Strategic Storage Growth Trust, Inc. announced in October the entry into a definitive merger agreement with Strategic Storage Trust II, Inc., pursuant to which SSGT will merge with and into a wholly-owned merger subsidiary of SST II. Under the merger agreement, SSGT stockholders will receive $12.00 per share in cash, which represents a total purchase price of approximately $340 million, including current outstanding debt to be assumed or repaid. The merger agreement was negotiated on behalf of SSGT by an independent special committee of SSGT’s board of directors, which was formed to conduct a review of potential strategic alternatives.
“This merger will provide our stockholders full cycle liquidity in an all-cash transaction at $12.00 per share, a price above the most recently announced net asset value,” said H. Michael Schwartz, CEO, president and chairman of the board of directors of SSGT. “We are proud of the high quality portfolio of properties we have built and the value it will bring to our stockholders upon the closing of the merger,” noted Mr. Schwartz.
South Coast will be hosting an update with SmartStop Asset Management, the manager of Strategic Storage Growth Trust, on the close of this transaction as well as a discussion on the self-storage space as it pertains to future opportunities.