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Granite Prices Offering of $250 Million 3.788% Senior Debentures Due 2021
TORONTO , June 23, 2014 /CNW/ -  Granite Real Estate Investment Trust ("Granite") (T...
About this update from Granite Real Estate Investment Trust
[{"type":"text","content":"\n\nTORONTO, June 23, 2014 /CNW/ - Granite Real Estate Investment Trust (\"Granite\") (TSX: GRT.UN; NYSE: GRP.U) announced today that its wholly owned subsidiary Granite REIT Holdings Limited Partnership (\"Granite LP\") has priced an offering (the \"Offering\") of $250 million aggregate principal amount of 3.788% Series 2 Senior Debentures due 2021 (the \"Debentures\"). The Debentures will be guaranteed by Granite, Granite REIT Inc. and certain subsidiaries of Granite LP.  The offering of the Debentures is expected to close on or about July 3, 2014, subject to the satisfaction of certain customary closing conditions.\n\nGranite LP intends to use the net proceeds of the Offering of approximately $249 million, together with other available funds, to redeem the outstanding $265 million 6.05% debentures due December 2016 (the \"2016 Debentures\"). Should the 2016 Debentures be redeemed in full, the guarantees of certain subsidiaries of Granite LP pertaining to the Debentures will be automatically released.\n\nThe Debentures will be publicly offered in Canada under Granite LP's previously filed base shelf prospectus (the \"Prospectus\"), pursuant to an agency agreement with certain financial institutions.  Granite LP will also file with applicable securities regulators in each of the provinces and territories of Canada a prospectus supplement to the Prospectus (the \"Prospectus Supplement\") relating to the Offering. Copies of the Prospectus and the Prospectus Supplement may be accessed at www.sedar.com.\n\nThis press release does not constitute an offer to sell or the solicitation of an offer to buy the Debentures in any jurisdiction. The Debentures being offered have not been approved or disapproved by any regulatory authority nor has any such authority passed upon the accuracy or adequacy of the Prospectus or the Prospectus Supplement.\n\nThe Debentures have not been and will not be registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), and accordingly may not be offered or sold in the United States or to or for the account or benefit of U.S. Persons (as such term is defined in Regulation S under the U.S. Securities Act) except in transactions exempt from the registration requirements of the U.S. Securities Act.\n\nABOUT GRANITE\n\nGranite is a Canadian-based REIT engag...