NEW GLASGOW, NS, Aug. 9, 2021 /CNW/ - Crombie Real Estate Investment Trust ("Crombie" or the "REIT") (TSX: CRR.UN), announced today that it entered into an agreement to issue $150 million aggregate principal amount of Series J Senior Unsecured Notes maturing August 12, 2031 (the "Series J Notes"). The Series J Notes will bear interest at a rate of 3.133% per annum.
The Series J Notes are being offered with a syndicate of agents, co-led by CIBC World Markets Inc., Scotia Capital Inc., and TD Securities Inc., and including BMO Nesbitt Burns Inc., National Bank Financial Inc., Desjardins Securities Inc., and RBC Dominion Securities Inc., to sell, on a best effort, private placement basis.
Net proceeds from the Series J Notes offering will be used to repay certain indebtedness outstanding under the REIT's credit facilities and for general trust purposes.
The offering is expected to close on or about August 12, 2021 and are subject to customary closing conditions, including receipt of necessary consents and approvals and the Series J Notes receiving a rating of at least BBB(low) with a negative trend from DBRS.
The Series J Notes will be sold in Canada on a private placement basis pursuant to certain prospectus exemptions. The offer and sale of the Series J Notes will not be registered under the United States Securities Act of 1933, as amended (the "Securities Act") or any state securities laws, and the Notes may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.
This news release does not constitute an offer to sell, or a solicitation of an offer to buy, any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such an offer, solicitation, or sale would be unlawful. The Toronto Stock Exchange has neither approved nor disapproved the form or content of this press release.
About Crombie REIT
Crombie Real Estate Investment Trust invests in quality real estate that enhances local communities and is adaptable to long-term growth. As one of the country's leading national retail property landlords, Crombie's portfolio includes grocery-anchored retail, shopping centres, industrial, and mixed-use developments in Canada's top urban and suburban markets. Crombie is an unincorporated, open-ended real estate investment trust established under, and governed by, the laws of the Province of Ontario. Learn more at www.crombiereit.com.
This news release may contain forward-looking statements that reflect the current expectations of management of Crombie about Crombie's future results, performance, achievements, prospects and opportunities. Wherever possible, words such as "continue", "may", "will", "estimate", "anticipate", "believe", "expect", "intend" and similar expressions have been used to identify these forward-looking statements. These statements reflect current beliefs and are based on information currently available to management of Crombie, and include, without limitation, statements regarding the expected amount and timing of the offering which remains subject to the sale by the agents and may be impacted by market conditions. There is no assurance that the offering will be completed.
Readers are cautioned that such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from these statements. Crombie can give no assurance that actual results will be consistent with these forward-looking statements. A number of factors, including those discussed in the Annual Information Form for the year ended December 31, 2020 under "Risks", could cause actual results, performance, achievements, prospects or opportunities to differ materially from the results discussed or implied in the forward-looking statements. These factors should be considered carefully and a reader should not place undue reliance on the forward-looking statements. There can be no assurance that the expectations of management of Crombie will prove to be correct.
SOURCE Crombie REIT