Firm Capital Apartment Real Estate Investment Trust Announces Exchange Approval Of Normal Course Issuer Bid For Debentures
September 20 2023 - 5:01PM
Firm Capital Apartment Real Estate Investment Trust (the
“
Trust”), (TSXV: FCA.UN), (TSXV: FCA.U) is pleased
to announce that it has received approval from the TSX Venture
Exchange (the "
Exchange") to commence a normal
course issuer bid (the "
Bid") to purchase up to
$1,929,068 principal amount of the CAD$19.4 million, 6.25%
convertible unsecured subordinated debentures of the Trust due June
30, 2026 ("
Debentures ") (TSXV:FCA.DB), being
equal to 10% of the Public Float (as defined in the policies of the
Exchange) as at September 11, 2023. Pursuant to the policies of the
Exchange, the Bid will commence on September 25, 2023 and will end
on the earlier of September 24, 2024, or at such time as the Bid
has been completed or the Bid is terminated at the Trust's
discretion.
The Board of Trustees is of the opinion that it
is in the best interest of the Trust and its security holders to
purchase the Debentures at a discount to Par, through the Bid,
while providing liquidity for the security holders. It is the
intent of the Trust to acquire as much of the Debentures as
possible up to the maximum allowable under the rules of the
Exchange in the context of market pricing, thus providing liquidity
for existing holders of the Debentures.
All Debentures purchased pursuant to the Bid
will be made on the open market through the facilities of the
Exchange by Clarus Securities Inc. on behalf of the Trust, and the
purchase and payment for the acquired Debentures will be made by
the Trust in accordance with the requirements of the Exchange. The
Trust intends to fund the purchases out of available cash. All
Debentures purchased pursuant to the Bid will thereafter be
delivered to the Debenture Trustee and cancelled.
To the knowledge of the Trust, no trustee,
senior officer, or other insider of the Trust, or any associate of
such person, or any associate or affiliate of the Trust, currently
intends to sell any Debentures into the Bid. However, sales by such
persons through the facilities of the Exchange or any other
available market or alternative trading system in Canada may occur
if the personal circumstances of any such person change or if any
such person makes a decision unrelated to the Bid. The benefits to
any such person whose Debentures are purchased would be the same as
the benefits available to all other holders whose Debentures are
purchased.
FORWARD LOOKING INFORMATION
Certain information in this news release constitutes
forward-looking statements under applicable securities law. Any
statements that are contained in this news release that are not
statements of historical fact may be deemed to be forward-looking
statements. Forward-looking statements are often identified by
terms such as “may”, “should”, “anticipate”, “expect”, “intend” and
similar expressions. Forward-looking statements in this press
release include statements relating to the timing and amount of
Debentures that may be acquired under the normal course issuer bid
and the Trust's future business plans. Forward-looking statements
necessarily involve known and unknown risks, including, without
limitation, risks associated with general economic conditions;
adverse factors affecting the U.S. real estate market generally or
those specific markets in which the Trust holds properties;
volatility of real estate prices; inability to access sufficient
capital from internal and external sources, and/or inability to
access sufficient capital on favourable terms; industry and
government regulation; changes in legislation, income tax and
regulatory matters; the ability of the Trust to implement its
business strategies; competition; currency and interest rate
fluctuations and other risks, including those described in the
Trust’s public disclosure documents filed on SEDAR+ at
www.sedarplus.ca.
Readers are cautioned that the foregoing list is
not exhaustive. Readers are further cautioned not to place undue
reliance on forward-looking statements as there can be no assurance
that the plans, intentions or expectations upon which they are
placed will occur. Such information, although considered reasonable
by management at the time of preparation, may prove to be incorrect
and actual results may differ materially from those anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Additional information about the Trust is
available at www.firmcapital.com or www.sedarplus.ca.
For further information, please contact: |
Sandy
Poklar |
Claudia
Alvarenga |
President & Chief Executive Officer |
Chief Financial Officer |
(416) 635-0221 |
(416) 635-0221 |
|
|
For Investor Relations information, please
contact: |
Victoria Moayedi |
|
Director, Investor Relations |
|
(416) 635-0221 |
|
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