Home builders Lennar, CalAtlantic to merge in $9 billion deal


Home builders Lennar Corp.

LEN, -0.77%

and CalAtlantic Group Inc.

CAA, +1.18%

on Monday said they plan to merge in a deal worth about $9.3 billion, including $3.6 billion in assumed net debt. Each CalAtlantic share will be exchanged for 0.885 share of Lennar Class A common stock in a move that values CalAtlantic shares at $51.34, a 27% premium to where they closed Friday, the two companies said in a news release. CalAtlantic’s stock traded 9% higher in thin premarket action, while Lennar was not yet active.