Rulings Set Sunrise in Ventas's Hands

TORONTO-Efforts by USA-based Ventas Inc. to acquire Sunrise Senior Living Real Estate Investment Trust have gotten a big boost from the Court of Appeal for Ontario after judges there ruled that a takeover agreement between the two REITs is binding. The court affirmed an earlier order by the Ontario Superior Court of Justice from March 6 that quashed a competing offer for Sunrise, a decision reported previously by GlobeSt.com.

A REIT headquartered in Louisville, KY, Ventas inked a C$15-per-share purchase agreement with Sunrise in January through an auction process, but was usurped by an C$18-per-share bid submitted in mid-February by Health Care Property Investors, Inc., another medical-sector REIT that is based in Long Beach, CA. Ventas then sued in Ontario requesting that its pact for Sunrise be upheld.