MDC Holdings and Sekisui House

  • On January 18, 2024 Sekisui House entered into an agreement to acquire M.D.C. Holdings for an all cash consideration of $63.00 per share
    • Price per share premium of 19% prior to the closing price on January 17, 2024 and 41% to M.D.C.’s 90-day VWAP
    • Transaction implies equity purchase price of $4.9bn, representing a price / book value multiple of 1.5x (9/30/2023) and price / EPS of 12.4x (2024E)
  • The transaction is the 2nd largest M&A transaction in the homebuilding sector and the largest cross boarder homebuilding M&A transaction
    • Creates the 5th largest homebuilder in the U.S. with more than 15,000 combined closings in 2022
  • Expands Sekisui’s U.S. footprint and creates a viable path for transferring its SHAWOOD technology to new markets
  • Vestra supported M.D.C. through negotiations, deal structuring and due diligence, also delivering a Fairness Opinion to M.D.C.’s Board of Directors