NEW
GLASGOW, NS, March 23,
2023 /CNW/ - Crombie Real Estate Investment Trust
("Crombie" or the "REIT") (TSX: CRR.UN), announced today that it
entered into an agreement to issue $200
million aggregate principal amount of Series K Senior
Unsecured Notes maturing September 28,
2029 (the "Series K Notes"). The Series K Notes will bear
interest at a rate of 5.244% per annum.
The Series K Notes are being offered with a syndicate of agents,
co-led by TD Securities Inc., Scotia Capital Inc., and BMO Nesbitt
Burns Inc., and including CIBC World Markets Inc., National Bank
Financial Inc., Desjardins Securities Inc., and RBC Dominion
Securities Inc., to sell, on a best effort, private placement
basis.
Net proceeds from the Series K Notes offering will be used to
repay the $150 million drawn on the
unsecured non-revolving bank loan and certain indebtedness
outstanding on Crombie's revolving credit facilities and for
general trust purposes.
The offering is expected to close on or about March 28, 2023 and is subject to customary
closing conditions, including receipt of necessary consents and
approvals and the Series K Notes receiving a rating of at least
BBB(low) with a stable trend from DBRS.
The Series K Notes will be sold in Canada on a private placement basis pursuant
to certain prospectus exemptions. The offer and sale of the Series
K Notes will not be registered under the United States Securities
Act of 1933, as amended (the "Securities Act") or any state
securities laws, and the Notes may not be offered or sold in
the United States or to, or for
the account or benefit of, U.S. persons absent registration or an
applicable exemption from the registration requirements of the
Securities Act and applicable state securities laws.
This news release does not constitute an offer to sell, or a
solicitation of an offer to buy, any security and shall not
constitute an offer, solicitation or sale in any jurisdiction in
which such an offer, solicitation, or sale would be unlawful. The
Toronto Stock Exchange has neither approved nor disapproved the
form or content of this press release.
About Crombie REIT
Crombie invests in real estate that enriches local communities
and enables long-term sustainable growth. As one of the country's
leading owners, operators, and developers of quality real estate,
Crombie's portfolio primarily includes grocery-anchored retail,
retail-related industrial, and mixed-used residential properties in
Canada's top urban and suburban
markets. As at December 31, 2022, our
portfolio contains 289 income-producing properties comprising
approximately 18.4 million square feet, and a significant pipeline
of future development projects. Learn more at
www.crombie.ca.
This news release may contain forward-looking statements that
reflect the current expectations of management of Crombie about
Crombie's future results, performance, achievements, prospects and
opportunities. Wherever possible, words such as "continue", "may",
"will", "estimate", "anticipate", "believe", "expect", "intend" and
similar expressions have been used to identify these
forward-looking statements. These statements reflect current
beliefs and are based on information currently available to
management of Crombie, and include, without limitation, statements
regarding the expected amount and timing of the offering which
remains subject to the sale by the agents and may be impacted by
market conditions. There is no assurance that the offering
will be completed.
Readers are cautioned that such forward-looking statements are
subject to certain risks and uncertainties that could cause actual
results to differ materially from these statements. Crombie can
give no assurance that actual results will be consistent with these
forward-looking statements. A number of factors, including those
discussed in the Annual Information Form for the year ended
December 31, 2021 under "Risks",
could cause actual results, performance, achievements, prospects or
opportunities to differ materially from the results discussed or
implied in the forward-looking statements. These factors should be
considered carefully and a reader should not place undue reliance
on the forward-looking statements. There can be no assurance that
the expectations of management of Crombie will prove to be
correct.
SOURCE Crombie REIT