Shares in Gaming & Leisure Properties Inc. climbed $4.06, or 12.5 percent, after the Wyomissing, Pa., company announced a hostile, $4.1 billion offer for the real estate holdings of Pinnacle Entertainment Inc., a Las Vegas casino company.
It was the biggest one-day gain for Gaming & Leisure Properties since the real estate investment trust was spun off from Penn National Gaming Inc. in the fall of 2013 to own most of Penn National's real estate. The stock closed at $36.43.
Pinnacle owns 15 casinos and announced last fall that its board had decided to split into two companies, one to own its real estate and one to operate its casinos. Shares in Pinnacle were up even more, gaining 15.3 percent, or $4.19, to close at $31.61.
Gaming & Leisure Properties made its offer public after becoming disatisfied with the progress of private talks since December, according to its letter to the Pinnacle board.