International
KingSett Capital, Choice Properties to Acquire First Capital in $6.85 Billion Deal
Real estate investment trust Choice Properties and private-equity firm KingSett Capital will acquire First Capital REIT in a cash-and-stock deal worth about C$9.4 billion ($6.85 billion) including debt.
April 17: First Capital's assets will be split between the two acquirers.
Deal Structure
| Acquirer | Assets | Value |
|---|---|---|
| Choice Properties | Grocery-anchored retail properties | ~C$5 billion |
| KingSett Capital | Rest of portfolio (private investment) | ~C$4.4 billion |
Shareholder Consideration
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Cash: C$19.24 per share
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Choice Properties stock: ~C$5.16 per share
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Total value per share: ~C$24.40
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Premium: 11.7% to First Capital's closing price on April 15
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First Capital valuation: C$5.18 billion
Market Reaction
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First Capital shares: Up more than 8%
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Choice Properties shares: Up 1%
Management Commentary
Choice CEO Rael Lee Diamond said: "The portfolio we are acquiring has greater exposure to major markets, higher population density within a five kilometer radius, greater exposure to necessity-based retail tenants and significantly less development in First Capital's overall portfolio."
Timeline
The transaction is expected to close in the second half of 2026.