Realty Income / VEREIT Acquisition and (Office Properties) Spin-off Notes

Realty Income / VEREIT Acquisition and (Office Properties) Spin-off Notes

• On April 29, 2021, Realty Income announced that it would be acquiring VEREIT in an all stock transaction.
• Upon completion of the acquisition, the office component of the business will be spun off as a taxable dividend.
• Under the terms of the agreement, VEREIT shareholders will receive 0.705 shares of Realty Income stock for every share of VEREIT stock they own.
• The transactions are expected to be over 10% accretive to Realty Income’s AFFO per share in year one, add meaningful diversification that further enables new growth avenues, strengthen cash flow durability, and provide significant financial synergies, particularly through accretive debt refinancing opportunities.