Granger Cobb, the former CEO of Emeritus who merged that company into Brookdale Senior Living in the middle of last year, died this week at age 54. Cobb had led Emeritus since 2007 and, in a statement, Brookdale CEO Andy Smith called him "a true pioneer and leader in our industry."
Ronald Orol at The Street says activist investor Sandell Asset Management appears to hold a strong hand in its dealings with Brookdale Senior Living, which it wants to spin off its real estate. The New York-based investment firm, Orol writes, plans to add to its board presence next spring to try to force such a transaction unless Brookdale's directors act before then. And the pieces are in place for such action — as are two deep-pocketed potential buyers.
For HCP and Ventas, an acquisition of Brookdale or its assets would prevent the formation of a new rival. Any move by Brookdale to spin off its massive real estate holdings into a free-standing REIT would create new competition for HCP and Ventas in the health care REIT industry, people familiar with Sandell argue.
Goldman Sachs analyst Brian Zimmerman has begun covering shares of Brookdale Senior Living with a 'buy' rating. He sees the stock, which closed at $36.87 (Ticker: BKD) and is flat year to date, climbing to $45 in the coming year. Among the seven analysts tracking the Brentwood-based company, the median price target is $44.
POSTDATA: WARRANTY DEEDS