Amherst Residential’s $2.3 Billion Acquisition of Front Yard Residential


Goldman Sachs & Co. LLC and Credit Suisse Securities (USA) LLC served as financial advisors to Amherst Residential and Gibson, Dunn & Crutcher LLP served as Amherst Residential’s legal counsel. Deutsche Bank Securities Inc. served as financial advisor to Front Yard and Weil, Gotshal & Manges LLP servws as Front Yard’s legal counsel.

Amherst Residential, LLC and Front Yard Residential Corporation (NYSE: RESI) have entered into a definitive merger agreement, whereby Amherst Residential will acquire Front Yard in a transaction valued at approximately $2.3 billion, including debt to be assumed or refinanced.

The transaction is expected to close in the second quarter of 2020, subject to customary closing conditions.

Under the terms of the agreement, Front Yard shareholders will receive $12.50 in cash per share. The per share purchase price represents a premium of approximately 14.2% over the per share closing price of Front Yard’s common stock on May 20, 2019, the day prior to the public announcement of Front Yard’s decision to initiate a formal process to explore strategic alternatives.

Amherst Residential is a privately-owned, vertically-integrated real estate firm. Since its inception in 2012, Amherst Residential and its affiliated funds have acquired and operated more than 30,000 homes.

Front Yard is an industry leader in providing quality, affordable rental homes to America’s families.

The Weil team advising Front Yard was led by Mergers & Acquisitions partner Michael Aiello (Picture) and included Mergers & Acquisitions partner Sachin Kohli, Mergers & Acquisitions counsel Megan Pendleton and Mergers & Acquisitions associates Kimberly Thibault, Cody Conwell, Robert W. Duff Jr. and Dov Kogen (Not Yet Admitted in California). The team also included Banking & Finance partner Gabriel Gregson; Structured Finance partner Shawn Kodes; Technology & IP Transactions partner Charan Sandhu; Tax partner Mark Schwed; Executive Compensation & Benefits Head Paul Wessel; Real Estate Co-Head W. Michael Bond and Real Estate partner Nellie Camerik; Environmental Head Annemargaret Connolly; Banking & Finance counsel Paul Overmyer; Tax counsel Eric Remijan; Executive Compensation & Benefits counsel Craig Olshan; Regulatory counsel Adam Safwat; Antitrust counsel Vadim Brusser and Jonathan Cheng; Banking & Finance associate Dylan Scher; Structured Finance associate Matthew Nemeth; Technology & IP Transactions associates Lauren Springer, Catherine Minji Kim and Maryann Thompson (Not Yet Admitted in New York); Tax associate Mary Sommers; and Executive Compensation & Benefits associate Tamara Roth.

Involved fees earner: Michael Aiello – Weil, Gotshal & Manges; Michael Bond – Weil, Gotshal & Manges; Vadim Brusser – Weil, Gotshal & Manges; Nellie Camerik – Weil, Gotshal & Manges; Jonathan Cheng – Weil, Gotshal & Manges; Annemargaret Connolly – Weil, Gotshal & Manges; Cody Conwell – Weil, Gotshal & Manges; Robert Duff Jr. – Weil, Gotshal & Manges; Gabriel Gregson – Weil, Gotshal & Manges; Catherine Minji Kim – Weil, Gotshal & Manges; Shawn Kodes – Weil, Gotshal & Manges; Sachin Kohli – Weil, Gotshal & Manges; Matthew Nemeth – Weil, Gotshal & Manges; Craig Olshan – Weil, Gotshal & Manges; Paul Overmyer – Weil, Gotshal & Manges; Megan Pendleton – Weil, Gotshal & Manges; Eric Remijan – Weil, Gotshal & Manges; Tamara Roth – Weil, Gotshal & Manges; Adam Safwat – Weil, Gotshal & Manges; Charan Sandhu – Weil, Gotshal & Manges; Dylan Scher – Weil, Gotshal & Manges; Mark Schwed – Weil, Gotshal & Manges; Mary Sommers – Weil, Gotshal & Manges; Lauren Springer – Weil, Gotshal & Manges; Kimberly Thibault – Weil, Gotshal & Manges; Paul Wessel – Weil, Gotshal & Manges;

Law Firms: Weil, Gotshal & Manges;

Clients: Front Yard Residential;