/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES
OR DISSEMINATION IN THE UNITED
STATES/
TORONTO, Dec. 19, 2017 /CNW/ - Firm Capital American
Realty Partners Corp. (the "Corporation") (TSXV: FCA.U/FCA)
is pleased to announce that its previously-announced overnight
marketed public offering (the "Offering") will consist of
467,000 common shares of the Corporation (the "Offered
Shares"). The Offered Shares are being issued at a price of
US$7.50 per Offered Share or
CDN$9.64. The gross proceeds from the
Offering are expected to be US$3.5
million (or CDN$4.5 million
).
The Offering is being conducted by a syndicate of underwriters
led by Canaccord Genuity Corp., and which includes Echelon Wealth
Partners Inc., GMP Securities L.P., Industrial Alliance Securities
Inc. and TD Securities Inc. (collectively, the
"Underwriters"). Investors will have the option of
subscribing for the Offered Shares in U.S. dollars or Canadian
dollars. In addition, the Corporation has granted the Underwriters
an over-allotment option to purchase up to that number of Offered
Shares representing 15% of the size of the Offering, on the same
terms and conditions, exercisable at any time, and from time to
time, in whole or in part, up to 30 days after the closing of the
Offering.
The Offered Shares will be sold pursuant to a (final) prospectus
supplement (the "Final Supplement") to the short form base
shelf prospectus dated September 15,
2017, to be filed with the securities regulatory authorities
in each of the provinces of Canada, other than Quebec.
The Corporation intends to use the net proceeds of the Offering:
(i) to fund prospective acquisitions of income producing
multi-family residential properties in the United States primarily in joint venture
partnerships; (ii) to fund prospective investments in mortgage debt
on real estate properties in the United
States; (iii) for the repayment of debt; and (iv) for
working capital and general corporate purposes.
The Offering is scheduled to close on or about December 28, 2017, subject to satisfaction of
customary closing conditions, including the receipt of all
necessary regulatory and stock exchange approvals.
About the Corporation
The Corporation is a United
States focused real estate investment company that pursues
real estate and debt investments through the following
platforms:
- Income Producing Real Estate Investments: Acquiring
income producing real estate assets in major cities across the U.S.
Acquisitions are completed by the Corporation primarily in
joint-venture partnerships with local industry expert partners who
retain property management responsibilities; and
- Mortgage Debt Investments: Real estate debt and equity
lending platform in major cities across the U.S., focused on
providing all forms of bridge mortgage loans and joint venture
capital.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
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, and include statements relating to the filing
of the Final Supplement and the timing thereof, the potential
issuance of securities of the Corporation, the use of proceeds of
the Offering and the timing of the closing of the Offering.
Forward-looking statements necessarily involve known and unknown
risks, including those described in the Corporation's most recent
Annual Information Form and the preliminary prospectus supplement
filed in respect of the Offering, under "Risk Factors"
(copies of which can be obtained at www.sedar.com). Such risks
include, 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 Corporation 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 Corporation to
implement its business strategies; competition; currency and
interest rate fluctuations and other risks.
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.
All forward-looking statements contained in this news release are
expressly qualified by this cautionary statement. Except as
required by applicable law, the Corporation undertakes no
obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events or
otherwise.
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.
SOURCE Firm Capital American Realty Partners Corp.