FREDERICTON, May 16, 2013 /CNW/ - Plazacorp Retail Properties Ltd.
(TSXV: PLZ) ("Plazacorp") is pleased to announce that it has been
successful in its offer to acquire KEYreit ("KEYreit"). A total of
13,288,370 units of KEYreit ("Units") were validly deposited prior to
the expiry time of the offer, representing approximately 88.5% of
KEYreit's issued and outstanding Units. 9,894,399 Units were tendered
to the cash alternative and 3,393,971 Units were tendered to the share
Plazacorp has taken up the tendered Units and payment will be made on or
before May 22, 2013. KEYreit unitholders who tendered to the offer and
elected the cash alternative will receive Cdn.$5.56, representing 66.6%
of the total cash amount elected, plus 0.5692 of a Plazacorp common
share for each Unit tendered. KEYreit unitholders who tendered to the
offer and elected the share alternative will receive 1.7041 of a
Plazacorp common share, representing 100% of the total number of
Plazacorp shares elected, subject in each case to adjustment for
fractional shares. Accordingly, Plazacorp will issue approximately
11,415,391 common shares in respect of the offer.
As the offer has now expired, Plazacorp intends to effect a subsequent
acquisition transaction as soon as practicable and in any event within
the next 60 days in order to acquire all of the remaining Units. With
more than 66 2/3% of the Units having been deposited and taken up by
Plazacorp under its offer, Plazacorp is in a position to cause a
subsequent acquisition transaction to be approved by KEYreit's
unitholders at a special meeting of unitholders to be convened and held
for such purpose. On the completion of the subsequent acquisition
transaction, Plazacorp intends to de-list the Units from the Toronto
Plazacorp is a mutual fund corporation and is one of the leading retail
property owners and developers in Eastern Canada. Plazacorp's current
portfolio includes interests in 119 properties totaling 5.2 million
square feet and additional lands held for development. Plazacorp's
properties include a mix of strip plazas, stand-alone small box retail
outlets and enclosed shopping centres, anchored by approximately 90%
national tenants including Shoppers Drug Mart, Dollarama, Staples,
Mark's Work Warehouse, Sobeys, and others. Our top ten tenants
contribute just over 53% of total rent. Plazacorp is fully
internalized, therefore providing shareholders directly with the
synergies that come with an internalized management structure.
Plazacorp has proven its strong "value-add" capabilities to develop,
redevelop and acquire retail real estate throughout Atlantic Canada,
Quebec and Ontario. Plazacorp has a strong track record of generating
growth in distributions, having increased its distributions at least
once every year in the last 10 years. As a result of its capabilities,
its performance and its ability to increase dividends, Plazacorp's
share price has also increased significantly since inception.
More information about Plazacorp can be found on our website at www.plaza.ca or at www.sedar.com.
CAUTIONARY STATEMENTS REGARDING FORWARD LOOKING INFORMATION
This news release contains forward looking statements relating to our
operations and the environment in which we operate, which are based on
our expectations, estimates, forecasts and projections. These
statements are not future guarantees of future performance and involve
risks and uncertainties that are difficult to control or predict.
Therefore, actual outcomes and results may differ materially from those
expressed in these forward looking statements. Readers, therefore,
should not place undue reliance on any such forward looking statements.
Further, a forward looking statement speaks only as of the date on
which such statement is made. We undertake no obligation to publicly
update any such statement, to reflect new information or the occurrence
of future events or circumstances, except for forward-looking
information disclosed in prior disclosures which, in light of
intervening events, requires further explanation to avoid being
Neither the TSXV nor its Regulation Services Provider (as that term is
defined in policies of the TSXV) accepts responsibility for the
adequacy or accuracy of this release.
SOURCE: Plazacorp Retail Properties Ltd.
For further information:
Visit our website at: www.plaza.ca
Michael Zakuta (President and CEO) at (514) 457-0997 ext #228, or
Floriana Cipollone (Chief Financial Officer) at (416) 848-4583
Plazacorp Retail Properties Ltd.
527 Queen Street, Suite 200