MISSISSAUGA, ON, Dec. 19, 2016 /CNW/ - Morguard Corporation (TSX: MRC) ("Morguard") announced today that on December 16, 2016 it acquired 54,578,187 common shares (the "Common Shares") of Temple Hotels Inc. ("Temple Hotels") in connection with Temple Hotels' previously announced rights offering (the "Rights Offering"), as described in Temple Hotels' Rights Offering Circular dated November 7, 2016.
Each of the Common Shares were acquired at an issue price of $0.6769 per share or total subscription price of $36,943,955.14 for the aggregate 54,578,187 Common Shares. The Common Shares acquired by Morguard represent approximately 35.9% of the issued and outstanding Common Shares of Temple Hotels on December 16, 2016 on a partially diluted basis, including the conversion of Temple Hotel convertible debentures held by Morguard only.
After the completion of the Rights Offering, Morguard owns 84,816,076 Common Shares and convertible debentures of Temple Hotels that are convertible into a maximum of 526,284 Common Shares, representing approximately 56.1% of the issued and outstanding Common Shares on a partially diluted basis, including the conversion of the Temple Hotel convertible debentures held by Morguard only. Prior to the acquisition of 54,578,187 Common Shares on December 16, 2016, Morguard held 30,237,889 Common Shares of Temple Hotels, representing approximately 38.9% of the issued and outstanding Common Shares.
The Common Shares were acquired for investment purposes. Morguard and its affiliates may, from time to time, depending on market and other conditions, increase or decrease its beneficial ownership, control or direction over securities of Temple Hotels through market transactions, private agreements or otherwise.
This press release is being issued pursuant to National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issuers which requires a report to be filed under the Company's profile on SEDAR (www.sedar.com) containing additional information respecting the foregoing matters. A copy of such report may be obtained by contacting Beverley Flynn at Morguard Corporation, 55 City Centre Drive, Suite 1000, Mississauga, Ontario L5B 1M3. The head office of Temple Hotels is located at 2600 Seven Evergreen Place, Winnipeg, Manitoba, R3L 2T3.
About Morguard Corporation
Morguard Corporation is a major North American real estate and property management company. It has extensive retail, office, industrial, hotel and residential holdings owned directly and through its investment in Morguard REIT and Morguard North American Residential REIT. Morguard also provides real estate management services to institutional and other investors. Morguard's owned and managed portfolio of assets is valued at more than $19.9 billion.
For more information, please visit Morguard.com.
SOURCE Morguard Corporation
For further information: Morguard Corporation, K. Rai Sahi, Chairman and CEO, T 905.281.3800; Beverley G. Flynn, Vice President. General Counsel, T 905.281.3800