Goodmans, Stikeman Elliott acting for buyers; Gowling WLG, Norton Rose Fulbright advising InterRent
CLV Group and Singapore’s sovereign wealth fund GIC have entered into a definitive agreement to acquire InterRent Real Estate Investment Trust in an all-cash transaction valued at approximately $4 billion, including the assumption of debt. The deal marks one of the largest REIT privatizations in Canadian history and underscores the robust appetite for high-quality residential rental portfolios in urban markets.
Under the terms of the agreement, InterRent unitholders will receive $13.55 per unit in cash, representing a 35 percent premium to the REIT’s closing unit price on March 7, 2025, and a 29 percent premium to its 90-day volume-weighted average trading price (VWAP) as of May 26, 2025.
To ensure a competitive process, the deal includes a 40-day “go-shop” period during which InterRent may actively solicit superior proposals from third parties. The arrangement was unanimously recommended by InterRent’s special committee and board of trustees, following fairness opinions from BMO Capital Markets and National Bank Financial Inc. (NBF), as well as a formal valuation from NBF.
Goodmans LLP is acting as legal counsel to CLV Group, while Stikeman Elliott LLP is representing GIC. Skadden, Arps, Slate, Meagher & Flom LLP is advising GIC on joint venture matters. LaBarge Weinstein LLP is advising CLV Group on the joint venture arrangement, and Scotiabank is acting as financial advisor to the purchaser.
On the other side, Gowling WLG (Canada) LLP is acting as legal counsel to InterRent REIT, with Norton Rose Fulbright Canada LLP advising the special committee. BMO Capital Markets and National Bank Financial are serving as financial advisors to InterRent, with both firms providing fairness opinions. NBF also provided the formal valuation of InterRent’s units.
“We are pleased to provide immediate and certain premium value to our unitholders through this all-cash transaction with CLV Group and GIC, while also allowing InterRent to solicit superior proposals through a go-shop period of 40 days,” said InterRent CEO and trustee Brad Cutsey. “The entire Board of Trustees and management team are proud to have executed on our strategy to build a best-in-class operating platform and assemble a portfolio of well-located properties in some of Canada's strongest urban rental markets. Leveraging that platform, we have repositioned these assets into high-quality communities, generating industry-leading growth and creating significant value for all stakeholders.”
CLV Group president and CEO Mike McGahan said, “We are delighted to partner together with GIC on this transformative transaction, combining our 50 years of operating experience and GIC's strong track record as a long-term investor in Canada and around the world.”
The transaction, structured as a statutory plan of arrangement under Ontario corporate law, requires approval by two-thirds of InterRent unitholders and a simple majority excluding interested parties, along with court and regulatory approvals. A special meeting of unitholders is expected in the third quarter of 2025, and the deal is anticipated to close by late 2025 or early 2026.
Following completion, InterRent will be delisted from the TSX and is expected to cease to be a reporting issuer.
