Inland Real Estate Income Trust Inc. plans to engage an investment bank to help the company review possible strategies to better position itself for future growth and improved shareholder value.
The company said there is no guarantee that the process will lead to a change in strategy or any potential transaction.
Additionally, the company plans to conduct a 1-for-2.5 reverse stock split and will transition to quarterly distributions.
The company said its board approved a reverse stock split of its common shares, whereby every 2.5 issued and outstanding shares will be converted into a solitary share. The company expects the reverse stock split to take effect in January 2018, and as a result of the split, its outstanding shares will be reduced from roughly 88,977,378 to about 35,590,951.
The board also approved a change in Inland's distribution policy to shift the payment of cash distributions to a quarterly basis from a monthly basis, effective Jan. 1, 2018, with the first quarterly distribution to be declared in March 2018 and payable in April 2018. The November and December dividends for 2017 will be paid as planned in December 2017 and January 2018, respectively.
To align with the transition to quarterly distributions, Inland's board amended the company's share repurchase program to change the processing of repurchase requests to a quarterly basis from a monthly basis, effective Jan. 1, 2018.
