Landmark Infrastructure Agrees to Landmark Dividend Deal, Sources Say

(Bloomberg) -- Landmark Infrastructure Partners LP, an owner and manager of property beneath cellular towers, rooftop wireless sites, wind turbines and billboards, agreed to be acquired by Landmark Dividend LLC for $16.50 per unit.

Independent members of Landmark Infrastructure’s board, who formed a conflicts committee, approved the transaction, according to a statement Monday. The agreement was reported earlier Monday by Bloomberg News. The El Segundo, California-based real estate investment trust, which closed Friday at $14.16 per unit, rose to $15.79 at 7:20 a.m. in early U.S. trading. 

The revised transaction follows a $13 per unit proposal originally tabled by DigitalBridge Group Inc.’s Digital Colony Management LLC in May, and marks a 38% premium to Landmark Infrastructure’s closing price before that offer. Digital Colony in June completed its purchase of Landmark Dividend, which owns about 13% of Landmark Infrastructure and is its so-called sponsor.

Landmark Infrastructure, led by Chief Executive Officer Arthur “Tim” Brazy, has fielded alternative proposals. Earlier this month, Melody Investment Advisors LP proposed acquiring Landmark Infrastructure’s assets through “one or a series of transactions” that would give unit holders $16.25 in cash. In July, Verde Investments Inc., one of Landmark Infrastructure’s largest shareholders, proposed purchasing the company’s assets for $13.50 in cash per unit.

Landmark Dividend isn’t considering third-party offers for Landmark Infrastructure or its assets, and will keep managing Landmark Infrastructure as its so-called general partner, if its proposal isn’t ultimately consummated, according to the statement.

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