US homebuilders Lennar, CalAtlantic to combine in $9.3B deal
October 31, 2017
Construction | Arlington, VA | Corporate Acquisition
Lennar has agreed to acquire fellow US homebuilder CalAtlantic in a cash-and-stock transaction valued at $9.3 billion, including the assumption of $3.6 billion in net debt. The deal is expected to generate annual cost synergies of $250 million, creating a combined company with annual revenue of more than $17 billion that controls 240,000 homesites across 21 states. Shares of Lennar (NYSE: LEN) dropped about 4% Monday, with shares of CalAtlantic (NYSE: CAA) skyrocketing more than 21%.