Under the terms of the deal, subject to approval by New York REIT shareholders, JBG equity holders would own 65.2% of the combined company, with New York REIT shareholders owning the remaining 34.8%, the companies said Wednesday. New York REIT Inc. NYRT -7.05 % and JBG Cos. have agreed to merge, forming an $8.4 billion real estate trust focused on the New York City and Washington, D.C., markets. The deal, structured to be a tax-free transaction to New York REIT shareholders, is slated to close by year’s end. New York REIT, under pressure from activist investor Jonathan Litt, said last year that it was considering a sale. Michael Happel, New York REIT chief executive and president, has agreed to serve as consultant over an unspecified transition period, the companies said Wednesday.

Source: Wall Street Journal May 25, 2016 16:37 UTC