WCI’s stock decline raises question about it spurning Icahn’s offer
Since billionaire investor Carl Icahn’s $22-a-share offer for WCI Communities Inc. expired in May, the luxury builder has seen its stock price fall as the housing market continues to stumble.
Some question whether the company — a developer of waterfront and country club communities — made a mistake when it rejected Icahn’s offer.
“Like other public home builders, the stock has been on the decline. In retrospect was Mr. Icahn’s offer a good one as far as at the time he made it? I would say yes. And in retrospect, would it have been wise to take that offer? Again I would answer affirmative,” said Jack McCabe, a South Florida real estate guru and chief executive at McCabe Research & Consulting in Deerfield.
WCI could see its stock price and value fall further as it continues to talk to possible buyers.