Realty Income to Acquire Vereit in $11 Billion Property Deal (2)

Realty Income Corp., an owner of pharmacies, convenience stores and other commercial properties, agreed to acquire competitor Vereit Inc. in an all-stock transaction with an equity value of roughly $11 billion.

The combined company plans to spin off its office properties into a new real estate investment trust after the transaction closes so that it can focus on retail and industrial real estate in the U.S. and U.K., according to a statement Thursday.

Vereit shares jumped as much as 19% to $49.22 in New York trading. The stock had gained 9.2% this year through Wednesday. Realty Income’s shares ...