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Press release from CNW Group

Timbercreek Senior Mortgage Investment Corporation Files Preliminary Prospectus for Offering of Class A shares and Class B shares

Tuesday, November 20, 2012

Timbercreek Senior Mortgage Investment Corporation Files Preliminary Prospectus for Offering of Class A shares and Class B shares17:10 EST Tuesday, November 20, 2012TSX: MTGTORONTO, Nov. 20, 2012 /CNW/ - Timbercreek Senior Mortgage Investment Corporation (the "Company") announced today that it has filed a preliminary prospectus (the "Preliminary Prospectus") with the securities regulatory authorities in each of the provinces and territories of Canada.  A copy of the Preliminary Prospectus will be available on SEDAR ( Preliminary Prospectus qualifies the distribution (the "Offering") of up to $100,000,000 of Class A shares ("Class A Shares") and/or Class B shares ("Class B Shares") of the Company.  The price per Class A Share and the price per Class B Share, as well as the minimum amount under the Offering, have not yet been determined by the Company.  The Class B Shares are designed for fee-based accounts with a registered dealer or institutional investors and will not be listed on a stock exchange, but are convertible into Class A Shares. The outstanding Class A Shares are listed and posted for trading on the Toronto Stock Exchange ("TSX") under the symbol "MTG".A syndicate of agents including CIBC, Raymond James Ltd., RBC Capital Markets and TD Securities Inc. (collectively, the "Agents") will commence marketing of the Offering.Prospective purchasers may subscribe for such Class A Shares and/or Class B Shares through one of the Agents.The investment objectives of the Company are, with a primary focus on capital preservation, to acquire and maintain a diversified portfolio of Customized First Mortgages that generates attractive, stable returns in order to permit the Company to pay monthly distributions to its shareholders.  The Company is managed by Timbercreek Asset Management Ltd. (the "Manager"). The Manager will also act as portfolio adviser for the Company and is an investment management company.Although the long-term targeted aggregate annual yield (net of all fees and expenses of the Company) of the Manager is the two-year Government of Canada bond yield plus 350 basis points, for the period ending June 30, 2013, the Manager is targeting to deliver a return consistent with the previous nine months cash distributions, which would result in an annualized yield of approximately 6% per Class A Share (based upon an issue price of $10.00 per Class A Share), net of fees and expenses of the Company.This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities of the Company in the United States, nor shall there be any sale of the securities of the Company in any jurisdiction in which such offer, solicitation or sale would be unlawful.  The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act and applicable state securities laws.This press release contains forward-looking statements.  There can be no assurance that forward-looking statements will prove to be accurate, as actual results, performance and future events could differ materially from those anticipated in such statements.  Accordingly, readers should not place undue reliance on forward- looking statements.The Preliminary Prospectus contains important information relating to these securities, and has been filed with the securities commissions or similar authorities in certain jurisdictions of Canada.  The Preliminary Prospectus is still subject to completion or amendment. Copies of the Preliminary Prospectus may be obtained from any of the Agents named above. There will be no sale or acceptance of an offer to buy securities until a receipt for the final prospectus has been issued.%SEDAR: 00032571ESOURCE: Timbercreek Senior Mortgage Investment CorporationFor further information: Timbercreek Asset Management Ltd. Carrie Morris Vice President, Investor Relations 416-306-9967 x250