PS Business Parks to Be Bought for $7.6 Billion By Blackstone. The Stock Soars.

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PS Business Parks

stock soared on Monday after the commercial real estate firm said it agreed to be acquired by

Blackstone

for approximately $7.6 billion.

The private equity company will pay $187.50 a share in an all-cash transaction for

PS Business Parks

(ticker: PSB). The offer, which represents a 12% premium to PS Business Parks’ closing price on Friday, comes as Blackstone expands its real estate portfolio.

PS Business Parks stock rose by 12% to $187.51 in premarket trading on Monday. Blackstone’s (BX) stock was down 0.3% to 110.28.

PSB has a 27 million square-foot portfolio of industrial, business park, traditional office, and multifamily properties, located primarily in California, Miami, Texas, and Northern Virginia, a press release from the company said.

The transaction is expected to close in the third quarter of 2022, subject to conditions.

Blackstone continues to develop its real estate operation. The company recently scooped up American Campus Communities , a student-housing provider, for roughly $12.8 billion or $65.47 per share. The firm also acquired

Preferred Apartment Communities

 earlier this year for almost $6 billion.

Write to Karishma Vanjani at [email protected]