By Rebecca Melvin
New York, June 8 - Retrocom Mid-Market Real Estate Investment Trust priced C$40 million convertible debentures on a bought-deal basis to yield 5.45% with an initial conversion premium of 37%, according to a news release.
There is an over-allotment option for an additional C$6 million of debentures.
The Regulation S deal was sold via a syndicate of underwriters led by TD Securities Inc.
Each debenture is convertibles into units of the trust at the option of the holder at a conversion price of C$8.10, or 123.4568 units per C$1,000 of debentures.
Proceeds will be used to redeem the company's 7.5% convertible debentures due July 31, 2012, to fund planned redevelopment projects and for general trust purposes.
The Retrocom 7.5% debentures are redeemable at Retrocom's option at any time on or after July 31, 2011.
Based in Toronto, Retrocom is a trust that focuses on owning and acquiring mid-market commercial properties in Canadian cities.
| Issuer: | Retrocom Mid-Market Real Estate Investment Trust
|
| Issue: | Convertible debentures
|
| Amount: | C$40 million
|
| Greenshoe: | C$6 million
|
| Maturity: | June 30, 2018
|
| Bookrunners: | TD Securities Inc. (lead)
|
| Coupon: | 5.45%
|
| Price: | Par
|
| Yield: | 5.45%
|
| Conversion premium: | 37%
|
| Conversion price: | C$8.10
|
| Conversion ratio: | 123.4568
|
| Pricing date: | June 8
|
| Settlement date: | July 28
|
| Stock symbol: | Toronto: RMM.UN
|
| Reference stock price: | C$5.92
|
| Distribution: | Regulation S
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
