TORONTO, Oct. 12 /CNW/ - InterRent Real Estate Investment Trust (TSX:IIP.UN) ("InterRent") is pleased to announce that it has successfully completed its non-brokered private placement offering of 1,000,000 units (the "Units") to a current institutional unitholder for gross proceeds to InterRent of $5,090,000. Each Unit is comprised of one trust unit (a "Trust Unit") and one trust unit purchase warrant of InterRent (a "Warrant"). Each Warrant entitles the holder to purchase one Trust Unit, subject to adjustment, at a price of $5.09 for a period of 24 months from the date of closing. The Trust Units and Warrants are subject to a hold period and may not be sold, transferred or otherwise traded until February 13, 2008.
The proceeds from the offering will be used for general corporate purposes. Michael Newman, Chief Executive Officer of InterRent commented: "This equity investment by a current unitholder validates InterRent's growth strategy, provides additional funding for future acquisitions, and supports management's belief that its units are currently trading below InterRent's net asset value."
About InterRent
InterRent is a rapidly expanding, growth oriented real estate investment trust engaged in building unitholder value through the accretive acquisition, ownership and operation of strategically located income producing multi-residential real estate, with 4,007 apartment suites under ownership.
Forward Looking Statements
This news release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "anticipated", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". InterRent is subject to significant risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements contained in this release. A full description of these risk factors can be found in InterRent's publicly filed information which may be located at www.sedar.com. InterRent cannot assure investors that actual results will be consistent with these forward looking statements and InterRent assumes no obligation to update or revise the forward looking statements contained in this release to reflect actual events or new circumstances.