TSX Symbol FC
TORONTO,
Sept. 25, 2013 /CNW/ - Firm Capital
Mortgage Investment Corporation (the "Corporation" or "Firm
Capital") (TSX:FC) is pleased to announce that it is not affected
by the recently announced changes to the Canadian securities
regulations.
The Canadian Securities Administrators reviewed
Mortgage Investment Corporations in Canada and concluded that certain Mortgage
Investment Corporations should not be characterized as investment
funds under applicable Canadian securities laws due to the nature
of their investment activities. The Corporation has always been a
regular reporting issuer, and not an investment fund, under
applicable Canadian securities laws and, as such, is already in
compliance with those new requirements. Although certain funds may
be required to reorganize, no action is required by Firm
Capital.
Furthermore, the Canadian Securities
Administrators have recently published proposed regulatory changes
that would prevent any investment fund from investing in mortgages
other than mortgages that are fully and unconditionally guaranteed
by the government of Canada, the
government of a province or territory of Canada or by an agency of such government,
among other things. As the Corporation is not an investment fund,
those proposed regulatory changes will not apply to Firm
Capital.
Firm Capital, and its predecessor entities, have
been public since 1999, and have provided shareholders with the
following investment attributes:
- Trailing 12 month dividend yield including year-end and special
dividends of 8.25% per annum based on current dividends (Per annum
based on Unit closing price @ $12.00
September 23, 2013);
- Monthly income and investment liquidity - traded on Toronto
Stock Exchange (symbol FC);
- 12 month average trading volume of 451,406 shares per
month;
- Diversified portfolio of mortgage investments;
- Dividend Reinvestment Plan ("DRIP");
- Experienced management and Board of Directors;
- Average Annual Yield to shareholders since inception in 1999 is
9.3%;
- Monthly Trailing Dividend of $0.078 per share, $0.936 per annum plus special dividends. 2012
total dividends of $0.990 per share;
and
- Rigid Governance, Investment & Operating policies.
For an Investor Fact Sheet and to review the
Corporations publicly filed disclosure documents visit
www.FirmCapital.com and tab the banner Firm Capital Mortgage
Investment Corporation.
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 by pursuing a
strategy of growth 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 our objectives, our
strategies to achieve those objectives, our performance, our
mortgage portfolio and our dividends, as well as statements with
respect to management's beliefs, estimates, and intentions, and
similar statements concerning anticipated future events, results,
circumstances, performance or expectations that are not historical
facts. 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 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 and performance to differ materially from the
forward-looking statements contained in this circular. 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.
SOURCE Firm Capital Mortgage Investment Corporation