FREDERICTON, April 1 /CNW/ - Plazacorp Retail Properties Ltd. (PLZ:TSX Venture Exchange) announced today that it has raised $20 million dollars in 7.5% convertible debentures (the "Debentures"). Plazacorp received net proceeds on the offering of approximately $19.4 million after payment of brokerage fees and administration costs.
The Debentures, which bear interest at 7.5% per annum, payable quarterly, will mature on March 31, 2015 and will be convertible into Plazacorp common shares at the option of the holder at any time at $3.80 per common share. Net proceeds from the sale will be used to retire existing Mortgage Bonds and Unsecured Debentures totaling $15.1 million and the balance will be used to finance future acquisitions and for general corporate purposes.
The Debentures are subject to a four month hold period which expires either July 26, 2010 or August 1, 2010 and are also subject to the approval of the TSX Venture Exchange.
Plazacorp Retail Properties Ltd. is an owner of shopping malls and strip plazas throughout the Atlantic Provinces, Québec and Ontario. Plazacorp, as at April 1, 2010 now owns interests in 100 properties comprising 4.5 million square feet of retail real estate.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
SOURCE Plaza Retail REIT
For further information: For further information: on Plazacorp, visit our website at www.plaza.ca or contact: Earl Brewer, Chairman; Kim Sharpe, Director of Business Development, (506) 451-1826