0910 ET - The $1.3B acquisition of TravelCenters of America by BP is a boon for real-estate investment trust Service Properties Trust, which has a 7.8% stake in TravelCenters, along with ownership of certain tradenames and trademarks associated with TA's business and a lease deal with the travel-center operator. Service Properties says it's in line for $379.3M cash at closing, including the prepayment of $188M of rent under amended leases with BP, which will become its largest tenant, accounting for 29% of gross assets. The amended lease deal also boosts annual rents by about $20.5M, or 12c/share. Service Properties up 7.9% premarket to $9.30. (colin.kellaher@wsj.com)
(END) Dow Jones Newswires
February 16, 2023 09:10 ET (14:10 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.