Tricon Residential has received final regulatory approval for U.S. investment giant Blackstone’s US$3.5-billion acquisition of the Canadian company.

Toronto-based Tricon announced reported the approval, which was in accordance with Ontario’s Business Corporations Act, in a news release. The deal is expected to close Wednesday.

Blackstone intends to take Tricon private with its stock being delisted from the New York and Toronto stock exchanges.

The regulatory approval came after the Ontario Superior Court of Justice (Commercial List) granted a final order approving a plan of arrangement that will see Blackstone take the company private. The decision cleared the last major hurdle for Blackstone’s court-monitored purchase under a plan of arrangement.

The deal calls for Blackstone Real Estate Partners X and Blackstone Real Estate Income Trust, Inc. (BREIT) to acquire all outstanding common shares of Toronto-based Tricon for US$11.25 (approximately C$15.17) per common share in cash. Upon the deal’s completion, BREIT will maintain its approximately 11% ownership stake in Tricon. 

The regulatory and court approvals occurred after shareholders representing 99.3% of Tricon’s common shares voted in favour of the deal. The shareholder support came after independent proxy advisory firms Institutional Shareholder Services and Glass Lewis endorsed the purchase and recommended that shareholders do likewise. Tricon’s board also recommended that shareholders accept the deal.

Founded in 1988, Tricon ranks among Toronto’s largest rental apartment owners. The company has US$2.5 billion of apartment buildings under development in the Ontario capital.

But most of Tricon’s assets are located in the U.S. and comprise a growing portfolio of 38,000 single-family rental homes in sunbelt states. All of the firm’s Canadian assets are based in Toronto. The company’s Canadian multi-family development platform is building approximately 5,500 market-rate and affordable multi-family rental apartments.

The Canadian portfolio includes retail and office assets within mixed-use properties that include residential components.

Pictured: Tricon’s Canary Landing property in Toronto