Brazilian real estate co SYN up after $315 mln deal with Brookfield

Syn hf

21/10/2021 18:06

** Brazilian real estate company SYN  SYNE3.SA  up about 12%
after announcing it has signed a memorandum of understanding to
sell shares in four buildings to Brookfield for 1.78 billion
reais ($314.97 million)
    ** SYN, formerly known as Cyrela Commercial Properties, says
the sale comprises shares in the FL Financial Center, Faria Lima
Square, JK 1455 and Miss Silvia Morizono buildings, all of which
are located in Sao Paulo
    ** BTG Pactual analysts say the deal is "transformational"
for SYN, as it represents over 10% of the company's market cap
and 65% of its enterprise value, and should also allow the firm
to pay "huge" dividends 
    ** "We expect a very positive reaction to this M&A ... The
company should also increase its firepower to buy more
properties. We keep our Buy rating on the stock," BTG Pactual
adds

($1 = 5.6513 reais)

 (Reporting by Gabriel Araujo)
 ((Gabriel.Araujo2@thomsonreuters.com; +55 11 5644 7745;))