Business
Edgefront REIT announces closing of $19.25 million offering
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About this update from Nexus Industrial Reit
[{"type":"text","content":"\n\n/NOT FOR DISSEMINATION IN THE UNITED STATES OR DISTRIBUTION THROUGH UNITED STATES NEWS OR WIRE SERVICES/\n\n\n\nCALGARY, July 15, 2014 /CNW/ - Edgefront Real Estate Investment Trust (the \"REIT\") (TSXV: ED.UN) announced today the closing of its previously announced $19,250,000 public offering consisting of a treasury offering of 8,750,000 Units, at a price of $2.00 per Unit, for gross proceeds of $17,500,000 and a secondary offering by way of the exercise in full of the over-allotment option for 875,000 Units for gross proceeds of $1,750,000. \n\n\"We are extremely pleased that in a difficult market for small cap REITs, our business story has resonated with the investing public to enable us to successfully complete our offering and acquire the three properties.  This strong show of support further emphasizes Edgefront's unique business strategy and bodes well for our investors in the future\", commented Kelly Hanczyk, the REIT's Chief Executive Officer.\n\nThe offering was conducted through a syndicate of underwriters led by Dundee Securities Ltd. and Scotia Capital Inc. and including National Bank Financial Inc., TD Securities Inc., Desjardins Securities Inc. and GMP Securities L.P.  \n\nThe net proceeds of the treasury offering are being used to finance the previously announced acquisition (the \"Acquisition\") of three income producing industrial properties in Alberta controlled by TriWest Capital Partners through two of its portfolio companies, Triple M Housing Ltd. and Northern Mat & Bridge Limited Partnership, which is expected to close later today.  The remainder of the purchase price for the Acquisition is being satisfied by cash on hand and cash to be received in respect of a draw down on the REIT's credit facility.\n\nThe Units sold pursuant to the offering have been listed on the TSX Venture Exchange (\"TSXV\") under the REIT's existing trading symbol ED.UN. The REIT now has 28,217,362 units issued and outstanding. Additionally, there are 360,000 Class B LP units of Edgefront Limited Partnership issued and outstanding.\n\nAbout the REIT \n\nEdgefront REIT is a growth oriented real estate investment trust focused on increasing unitholder value through the acquisition, ownership and management of industrial properties located in primary and secondary markets in North America, with an in...