One overlooked sector I’ve been keeping track of – and have been wildly bullish on – for years now is senior housing, so I was hardly surprised to hear about the sector’s biggest merger news in years last June…
I’m talking about private-equity behemoth KKR & Co. LP (NYSE: KKR) buying Envision Healthcare Corp. (NYSE: EVHC) for $5.7 billion in cash, with the total deal value adding up to $9.9 billion including debt.
This was one of the largest leveraged buyouts of 2018.
Again, this isn’t a shock to those of us who pay attention to what the private-equity folks are doing with their funds.
Despite the bad rep that private-equity firms sometimes get, their activity can often point to the direction of profits.
And they’re currently pointing to one emerging trend set to hand three real estate investment trusts (REITs) – and their investors – a steady stream of profits over the next two decades…
I developed my rather voracious reading habits – some might say an addiction – as a wee lad way back in elementary school.
Those days are marked by vivid memories of my mother walking me up to the bookmobile in the Drug Fair parking lot every Thursday, and once a month or so we would go to the cathedral known as The Main Library.
This may come as a surprise to our younger readers out there, but back in my day (old man voice), we didn’t have tiny devices with the computing power of NASA in our pockets to distract ourselves with.
Instead, we passed the time by getting lost in different worlds of words, consuming as much storytelling as possible and spending time in the authors’ minds for hours on end.
I read a lot of war novels and westerns, which cultivated my standing belief that young men should be forced to read the frontier stories of Louis L’Amour to learn about honor, courage, respect, and the proper way to conduct themselves.
But my favorites were undoubtedly the real-life pirate stories – the tales of Blackbeard, Jean Lafitte, and even Grace O’Malley, the Irish Pirate Queen.
I retrospectively believe those to be my favorites because this love of piracy undoubtedly influences my investing approach…
And it’s this influence that has resulted in a perfect track record over the last five years…