Summit Industrial Income REIT completes bought deal offering in conjunction with an acquisition of light industrial properties in Alberta
October 17, 2019
230.00 Million CAD
On October 7, 2019, Summit Industrial Income REIT announced that it had entered into an agreement to acquire 100% of an institutional quality portfolio of 37 light industrial properties in Calgary, Edmonton and Grande Prairie, Alberta totaling over 3.3 million square feet.
This acquisition was partially financed through a bought deal offering of 15,510,000 subscription receipts at a price of C$12.90 per receipt for gross proceeds of approximately C$200 million. Summit entered into an agreement with a syndicate of underwriters led by BMO Capital Markets to sell the receipts. On October 17, 2019, the underwriters exercised in full the over-allotment option granted to them by purchasing an additional 2,326,500 subscription receipts under the same terms and conditions. The total value of the transaction is approximately C$230 million.
Summit is an open-ended mutual fund real estate investment trust focused on growing and managing a portfolio of light industrial properties across Canada.
McCarthy Tétrault advised Summit in this bought deal offering with a team co-led by Heidi Gordon and Andrew Parker, that included Matt Vaughan and Sarah Ferguson (Business), Gabrielle Richards, Pat McCay and Justin Shoemaker (Tax), and Gordon Baird (Financial Services).