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REITS(canadian)
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BTB.UN NEW ISSUE @ $4.55I own it. I would not be surprised if it trades below $4.55 on this new issue. BTB Real Estate Investment Trust (BTB.UN - TSX) MONTREAL, QUÉBEC--(Marketwired - Oct. 2, 2017) - NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES BTB Real Estate Investment Trust (TSX:BTB.UN) ("BTB" or the "REIT") announces today that it has reached an agreement with a syndicate of underwriters led by National Bank Financial Inc. and including TD Securities Inc., Laurentian Bank Securities Inc., Raymond James Ltd., Scotiabank, Echelon Wealth Partners Inc., GMP Securities L.P., Industrial Alliance Securities Inc. and Eight Capital to issue to the public, subject to regulatory approval, on a bought deal basis 4,836,000 trust units (the "Units") at a price of $4.55 per Unit for gross proceeds of approximately $22 million. The REIT has granted the underwriters an over-allotment option exercisable in whole or in part at any time up to 30 days after closing to purchase up to an additional 725,400 Units at the same offering price. The net proceeds from the offering (after deducting the Underwriters' fee and expenses of the offering) will be used to repay a portion of the amounts outstanding on its acquisition line of credit and for general trust purposes, including future acquisitions of a Retail Property (as defined below). The REIT will file with the securities commissions and other similar regulatory authorities in each of the provinces of Canada a short form preliminary prospectus relating to the offering of the Units on or about October 6, 2017. Closing of the offering is expected to take place on or about October 23, 2017. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities being offered have not been and will not be registered under the U.S. Securities Act of 1933 as amended and may not be offered or sold in the United States absent registration or pursuant to applicable exemption from registration. Acquisition of a Retail Property The REIT is finalising its due diligence to acquire a retail property (the "Retail Property") located in the Quebec City region for $35.9 million excluding transaction fees, at a capitalization rate of 6.9%. It is expected that approximately $23.3 million of the purchase price will be financed by way of a new mortgage on the property with the balance being funded using a portion of the proceeds of the offering. The acquisition is expected to close by the end of October 2017, subject to confirmatory due diligence and customary closing conditions. About BTB |
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