/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISTRIBUTION IN THE UNITED STATES/
TORONTO, Feb. 1 /CNW/ - Bird Construction Income Fund (the "Fund") (TSX:
BDT.UN) today announced that it has acquired the shares of Rideau Construction
Incorporated and Rideau Management Services Incorporated (collectively,
"Rideau Construction"). The purchase price for the acquisition was
approximately $15.8 million. The Fund previously announced its intention to
complete the acquisition on December 17, 2007.
Approximately one-half of the purchase price was paid in cash from the
working capital of the Fund and the other half was satisfied by the issuance
of 262,102 trust units of the Fund to the Rideau Construction vendors. Rideau
Construction's earnings are expected to be sufficient to fund distributions on
the additional units of the Fund issued pursuant to the acquisition and the
acquisition is expected to be accretive to unitholders.
Rideau Construction is a general contractor with operations in Nova
Scotia and New Brunswick with clients in the institutional, commercial and
light industrial markets. Rideau Construction's management team will remain as
employees and will assist the Fund and its subsidiaries in the management of
the Fund's Atlantic operations. This acquisition will add over 100 fulltime
employees to the Fund's organization and will make the Fund a true national
general contractor with operations from coast to coast.
The Nova Scotia and New Brunswick operations of Rideau will become the
Atlantic branches of the Fund, with Rideau Construction's key principals and
managers staying on to lead the Fund's new Atlantic operations.
This press release contains forward-looking statements that involve a
number of risks and uncertainties because they relate to events and depend on
circumstances that will occur in the future. Many factors could cause actual
results and developments to differ materially from those expressed or implied
by these forward-looking statements.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of the securities
in any State in which such offer, solicitation or sale would be unlawful. The
securities have not been registered under the United States Securities Act of
1933, as amended, and may not be offered or sold in the United States absent
registration or an applicable exemption from the registration requirements.
For further information:
For further information: P.A. Charette, Chairman and C.E.O., Bird
Construction Company Limited, as Administrator of Bird Construction Income
Fund, 5405 Eglinton Avenue West, Suite 206 Toronto, ON, M9C 5K6, Phone: (4l6)
620-7122, Fax: (416) 620-1516