VANCOUVER, Jan. 23 /CNW/ - Westshore Terminals Income Fund (TSX: WTE.UN) (the "Fund") announced today that the record date for the offering to unitholders of rights to acquire additional units will be February 2, 2007, and the rights can be traded on The Toronto Stock Exchange on and after that date. It is expected that certificates representing the rights, along with the Fund's rights offering circular, will be mailed to unitholders on or before February 7, 2007. The rights will expire on March 1, 2007.
As announced on December 19, 2006, unitholders will receive rights to subscribe for approximately $20 million of units, and will have an additional (second stage) subscription privilege to subscribe for any units not taken up on the exercise of rights. 36 rights entitle the holder to acquire one additional Fund unit for $10.45 cash.
The issue price for the units under the rights offering was the weighted average trading price of the units on The Toronto Stock Exchange for the five day period ended December 18, 2006, less a discount of approximately 10%. This pricing is in accordance with the requirements of The TSX. Upon completion of the rights offering and the previously announced $20 million private placement to Jim Pattison Developments Ltd., a total of approximately 3.9 million additional units of the Fund will be issued, representing 5.5% of the currently outstanding number of units.
Notice to Non-Canadian Resident Holders of Fund Units
The rights and the Fund units issuable upon exercise of the rights have not been and will not be registered under the United States Securities Act of 1933, as amended and consequently, the rights and the Fund units issuable upon exercise of the Rights will not be offered to persons who are not Canadian residents.
Rights that would otherwise be issued to persons who are not Canadian residents will be issued to and held by Computershare Investor Services, who will hold rights as agent for the benefit of such holders. Computershare will hold the rights until 4 p.m. (Toronto time) on February 16, 2007 in order to give such persons an opportunity to claim their rights.
After February 16, 2007, Computershare will, for the account of such persons, and prior to March 1, 2007, attempt to sell the rights at the price or prices it determines in its discretion. Any proceeds received by Computershare (net of brokerage fees, withholding tax and costs incurred, if any) will be divided on a pro rata basis among such holders and delivered by mailing cheques (in Canadian funds) as soon as practicable to such persons.
Full details of the rights offering will be set out in the rights offering circular mailed to registered unitholders, and which, after the record date, will be available on www.SEDAR.com and on the Fund's website: www.westshore.com.