AvalonBay (NYSE: AVB) director ends AVB stake as units convert to EQR
Rhea-AI Filing Summary
AVALONBAY COMMUNITIES INC director Conor C. Flynn reported a disposition to the issuer of 2,021.9415 shares of common stock, including deferred stock units. Following this transaction, his reported direct holdings of AVB common stock are 0 shares. The transaction is linked to a merger of equals in which AvalonBay Communities, Inc. combined with Equity Residential, with Merger Sub surviving as a wholly owned subsidiary of Equity Residential, which changed its name to Vivmark Residential. At the effective time of the merger, each deferred stock unit was automatically converted into the right to receive 2.793 Equity Residential common shares.
Positive
- None.
Negative
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Insider Trade Summary
Net Seller: 2,021.9415 shares
Net Sell
1 txn
Insider
Flynn Conor C
Role
Director
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Disposition | Common Stock, par value $.01 per share F1, F2, F3 | 2,021.9415 | -- | -- |
Holdings After Transaction:
Common Stock, par value $.01 per share — 0 shares (Direct)
Footnotes (3)
- F1. Pursuant to the Agreement and Plan of Merger, dated as of May 20, 2026 (the "Merger Agreement"), by and among AvalonBay Communities, Inc., a Maryland corporation ("AVB"), Equity Residential, a Maryland real estate investment trust ("EQR"), ERP Operating Limited Partnership, an Illinois limited partnership, and Canopy Merger Sub LLC, a Maryland limited liability company ("Merger Sub"), AVB and EQR combined in a merger of equals on August 17, 2026, with AVB merging with and into Merger Sub, with Merger Sub surviving as a wholly owned subsidiary of EQR (the "Merger"). In connection with the Merger, EQR changed its name to Vivmark Residential.
- F2. At the effective time of the Merger (the "Effective Time"), each issued and outstanding deferred stock unit held by the Reporting Person was automatically converted into the right to receive 2.793 (the "Exchange Ratio") common shares of beneficial interest, $0.01 par value per share ("EQR Common Shares"), of EQR. On August 14, 2026, the closing price of AVB Common Stock was $184.06 per share and the closing price of EQR Common Shares was $65.97 per share.
- F3. This total includes deferred stock units.
Key Figures
Shares disposed to issuer: 2,021.9415 shares
Shares held after transaction: 0 shares
Exchange Ratio: 2.793
+2 more
5 metrics
Shares disposed to issuer
2,021.9415 shares
Common Stock, par value $.01 per share, disposition to issuer by Conor C. Flynn
Shares held after transaction
0 shares
Total direct AVB common stock holdings following the reported disposition
Exchange Ratio
2.793
EQR common shares received per AVB deferred stock unit at the Effective Time
AVB closing price
$184.06 per share
Closing price of AVB Common Stock on August 14, 2026
EQR closing price
$65.97 per share
Closing price of Equity Residential common shares on August 14, 2026
Key Terms
Agreement and Plan of Merger, merger of equals, deferred stock unit, Exchange Ratio, +1 more
5 terms
Agreement and Plan of Merger regulatory
"Pursuant to the Agreement and Plan of Merger, dated as of May 20, 2026"
An Agreement and Plan of Merger is a formal document where two companies agree to combine into one, outlining how the process will happen. It’s like a step-by-step plan for merging, and it matters because it shows both sides have agreed on the details before the official transition takes place.
merger of equals financial
"AVB and EQR combined in a merger of equals on August 17, 2026"
A merger of equals is when two companies of similar size and value combine into a single business with shared ownership and leadership, rather than one company buying the other. Investors care because it reshuffles who owns and controls the combined company, aims to cut duplicate costs and strengthen market position, but also brings integration risks that can affect future profits and each company’s stock value.
deferred stock unit financial
"each issued and outstanding deferred stock unit held by the Reporting Person"
A deferred stock unit (DSU) is a promise from a company to give an employee or director the value of a share at a future date, paid in actual shares or cash when certain conditions are met (such as retirement or a set date). Think of it like a gift card that converts to company stock later; it aligns pay with long‑term performance and can affect future share count, compensation expense and potential cash needs, so investors watch DSUs for their impact on dilution and company finances.
Exchange Ratio financial
"was automatically converted into the right to receive 2.793 (the "Exchange Ratio")"
The exchange ratio is the number used to decide how many shares of one company you get for each share you own in another company during a merger or acquisition. It’s like a recipe that tells you how to swap shares fairly, ensuring both companies’ values are balanced. This ratio matters because it determines how ownership divides between the companies' shareholders.
FAQ
What transaction did Conor C. Flynn report in Form 4 for AVB?
Conor C. Flynn reported a disposition to the issuer of 2,021.9415 shares of AvalonBay Communities, Inc. common stock, including deferred stock units, leaving him with 0 shares of AVB common stock directly owned after the transaction.
How is AvalonBay Communities, Inc. (AVB) involved in the merger described in the filing?
AvalonBay Communities, Inc. (AVB) combined with Equity Residential in a merger of equals, with AVB merging into Canopy Merger Sub LLC, which survives as a wholly owned subsidiary of Equity Residential, which changed its name to Vivmark Residential.
What did AVB deferred stock units convert into for Conor C. Flynn?
Each AVB deferred stock unit held by Conor C. Flynn was automatically converted into the right to receive 2.793 Equity Residential common shares at the merger’s effective time, according to the stated Exchange Ratio in the agreement.
AI-generated analysis. How Rhea-AI works. Not financial advice.
