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Highlights:
- Marwest Apartment REIT (the "REIT") closes its
previously announced qualifying transaction, indirectly acquiring
two multi-family apartment properties totaling 251 multi-family
units in Winnipeg, Manitoba.
- The REIT closes its previously announced brokered private
placement of Class A trust units ("Trust Units") conducted
by its agent, Canaccord Genuity Corp. (the "Agent") pursuant
to which the REIT sold 1,000,000 Trust Units for gross proceeds of
$1,000,000.
- The REIT intends to actively pursue additional acquisition
opportunities.
- The Trust Units are anticipated to recommence trading on the
TSX Venture Exchange on or about May 5,
2021.
WINNIPEG, MB, April 30, 2021 /CNW/ - Marwest Apartment Real
Estate Investment Trust ("Marwest Apartment REIT" or the
"REIT") (TSXV: MAR.P) is pleased to announce today the
closing of its previously announced qualifying transaction (the
"Qualifying Transaction") under TSXV Policy 2.4 – Capital
Pool Companies and the identification of two potential
acquisition opportunities.
Closing of Qualifying Transaction
Pursuant to the Qualifying Transaction, the REIT indirectly
acquired entities owning 251 multi-family residential suites
located in Winnipeg, Manitoba. At
the annual and special meeting (the "Meeting") held today,
the holders ("Unitholders") of Class A trust units
("Trust Units") of the REIT passed all of the resolutions
considered at the Meeting, including: (i) the re-election of the
incumbent trustees of the REIT; (ii) the re-appointment of the
REIT's auditors; (iii) the resolution approving the Qualifying
Transaction by a "majority of the minority"; (iv) the resolution
approving the equity incentive plan of the REIT by a majority of
disinterested Unitholders; (v) the resolution approving the right
of Marwest Asset Management Inc. ("Marwest") to elect to
receive REIT Units or securities exchangeable for REIT Units in
satisfaction of certain fees and payments under its asset
management and property management agreement by a majority of
disinterested Unitholders; and (vi) the resolution approving
amendments to the declaration of trust of the REIT, all as more
particularly described in the management information circular of
the REIT dated April 1, 2021.
Closing of Private Placement
In connection with the closing of the Qualifying Transaction,
the REIT also completed its previously announced brokered private
placement of Trust Units conducted by its agent Canaccord Genuity
Corp., pursuant to which the REIT issued 1,000,000 Trust Units at a
price of $1.00 per Trust Unit for
gross proceeds of $1,000,000. As
a result, following the Qualifying Transaction there are an
aggregate of 4,559,673 Trust Units and an aggregate of 9,812,063
Class B limited partnership units ("Exchangeable Units") of
MAR REIT L.P. Each Exchangeable Unit is exchangeable for one
Trust Unit and is accompanied by a special voting unit of the REIT
entitling the holder to receive notice of, attend at and vote at
any meeting of voting securityholders of the REIT.
The REIT has requested final acceptance of the Qualifying
Transaction by the TSXV and a request that the trading halt imposed
on the Trust Units be lifted. The Trust Units are anticipated
to recommence trading on the TSX Venture Exchange on or about
May 5, 2021.
Acquisition Opportunities
The REIT also announced today that it intends to actively pursue
additional acquisition opportunities, including a potential
acquisition opportunity in northeast Winnipeg, Manitoba and another potential
opportunity in southwest Winnipeg,
Manitoba.
Forward-looking Statements
The information in this news release includes certain
information and statements about management's views of future
events, expectations, plans and prospects that constitute forward–
looking statements. These statements are based upon assumptions
that are subject to significant risks and uncertainties. Because of
these risks and uncertainties and as a result of a variety of
factors, the actual results, expectations, achievements or
performance may differ materially from those anticipated and
indicated by these forward–looking statements. Forward–looking
statements in this news release include, but are not limited to,
potential future acquisitions. A number of factors could cause
actual results to differ materially from these forward–looking
statements as well as future results, including the fact that there
is no assurance that the REIT will complete additional property
acquisitions. Although management of the REIT believes that the
expectations reflected in forward– looking statements are
reasonable, it can give no assurances that the expectations of any
forward– looking statements will prove to be correct. Except as
required by law, the REIT disclaims any intention and assumes no
obligation to update or revise any forward–looking statements to
reflect actual results, whether as a result of new information,
future events, changes in assumptions, changes in factors affecting
such forward–looking statements or otherwise.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this news
release.
The Trust Units are not registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities Act") and
may not be offered or sold within the
United States or to or for the account or benefit of U.S.
persons, except in certain transactions exempt from the
registration requirements of the U.S. Securities Act. This press
release does not constitute an offer to sell, or the solicitation
of an offer to buy, securities of the REIT in the United States or in any other
jurisdiction.
SOURCE Marwest Apartment Real Estate Investment Trust