NOT FOR DISTRIBUTION IN THE UNITED
STATES OR OVER UNITED
STATES WIRE SERVICES
QUÉBEC CITY, Sept.
17, 2014 /CNW/ - Cominar Real Estate Investment Trust
("Cominar") (TSX: CUF.UN) announced today an offering of
$250 million principal amount of
Series 6 floating rate senior unsecured debentures (the "Series 6
Debentures") and $300 million
principal amount of 3.62% Series 7 senior unsecured debentures (the
"Series 7 Debentures" and, together with the Series 6 Debentures,
collectively, the "Debentures"). The offering of Debentures is
expected to close on or about September 22,
2014. The Series 6 Debentures will be issued at par, bear
interest at a rate equal to the 3-month CDOR plus 108 basis points
payable quarterly in arrears, and will mature on September 22, 2016. The Series 7 Debentures will
be issued at a price of $999.87 per
$1,000 principal amount of Series 7
Debentures, bear interest at a rate equal to 3.62% payable
semi-annually in arrears, and will mature on June 21, 2019.
Cominar intends to use the net proceeds of the
offering of approximately $548.1
million to pay down debt outstanding under its unsecured
revolving credit facility and to finance a portion of the
previously-announced acquisition of a real estate portfolio of 15
properties in Québec and Ontario
from Ivanhoé Cambridge Inc., the real estate subsidiary of Caisse
de dépôt et placement du Québec.
The Debentures will be publicly offered in
Canada, under Cominar's previously
filed base shelf prospectus (the "Prospectus"), pursuant to an
agency agreement with National Bank Financial Inc. and BMO Capital
Markets, as co-lead agents, along with a syndicate that also
includes Desjardins Securities Inc., RBC Dominion Securities Inc.,
Scotia Capital Inc. and TD Securities Inc. Cominar will also file
with applicable securities regulators in each of the provinces and
territories of Canada a prospectus
supplement to the Prospectus (the "Prospectus Supplement") relating
to the offering of the Debentures. Copies of the Prospectus and the
Prospectus Supplement will be available on the Internet at
www.sedar.com.
This news release does not constitute an offer to
sell or the solicitation of an offer to buy the Debentures in any
jurisdiction. The Debentures being offered have not been approved
or disapproved by any regulatory authority nor has any such
authority passed upon the accuracy or adequacy of the Prospectus or
the Prospectus Supplement.
The Debentures have not been and will not be
registered under the United States
Securities Act of 1933, as amended, and accordingly will not
be offered, sold or delivered, directly or indirectly, within
the United States, its
territories, its possessions and other areas subject to its
jurisdiction or to, or for the account or for the benefit of, a
U.S. person, except pursuant to applicable exemptions from the
registration requirements.
PROFILE as at September
17, 2014
Cominar is the third largest diversified real
estate investment trust in Canada
and remains the largest commercial property owner in the Province
of Québec. The REIT owns a real estate portfolio of 526 properties
in three different market segments, that is, office properties,
retail properties and industrial and mixed-use properties.
Cominar's portfolio totals 39.5 million square feet spread out
across Québec, Ontario, the
Atlantic Provinces and Western
Canada. Cominar's objectives are to pay growing cash
distributions to unitholders and to maximize unitholder value
through proactive management and the expansion of its
portfolio.
Forward-Looking Statements
This press release may contain forward-looking
statements with respect to Cominar and its operations, strategy,
financial performance and financial condition. These statements
generally can be identified by the use of forward-looking words
such as "may", "will", "expect", "estimate", "anticipate",
"intend", "believe" or "continue" or the negative thereof or
similar variations. The actual results and performance of Cominar
discussed herein could differ materially from those expressed or
implied by such statements. Such statements are qualified in their
entirety by the inherent risks and uncertainties surrounding
future expectations. Some important factors that could cause actual
results to differ materially from expectations include, among other
things, general economic and market factors, competition, changes
in government regulation and the factors described under "Risk
Factors" in the Annual Information Form of Cominar. The
cautionary statements qualify all forward-looking statements
attributable to Cominar and persons acting on its behalf. Unless
otherwise stated, all forward-looking statements speak only as of
the date of this press release.
SOURCE Cominar Real Estate Investment Trust