Alexander & Baldwin soared 37% in premarket trading. The Hawaii-based commercial real estate investment fund said on Monday that it will be taken private by a group of investors led by MW Group in an all-cash deal that values the company at about $2.3 billion.

Alexander & Baldwin shareholders will receive $21.20 per share in cash, which represents a 40% premium on the company's stock price as of last close.

The company's shares jumped 37% in extended trading. The deal is expected to close in the first quarter of 2026.

A&B, which will retain its name, brand and Honolulu headquarters after the buyout, owns grocery-anchored shopping centers in Hawaii, including 21 retail centers, 14 industrial assets and four office properties.

The investor group includes Hawaii-based real estate firm MW Group, Blackstone Real Estate, as well as California-headquartered DivcoWest.

The group plans to invest more than $100 million to upgrade A&B's properties, the company said.