A PRNewswire update from last week stated that, “Farmland Partners Inc. (‘FPI’) (NYSE: FPI) today [Feb. 2] announced the completion of its previously announced merger with American Farmland Company (‘AFCO’), forming the largest public farmland real estate investment trust in the United States with a total market capitalization of approximately $400 million. The transaction was previously approved by both companies’ stockholders at their respective special meetings held on January 31, 2017. The combined company, headquartered in Denver, Colorado, retained the Farmland Partners name and trades under the existing ticker symbol ‘FPI’ on the New York Stock Exchange.
“Commenting on the merger, Paul Pittman, FPI Chairman and CEO, said, ‘We are now the largest, most diversified, most liquid REIT investing in farmland – and we look forward to continued accretive growth.'”
The update explained that, “The combined company is the largest public farmland real estate investment trust in the nation, spanning more than 144,000 acres across 16 states. On a consolidated basis, the combined portfolio consists of approximately 75% primary row crop farmland and 25% specialty crops (fresh fruits and vegetables and permanent crops) by value. This composition of farmland closely tracks the aggregate value of all U.S. agricultural production, which FPI believes offers stockholders well diversified exposure to high-quality U.S. farmland. FPI generally does not operate properties; it leases its farmland to some of the leading producers in the nation. FPI now has over 100 tenant farmers who grow more than 26 major commercial crops, resulting in broad diversification across the combined company’s portfolio.”
