TORONTO, Sept. 20, 2023 (GLOBE NEWSWIRE) -- Middlefield Group, on behalf of Real Estate Split Corp. (TSX: RS and RS.PR.A) (the “Company”), is pleased to announce that the Company is undertaking an overnight treasury offering of class A and preferred shares (the “Class A Shares” and “Preferred Shares”, respectively).
The sales period for this overnight offering will end at 9:00 a.m. (ET) on Thursday, September 21, 2023. The offering is expected to close on or about September 28, 2023 and is subject to certain closing conditions including approval by the Toronto Stock Exchange (“TSX”).
The Class A Shares will be offered at a price of $13.40 per Class A Share to yield 11.6% and the Preferred Shares will be offered at a price of $9.55 per Preferred Share to yield 7.4% to maturity. The closing price on the TSX for each of the Class A Shares and Preferred Shares on September 19, 2023 was $13.72 and $9.62, respectively. The Class A Share and Preferred Share offering prices were determined so as to be non-dilutive to the most recently calculated net asset value per unit of the Company (calculated as at September 19, 2023), as adjusted for dividends and certain expenses to be accrued prior to or upon settlement of the offering.
The Company has been designed to provide investors with a diversified, actively managed, high conviction portfolio comprised of securities of leading North American real estate companies.
The Company’s investment objectives for the:
Class A Shares are to provide holders with:
non-cumulative monthly cash distributions; and
the opportunity for capital appreciation through exposure to the portfolio
Preferred Shares are to:
provide holders with fixed cumulative preferential quarterly cash distributions; and
return the original issue price of $10.00 to holders upon maturity.
Middlefield Capital Corporation provides investment management advice to the Company.
Sector Allocation (%)
|AS OF||JUNE 30, 2023|
|Multi-Family Residential REITs||31.20%|
|Telecom Tower REITs||3.70%|
|Asset Management & Custody Banks||2.40%|
|Single-Family Residential REIT||2.10%|
|Health Care Facilities||1.60%|
Geographic Allocation (%)
|AS OF||JUNE 30, 2023|
Top 10 Holdings
|1||Dream Industrial REIT||9.00%|
|4||Canadian Apartment Properties REIT||8.40%|
|5||Killam Apartment REIT||6.40%|
|6||Choice Properties REIT||6.10%|
|8||First Capital REIT||5.50%|