WINNIPEG, Oct. 30, 2015 /CNW/ - Temple Hotels Inc. ("Temple") (TSX: TPH) is pleased to announce the completion of its previously announced rights offering (the "Rights Offering") in each of the provinces and territories of Canada other than Quebec. The Rights Offering was substantially oversubscribed and, as such, Temple issued 36,363,636 common shares of Temple for aggregate gross proceeds of $40,000,000.
Temple intends to use the net proceeds of the Rights Offering to further reduce indebtedness, improve working capital and undertake capital expenditures and/or possible acquisitions.
"We are very pleased to announce the completion of the rights offering and recognize and appreciate the support of our shareholders," said Arni Thorsteinson, Chief Executive Officer of Temple. "The completion of the rights offering provides increased financial flexibility and will allow us to further reduce indebtedness, improve working capital and undertake capital expenditures and/or possible acquisitions."
A copy of Temple's short form prospectus for the Rights Offering dated September 16, 2015 is available on Temple's profile at www.sedar.com
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 regarding the Rights Offering, including Temple's proposed use of the net proceeds thereof, described herein that could be considered as forward-looking information. The forward-looking information is subject to certain risks and uncertainties, which could result in actual events or 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]