/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY
CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW./
TORONTO, June 4, 2015 /CNW/ - H&R Real Estate
Investment Trust ("H&R REIT" or the "REIT") and H&R Finance
Trust (collectively, "H&R") (TSX: HR.UN; HR.DB.D; HR.DB.E and
HR.DB.H) today announced receipt of final acceptance from the
Toronto Stock Exchange ("TSX") of H&R's notice of intention to
make a normal course issuer bid ("NCIB"). Under the NCIB,
H&R REIT will have the ability to purchase for cancellation up
to a maximum of 5,000,000 Stapled Units on the open market.
As at May 26, 2015, H&R had 276,087,294 outstanding
Stapled Units.
The NCIB will commence on June 9,
2015 and remain in effect until the earlier of June 8, 2016 and the date on which H&R REIT
has purchased the maximum number of Stapled Units permitted under
the NCIB. Purchases of Stapled Units under the NCIB will be made in
accordance with TSX by-laws, rules and policies through the
facilities of the TSX, and through alternative trading systems. The
Stapled Units so purchased will be cancelled. The price paid for
any repurchased units will be the market price of such Stapled
Units at the time of acquisition. Daily purchases will be limited
to 138,491 Stapled Units other than block purchase exemptions.
H&R believes that its outstanding Stapled Units represent an
attractive investment, and the ongoing purchase of its outstanding
Stapled Units may benefit all persons who continue to hold Stapled
Units by increasing their equity interest in H&R.
H&R intends to establish an automatic purchase plan under
which its broker may purchase Stapled Units according to a
prearranged set of criteria. The plan will enable the purchase of
Stapled Units at any time, including when H&R would not
ordinarily be active in the market because of internal trading
blackout periods, insider trading rules or otherwise. The plan will
terminate on the earliest of: the date on which the purchase limits
specified in the plan have been attained, the date on which the
normal course issuer bid terminates or the date on which the plan
is terminated by a party in accordance with its terms. To
H&R's knowledge, after reasonable inquiry, none of the
directors, officers or other insiders of H&R or any associate
of any such persons, or any associate or affiliate of H&R
currently intends to sell Stapled Units to H&R during the
course of the issuer bid.
H&R has made purchases of Stapled Units under a normal
course issuer bid through the facilities of the TSX which was
approved by the TSX on April 11, 2014
and expired April 14, 2015.
Under that bid, H&R purchased and cancelled 246,700 Stapled
Units at a weighted average price of $21.85 per Stapled Unit.
About H&R REIT and H&R Finance Trust
H&R REIT is Canada's
largest diversified real estate investment trust with total assets
of approximately $13.5 billion as at
March 31, 2015. H&R REIT is a
fully internalized REIT and has ownership interests in a North
American portfolio of high quality office, retail, industrial and
residential properties comprising over 46 million square feet.
H&R Finance Trust is an unincorporated investment trust,
which primarily invests in notes issued by a U.S. corporation which
is a subsidiary of H&R REIT. The current note receivable
balance is U.S. $220.4 million. In
2008, H&R REIT completed an internal reorganization which
resulted in each issued and outstanding H&R REIT unit trading
together with a unit of H&R Finance Trust as a "Stapled Unit"
on the Toronto Stock Exchange.
Forward-looking Statements
Certain statements in this news release contain forward-looking
information within the meaning of applicable securities laws (also
known as forward-looking statements). These forward-looking
statements include, but are not limited to H&R's plans,
objectives, expectations and intentions, including H&R's
expectations regarding future developments in connection with the
normal course issuer bid and the receipt of regulatory approvals,
H&R's intention to repurchase Stapled Units in the open market
and other statements contained in this release that are not
historical facts. Such forward-looking statements reflect H&R's
current beliefs and are based on information currently available to
management. These statements are not guarantees of future
performance and are based on H&R's estimates and assumptions
that are subject to risks and uncertainties, including those
discussed in H&R's materials filed with the Canadian securities
regulatory authorities from time to time, which could cause the
actual results and performance of H&R to differ materially from
the forward-looking statements contained in this news release.
Material factors or assumptions that were applied in drawing a
conclusion or making an estimate set out in the forward-looking
statements include that the general economy is stable; local real
estate conditions are stable; interest rates are relatively stable;
and equity and debt markets continue to provide access to capital.
H&R cautions that this list of factors is not exhaustive.
Although the forward-looking statements contained in this news
release are based upon what H&R believes are reasonable
assumptions, there can be no assurance that actual results will be
consistent with these forward-looking statements. All
forward-looking statements in this news release are qualified by
these cautionary statements. These forward-looking statements are
made as of today and H&R, except as required by applicable law,
assumes no obligation to update or revise them to reflect new
information or the occurrence of future events or
circumstances.
Additional information regarding H&R REIT is available at
www.hr-reit.com and on www.sedar.com.
SOURCE H&R Real Estate Investment Trust