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SEC Filings

PREM14A
FOREST CITY REALTY TRUST, INC. filed this Form PREM14A on 09/21/2018
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Table of Contents

The results of this analysis are as follows:

 

Reference Price Per Share

   Implied Premium
(Discount) Represented
by the $25.35
Per Share
 

July 27, 2018 Closing Price of $23.09

     9.8

June 15, 2018 Closing Price of $20.03

     26.6

52-week high Closing Price of $25.66

     (1.2 )% 

52-week low Closing Price of $18.02

     40.7

30-Day VWAP of $20.01

     26.7

90-Day VWAP of $20.45

     24.0

180-Day VWAP of $22.05

     15.0

NAV Consensus Estimates of $29.25

     (13.3 )% 

In addition, Goldman Sachs calculated the implied enterprise value for the Company by multiplying the $25.35 per share by the total number of fully diluted shares of common stock outstanding as provided by management of the Company, and adding to the result the amount of the Company’s net debt (the outstanding principal amount of $4,480.0 million, less cash and cash equivalents, referred to as “Net Debt”) as of June 30, 2018.

Goldman Sachs also calculated the total consideration per share of common stock as multiples of:

 

   

estimates of the Company’s OFFO for the next 12-month period, or the “NTM period,” 2018 and 2019, as reflected in the final business case projections; and

 

   

median of estimates of the Company’s FFO for the NTM period, 2018 and 2019, calculated based on published, publicly available Wall Street equity research reports, which are referred to as “FFO Consensus Estimates.

The results of these calculations were as follows:

 

OFFO Multiple Implied by Total Consideration Per Share of Common Stock

   Multiple  

Total Consideration per share / 2018E OFFO per share—diluted (final business case projections)

     16.9x  

Total Consideration per share / NTM Period OFFO per share—diluted (final business case projections)

     15.8x  

Total Consideration per share / 2019E OFFO per share—diluted (final business case projections)

     15.8x  

 

FFO Multiple Implied by Total Consideration Per Share of common stock

   Multiple  

Total Consideration per share / 2018 FFO per share—diluted (FFO Consensus Estimates)

     17.1x  

Total Consideration per share / NTM Period FFO per share—diluted (FFO Consensus Estimates)

     16.6x  

Total Consideration per share / 2019 FFO per share—diluted (FFO Consensus Estimates)

     16.1x  

Illustrative Present Value of Future Stock Price Analyses for the Company

Goldman Sachs performed an illustrative analysis of the implied present value of the future value per share of common stock, including the present value of accumulated dividends, which is designed to provide an indication of the present value of a theoretical future value of a company’s equity as a function of such company’s financial multiples.

 

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