Another advantage consonant with the increased scale of the new entity is a stronger balance sheet and improved liquidity. The balance sheet runs to approximately $24 billion, and Colony NorthStar is expecting near-term asset monetizations which can be redeployed into new investments, to repurchase stock and/or to deleverage. The new company is targeting a total debt-to-capitalization ratio of 50% or less with the goal of upgrading corporate credit profile and lowering overall cost of capital.

Along with Barrack and Hamamoto, Colony NorthStar's board includes Nancy A. Curtin, George G.C. Parker, John A. Somers and John L. Steffens, all former directors of Colony; Justin E. Metz, former director of NSAM; and Charles W. Schoenherr, former director of NRF. Douglas Crocker II and Jon A. Fosheim were also elected to the board. Richard B. Salztman, formerly president and CEO at Colony Capital, assumes CEO duties for Colony NorthStar.

Colony was advised by BofA Merrill Lynch and received legal counsel from Willkie Farr & Gallagher LLP and Hogan Lovells LLP. Barclays, Credit Suisse, Deutsche Bank Securities, J.P. Morgan and Morgan Stanley also acted as financial advisors to Colony in connection with the transaction.

NSAM was advised by Goldman Sachs and received legal counsel from Sullivan & Cromwell LLP, Goodwin Procter LLP as compensation and benefits counsel and Skadden, Arps, Slate, Meagher & Flom LLP and Hunton & Williams LLP as tax counsel. NSAM's special committee was advised by Evercore and received legal counsel from Fried, Frank, Harris, Shriver & Jacobson LLP and Morris, Nichols, Arsht & Tunnell LLP. NRF's special committee was advised by UBS Investment Bank and received legal counsel from Venable LLP. NRF received legal and tax counsel from Vinson & Elkins LLP.

LOS ANGELES and NEW YORK CITY—The merger among Colony Capital Inc., NorthStar Asset Management Group Inc. and NorthStar Realty Finance Corp. is now complete. The equity REIT resulting from the union that was completed on Tuesday, Colony NorthStar Inc., has an equity market capitalization of approximately $9 billion and assets under management of $58 billion.

“The closing of this transformative transaction represents a milestone in our collective long-term strategy of building a leading global real estate business focused on a core set of real estate verticals in addition to a top-tier institutional and retail investment management business,” says executive chairman Thomas J. Barrack Jr. Adds David Hamamoto, executive vice chairman, “This partnership benefits Colony NorthStar's combined stockholders with an even stronger value proposition through enhanced relationships, substantial efficiencies and synergies and greater scale in established, durable real estate and investment management businesses with broad-based capital access and investment opportunities.”

The merger was originally announced this past June. Colony NorthStar will trade on the New York Stock Exchange under the ticker symbol CLNS and will be added Thursday to the MSCI US REIT Index, where it will be in the top quartile by equity market cap.

The newly created company has significant property holdings in the healthcare, industrial and hospitality sectors, opportunistic equity and debt investments and an embedded institutional and retail investment management business. It also owns NorthStar Securities LLC, a captive broker-dealer platform which raises capital in the retail market.

Another advantage consonant with the increased scale of the new entity is a stronger balance sheet and improved liquidity. The balance sheet runs to approximately $24 billion, and Colony NorthStar is expecting near-term asset monetizations which can be redeployed into new investments, to repurchase stock and/or to deleverage. The new company is targeting a total debt-to-capitalization ratio of 50% or less with the goal of upgrading corporate credit profile and lowering overall cost of capital.

Along with Barrack and Hamamoto, Colony NorthStar's board includes Nancy A. Curtin, George G.C. Parker, John A. Somers and John L. Steffens, all former directors of Colony; Justin E. Metz, former director of NSAM; and Charles W. Schoenherr, former director of NRF. Douglas Crocker II and Jon A. Fosheim were also elected to the board. Richard B. Salztman, formerly president and CEO at Colony Capital, assumes CEO duties for Colony NorthStar.

Colony was advised by BofA Merrill Lynch and received legal counsel from Willkie Farr & Gallagher LLP and Hogan Lovells LLP. Barclays, Credit Suisse, Deutsche Bank Securities, J.P. Morgan and Morgan Stanley also acted as financial advisors to Colony in connection with the transaction.

NSAM was advised by Goldman Sachs and received legal counsel from Sullivan & Cromwell LLP, Goodwin Procter LLP as compensation and benefits counsel and Skadden, Arps, Slate, Meagher & Flom LLP and Hunton & Williams LLP as tax counsel. NSAM's special committee was advised by Evercore and received legal counsel from Fried, Frank, Harris, Shriver & Jacobson LLP and Morris, Nichols, Arsht & Tunnell LLP. NRF's special committee was advised by UBS Investment Bank and received legal counsel from Venable LLP. NRF received legal and tax counsel from Vinson & Elkins LLP.