American Realty Capital Healthcare Trust III Suspends DRIP Following Strategic Discussions
American Realty Capital Healthcare Trust III Inc., a publicly registered non-traded REIT sponsored by AR Global, has suspended the company’s distribution reinvestment plan, effective immediately, according to a filing with the Securities and Exchange Commission. Distributions for May and June will be paid to stockholders in cash with no DRIP shares issued.
Last June, the DI Wire reported that the ARC Healthcare Trust III board initiated a strategic review process to consider a range of alternatives available to the company, including a potential strategic transaction with an unnamed AR Global-affiliate.
The independent directors engaged SunTrust Robinson Humphrey as its independent financial advisor, and Shapiro Sher Guinot and Sandler P.A. as special independent legal counsel in connection with the strategic review process.
According to the SEC filing, ARC Healthcare Trust III temporarily suspended the DRIP for two monthly investment periods as a result of “recent discussions.” The company noted that there is no assurance that a transaction will result from these or any other discussions.
American Realty Capital Healthcare Trust III raised $168 million prior to the cancellation of its offering following a series of ARC-related scandals, and currently owns a portfolio of 19 properties valued at $128 million.
