Pure Industrial Real Estate Trust increases size of equity financing to $60.6 million
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TORONTO, Jan. 22, 2013 /CNW/ - Pure Industrial Real Estate Trust (TSX: AAR.UN) ("PIRET") announced today that as a result of strong investor demand for its previously announced Financing, it has agreed to increase the size of the offering to 12,000,000 Units. The Units are being offered on a bought deal basis to a syndicate of underwriters led by Canaccord Genuity Corp. The Units will be issued at a price of $5.05 per Unit, for aggregate gross proceeds of $60,600,000. PIRET has also granted the underwriters an overallotment option to purchase up to an additional 1,800,000 Units on the same terms and conditions, exercisable at any time, in whole or in part, up to 30 days after the closing of the Financing.
The net proceeds from the Financing, together with the proceeds of assumed and new mortgages, will be used to fund the previously announced Acquisitions, prospective acquisitions of income producing industrial properties and for general corporate purposes.
About Pure Industrial Real Estate Trust
PIRET is an unincorporated, open-ended investment trust established for the purposes of acquiring, owning and operating a diversified portfolio of income-producing industrial properties in primary markets across Canada. PIRET focuses exclusively on investing in industrial properties and is the largest internally managed publicly traded REIT in Canada that offers investors exclusive exposure to Canada's industrial asset class.
Certain statements contained in this news release may constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "expect", "may", "will", "intend", "should", and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward looking statements in this news release include the following: (i) the Financing is expected to close on or about February 12, 2013 and is subject to regulatory approval; and (ii) in aggregate, PIRET intends to place and assume new and existing mortgage financing in respect of the Acquisitions in the aggregate of approximately $77.7 million, bearing an anticipated weighted average interest rate of 3.90%.
The forward-looking statements contained in this news release are based on certain key expectations and assumptions made by PIRET, including: expectations and assumptions concerning receipt of required regulatory approvals and the satisfaction of other conditions to the completion of and use of proceeds from the Financing.
Although PIRET believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because PIRET can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure to obtain necessary regulatory approvals or satisfy the conditions to closing the Financing or mortgage financings, competitive factors in the industries in which PIRET operates, prevailing economic conditions, and other factors, many of which are beyond the control of PIRET.
The forward-looking statements contained in this news release represent PIRET's expectations as of the date hereof, and are subject to change after such date. PIRET disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.
Toronto Stock Exchange - AAR.UN
SOURCE: Pure Industrial Real Estate Trust (PIRET)For further information:
Director of Investor Relations