Great views from the corner spaces of Dream Office’s floor in Scotia Plaza aren’t just for top executives. The REIT has removed corner offices to create open spaces that encourage window-side meetings and collaboration.
Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Dream Office REIT (D.UN-T) is cutting its distribution and announced the sale of $1.7-billion in properties as part of an "acceleration of its strategic plan."
Dream Office REIT says $1.4-billion of the asset sales is to KingSett Capital, including its 50-per-cent interest in Scotia Plaza (as well as the Alberta Investment Management Corp. on behalf of certain of its clients).
The REIT also plans to start a $440-million substantial issuer bid and said it will lower its distribution from $1.50 per unit annually to $1 per unit, starting with the July distribution.
"We believe that this more conservative payout ratio is more aligned with our strategy of owning a focused portfolio of higher quality properties," the REIT stated.
"Prior to today's announcement, the Trust had completed the sale of $1.5-billion of assets since the launch of our Strategic Plan in February, 2016. With the additional $1.7-billion of sales announced today, we will have sold or have under contract $3.2-billion of assets."
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Dream Hard Asset Alternatives Trust (DRA.UN-T) says it has a conditional contract to sell its ownership interest in a portfolio of income properties that are co-owned with Dream Office REIT for about $110.6-million.
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Pure Multi-Family REIT LP (RUF.UN-T) is raising $80-million in a bought-deal financing.
It has an agreement with a syndicate of underwriters co-led by CIBC Capital Markets, Scotiabank and Canaccord Genuity Corp. to sell about 8.9 million Class A units at $8.95 each.
Pure Multi-Family said it intends to use the net proceeds to fund future acquisitions.
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Starlight U.S. Multi-Family (No. 5) Core Fund (STUS.U-X) says it has sold a property in Charlotte, North Carolina with 176 apartment suites for $28.3-million (U.S.).
It said the proceeds from the sale will be used to repay the outstanding mortgage balance of approximately $17.8-million, "with the remainder expected to be utilized on a tax-deferred basis for the acquisition of a property with a greater number of apartment units creating operational economies of scale and that is expected to improve growth opportunities for net operating income."
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Home Capital Group Inc. (HCG-T) announced its financial position as of June 21. It said total available liquidity and credit capacity stood at approximately $1.25-billion, compared to $1.23-billion the day before and $1.06-billion on June 8.
Its high-interest savings account deposit balances stood at approximately $111.8-million, similar to the day before and compared to $105.5-million on June 8.
Total GIC deposits stood at approximately $12.03-billion compared to $12.02-billion the day before and compared to $12.11-billion on June 8.
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Norsat International Inc. (NII-T; NSAT-N) says about 70 per cent of shareholders voted in favour of a controversial takeover by Hytera Communications Co., Ltd. for $11.50 (U.S.) per share.
It said the number was about 67 per cent "excluding the votes of certain insiders" and 97.5 per cent "excluding votes believed to have been cast by Privet Fund Management LLC and Privet Fund LP, which made a rival offer to acquire Norsat."
Ottawa has been criticized for allowing Shenzhen-based Hytera to buy the company without subjecting the deal to a formal national-security review.
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NYX Gaming Group Ltd. (NYX-X) says it has entered into a commitment with ARES Management Ltd. to refinance its existing debt.
The company also says it plans to repay its 6 per cent unsecured convertible debentures and all outstanding amounts of its revolving credit facility, which will then be expanded to £15-million ($25.25-million Canadian) to provide increased financial flexibility.
"The resulting denomination of the company's debt will now more closely match its geographical revenue concentration," it said. "It is expected that approximately 66 per cent of the company's debt will be denominated in British pound sterling, 31 per cent in Euros and the remainder in Canadian dollars."
Chief financial officer Eric Matejevich says the transaction benefits the company in a few ways. "In addition to extending the maturity of certain of our debt instruments, we expect approximately $5-million of annual interest expense savings, which is equivalent to a 16 per cent decrease in annual cash interest payments. This will improve our liquidity position, benefit free cash flow and earnings per share in the coming years, and provide added financial flexibility to enhance shareholder value."
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Cannabis Wheaton Income Corp. (CBW-T) has increased the size of the previously announced "best efforts" private placement of special warrants and convertible debenture units to $60-million from $50-million, plus a 15-per-cent over-allotment option.
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