WINNIPEG, Jan. 25, 2012 /CNW/ - Temple Real Estate Investment Trust ("Temple REIT")(TSX: TR.UN) announced today that it acquired beneficial ownership and
control and direction over 128,000,000 trust units ("Holloway Trust Units") of Holloway Lodging Real Estate Investment Trust ("Holloway REIT"), representing approximately 16.99% of the issued and outstanding
Holloway Trust Units as at the date hereof.
As a result of the foregoing transaction:
Temple REIT beneficially owns and exercises control or direction over an
aggregate of 156,761,828 Holloway Trust Units, or approximately 20.8%
of the issued and outstanding Holloway Trust Units; and
Temple REIT, together with 2668921 Manitoba Ltd. (the parent corporation
of Shelter Canadian Properties Limited, the asset manager of Temple
REIT) and Mr. Arni Thorsteinson (the Chief Executive Officer of Temple
REIT and the President and sole director of 2668921 Manitoba Ltd.),
each of whom may be considered to be a joint actor of Temple REIT,
beneficially owns and exercises control and direction over an aggregate
of 193,360,835 Holloway Trust Units, or approximately 25.66% of the
issued and outstanding Holloway Trust Units.
To the knowledge of Temple REIT, neither Temple REIT nor any joint actor
of Temple REIT has beneficial ownership or exclusive or shared control
over any other Holloway Trust Units or securities convertible into
Holloway Trust Units.
The Holloway Trust Units were acquired pursuant to a private agreement
through the facilities of the Toronto Stock Exchange. The purchase
price for the Holloway Trust Units under the agreement was $0.055 per
Holloway Trust Unit for an aggregate purchase price of $7,040,000.
Temple REIT acquired the Holloway Trust Units for investment purposes.
Temple REIT was approached by the seller of the Holloway Trust Units
and considered the merits of this investment in relation to its other
Temple REIT relied on the exemption from the take-over bid requirements
contained in section 4.2 of Multilateral Instrument 62-104 - Take-Over
Bids and Issuer Bids and section 101.1 of the Securities Act (Ontario). The purchase of Holloway Trust Units was made from not more
than five persons in the aggregate and the value of the consideration
paid for the acquired Holloway Trust Units, including brokerage fees
and commissions, was not greater than 115% of the market price of the
Holloway Trust Units, as determined in accordance with Multilateral
Instrument 62-104 - Take-Over Bids and Issuer Bids and section 101.1 of
the Securities Act (Ontario).
A report respecting the acquisition of Holloway Trust Units by Temple
REIT will be electronically filed with applicable Canadian securities
regulatory authorities and will be available for viewing at www.sedar.com. A copy of the report (once filed) may be obtained by contacting Mr.
Arni Thorsteinson, Chief Executive Officer of Temple REIT, or Mr. Gino
Romagnoli, Investor Services, at (204) 475-9090.
TREIT is a real estate investment trust, which is listed on the TSX
Venture Exchange under the symbols TR.UN (trust units), TR.DB.A,
TR.DB.B, TR.DB.C and TR.DB.S (convertible debentures). The objective
of TREIT is to provide Unitholders with stable cash distributions from
investment in a geographically diversified Canadian portfolio of hotel
properties and related assets. For further information on TREIT,
please visit our website at www.treit.ca.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
SOURCE Temple REIT
For further information:
Arni Thorsteinson, Chief Executive Officer, or Gino Romagnoli, Investor Relations
Tel: (204) 475-9090, Fax: (204) 452-5505, Email: email@example.com