Granite Real Estate Investment Trust and Granite REIT Inc.
(TSX: GRT.UN / NYSE: GRP.U) (“Granite REIT” and
“Granite GP”, and collectively, “Granite”) today
announced the acceptance by the Toronto Stock Exchange (the
“TSX”) of Granite GP’s Notice of Intention to Make a Normal
Course Issuer Bid (“NCIB”). Pursuant to the NCIB, Granite GP
proposes to purchase through the facilities of the TSX and any
alternative trading system in Canada, from time to time over the
next 12 months, if considered advisable, up to an aggregate of
6,349,296 of Granite’s issued and outstanding stapled units (the
“Stapled Units”) (each Stapled Unit consisting of one trust
unit of Granite REIT and one common share of Granite GP), being
approximately 10% of Granite’s public float of Stapled Units as of
May 12, 2023. Pursuant to a previous notice of intention to conduct
a NCIB, under which Granite sought and received approval from the
TSX to purchase up to 6,566,292 Stapled Units for the period of May
24, 2022 to May 23, 2023, Granite has purchased, as of May 12,
2023, 2,165,600 Stapled Units on the open market at a weighted
average purchase price of $71.81 per Stapled Unit. As of May 12,
2023, Granite had 63,743,762 Stapled Units issued and outstanding
and a public float of 63,492,968 Stapled Units.
The NCIB will commence on May 24, 2023 and will conclude on the
earlier of the date on which purchases under the bid have been
completed and May 23, 2024. Daily purchases made by Granite GP
through the TSX may not exceed 30,468 Stapled Units, being 25% of
the average daily trading volume of 121,872 Stapled Units on the
TSX for the six-month period ended April 28, 2023. These daily
maximums are subject to certain exceptions prescribed by the TSX,
including the “block purchase exemption”.
Granite GP intends to enter into an automatic securities
purchase plan with a broker as of the date on which the NCIB
commences in order to facilitate repurchases of the Stapled Units
under the NCIB during Granite’s scheduled blackout periods. Under
the automatic securities purchase plan, Granite GP’s broker may
repurchase Stapled Units under the NCIB in accordance with any
advance instructions that Granite GP may elect to deliver,
including without limitation repurchases made at times when Granite
GP would ordinarily not be permitted to repurchase Stapled Units
due to regulatory restrictions or self-imposed blackout periods.
Purchases will be made by Granite GP’s broker based upon the
parameters under the NCIB and the terms of the parties’ written
agreement.
The Board of Trustees of Granite REIT and the Board of Directors
of Granite GP believe that the potential purchases at prices below
Granite’s view of intrinsic value are in the best interests of
Granite and are a desirable use of Granite’s funds. All Stapled
Units that are purchased under the NCIB will be cancelled.
ABOUT GRANITE
Granite is a Canadian-based REIT engaged in the acquisition,
development, ownership and management of logistics, warehouse and
industrial properties in North America and Europe. Granite owns 142
investment properties representing approximately 62.8 million
square feet of leasable area.
OTHER INFORMATION
Copies of financial data and other publicly filed documents
about Granite are available through the internet on the Canadian
Securities Administrators’ Systems for Electronic Document Analysis
and Retrieval (SEDAR) which can be accessed at www.sedar.com and on
the United States Securities and Exchange Commission’s Electronic
Data Gathering, Analysis and Retrieval System (EDGAR) which can be
accessed at www.sec.gov. For further information, please see our
website at www.granitereit.com or contact Teresa Neto, Chief
Financial Officer, at 647-925-7560 or Andrea Sanelli, Associate
Director, Legal & Investor Services, at 647-925-7504.
FORWARD LOOKING STATEMENTS
This press release may contain statements that, to the extent
they are not recitations of historical fact, constitute
‘‘forward-looking statements’’ or “forward-looking information”
within the meaning of applicable securities legislation, including
the United States Securities Act of 1933, as amended, the United
States Securities Exchange Act of 1934, as amended, and applicable
Canadian securities legislation. Forward-looking statements and
forward-looking information may include, among others, statements
regarding Granite’s future distributions, Stapled Unit repurchases,
plans, goals, strategies, intentions, beliefs, estimates, costs,
objectives, economic performance, expectations, or foresight or the
assumptions underlying any of the foregoing. Words such as ‘‘may’’,
‘‘would’’, ‘‘could’’, ‘‘will’’, ‘‘likely’’, ‘‘expect’’,
‘‘anticipate’’, ‘‘believe’’, ‘‘intend’’, ‘‘plan’’, ‘‘forecast’’,
‘‘project’’, ‘‘estimate’’, “seek”, “objective” and similar
expressions are used to identify forward-looking statements and
forward-looking information. Forward-looking statements and
forward-looking information should not be read as guarantees of
future Stapled Unit repurchases, events, performance or results and
will not necessarily be accurate indications of whether or the
times at or by which such future Stapled Unit repurchases, events
or performance will be achieved. Undue reliance should not be
placed on such statements. Forward-looking statements and
forward-looking information are based on information available at
the time and/or management’s good faith assumptions and analyses
made in light of its perception of historical trends, current
conditions and expected future developments, as well as other
factors management believes are appropriate in the circumstances,
and are subject to known and unknown risks, uncertainties and other
unpredictable factors, many of which are beyond Granite’s control,
that could cause actual events or results to differ materially from
such forward-looking statements and forward-looking information.
Important factors that could cause such differences include, but
are not limited to, the risks set forth in the annual information
form of Granite REIT and Granite GP dated March 8, 2023 (the
“Annual Information Form”). The “Risk Factors” section of
the Annual Information Form also contains information about the
material factors or assumptions underlying such forward-looking
statements and forward-looking information. Forward-looking
statements and forward-looking information speak only as of the
date the statements and information were made and unless otherwise
required by applicable securities laws, Granite expressly disclaims
any intention and undertakes no obligation to update or revise any
forward-looking statements or forward-looking information contained
in this press release to reflect subsequent information, events or
circumstances or otherwise.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230518005755/en/
Teresa Neto Chief Financial Officer 647-925-7560 or Andrea
Sanelli Associate Director, Legal & Investor Services
647-925-7504
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