NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
VANCOUVER, May 8, 2014 /CNW/ - Pure Multi-Family REIT LP ("Pure Multi")
(TSXV: RUF.U, RUF.DB.U; OTCQX: PMULF) is pleased to announce a private
placement to raise gross proceeds of US$19,000,000 through the issuance
of 4,175,824 units (the "Units") at a price of US$4.55 per Unit (the
"Private Placement") representing a 3.2% discount to the 20 day volume
weighted average trading price.
Each Unit consists of one Class A unit (a "Class A Unit") of Pure Multi
and one-half (1/2) of a Class A Unit purchase warrant (each whole warrant, a "Warrant").
Each Warrant will entitle the holder to acquire one Class A Unit (a
"Warrant Unit") from Pure Multi at a price of US$5.15 per Class A Unit
for a period of 30 months from the issuance of the Warrants. The Class
A Units and Warrants will separate immediately upon closing of the
Closing of the Private Placement is expected to occur on May 20, 2014
and is subject to the approval of the TSX Venture Exchange (the
"TSXV"). The Class A Units to be issued under the Private Placement
will be, and the Warrant Units may be, if applicable, subject to a hold
period and may not be sold, transferred or otherwise traded for four
months and one day from the closing date. The Warrants will not be
listed for trading.
The net proceeds from the Private Placement will be used primarily to
fund prospective acquisitions of income producing multi-family
properties and for general corporate purposes.
Pure Multi has agreed to pay a fee to Canaccord Genuity Corp. in
connection with the completion of the Private Placement to certain of
the subscribers, in accordance with TSXV policies.
Steve Evans, CEO of Pure Multi, said, "Today's US$19 million private
placement includes a strategic lead investment from Alberta Investment
Management Corporation ("AIMCo"), on behalf of certain of its clients.
AIMCo is one of Canada's largest and most diversified institutional
investment fund managers, managing an investment portfolio of
approximately $80 billion and having significant direct and indirect
North American real estate experience. We are very excited about this
investment by AIMCo and see it as an opportunity to further develop our
institutional relationships as we identify future investment
opportunities to grow our existing multi-family platform in key markets
within the US Sunbelt."
Prior to the issue of the new Units from treasury, Pure Multi had
24,089,000 Class A Units issued and outstanding; the private placement
represents approximately 17.3% of such Class A Units.
About Pure Multi-Family REIT LP
Pure Multi is a Canadian based, publically traded vehicle which offers
investors exclusive exposure to U.S. multi-family real estate assets.
Pure Multi's units are USD denominated and allow investors the
opportunity to buy into under-valued American hard assets.
Additional information about Pure Multi is available at www.puremultifamily.com or www.sedar.com.
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:
(i) Closing of the Private Placement is expected to occur on May 20,
2014 and is subject to the approval of the TSX Venture Exchange (the
"TSXV"); and (ii) the net proceeds from the Private Placement will be
used to fund prospective acquisitions of income producing multi-family
properties and for general corporate purposes.
The forward-looking statements contained in this news release are based
on certain key expectations and assumptions made by Pure Multi.
Although Pure Multi 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
Pure Multi 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 Private Placement, competitive
factors in the industries in which Pure Multi operates, prevailing
economic conditions, and other factors, many of which are beyond the
control of Pure Multi.
The forward-looking statements contained in this news release represent
Pure Multi's expectations as of the date hereof, and are subject to
change after such date. Pure Multi 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.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS
THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
SOURCE: Pure Multi-Family REIT LP
For further information:
Director of Investor Relations
Pure Multi-Family REIT LP
Suite 910, 925 West Georgia Street
Vancouver, BC V6C 3L2
Phone: (604) 681-5959 or (888) 681-5959