MISSISSAUGA, ON, Feb. 5, 2019 /CNW/ - Morguard Real Estate
Investment Trust (TSX: MRT.UN) ("Trust") 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 Trust may, during the twelve month
period commencing February 7, 2019
and ending February 6, 2020, purchase
for cancellation up to 3,034,702 units ("Units) in total, being
approximately 5% of the outstanding Units. The daily
repurchase restriction for the Units is 9,835. Additionally,
the Trust may, during the twelve month period commencing
February 7, 2019 and ending
February 6, 2020, purchase for
cancellation up to $11,500,000
principal amount of the 4.50% Convertible Unsecured Subordinated
Debentures due December 31, 2021
(TSX:MRT.DB) ("Debentures"), being 10% of the public float of
outstanding Debentures. The daily repurchase restriction for
the Debentures is $14,175.
The price which the Trust will pay for any such Units or
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 its current normal course issuer bid due to expire
February 6, 2019, the Trust was
approved to purchase up to 3,034,586 Units and $11,500,000 principal amount of Debentures.
37,100 Units were purchased for cancellation during the last twelve
months at an average cost per share of $11.02 through the facilities of the TSX and/or
alternative Canadian trading systems and no Debentures were
purchased for cancellation during the last twelve months. As
of February 1, 2019, there were
60,694,053 Units of the Trust outstanding with an average daily
trading volume for the prior six months of 39,342.
Additionally, as of February 1, 2019
there were $175,000,000 principal
amount Debentures of the Trust outstanding with an average daily
trading volume for the prior six months of $56,700.
The Trust believes that its Units and Debentures, at times,
trade in a price range which does not adequately reflect the value
of such Units and Debentures in relation to the business of the
Trust and its future business prospects. As a result,
depending upon future price movements and other factors, the Trust
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 Trust. All Units and Debentures
purchased by the Trust under the normal course issuer bid will be
cancelled.
About Morguard Real Estate Investment Trust
The Trust is a closed-end real estate investment trust, which
owns a diversified portfolio of 49 high quality retail, office and
industrial income producing properties in Canada consisting of approximately 8.6 million
square feet of leaseable space.
For more information, please visit Morguard.com.
SOURCE Morguard Real Estate Investment Trust