FC Firm Capital Mortgage Investment Corporation

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED
STATES


Firm Capital Mortgage Investment Corporation ("the Corporation") (TSX:FC) is
pleased to announce that it has entered into an agreement to sell, on a bought
deal basis, to a syndicate of underwriters co-led by TD Securities Inc. and
National Bank Financial Inc., $20,000,000 aggregate principal amount of 4.75%
convertible unsecured subordinated debentures due March 31, 2020 (the
"Debentures") at a price of $1,000 per Debenture. The Corporation has granted
the underwriters an over-allotment option to purchase up to $3,000,000
additional aggregate principal amount of Debentures, exercisable, in whole or in
part, at any time until 30 days following the closing of the offering. If the
over-allotment option is exercised in full, the gross proceeds of the offering
will be $23,000,000. 


The net proceeds of the offering will be used to repay indebtedness and for
general corporate purposes.


The Debentures will bear interest at a rate of 4.75% per annum, payable
semi-annually in arrears on the last day of March and September in each year
commencing on September 30, 2013, and will mature on March 31, 2020 (the
"Maturity Date"). The Debentures will be convertible at the holder's option into
common shares of the Corporation (the "Shares") at any time prior to the earlier
of the Maturity Date and the date fixed for redemption at a conversion price of
$15.80 per Share (the "Conversion Price"), subject to adjustment in certain
circumstances. 


The offering is scheduled to close on or about March 28, 2013, and is subject to
regulatory approval. 


The securities being offered have not been and will not be registered under the
United States Securities Act of 1933 and accordingly will not be offered, sold
or delivered, directly or indirectly within the United States, 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 in limited circumstances.


About The Corporation

The Corporation, through its mortgage banker, Firm Capital Corporation, is a
non-bank lender providing residential and commercial short-term bridge and
conventional real estate financing, including construction, mezzanine and equity
investments. The Corporation's investment objective is the preservation of
Shareholders' equity, while providing Shareholders with a stable stream of
monthly dividends from investments. The Corporation achieves its investment
objectives through investments in selected niche markets that are under-serviced
by large lending institutions. Lending activities to date continue to develop a
diversified mortgage portfolio, producing a stable return to Shareholders. Full
reports of the financial results of the Corporation for the year are outlined in
the audited financial statements and the related management discussion and
analysis of Firm Capital, available on the SEDAR website at www.sedar.com. In
addition, supplemental information is available on Firm Capital's website at
www.firmcapital.com. 


Forward-Looking Statements

This news release contains forward-looking statements within the meaning of
applicable securities laws including, among others, statements concerning the
terms of the offering, the planned use of proceeds, the receipt of all
regulatory approvals and the anticipated closing date. Forward-looking
statements generally can be identified by the use of forward-looking terminology
such as "outlook", "objective", "may", "will", "expect", "intent", "estimate",
"anticipate", "believe", "should", "plans" or "continue" or similar expressions
suggesting future outcomes or events. Such forward-looking statements reflect
management's current beliefs and are based on information currently available to
management.


These statements are not guarantees of future performance or achievements and
are based on our estimates and assumptions that are subject to risks and
uncertainties, including those described in our Annual Information Form under
"Risk Factors" (a copy of which can be obtained at www.sedar.com), which could
cause our actual results, performance or achievements to differ materially from
the forward-looking statements contained in this news release. Those risks and
uncertainties include, among others, risks associated with mortgage lending,
dependence on the Corporation's manager and mortgage banker, competition for
mortgage lending, real estate values, interest rate fluctuations, environmental
matters, Shareholder liability and the introduction of new tax rules. Material
factors or assumptions that were applied in drawing a conclusion or making an
estimate set out in the forward-looking information include, among others, that
the Corporation is able to invest in mortgages at rates consistent with rates
historically achieved; adequate mortgage investment opportunities are presented
to the Corporation; and adequate bank indebtedness and bank loans are available
to the Corporation. Although the forward-looking information continued in this
new release is based upon what management believes are reasonable assumptions,
there can be no assurance that actual results and performance will be consistent
with these forward-looking statements. 


All forward-looking statements in this news release are qualified by these
cautionary statements. Except as required by applicable law, the Corporation
undertakes no obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events or otherwise.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Firm Capital Mortgage Investment Corporation
Eli Dadouch
President & Chief Executive Officer
(416) 635-0221
www.firmcapital.com

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