MISSISSAUGA, ON, Jan. 6, 2021 /CNW/ - Morguard North American
Residential Real Estate Investment Trust (TSX: MRG.UN) (the "REIT")
announced today that the Toronto Stock Exchange has accepted its
notice of intention to make a normal course issuer bid through the
facilities of the TSX and/or alternative Canadian trading
systems.
The notice provides that the REIT may, during the twelve month
period commencing January 8, 2021 and
ending January 7, 2022, purchase for
cancellation up to 2,955,913 units ("Units") in total, being
approximately 10% of the public float of outstanding Units.
The daily repurchase restriction for the Units is 13,807.
Additionally, the REIT may purchase for cancellation up to
$8,048,000 principal amount of the
4.50% Convertible Unsecured Subordinated Debentures due
March 31, 2023 (TSX:MRG.DB.A)
("Debentures") being 10% of the public float of outstanding
Debentures. The daily repurchase restriction for the
Debentures is $8,253.
The price which the REIT will pay for any such Units and
Debentures will be the market price at the time of
acquisition. The actual number of Units and Debentures which
may be purchased and the timing of any such purchases will be
subject to compliance with the TSX guidelines.
Under the current normal course issuer bid expired on
December 20, 2020, the REIT was
approved to purchase up to 2,953,852 Units and $8,050,000 principal amount of Debentures through
the facilities of the TSX and/or alternative Canadian trading
systems. No Units were purchased for cancellation and no
Debentures were purchased for cancellation during the last twelve
months. As of December 31,
2020, there were 39,019,827 Units of the REIT outstanding
with an average daily trading volume for the prior six months of
55,230. Additionally, as of December
31, 2020 there were $85,500,000 principal amount Debentures of the
REIT outstanding with an average daily trading volume for the prior
six months of $33,015.
The REIT believes that, from time to time, its Units and
Debentures trade in a price range which does not adequately reflect
the value of such Units and Debentures in relation to the business
of the REIT and its future business prospects. As a result,
depending upon future price movements and other factors, the REIT
believes that its outstanding Units and Debentures may represent an
attractive investment for itself. Furthermore, the purchases
may benefit all persons who continue to hold Units by increasing
their equity interest in the REIT. All Units and Debentures
purchased by the REIT under the normal course issuer bid will be
cancelled.
About Morguard North American Residential REIT
The REIT is an unincorporated, open-ended real estate investment
trust which owns, through a limited partnership, interests in
Canadian residential apartment communities, located in Alberta and Ontario, and U.S. residential apartment
communities located in Colorado,
Texas, Louisiana, Illinois, Georgia, Florida, North
Carolina, Virginia and
Maryland.
For more information, please visit Morguard.com.
SOURCE Morguard North American Residential Real Estate
Investment Trust