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Wednesday, February 27, 2013

Campus Crest to purchase stake in student housing rival, (NYSE: CCG)

Student housing operator Campus Crest Communities Inc said it would take a 48 percent stake in rival Copper Beech Townhome Communities LLC for $261.9 million to create the second-largest public student housing operator in terms of beds. Campus Crest would also have the option to purchase the remainder of Copper Beech over the next three years.The deal would provide Campus Crest entry into 12 markets.Copper Beech will continue to manage the day-to-day operations of the portfolio until Campus Crest owns at least 88.9 percent of its shares.Campus Crest said it expects the first stage of the acquisition to close during the first or second quarter of 2013 and to add to earnings in first full year of ownership.

Campus Crest Communities, Inc. is a self-managed, self-administered and vertically-integrated developer, builder, owner and manager of purpose-built student housing properties in the United States. Shares of CCG remained unchanged at $12.53. In the past year, the shares have traded as low as $10.02 and as high as $12.96. On average, 183452 shares of CCG exchange hands on a given day and today's volume is recorded at 0.