to bear in executing on the marketing strategy and delivering high-fidelity providers.”
“We’re proud to have easily and efficiently closed this transaction,” mentioned Joel Landau, Co-Founder and Managing Director of Aurora. “We stay up for leveraging our many deep relationships throughout the healthcare area as we be a part of with Highgate in managing this portfolio in accordance with our core ideas, specializing in scientific excellence and high quality of care to realize optimum outcomes.”
To steward this numerous portfolio, Highgate and Aurora have partnered to launch Santerre Well being Buyers, a brand new healthcare-focused funding and working platform. Santerre will spend money on healthcare-centric companies by leveraging Highgate’s funding and operational administration experience and Aurora’s in depth healthcare actual property capabilities. Santerre welcomes DigitalBridge’s 35-person workforce that has and can proceed to supervise the property being acquired by Highgate and Aurora by way of the Wellness Sale and can lead the platform’s future progress within the area.
As beforehand introduced on September 8, 2021, the realized worth generated by the Wellness Sale is in step with the online fairness carrying worth of the underlying property as of June 30, 2021 when accounting for the switch of the $294 million in subsidiary-level debt included within the Wellness Sale.
The events additionally mutually agreed to a customary transition providers settlement by which the Firm will proceed to offer sure providers for a interval of 180 days following closing. Further particulars concerning the phrases of Wellness Sale will likely be contained in a Present Report on Kind 8-Okay to be filed by the Firm with the U.S. Securities and Change Fee.
Barclays served as monetary advisor to DigitalBridge in reference to the transaction and Sullivan & Cromwell LLP served as authorized counsel. Deutsche Financial institution Securities Inc. served as monetary advisor to Highgate and Aurora and Latham & Watkins LLP served as authorized counsel.
About DigitalBridge
DigitalBridge (NYSE: DBRG) is a number one world digital infrastructure REIT. With a heritage of over 25 years investing in and working companies throughout the digital ecosystem together with cell towers, knowledge facilities, fiber, small cells, and edge infrastructure, the DigitalBridge workforce manages a $45 billion portfolio of digital infrastructure property on behalf of its restricted companions and shareholders. Headquartered in Boca Raton, DigitalBridge has key places of work in New York, Los Angeles, London, and Singapore. For extra data, go to: www.digitalbridge.com
About Highgate
Highgate is a number one actual property funding and hospitality administration firm with over $15 billion of property beneath administration. Highgate has a 30-year monitor report as an funding supervisor, working associate, and developer for REITs, personal fairness companies, sovereign wealth funds, excessive web price people, and different institutional buyers. With a selected focus in hospitality actual property, Highgate’s portfolio consists of over 350 owned and/or managed lodges comprising over 65,000 rooms throughout america, Europe, Latin America, and the Caribbean. Highgate’s capabilities lengthen to adjoining actual property verticals together with multifamily, short-term leases, and diversified healthcare actual property, in addition to investments in actual estate-linked securities, expertise platforms, and hospitality-related working companies. Highgate maintains company places of work in New York, Dallas, London, Miami, Seattle, and Waikiki. For extra data, go to: www.highgate.com
About Aurora
Aurora Well being Community is a premier healthcare-focused funding agency managing high-performing amenities all through the US. By means of a strategic, long-term outlook, Aurora develops lasting worth for each buyers and the healthcare institutions inside its portfolio. With an acquisition give attention to expert nursing, assisted dwelling, rehabilitation, subacute, transitional, and different lessons of healthcare amenities, Aurora companions with operators who’re a longtime a part of their neighborhood and who prioritize scientific excellence and resident care.
About Santerre
Santerre Well being Buyers is a brand new enterprise between Highgate and Aurora Well being Community that invests in healthcare-centric actual property and working companies throughout america, the UK, and Continental Europe. For extra data, go to: www.SanterreHealth.com
Cautionary Assertion concerning Ahead-Wanting Statements
This press launch might include forward-looking statements inside the which means of the federal securities legal guidelines. Ahead-looking statements relate to expectations, beliefs, projections, future plans and methods, anticipated occasions or tendencies and comparable expressions regarding issues that aren’t historic information. In some instances, you may determine forward-looking statements by way of forward-looking terminology resembling “might,” “will,” “ought to,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” or “potential” or the destructive of those phrases and phrases or comparable phrases or phrases that are predictions of or point out future occasions or tendencies and which don’t relate solely to historic issues. Ahead-looking statements contain identified and unknown dangers, uncertainties, assumptions and contingencies, a lot of that are past our management, and should trigger precise outcomes to vary considerably from these expressed in any forward-looking assertion. Elements which may trigger such a distinction embody, with out limitation, whether or not the Firm will notice any of the anticipated advantages from the Wellness Sale and different dangers and uncertainties, together with these detailed within the Firm’s Annual Report on Kind 10-Okay for the 12 months ended December 31, 2021 and its different experiences filed now and again with the U.S. Securities and Change Fee. All forward-looking statements mirror the Firm’s good religion beliefs, assumptions and expectations, however they aren’t ensures of future efficiency. The Firm cautions buyers to not unduly depend on any forward-looking statements. The forward-looking statements converse solely as of the date of this press launch. DigitalBridge is beneath no responsibility to replace any of those forward-looking statements after the date of this press launch, nor to evolve prior statements to precise outcomes or revised expectations, and DigitalBridge doesn’t intend to take action.
