NorthStar Asset Management, Colony Capital, NorthStar Realty To Merge

(RTTNews) - NorthStar Asset Management Group Inc. (NSAM), Colony Capital, Inc. (CLNY) and NorthStar Realty Finance Corp. (NRF) announced a merger agreement under which the companies will combine in an all-stock merger of equals transaction. The combined company will be named, Colony NorthStar, Inc.

NSAM shareholders will own approximately 32.85%, Colony shareholders will own approximately 33.25% and NRF shareholders will own approximately 33.90% of the combined company. NSAM shareholders will also receive, in addition to its regular quarterly dividend, a special cash dividend equal to $128 million, which represents a one-time distribution of excess NSAM taxable earnings and profits.

Upon closing of the deal, Thomas Barrack Jr. will be Executive Chairman of the Board of Colony NorthStar, David Hamamoto will be Executive Vice Chairman, and Richard Saltzman will be CEO.