McDermott Will & Emery represented H.I.G. Capital, a leading global alternative asset management firm, in the formation of its fourth U.S. Realty Partners fund, H.I.G. Realty Partners IV (the “Fund”), which closed with aggregate capital commitments of $838 million, exceeding its target.* The Fund will continue to pursue the successful investment strategy employed by its predecessor funds and target mid-cap assets with gross asset values typically less than $200 million, primarily in the major markets of the US.

The McDermott team was led by partner Ian Schwartz, head of the Firm’s Investment Funds Group, and included partner David Nestler and associates Lauren Nevidomsky, Louie Gaudio, Brittany Esser, Rafa Calatrava, Matthew Stern, and Lauren Dehasque. Partners Alex Ruiz and Kevin Hall and associate Emily Mussio advised on tax matters. Partner Todd Solomon advised on ERISA matters.

The Investment Funds Group at McDermott is a global leader in representing investment fund sponsors and institutional investors and provides sophisticated counsel to its clients across the full spectrum of investment fund issues and transactions. The Investment Funds Group is embedded in McDermott’s global private equity practice with attorneys who serve as lead counsel to institutional investors and investment funds through their full lifecycle.

Read H.I.G.’s press release.

* Aggregate capital commitments include co-investment capital.

Learn more about our Private Equity practice by visiting www.mwe.com/pe.

McDermott Will & Emery partners with leaders around the world to fuel missions, knock down barriers and shape markets. Our team works seamlessly across practices, industries and more than 20 locations to deliver highly effective—and often unexpected—solutions that propel success. More than 1,200 lawyers strong, we bring our personal passion and legal prowess to bear in every matter for our clients and the people they serve.

International law firm McDermott Will & Emery represented Healthcare Trust of America, Inc. (NYSE: HTA) in connection with the definitive Agreement and Plan of Merger to effect an $18 billion strategic combination with Healthcare Realty Trust Incorporated (NYSE: HR). This transformative transaction brings together two of the largest owners of medical office buildings in the country, with the combined REIT holding 727 properties totaling 44 million square feet, creating the preeminent, pure-play medical office building REIT.

McDermott also represented HTA in connection with a commitment letter provided by JPMorgan Chase Bank, N.A. for the $1.7 billion debt financing that will be used as a backstop for a special cash distribution that will be paid to HTA’s stockholders in connection with the merger and other transaction expenses.

At closing, each share of HR common stock will be exchanged for one share of HTA common stock, at a fixed ratio. In addition, a special cash distribution of $4.82 per share will be distributed to HTA’s stockholders. Taken together and based on HR’s share price at the close of markets on February 24, 2022, HTA’s stockholders will realize an implied value of $35.08 per HTA share, representing an 18.2% premium to HTA’s share price. Following the closing, HR and HTA stockholders will own 39% and 61% of the combined company, respectively.

The transaction is expected to close in the third quarter of 2022, subject to customary closing conditions, including the approval of all stockholders. Subject to the terms of the definitive agreement, the transaction was unanimously approved by the Board of Directors of HTA and HR. Read HTA’s full press release.

The McDermott team advising HTA was led by Peter Healy and Tracy Bacigalupo and included Mark Mihanovic, Andrew Liazos, Greg Weigand and Nathan Barnett.

McDermott Will & Emery partners with leaders around the world to fuel missions, knock down barriers and shape markets. Our team works seamlessly across practices and industries to deliver highly effective—and often unexpected—solutions that propel success. More than 1,200 lawyers strong, we bring our personal passion and legal prowess to bear in every matter for our clients and the people they serve.