FREDERICTON, NB, Nov. 12, 2013 /CNW/ - Plazacorp Retail Properties Ltd. ("Plazacorp" or the "Company") (TSX: PLZ) announced today that it has issued a redemption notice to the holders of its 7.75% convertible unsecured subordinated debentures due December 31, 2014 (the "Series A Debentures"), providing for the redemption in full of all of the currently outstanding Series A Debentures.
The Series A Debentures will be redeemed on January 7, 2014 (the "Redemption Date"), in accordance with their terms, for a redemption price of $1,001.27 for each $1,000 principal amount of Series A Debentures, representing the principal amount of such Series A Debentures plus accrued and unpaid interest thereon to but excluding the Redemption Date. The aggregate redemption price for all outstanding Series A Debentures, including accrued interest, will be $16,011,308.57. As previously announced, the redemption price will be funded from a portion of the proceeds from the Company's recently completed bought deal public offering of 9,400,000 common shares and $30 million aggregate principal amount of 5.75% convertible unsecured subordinated debentures due December 31, 2018.
Plazacorp is a leading retail property owner and developer, particularly in Eastern Canada. Plazacorp has an entrepreneurial focus with strong "value-add" capabilities. Plazacorp's current portfolio includes interests in approximately 342 properties totaling approximately 6.6 million square feet across Canada 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. Total assets have reached almost $1 billion. 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 Canada. Plazacorp has a strong track record of generating growth in distributions, having increased its distributions twelve times over the past 11 years.
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS
All statements in this press release that do not relate to historical facts constitute forward-looking statements. Forward-looking statements used in this press release may contain words such as "may", "will", "should", "believe", "expect", "plan", "anticipate", "intend", "estimate", "predict", "potential", "continue", "future", or the negative of these terms or other similar expressions. Forward-looking statements in this press release, include, without limitation, statements regarding completion of the redemption of the Series A Debentures. These statements represent Plazacorp's intentions, plans, expectations and beliefs and are subject to certain risks and uncertainties that could result in actual results differing materially from these forward-looking statements. These risks and uncertainties are more fully described in regulatory filings that can be obtained on SEDAR at www.sedar.com. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, other than as required by applicable law.
SOURCE: Plazacorp Retail Properties Ltd.
For further information:
Visit our website at: www.plaza.ca
Or contact: Michael Zakuta, President and Chief Executive Officer, at (514) 457-0997 or Floriana Cipollone, Chief Financial Officer, at (416) 848-4583