AFR Signals Potential Shift in Strategy

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JENKINTOWN, PA-Following chairman Lewis Ranieri’s promise to “not sit by idly as shares trade at current levels,” American Financial Realty Trust canceled its planned REIT Week meetings. “We are greatly disappointed at the current stock price,” Ranieri said at the opening of the company’s June 1 shareholders’ meeting. In the past 52 weeks, AFR stock ranged between a high of $16 a share and a low of $9.52 share.

“The status quo should not be tolerated by shareholders and will not be tolerated by [the board],” Ranieri said during the meeting and announced that a review was under way. He said there would be “more details in the weeks ahead,” and repeated, “weeks.” Among the factors being evaluated, he cited acquisitions, dispositions, capital structure and “other possible strategies,” without commenting on a published report that AFR had engaged a financial advisor to consider a potential sale.