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TORONTO, April 24,
2024 /CNW/ - Flagship Communities Real Estate
Investment Trust (the "REIT" or "Flagship") (TSX:
MHC.U) (TSX: MHC.UN) announced today that it has completed its
previously announced public offering (the "Offering") of
3,910,000 trust units (the "Units") on a bought deal basis
at a price of US$15.35 per Unit for
total gross proceeds to the REIT of approximately US$60 million.
The Offering was completed through a syndicate of underwriters
co-led by BMO Capital Markets and Canaccord Genuity Corp.
The REIT intends to use the net proceeds from the Offering to
fund a portion of the approximately US$93
million aggregate purchase price for the REIT's previously
announced acquisition of seven manufactured housing
communities comprising 1,253 lots (the "Acquisitions")
and for general business purposes. In the event the REIT is unable
to consummate one or both of the Acquisitions, the REIT intends to
use the net proceeds of the Offering to fund future acquisitions
and for general business purposes.
The REIT has also granted the underwriters an over-allotment
option to purchase up to an additional 586,500 Units on the same
terms and conditions, exercisable at any time, in whole or in part,
up to 30 days after the date hereof.
About Flagship Communities Real
Estate Investment Trust
Flagship Communities Real Estate Investment Trust is a leading
operator of affordable residential Manufactured Housing Communities
primarily serving working families seeking affordable home
ownership. The REIT owns and operates exceptional residential
living experiences and investment opportunities in family-oriented
communities in Kentucky,
Indiana, Ohio, Tennessee, Arkansas, Missouri, and Illinois. To learn more about Flagship, visit
www.flagshipcommunities.com.
Forward-Looking
Statements
This press release contains statements that include
forward-looking information (within the meaning of applicable
Canadian securities laws). Forward-looking statements are
identified by words such as "believe", "anticipate", "project",
"expect", "intend", "plan", "will", "may", "can", "could", "would",
"must", "estimate", "target", "objective", and other similar
expressions, or negative versions thereof, and include statements
herein concerning the use of the net proceeds of the Offering.
These forward-looking statements are based on the REIT's
expectations, estimates, forecasts and projections, as well
as assumptions that are inherently subject to significant business,
economic and competitive uncertainties and contingencies that could
cause actual results to differ materially from those that are
disclosed in such forward-looking statements. While considered
reasonable by management of the REIT as at the date of this news
release, any of these expectations, estimates, forecasts,
projections, or assumptions could prove to be inaccurate, and as a
result, the forward-looking statements based on those expectations,
estimates, forecasts, projections, or assumptions could be
incorrect. Material factors and assumptions used by management of
the REIT to develop the forward-looking information in this news
release include, but are not limited to, that the conditions to
closing of the Acquisitions will be met or waived in a timely
manner and that both of the Acquisitions will be completed on the
current agreed upon terms.
When relying on forward-looking statements to make decisions,
the REIT cautions readers not to place undue reliance on these
statements, as they are not guarantees of future performance and
involve risks and uncertainties that are difficult to control or
predict. A number of factors, many of which are beyond the REIT's
control, could cause actual results to differ materially from the
results discussed in the forward-looking statements, such as the
risks identified in the REIT's management's discussion and analysis
for the year ended December 31, 2023
available on the REIT's profile on SEDAR+ at www.sedarplus.com,
including, but not limited to, the factors discussed under the
heading "Risks and Uncertainties" therein and the risk of the
REIT's plans with respect to debt bridge financing for the
Acquisitions not being achieved as anticipated. There can be no
assurance that forward-looking statements will prove to be accurate
as actual outcomes and results may differ materially from those
expressed in these forward-looking statements. Readers, therefore,
should not place undue reliance on any such forward-looking
statements. Forward-looking statements are made as of the date of
this press release and, except as expressly required by applicable
Canadian securities laws, the REIT assumes no obligation to
publicly update or revise any forward-looking statement, whether as
a result of new information, future events or otherwise.
SOURCE Flagship Communities Real Estate Investment Trust