Toronto Stock Exchange: TMC
TORONTO, Nov. 2 /CNW/ - Timbercreek Mortgage Investment Corporation (the "Fund") is pleased to announce today that it has entered into a letter of intent ("Letter of Intent") with Canadian Residential Retirement Investment Corporation ("CRRIC") where the parties have agreed to explore the viability of a proposed transaction whereby the Fund will purchase mortgage assets of CRRIC in exchange for class A shares of the Fund ("Class A Shares") (the "Proposed Transaction").
CRRIC is a private corporation focused on lending to owners and developers of retirement communities with a current net assets of approximately $17.1 million which includes a mortgage portfolio secured solely by residential retirement and long term care buildings (the "CRRIC Mortgage Portfolio") and cash.
The Letter of Intent is non-binding except for certain confidentiality provisions and the Proposed Transaction is subject to various conditions, including but not limited to approval by CRRIC shareholders, the approval of the Fund's mortgage advisory committee and the Board of Directors of the Fund, TSX approval and the execution of a definitive agreement on terms satisfactory to both parties.
About the Fund
The Fund provides investors with an opportunity to receive attractive yields by investing indirectly, through holding shares of the Fund, in mortgage loan investments selected and determined to be high quality by its manager, Timbercreek Asset Management Inc. The investment objective of the Fund is, with a primary focus on capital preservation, to acquire and maintain a diversified portfolio of mortgage loan investments that generates attractive, stable returns in order to permit the Fund to pay monthly distributions to its shareholders.
SOURCE Timbercreek Mortgage Investment Corporation
For further information: For further information: Timbercreek Asset Management Inc., Carrie Morris, Investor Relations, (416) 306-9967 x250, email@example.com