Mergers & Acquisitions Deals for the Week of June 24, 2024

A roundup of notable M&A deals involving Southern California companies.

Beverly Hills-based Kennedy-Wilson Holdings Inc. and its partner acquired Heathrow Estate for $111 million on June 25. The 300,000-square-foot modern warehouse in West London is adjacent to Heathrow Airport’s cargo terminal and is leased to a diverse mix of tenants including Asendia, Tailsco, and HSS Hire. Kennedy Wilson has a 10% stake, which was acquired with equity and secured with a $73 million loan. The company will earn fees for managing the property.

In a separate transaction, Kennedy-Wilson closed on the first tranche of loans that it agreed to acquire as part of a $5.7 billion loan portfolio acquisition from Pacific Western Bank on June 9. The transaction included $3.25 billion in total commitments and $1.8 billion in principal balance. It was acquired for $1.6 billion. The Loan Portfolio is comprised of floating-rate construction loans with a weighted-average interest rate of 8.6%, with the vast majority secured by multifamily and student housing properties.

“The acquisition of this Loan Portfolio from Pacific Western Bank highlights Kennedy Wilson’s historic ability to find off-market transactions during periods of uncertainty,” said William McMorrow, chairman and chief executive of Kennedy-Wilson, in a statement.

Precious Metals

El Segundo-based A-Mark Precious Metals Inc. acquired an additional 8% stake in Las Vegas-based Silver Gold Bull Inc. for $9.6 million on June 24. For the fiscal year ended April 30, 2024, Silver Gold Bull Inc. reported net sales of $467.9 million. Frye & Hsieh LLP and Fasken Martineau DuMoulin LLP advised A-Mark. MLT Aikins LLP advised SGB.