Real Estate Split Corp. Refreshes At-The-Market Equity Program
Real Estate Split Corp. is excited to share its renewed at-the-market equity program (ATM Program), designed to facilitate the issuance of Class A and Preferred Shares to investors. The program provides an excellent opportunity for the Company to further engage the market by issuing shares based on prevailing prices at the time, enabling flexibility and responsiveness to market conditions.
Details of the Equity Program
Through this ATM Program, the Company will distribute Class A Shares and Preferred Shares via the Toronto Stock Exchange (TSX) or any other recognized marketplace across Canada. This strategic move not only enhances liquidity but also allows for shares to be sold at market rates determined at the time of sale. This could potentially lead to varied pricing for different purchasers, catering to both new and existing investors.
Agreement with National Bank Financial Inc.
The initiative is anchored by a solid equity distribution agreement with National Bank Financial Inc. as the appointed Agent. This facilitates structured sales of shares under National Instrument 44-102, ensuring compliance and integrity while engaging with investors.
Prospectus and Program Duration
The ATM Program is supported by a prospectus supplement related to the Company’s short form base shelf prospectus. This supplement outlines critical details regarding distributions, capped at a maximum of $75 million for both Class A and Preferred Shares. The program is set to remain active until March 13, 2027, unless terminated earlier by the Company. This long-term perspective demonstrates Real Estate Split Corp.'s commitment to operational transparency and ongoing engagements.
Investment Strategy and Objectives
Real Estate Split Corp.'s ATM Program aims to utilize the raised funds responsibly, aligning with its investment goals to create a diversified portfolio focusing on the real estate sector. These funds will particularly target issuers involved in e-commerce, data infrastructure, and key real estate markets such as multi-family, retail, office, and healthcare. This strategy is supported by Middlefield Capital Corporation, which provides strategic investment management services.
Distribution Details for Shareholders
The Class A Shares are tailored to deliver non-cumulative monthly cash distributions, currently set at $0.13 per share, reflecting a recent increase from $0.10. The Preferred Shares, on the other hand, offer fixed cumulative preferential quarterly distributions, which are presently $0.13125 per share. This designed approach ensures both income generation and capital appreciation potential for investors.
Engagement and Support for Investors
For additional insights or inquiries, stakeholders are encouraged to visit Real Estate Split Corp.'s website or contact Nancy Tham in the Sales and Marketing Department. Engaging with a knowledgeable representative can provide tailored assistance and clarity regarding the investment landscape.
Frequently Asked Questions
What is the purpose of the ATM Program for Real Estate Split Corp.?
The ATM Program is designed to issue Class A and Preferred Shares, allowing the Company to attract capital while providing investors access to shares at market rates.
How is the price of shares determined under the ATM Program?
Shares will be sold at the current market price at the time of sale, which may vary among different purchasers during the distribution period.
What are the investment objectives for Class A and Preferred Shares?
Class A Shares aim to provide monthly cash distributions and capital appreciation potential, while Preferred Shares focus on fixed quarterly distributions and returning the original issue price by the specified date.
How long will the ATM Program remain effective?
The ATM Program is intended to remain active until March 13, 2027, unless terminated earlier by the Company.
Who manages the investments for Real Estate Split Corp.?
Middlefield Capital Corporation provides investment management services, guiding the Company’s portfolio decisions in the real estate sector.
