Genesis HealthCare & Capital Senior Living Put On Notice By NYSE
So far, two of the publicly traded senior care companies have received notices from the New York Stock Exchange warning them that they are out of compliance with the continued listing standard that requires a minimum average closing price of $1.00 per share over a consecutive 30 trading-day period: Capital Senior Living Corporation (April 10) and Genesis HealthCare (April 17). CSU dropped as low as $0.45 per share, while GEN fell to $0.78 per share. Genesis was still in compliance with the minimum market capitalization threshold of $50 million over a 30 trading-day period (at more than two times that level), but CSU’s average market cap did fall below the threshold. Both companies will... Read More »
Capital Senior Living Stock Spreads
One day this week the spread between the bid and the ask for Capital Senior Living’s shares seemed way too wide, which got me thinking. I was a little surprised yesterday morning when I checked on the bid/ask spreads for Capital Senior Living, and saw a very wide discrepancy after the market opened. There was a bid for 4,000 shares at $3.48 per share, while a seller was asking for $3.98 per share for a smaller number of shares. I had not seen such a large difference between what a buyer wanted and a seller. I checked Brookdale Senior Living, and the spread was two cents. So, I re-looked at Capital Senior Living’s third quarter earnings to see what shareholders might be concerned... Read More »
Inland Private Capital Corporation Makes First Seniors Housing Acquisition
As part of its larger disposition/restructuring strategy, Capital Senior Living Corporation announced in its third quarter earnings report that it sold two non-core independent living communities in Peoria, Illinois and Springfield, Missouri, generating some healthy proceeds in the process. The communities sold for a combined $64.75 million, or nearly $205,000 per unit, resulting in $14.8 million of net cash proceeds and $44.4 million of mortgage debt off its books. Tim Cobb and Sabel Kaminski of Berkadia represented CSL in the transaction. Both built in the late-1990s and totaling around 215 units, these communities were both over 90% occupied, but rent growth was sluggish. They were in... Read More »Did Capital Senior Living Reject Acquisition Offer From TPG?
Fresh off closing its $3.7 billion opportunistic real estate fund this March, TPG may have to wait a bit to make its next big acquisition in the senior living space, as its rumored offers to acquire the struggling Capital Senior Living Corporation have all apparently been rebuffed by the company, according to Bloomberg. The approaches were supposedly made in the past few months. The news, however, caused the CSU share price to jump as much as 24% to $4.47. Considering the company’s four-year trend, falling from a peak of $27.50 in April 2015 to below $4.00 per share in May, there is still a long way to go. But at its current value, a buy-out has to be looking more and more attractive. And... Read More »Schedule a demo
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