CIM Commercial Trust Shares Higher

CIM Commercial Trust has repurchased more than 26 million shares in a privately negotiated transaction from a fund managed by an affiliate of CIM Group, the manager of CIM Commercial Trust. The shares were purchased at $22 per share for an aggregate purchase price of $576 million.

For all common shareholders to participate in the economic benefit of the share repurchase in an equitable manner, CIM Commercial will pay a special cash dividend of $1.98 per share. The amount of the special cash dividend per common share was calculated based on the spread between $22 and the volume-weighted average price per common share for the 20 trailing trading days through June 9 of $15.82 per common share. The dividend will be paid on June 27 to shareholders of record as of June 20. The board also approved a regular quarterly cash dividend of $0.125 per share payable on June 27 to shareholders of record as of June 20. Shares were up by more than 7% in early Monday trading.

By Stephen Holmes