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WINNIPEG, Dec. 18, 2013 /CNW/ - Temple Hotels Inc. ("Temple") announced today that it has closed its previously announced public offering of common shares (the "Offering"). Pursuant to the Offering, Temple sold 9,914,150 common shares (the "Common Shares") at a price of $5.80 per Common Share representing gross proceeds to Temple of $57,502,070, on a bought deal basis, to a syndicate of underwriters led by National Bank Financial Inc. ("NBF") and Cormark Securities Inc. ("Cormark" and together with NBF, the "Co-Lead Underwriters") and including BMO Nesbitt Burns Inc., Raymond James Ltd., Laurentian Bank Securities Inc., GMP Securities L.P., Desjardins Securities Inc., Dundee Securities Ltd., and Mackie Research Capital Corporation (collectively, the "Underwriters"). The amount of the Offering included 1,293,150 Common Shares issued and sold pursuant to an over-allotment option that was granted to the Underwriters and exercised in full at closing of the Offering.
Temple intends to use a portion of the net proceeds from the Offering, together with the assumption of existing first mortgage financing and cash currently on hand, to fund the proposed acquisition of Nova Court in Yellowknife, NWT as described in Temple's short form base shelf prospectus dated November 1, 2013 under "Recent Developments", with any balance of the net proceeds of the Offering to fund additional hotel acquisitions, to reduce indebtedness, and/or for general corporate purposes.
The Common Shares are listed for trading on the Toronto Stock Exchange ("TSX") under the trading symbol "TPH".
Temple is a real estate investment company listed on the TSX under the symbols TPH (common shares), TPH.DB.C, TPH.DB.D, TPH.DB.E and TPH.DB.F (convertible debentures). The objective of Temple is to provide shareholders with stable cash dividends from investment in a diversified portfolio of hotel properties and related assets. For further information on Temple, please visit our website at www.templehotels.ca.
This press release contains certain statements that could be considered as forward-looking information. The forward-looking information is subject to certain risks and uncertainties, which could result in actual results differing materially from the forward-looking statements.
The TSX has not reviewed or approved the contents of this press release and does not accept responsibility for the adequacy or accuracy of this press release.
SOURCE: Temple Hotels Inc.
For further information:
Arni Thorsteinson, Chief Executive Officer, or Gino Romagnoli, Executive Vice President
Tel: (204) 475-9090, Fax: (204) 452-5505, Email: [email protected]