/NOT FOR DISTRIBUTION ON U.S. WIRE SERVICES OR FOR DISSEMINATION IN THE
HALIFAX, June 25, 2014 /CNW/ - Royal Host Inc. (TSX: RYL) ("Royal Host") and Holloway Lodging Corp. (TSX: HLC) ("Holloway") are pleased to announce that, at the annual and special meeting of
shareholders of Royal Host held today, shareholders approved the
previously announced statutory plan of arrangement (the "Arrangement") pursuant to which Holloway will acquire all of the issued and
outstanding common shares of Royal Host. Pursuant to the Arrangement,
Royal Host shareholders will receive for each Royal Host share they own
$1.00 in cash and 0.1 of a Holloway common share.
The Arrangement was approved by approximately 99.3% of the votes cast at
Provided that the Arrangement is approved by the Ontario Superior Court
and the other closing conditions are met, the parties expect the
Arrangement to close on or about July 1, 2014.
ABOUT HOLLOWAY LODGING CORPORATION
Holloway is a real estate corporation focused on acquiring, owning and
operating select and limited service lodging properties and a small
complement of full service hotels primarily in secondary, tertiary and
suburban markets. Holloway currently owns 18 hotels with 1,797 rooms.
Holloway's shares trade on the TSX under the symbol "HLC". More
information about Holloway can be found at www.sedar.com or at www.hlcorp.ca.
ABOUT ROYAL HOST INC.
Royal Host is a diversified hospitality company. Royal Host currently
owns 17 hotels with 2,382 rooms across Canada. Royal Host also owns and
operates the Travelodge Canada franchise business which is currently
comprised of over 90 hotels across Canada. Royal Host's common shares
and convertible debentures are traded on the Toronto Stock Exchange
under the trading symbols "RYL", "RYL.DB.B", "RYL.DB.C" and "RYL.DB.D"
respectively. More information about Royal Host can be found at www.sedar.com or at www.royalhost.com.
FORWARD LOOKING STATEMENTS
This press release contains forward-looking information within the
meaning of applicable securities laws. Forward-looking information may
relate to Holloway's future outlook and anticipated events or results
and may include statements regarding Holloway's future financial
position, business strategy, financial results, plans and objectives.
In some cases, forward-looking information can be identified by terms
such as "may", "will", "should", "expect", "plan", "anticipate",
"believe", "intend", "estimate", "predict", "potential", "continue" or
other similar expressions concerning matters that are not historical
facts. More particularly, this press release includes, without
limitation, forward looking statements concerning the timing and
completion of the proposed acquisition.
Forward looking statements contained in this press release are based on
certain key expectations and assumptions made by Holloway. Although
Holloway believes that the expectations and assumptions on which the
forward looking statements are based on are reasonable, undue reliance
should not be placed on the forward looking statements because Holloway
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. Forward-looking
information is subject to certain factors, including risks and
uncertainties, that could cause actual results to differ materially
from what Holloway currently expects and there can be no assurance that
such statements will prove to be accurate. Holloway does not intend to
update or revise any such forward-looking information should its
assumptions and estimates change.
SOURCE: Holloway Lodging Corporation
For further information:
Michael Rapps, Chairman, at (416) 855-1925