Brookdale Senior Living, Inc. (NYSE:BKD) stock was up on Wednesday following talk of an acquisition.
The acquisition talk claims that Brookdale Senior Living, Inc. is currently in negotiations with Zhonghong Zhuoye Group. Zhonghong Zhuoye Group is a Chinese real estate organization that is interested in acquiring BKD.
According to unnamed sources close to the negotiations, Zhonghong Zhuoye Group is offering roughly $3 billion for Brookdale Senior Living, Inc. BKD’s market capitalization on Tuesday afternoon was $2.7 billion. Despite he high offer, the company may have concerns over getting approval for a sale to a Chinese company.
Brookdale Senior Living, Inc. has reportedly entered into exclusive negotiations with Zhonghong Zhuoye Group. The reports claim that there were other offers before the Chinese organization’s, but that they weren’t as high. The unnamed sources claim that there is no guarantee that the negations will result in a deal, reports Reuters.
Reports that Brookdale Senior Living, Inc. has been considering a sale have shown up throughout 2017. There were reports that it was in talks with Blackstone Group LP (NYSE:BX) and Ventas, Inc. (NYSE:VTR) about an acquisition earlier this year.
Rumors that Blackstone Group LP was negotiation an acquisition of Brookdale Senior Living, Inc. started in January. They kept going into February, but stopped after the company reportedly stopped negotiations. It was after this that the Ventas, Inc. talks reportedly started. However, VTR later said that it wasn’t in talks to buy the senior living communities company, Benzinga notes.
BKD stock was up 8% as of Wednesday afternoon and is up 21% yea-to-date.