TORONTO, Oct. 23, 2015 /CNW/ - Mortgage Company of Canada Inc. ("MCC" or the "Company") today reported continued strong growth in assets following its recent settlement agreement with the Ontario Securities Commission (the "OSC"). Pursuant to the agreement, MCC redeemed shares owned by 9 investors, with a value of $290,580, which represented less than 1% of the $32.2 million raised from 147 investors during its first 13 months of operations.
MCC also offered to redeem the shares owned by any other investor who wanted to redeem their shares of MCC. None of the remaining 138 investors elected to have their shares redeemed. Subsequent to the agreement, MCC has retained new legal counsel and initiated a process under which MCC shares are distributed exclusively through a registered exempt market dealer.
Management believes that MCC's operations have been strengthened by actions taken in response to the OSC review and settlement agreement. As of September 30, 2015, MCC's assets under management increased by approximately 13% over the previous month. This increase in capital demonstrates continued investor confidence both in MCC's management team and in MCC as an investment opportunity. The Company continues to exceed its targeted annual yield of 9%, with an annualized year-to-date yield of 9.24% as at September 30, 2015.
The OSC order and the settlement agreement are available on the OSC's website at www.osc.gov.on.ca.
About Mortgage Company of Canada Inc.
MCC is a Toronto-based mortgage investment company that primarily invests in single family residential mortgages in the Greater Toronto Area. MCC's objective is to target a minimum annual yield of 9.0% by providing its shareholders with stable monthly dividends while preserving shareholders' capital by lending within conservative risk parameters.
Mortgage Company of Canada Inc. is a Mortgage Investment Corporation as defined in the Income Tax Act (Canada).
This press release may contain "forward looking information" that is based on expectations, estimates and projections as of the date hereof. Such information involves risks and other factors that may cause actual results to be material different.
For further information on the Mortgage Company of Canada, please visit www.mcoci.com.
SOURCE Mortgage Company of Canada Inc.
For further information: Raj Babber, President & Chief Executive Officer, Mortgage Company of Canada Inc., (866) 318-7222 ext. 222; Greg Goutis, Chief Financial Officer, Mortgage Company of Canada Inc., (866) 318-7222 ext. 231