HALIFAX, NS and MONTREAL, QC, April 6 /CNW/ - Homburg Invest Inc.
("Homburg") (TSX: HII.A & HII.B and AEX: HII) and Alexis Nihon Real Estate
Investment Trust ("Alexis Nihon") (TSX: AN.UN) announced today that
20,663,699 units of Alexis Nihon, representing approximately 70% of the issued
and outstanding units, have been tendered to the take-over offer made by
Homburg Acquisition Inc. ("HAI"), a wholly-owned subsidiary of Homburg.
Unitholders of Alexis Nihon who have tendered units to the offer will receive
$18.60 in cash per unit. All conditions of the offer, which expired at
midnight on April 5, 2007, were satisfied or waived. Together with the units
owned by Homburg prior to the offer, Homburg and its affiliates now hold
25,938,238 units of Alexis Nihon, representing approximately 87% of the issued
and outstanding units.
"We are happy with the support that our offer has received and very
excited by this transaction which allows us to expand and diversify our
presence in North America," said Richard Homburg, Chairman and Chief Executive
Officer of Homburg. "Continued diversification both geographically and by real
estate asset class are cornerstones of Homburg's growth strategy. This
transaction allows us to rapidly increase our presence in eastern Canada:
mainly in the key retail sector, but also in multi-residential properties, and
the commercial office sector through the addition of the 1.4 million square
foot Place Alexis Nihon property located in downtown Montreal. Coupled with
our already important presence in Atlantic Canada and our strong commercial
and residential pipeline in the booming Alberta market, the Alexis Nihon
transaction significantly enhances Homburg's leading role in Canadian real
estate," he added.
HAI has taken up the units tendered to the offer and will pay the
depositary for the units within the time prescribed by law. Alexis Nihon
unitholders who hold their units through a broker or other financial
intermediary will receive payment of the purchase price through such broker or
intermediary, while unitholders holding units in registered form will receive
payment directly from the depositary.
In accordance with the support agreement entered into by Homburg and
Alexis Nihon on February 19, 2007, Homburg intends to cause Alexis Nihon to
call a special meeting of unitholders in May in order to effect a capital
reorganization of Alexis Nihon pursuant to which the unitholders of Alexis
Nihon (other than Homburg and HAI) will exchange their units for redeemable
units having a redemption price of $18.60 in cash. Subsequently, Homburg
intends to have the Alexis Nihon units de-listed from the Toronto Stock
Exchange and to cause Alexis Nihon to cease to be a reporting issuer in
Alexis Nihon will suspend regular monthly distributions and will not
declare or pay monthly distributions in the future unless agreed to by
Homburg's financial advisor is BMO Capital Markets and its legal advisor
is Osler, Hoskin & Harcourt LLP. The financial advisor of Alexis Nihon is CIBC
World Markets and Fasken Martineau DuMoulin LLP is acting as its legal
Homburg, with its head office in Halifax, Nova Scotia, owns and develops
a diversified portfolio of quality real estate including office, retail,
industrial and residential apartment and townhouse properties throughout
Canada, the United States and Europe.
About Alexis Nihon
Alexis Nihon currently owns interests in 65 office, retail, and
industrial properties, including a 426 unit multi-family residential property,
located in the greater Montreal area and the National Capital Region. Alexis
Nihon's portfolio has an aggregate of 9.1 million square feet of leasable
area, of which 0.4 million square feet is co-owned.
Information and statements in this document, other than historical
information, should be considered forward-looking and reflect management's
current views of future events and financial performance that involve a number
of risks and uncertainties. Factors that could cause actual results to differ
materially include, but are not limited to, the following: general economic
conditions and developments within the real estate industry, competition and
the management of growth.
/NOTE TO PHOTO EDITORS: A photo accompanying this release is available on
the CNW Photo Network and archived at http://photos.newswire.ca.
Additional archived images are also available on the CNW Photo Archive
website at http://photos.newswire.ca. Images are free to accredited
members of the media/
For further information:
For further information: on this matter, please contact Mr. Richard
Homburg, Chairman and CEO of Homburg at (902) 468-3395; or Guy Charron,
Executive Vice-President and Chief Operating Officer of Alexis Nihon at (514)
931-2591; For information on Homburg Invest Inc., visit our website at