Apple Hospitality REIT and Apple REIT Ten, each of which is a real estate investment trust, announced that their respective shareholders have approved the previously announced merger transaction proposals under which the companies will combine to create one of the largest upscale, select-service lodging REITs in the industry. Apple Hospitality shareholders approved the issuance of common shares to shareholders of Apple Ten pursuant to the definitive merger agreement dated April 13, 2016, as amended. Separately, Apple Ten shareholders approved the merger agreement, the related plan of merger, the merger and the other transactions contemplated thereby. Approximately 93 percent of Apple Hospitality’s common shares and 83 percent of Apple Ten’s units present at the special meetings were voted in favor of the respective merger transaction proposals.
As a result of the merger, each outstanding unit of Apple Ten (consisting of one common share of Apple Ten and one Series A preferred share of Apple Ten) would be exchanged for combined consideration of $1 in cash and 0.522 Apple Hospitality common shares, and each Apple Ten Series B convertible preferred share would receive the same consideration on an as-converted basis. Following completion of the merger, the common shares of Apple Hospitality will continue to trade under the ticker symbol “APLE” on the New York Stock Exchange.