NEW YORK (AP) -- The senior housing sector got a bump today after a real estate investment trust plunked down $1 billion for Senior Living Inc. in McLean, Va.
Health Care REIT Inc. said it would pay $14.50 each for Sunrise shares, a premium of 62 percent to its closing price of $8.93 on Tuesday. Those shares rose to $14.21 in afternoon trading on Wednesday.
The deal needs the approval of Sunrise shareholders. It's expected to close in the first half of 2013.
Investors, however, did not wait to put money into other companies in the sector, placing bets as to which company in the sector might be the next target of a buyout.
Brookdale Senior Living Inc. shares rose $1.90, or 9.5 percent, to $21.81. Emeritus Corp. gained 70 cents, or 3.6 percent, to $20.25. Assisted Living Concepts Inc. jumped 57 cents, or 7.6 percent, to $8.05, and Five Star Quality Care Inc. rose 25 cents, or 6.4 percent, to $4.13.
Capital Senior Living Corp. tackedon 56 cents, or 4.9 percent, to $12.11, and Skilled Healthcare Group Inc. rose a dime, or 1.9 percent, to $5.34.