WINNIPEG, June 26 /CNW/ - Artis Real Estate Investment Trust (TSX: AX.UN)
("Artis REIT") announced today that it has adopted a unitholders' rights plan
(the "Rights Plan"). The Rights Plan is designed to ensure the fair treatment
of unitholders in any transaction involving a change of control of Artis REIT
and will provide the board of trustees and unitholders with more time to
evaluate any unsolicited take-over bid and, if appropriate, to seek out other
alternatives to maximize unitholder value.
The Rights Plan was not adopted by Artis REIT in response to any specific
proposal to acquire control of Artis REIT and the board of trustees is not
aware of any such proposal. Although the Rights Plan takes effect immediately,
unitholders will be asked to confirm the Rights Plan at a meeting of
unitholders. If approved, the Rights Plan would be in effect for a further
three year period from the date of unitholder approval.
The Rights Plan is similar to other security holder rights plans adopted
by other Canadian real estate investment trusts, income trusts and
corporations. Until the occurrence of certain specified events, the rights
will trade with the trust units ("Units") of Artis REIT and will be
represented by the certificates for Units. The rights become exercisable only
when a person (including a related party and joint actor of such person)
acquires or announces its intention to acquire twenty (20%) or more of the
outstanding Units without complying with the "permitted bid" provisions of the
Rights Plan. Should a non-permitted acquisition occur, each right would
entitled the holder of Units (other than the acquiring person and related
persons and joint actors of such acquiring person) to purchase additional
Units at a fifty (50%) percent discount to the market price at the time.
The Rights Plan permits a "permitted bid", which is a take-over bid made
to all unitholders on identical terms and conditions that is open for
acceptance for a period of at least 60 days. If at the end of the 60 day
period at least 50% of the outstanding Units (other than those owned by the
offeror and related parties and joint actors of the offeror) have been
tendered under the bid, the offeror may take up and pay for the tendered Units
but must extend the bid for a further 10 days to allow all unitholders to
tender to the bid.
The Toronto Stock Exchange has approved the adoption of the Rights Plan.
A copy of the Rights Plan is available at www.sedar.com or www.artisreit.com.
ABOUT ARTIS REIT
Artis REIT is a growth-oriented real estate investment trust focused
exclusively on commercial properties located in primary and growing secondary
markets in western Canada, particularly in Alberta. Artis REIT's goal is to
provide unitholders the opportunity to invest in high-quality western Canadian
office, retail and industrial properties, as well as to provide monthly cash
distributions that are stable, tax efficient, and growing over time. To date,
Artis REIT has acquired over $685 million of commercial property;
approximately 19.1% in Manitoba, 11.3% in Saskatchewan, 66.2% in Alberta, and
3.4% in B.C. Artis REIT owns 49 properties, comprising over 4.0 million square
feet of leasable area (36.1% retail, 49.4% office and 14.5% industrial).
Artis REIT's Distribution Reinvestment Plan ("DRIP") allows unitholders
to have their monthly cash distributions used to purchase trust units without
incurring commission or brokerage fees, and receive bonus units equal to 4% of
their monthly cash distributions. More information can be obtained at
The Toronto Stock Exchange does not accept responsibility for the
adequacy or accuracy of this press release.
For further information:
For further information: Mr. Armin Martens, President and Chief
Executive Officer or Mr. Jim Green, Chief Financial Officer of Artis REIT at