UPDATE 2-Health Care REIT offers to buy HealthLease in $950 mln deal

Wed Aug 13, 2014 12:02pm EDT
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* Health Care offers C$14.20/share for HealthLease

* Offer price fairly values HealthLease: analysts

* Rival bid unlikely, say analysts (Adds background, analyst comments, shares)

By Anand Basu

Aug 13 (Reuters) - Health Care REIT Inc said it would buy Canada's HealthLease Properties Real Estate Investment Trust in a deal valued at $950 million, including debt, to expand its presence in senior housing and post-acute care segments.

The acquisition is the latest in a series of deals as healthcare real estate companies look to take advantage of rising demand for senior care facilities in a consolidating sector.

Analysts said Health Care's offer fairly valued HealthLease.

They said chances of a rival bid were slim as it would be difficult to outbid Health Care, one of the largest U.S. healthcare real estate companies.

"HealthLease has a solid growth business model, but it would have required a lot of equity to get to the point to justify the $14.20 target price," National Bank Financial analyst Matt Kornack told Reuters.   Continued...