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Canadian Tire Corporation and CT REIT Announce Closing of $240 million Joint Secondary and Treasury Offering of CT REIT Units
Canadian Tire Corporation and CT REIT Announce Closing of $240 million Joint Secondary and...
About this update from Canadian Tire Corporation, Limited
[{"type":"text","content":"\n\n\n\nCanadian Tire Corporation and CT REIT Announce Closing of $240 million Joint Secondary and Treasury Offering of CT REIT Units\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, Sept. 19, 2019\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/\n TORONTO, Sept. 19, 2019 /CNW/ - CT Real Estate Investment Trust (\"CT REIT\") (TSX: CRT.UN) and a subsidiary of Canadian Tire Corporation, Limited (\"Canadian Tire\", \"CTC\" or the \"Company\") (TSX: CTC) (TSX: CTC.A) announced today that they have closed the previously announced public offering of 16,846,000 Units of CT REIT (\"Units\") at a price of $14.25 per Unit (the \"Offering\"). The Offering consisted of a secondary offering of 10,530,000 Units by CTC and a treasury offering of 6,316,000 Units by CT REIT for gross proceeds of approximately $150 million and $90 million, respectively.\nThe net proceeds of the secondary offering will be used by CTC to support the continued investment in its business, including recently completed acquisitions, and for general corporate purposes. The net proceeds of the treasury offering will be used by CT REIT to pay down amounts owing on its credit facility, to fund its investment program and for general working capital and corporate purposes. The combined secondary and treasury offering strengthens CT REIT by increasing its public float, thereby enhancing the trading liquidity of CT REIT's units which should qualify for eventual inclusion in certain broader market indices. \nThe Offering was made through a syndicate of underwriters led by CIBC Capital Markets, RBC Capital Markets and BMO Capital Markets (the \"Underwriters\"). The Underwriters were granted an over-allotment option to purchase up to an additional 2,457,000 Units in the aggregate from CT REIT and a subsidiary of CTC on the same terms and conditions as the Offering, exercisable at any time, in whole or in part, for a period of 30 days following the closing of the Offering. \nAs a result of the Offering, CTC decrease...