Sonida Senior Living (NYSE: SNDA) completes $1.8 billion merger with CNL Healthcare

Sonida Senior Living Inc. (NYSE: SNDA) completed its acquisition of CNL Healthcare Properties Inc. for approximately $1.8 billion in cash and stock, the company announced.

The merger creates a combined portfolio of 153 senior living communities with approximately 14,700 owned units across independent living, assisted living and memory care facilities. Sonida acquired 100% of CHP’s common stock for $7.22 per share, consisting of 0.1318 shares of Sonida common stock and $2.32 in cash.

The transaction received approval from approximately 88.9% of Sonida shareholders who voted at a February 26 special meeting. Under the merger terms, existing Sonida shareholders retain 50% ownership of the combined company.

Sonida obtained $930 million in permanent debt financing to fund the transaction, including a $405 million revolving credit facility and two term loan facilities of $262.5 million each. The company also secured a $270 million bridge loan facility.

The combined company operates senior housing communities across 35 states. CHP’s portfolio strengthens Sonida’s presence in the South, Southeast and Midwest while expanding into the Mountain West, Pacific Northwest and Mid-Atlantic regions.

Two CHP representatives joined Sonida’s nine-member board of directors: Stephen Mauldin, CHP’s former CEO, and J. Chandler Martin, a former CHP director. Michael Simanovsky of Conversant Capital was appointed board chairman.