BizJournal – Shares in CommonWealth Real Estate Investment Trust surged 48 percent Tuesday after two hedge fund managers who own nearly 10 percent of the company threatened to unseat its board and acquire all outstanding shares at “a significant premium.”
Investors clamored for Newton-based CommonWealth REIT (NYSE: CWH) shares shortly before 2 p.m. on news that New York-based investors Corvex Management, run by former Carl Icahn apprentice Keith Meister, and real estate concern The Related Cos. ordered the company to cancel plans to raise between $465 million and $535 million through the issuance of 27 million shares of common stock. Proceeds from the sale are expected to be used to repurchase a portion of CommonWealth REIT’s oustanding debt securities.
