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Morguard REIT Announces Completion of Previously Announced Public Offering of $175 Million of Convertible Debentures
Morguard REIT Announces Completion of Previously Announced Public Offering of $175 Million...
About this update from Morguard Real Estate Investment Trust
[{"type":"text","content":"\n\n\n\nMorguard REIT Announces Completion of Previously Announced Public Offering of $175 Million of Convertible Debentures\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\nMISSISSAUGA, ON, Dec. 30, 2016\n\n\n\n/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES/\n\n\n\nMISSISSAUGA, ON, Dec. 30, 2016 /CNW/ - Morguard Real Estate Investment Trust (\"Morguard REIT\" or the \"REIT\") (TSX: MRT.UN), announced today that it has completed its previously announced public offering (the \"Offering\"), on a bought deal basis, of $175 million aggregate principal amount of 4.50% convertible unsecured subordinated debentures due December 31, 2021 (the \"Debentures\"). The Debentures are convertible, at the option of the holder, into trust units of Morguard REIT at $20.40 per trust unit. The Offering was underwritten by a syndicate of underwriters co-led by RBC Capital Markets and TD Securities, and including BMO Capital Markets, CIBC, Scotiabank, HSBC Securities (Canada) Inc. and National Bank Financial Inc. As part of the transaction, Morguard Corporation purchased $50 million aggregate principal amount of the Debentures.\n\nThe REIT intends to use a portion of the net proceeds from the Offering to fund the redemption of all of the REIT's 4.85% convertible unsecured subordinated debentures (current outstanding principal balance of approximately $150.0 million) which mature on October 31, 2017 and which have a par call date of November 1, 2016. The REIT intends to use the remainder of the net proceeds, if any, to fund future acquisitions, for debt repayment and for general trust purposes.\n\nCopies of the REIT's short form prospectus are available on SEDAR at www.sedar.com.\n\nThe securities offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered, sold or delivered, directly or indirectly, in the United States or to, or for the account or benefit of, \"U.S. persons\" (as defined in Regulation S under the United States Securities...