Strawberry Fields REIT, a triple net lease REIT with a portfolio of healthcare properties, withdrew its plans for a direct listing on the Nasdaq on Wednesday. It had filed in March 2022. The company cited the need for additional round lot shareholders to meet the initial listing requirements for the Nasdaq and market conditions as the reasons for the withdrawal.
The Registered Stockholders had planned to sell up to 1.5 million shares of common stock. Strawberry Fields disclosed an internal valuation of $9.23 per share, based on a third-party valuation done in March. At that price, the company would have commanded a market value at listing of more than $490 million including the conversion of OP units.
Strawberry Fields REIT's portfolio includes 79 healthcare properties, of which 78 are owned, located throughout the states of Arkansas, Illinois, Indiana, Kentucky, Michigan, Ohio, Oklahoma, Tennessee and Texas. The properties comprise 85 healthcare facilities, consisting of 74 stand-alone skilled nursing facilities, four dual-purpose facilities used as both skilled nursing facilities and long-term acute care hospitals, and three assisted living facilities.
The South Bend, IN-based company was founded in 2014 and booked $87 million in revenue for the 12 months ended December 31, 2021. It had planned to list on the Nasdaq under the symbol STRW. As a direct listing without a firm commitment offering, there were no underwriters on the deal; instead, Cantor Fitzgerald was set to serve as a financial advisor.
