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TORONTO, Dec. 28, 2017 (GLOBE NEWSWIRE) -- Firm Capital American Realty Partners Corp. (the “Corporation”) (TSXV:FCA.U) (TSXV:FCA) is pleased to announce today that, further to its press releases dated December 18, 2017 and December 19, 2017, respectively, it has completed its underwritten public offering (the “Offering”) of 467,000 common shares of the Corporation (“Offered Shares”) for aggregate gross proceeds of approximately US$3.5 million (or CDN$4.5 million).
The Offering was completed at a price per Offered Share of US$7.50 or CDN$9.64 (the “Offering Price”) by a syndicate of underwriters led by Canaccord Genuity Corp., and which included Echelon Wealth Partners Inc., GMP Securities L.P., Industrial Alliance Securities Inc. and TD Securities Inc. (collectively, the “Underwriters”). The Corporation has also granted the Underwriters an over-allotment option to purchase up to an additional 70,050 Offered Shares at the Offering Price (the “Underwriters’ Option”), exercisable at any time, and from time to time, in whole or in part, up to and including 30 days after the closing date of the Offering.
The Corporation intends to use the net proceeds of the Offering: (i) to fund prospective acquisitions of income producing multi-family residential properties in the United States primarily in joint venture partnerships; (ii) to fund prospective investments in mortgage debt on real estate properties in the United States; (iii) for the repayment of debt; and (iv) for working capital and general corporate purposes.
About the Corporation
The Corporation is a United States focused real estate investment company that pursues real estate and debt investments through the following platforms:
- Income Producing Real Estate Investments: Acquiring income producing real estate assets in major cities across the U.S. Acquisitions are completed by the Corporation primarily in joint-venture partnerships with local industry expert partners who retain property management responsibilities; and
- Mortgage Debt Investments: Real estate debt and equity lending platform in major cities across the U.S., focused on providing all forms of bridge mortgage loans and joint venture capital.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain information in this news release constitutes forward-looking statements under applicable securities law. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as “may”, “should”, “anticipate”, “expect”, “intend” and similar expressions, and include statements relating to the exercise of the Underwriters’ Option and the use of proceeds of the Offering. Forward-looking statements necessarily involve known and unknown risks, including those described in the Corporation’s most recent Annual Information Form and the Corporation’s (final) prospectus supplement to the short form base shelf prospectus dated September 15, 2017, under “Risk Factors” (copies of which can be obtained at www.sedar.com). Such risks include, without limitation, risks associated with general economic conditions; adverse factors affecting the U.S. real estate market generally or those specific markets in which the Corporation holds properties; volatility of real estate prices; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; industry and government regulation; changes in legislation, income tax and regulatory matters; the ability of the Corporation to implement its business strategies; competition; currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. All forward-looking statements contained in this news release are expressly qualified by this cautionary statement. 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.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Kursat Kacira
President & Chief Executive Officer
(416) 635-0221
Sandy Poklar
Chief Financial Officer
(416) 635-0221