MITT To Acquire Cherry Hill Mortgage Investment

(RTTNews) - TPG Mortgage Investment Trust (MITT), a publicly traded residential mortgage REIT managed by AG REIT Management - an affiliate of TPG (TPG), and Cherry Hill Mortgage Investment (CHMI) announced they have entered into a definitive merger agreement, pursuant to which MITT will acquire CHMI. The holders of Cherry Hill Mortgage Investment common stock will receive 0.3063 shares of MITT common stock and $0.93 in cash per share. The transaction implies a value of $3.10 per share of CHMI common stock.

On a pro forma basis, following the closing of the transaction, MITT stockholders are expected to own approximately 73% of the combined company's equity, and CHMI stockholders are expected to own approximately 27%. Transaction is expected to be accretive to earnings within one year of closing.

In pre-market trading on NYSE, Cherry Hill Mortgage Investment shares are up 15 percent to $2.76.