Global Net Lease, Inc. (NYSE: GNL) has successfully completed its acquisition of Modiv Industrial, Inc., significantly expanding its portfolio with high-quality industrial net-lease properties across the United States.
This strategic acquisition increases GNL's industrial exposure to about 50 percent of its total straight-line rent, enhancing the overall quality, diversification, and cash flow stability of its portfolio.
The deal is projected to immediately boost AFFO per share by 4 percent, with further earnings growth anticipated through annual contractual rent escalations averaging 2.4 percent over a 15-year weighted average remaining lease term.
Following the transaction's completion, Modiv's common and preferred stocks have been delisted from the New York Stock Exchange, and former Modiv shareholders now hold GNL common stock, which remains listed on the NYSE under the symbol 'GNL'.
“The completion of our Modiv acquisition marks another important milestone as we continue executing our strategy to strengthen GNL's portfolio and enhance the durability of our cash flows,” said Michael Weil, Chief Executive Officer of GNL. “We believe Modiv's industrial assets are an exceptional strategic fit, increasing our industrial exposure to approximately 50% of our annual straight-line rent while extending our weighted average remaining lease term.