Slate Retail REIT Announces Renewal of Normal Course Issuer Bid
TORONTO--(BUSINESS WIRE)--May 23, 2019--
Slate Retail REIT (TSX: SRT.U) (TSX: SRT.UN) (the “REIT”), an owner and operator of U.S. grocery-anchored real estate, announced today that the REIT has received approval from the Toronto Stock Exchange (the “TSX”) to renew its existing normal course issuer bid effective at the open of markets on May 27, 2019 to repurchase for cancellation up to 3,852,857 class U units (the “Class U Units”), or 10% of the public float of 38,528,576 Class U Units as of May 13, 2019.
As of May 13, 2019, 41,222,218 Class U Units were outstanding. The REIT may purchase Class U Units for cancellation over the 12month period commencing May 26, 2019 and ending on May 25, 2020. Any purchases under the normal course issuer bid will be made through the facilities of the TSX and/or through other permitted means, including through one or more alternative Canadian trading systems, and in accordance with applicable regulatory requirements at the prevailing market price on the TSX or the alternative market at the time of purchase or such other price as may be permitted by the TSX at the time of acquisition. Subject to certain prescribed exemptions and any block purchase made in accordance with the rules of the TSX, the number of Class U Units that can be purchased pursuant to the bid is subject to a daily maximum of 8,235 Class U Units, or approximately 25% of the average daily trading volume during the period from November 1, 2018 to April 30, 2019 (being 32,941 Class U Units per day). The actual number of Class U Units which may be purchased (if any), and the timing of any such purchases, will be determined by the REIT. Any Class U Units purchased under the normal course issuer bid will be cancelled following purchase. The REIT intends to fund the purchases of Class U Units under its normal course issuer bid out of the general funds of the REIT.
Under its prior normal course issuer bid that commenced on May 26, 2018 and expires on May 25, 2019, the REIT previously sought and received approval from the TSX to purchase up to 3,873,045 Class U Units. As of today’s date, the REIT has purchased for cancellation 1,723,580 Class U Units through open market purchases on the TSX at a weighted average price of $9.57 per Class U Unit. Additionally, under a substantial issuer bid on February 20, 2019 the REIT took up and paid for 336,563 Class U Units. In aggregate, under the normal course issuer bid and substantial issuer bid the REIT has repurchased 2,060,143 Class U Units at a weighted average price of $9.56 per Class U Unit.
The Board of Trustees of Slate Retail REIT believe that the purchase by the REIT of a portion of its outstanding Class U Units will increase unitholder value and that such purchases constitute a desirable use of the REIT’s available resources.
Slate Asset Management L.P. is the REIT’s manager.
About Slate Retail REIT (TSX: SRT.U / SRT.UN)
Slate Retail REIT is a real estate investment trust focused on U.S. grocery-anchored real estate. The REIT owns and operates approximately U.S. $1.4 billion of assets located across the top 50 U.S. metro markets that are visited regularly by consumers for their everyday needs. The REIT’s diversified portfolio and quality tenant covenants, provides a strong basis to continue to grow unitholder distributions and the flexibility to capitalize on opportunities that drive value appreciation. Visit slateretailreit.com to learn more about the REIT.
About Slate Asset Management L.P.
Slate Asset Management L.P. (“Slate”) is a leading real estate investment platform with over $6 billion in assets under management. Slate is a value-oriented manager and a significant sponsor of all of its private and publicly-traded investment vehicles, which are tailored to the unique goals and objectives of its investors. The firm’s careful and selective investment approach creates long-term value with an emphasis on capital preservation and outsized returns. Slate is supported by exceptional people, flexible capital and a proven ability to originate and execute on a wide range of compelling investment opportunities. Visit slateam.com to learn more.
Caution Regarding Forward Looking Statements
This press release contains forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the REIT to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Examples of such statements include statements regarding the REIT’s intention to acquire Class U Units under the normal course issuer bid, to finance such purchases out of its general funds, and the Board of Trustees’ belief regarding the effect of the normal course issuer bid on unitholder value. Such forward looking statements are based on a number of assumptions that may prove to be incorrect. There can be no assurances that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. These cautionary statements qualify all forward-looking statements attributable to the REIT and persons acting on its behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release and the REIT undertakes no obligation to update such statements except as required by law.
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CONTACT: Investor Relations
Slate Retail REIT
Tel: +1 416 644 4264
KEYWORD: NORTH AMERICA CANADA
INDUSTRY KEYWORD: PROFESSIONAL SERVICES REIT BANKING FINANCE CONSTRUCTION & PROPERTY COMMERCIAL BUILDING & REAL ESTATE OTHER CONSTRUCTION & PROPERTY
SOURCE: Slate Retail REIT
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PUB: 05/23/2019 07:00 AM/DISC: 05/23/2019 07:01 AM