MISSISSAUGA, ON, Jan. 25, 2012 /CNW/ - Morguard Real Estate Investment
Trust (TSX: MRT.UN) ("Morguard") announced today that the Toronto Stock
Exchange has accepted its notice of intention to make a normal course
issuer bid through the facilities of the TSX.
The notice provides that Morguard may, during the twelve month period
commencing January 28, 2012 and ending January 27, 2013, purchase for
cancellation on the Toronto Stock Exchange up to 3,116,879 units
("Units) in total, being approximately 10% of the public float of
outstanding Units. The daily repurchase restriction for the Units is
8,702. Additionally, Morguard may purchase for cancellation up to
$9,178,600 principal amount of the 6.50% Convertible Unsecured
Debentures due September 30, 2014 (TSX:MRT.DB) ("Debentures"), being
10% of the public float of outstanding Debentures. The daily repurchase
restriction for the Debentures is $38,230.
The price which Morguard will pay for any such Units or Debentures will
be the market price at the time of acquisition. The actual number of
Units and Debentures which may be purchased and the timing of any such
purchases will be subject to compliance with the TSX guidelines.
Under the current normal course issuer bid due to expire January 27,
2012, no Units or Debentures were purchased for cancellation during the
last twelve months. As of January 19, 2012 there were 57,725,912 Units
of Morguard outstanding with an average daily trading volume for the
prior six months of 34,811. Additionally, as of January 19, 2012 there
were $91,786,000 principal amount Debentures of Morguard outstanding
with an average daily trading volume for the prior six months of
Morguard believes that its Units and Debentures have been trading in a
price range which does not adequately reflect the value of such Units
and Debentures in relation to the business of Morguard and its future
business prospects. As a result, depending upon future price movements
and other factors, Morguard believes that its outstanding Units and
Debentures may represent an attractive investment for itself.
Furthermore, the purchases may benefit all persons who continue to hold
Units by increasing their equity interest in Morguard. All Units and
Debentures purchased by Morguard under the normal course issuer bid
will be cancelled.
Morguard is a closed-end real estate investment trust, which owns a
diversified portfolio of 53 high quality retail, office and industrial
properties in Canada comprising approximately 8.5 million square feet
of leaseable space.
SOURCE Morguard Real Estate Investment Trust
For further information:
Chief Financial Officer
Morguard Real Estate Investment Trust
55 City Centre Drive, Suite 1000
Mississauga, ON L5B 1M3
Web site: www.morguardreit.com