Firm Capital American Realty Partners Corp. announces participation of US$7.0 million in the rights offering and reminds shareholders to exercise their rights shares

TORONTO, Dec. 12, 2016 /CNW/ - Firm Capital American Realty Partners Corp. ("the "Company"), (TSXV : FCA.U) is pleased to announce that it has received to date commitments from existing shareholders of the Company of their intention to participate in the previously disclosed US$10.0 million Rights Offering for approximately US$7.0 million.

The Company would like to remind shareholders of the US$10.0 million Rights Offering available to holders of its common shares on the basis of one Right for each common share held. Each Right will entitle the holder to subscribe for one common share of the Company (the "Rights Shares") upon payment of the subscription price of US$0.16 per Rights Share. The Rights expire at 5:00 p.m. (Toronto time) on December 14, 2016 (the "Expiry Time"), after which time unexercised Rights will be void and of no value. Shareholders who fully exercise their Rights will be entitled to subscribe for additional Rights Shares, if available as a result of unexercised Rights prior to the Expiry Time, subject to certain limitations as set out in the Company's rights offering circular, which is available under the Company's profile on SEDAR at The Company intends to use the net proceeds of the Rights Offering for future acquisitions (including the previously announced New York City Joint Venture Investment) and general working capital purposes.

Registered shareholders who wish to exercise their Rights must forward the completed rights certificate, together with the applicable funds, to the rights agent, TSX Trust Company, on or before the Expiry Time. Shareholders who own their common shares through an intermediary, such as a bank, trust company, securities dealer or broker, will receive materials and instructions from their intermediary.

To date, the Company has received commitments from existing shareholders of their intention to exercise their Rights Shares for approximately US$7.0 million. This includes and assumes the full exercise of the Stand-by Commitment by certain shareholders of the Company. Shareholders of the Company still have until the Expiry Time to participate in the Rights Offering. If shareholders require assistance in exercising their Rights Shares, they should contact either the TSX Trust Company or the Company at (416) 635-0221.

Firm Capital American Realty Partners Corp. focuses on capital partnership investing in U.S. income producing real estate & mortgage debt investments.

The Company is focused on the following investment platforms:

  • Income Producing Real Estate Investments: Acquiring income producing U.S. real estate assets in major cities across the United States. Acquisitions are completed solely by the Company or in joint-venture partnership with local industry expert partners who retain property management; and
  • Mortgage Debt Investments: Real estate debt and equity lending platform focused on major cities across the United States. Focused on providing all forms of bridge mortgage loans and joint venture capital.


Certain information in this news release constitutes forward-looking statements under applicable securities law. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "intend" and similar expressions. Forward-looking statements in this news release include, but are not limited to, statements regarding the Company's single family property disposition program and Debt Restructuring, which may not be completed within the estimated time frames specified above or at all. Failure to complete the steps described above or any delays in their implementation may have a material adverse effect upon the business of the Company and its market value. There is no assurance that the Company will be able to complete the disposition of the single property disposition portfolio at anticipated values or at all or that market conditions will support the debt and equity raises contemplated by the Company. There is no assurance that the implementation of the steps described above, even if completed as described above, will increase the market value of the Company's securities, which is subject to numerous factors beyond the Company's control.

Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse factors affecting the U.S. real estate market generally or those specific markets in which the Company holds properties; volatility of real estate prices; inability to complete the Company's single family property disposition program or Debt Restructuring in a timely manner; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; industry and government regulation; changes in legislation, income tax and regulatory matters; the ability of the Company to implement its business strategies; competition; currency and interest rate fluctuations and other risks.

Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Firm Capital American Realty Partners Corp.

For further information: Sandy Poklar, President & Chief Executive Officer, (416) 635-0221; Stuart Pasternak, Chief Financial Officer, (416) 635-0221

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