Diversified Healthcare holder Flat Footed issues open letter to shareholders

Flat Footed “a top shareholder of Diversified Healthcare Trust (DHC) and the owner of approximately 9.8% of the Company’s outstanding common shares, issued the below letter in response to DHC’s latest attempt to convince shareholders to vote in favor of the proposed merger with Office Properties Income Trust (OPI) “FFL owns approximately 9.8% of DHC’s outstanding common shares and a meaningful portion of the Company’s longer-dated unsecured notes. As a long-term investor with an equity to debt ownership ratio of roughly 1:1.4, we believe our interests are squarely aligned with all investors seeking to maximize the value of the Company’s exceptional assets. We cannot say the same about The RMR Group , which is the inherently conflicted external manager for both DHC and OPI. As detailed below and in our prior communications, RMR stands to benefit greatly from the proposed merger at our collective expense. This is why we are allocating our own capital, energy, and time to a campaign urging you to vote AGAINST the flawed, value-destructive DHC-OPI merger at the upcoming Special Meeting. As you may know, FFL issued a comprehensive presentation earlier this month that focuses on three key points: The proposed merger materially undervalues DHC. Merger-related consideration of just $1.15 per share for DHC shareholders is woefully inadequate compared to other credible valuations of the Company that range from $4 per share to $15.80 per share.”