MONTREAL, Feb. 22, 2022 (GLOBE NEWSWIRE) -- (CSE: EMER) Emergia Inc. (the “Corporation” or “EMERGIA”) is pleased to announce it has entered into binding agreements to purchase a position (the “Interest”) of approximately 31% of the total value of a portfolio comprised of six retail plazas in six cities in Ontario (the “Portfolio”). The Portfolio includes approximately 568,000 sq. ft. of gross leasable area (“GLA”) that is almost fully leased, with an additional development potential of approximately 196,000 sq. ft. of GLA, part of which are under negotiations for 2022.
The purchase price for the acquisition of the Interest in the Portfolio, done at arm’s length, is approximately $40.69 million and is anticipated to be paid through a combination of cash, assumption of debt and the issuance to the vendors of up to approximately $10.14 million of class “A” common shares of the Corporation (the “Shares”) at a price of $1.00 per Share. The closing is expected to take place on February 28, 2022, subject to customary conditions.
“This transaction is perfectly in line with the Corporation’s business model as it strengthens our asset base and operations in the province of Ontario. It also brings Emergia’s asset allocation per segment at approximately 36.5% in revenue generating properties and approximately 63.5% in development and optimization properties.” said Henri Petit, President and CEO of EMERGIA.
ABOUT EMERGIA INC.
EMERGIA operates mainly in Canada in the development, acquisition and management of multi-purpose real estate, including retail, multi-residential, industrial, and office buildings as well as land for future development. The Corporation’s investment platform is based on an integrated, agile and efficient develop-to-own strategy that enables EMERGIA to benefit from development profits and the value-add while securing stable long-term returns.
For more information, please visit www.emergia.com and www.sedar.com. EMER.CN
Source: Emergia Inc.
For more Information, please contact:
Henri Petit
CEO
T: 1.888.520.1414 (Ext. 231)
E: hpetit@emergia.com
Forward-Looking Information
This press release contains forward-looking information within the meaning of applicable securities laws. All information and statements other than statements of historical facts contained in this press release are forward-looking information. Such statements and information may be identified by words such as “about”, “approximately”, “may”, “believes”, “expects”, “will”, “intend”, “should”, “plan”, “predict”, “potential”, “project”, “anticipate”, “estimate”, “continue” or similar words or the negative thereof or other comparable terminology. Such forward-looking information includes, without limitation, statements pertaining to the anticipated terms of, financing and closing of the acquisition, the expected portion of the purchase price paid by the issuance of Shares, the business strategy and plans, and objectives of or involving the Corporation. The forward-looking information is based on certain key expectations and assumptions made by the Corporation, including expectations and assumptions concerning satisfaction of all conditions of closing, the receipt of required approvals and the availability of capital resources. Although the Corporation believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information since no assurance can be given that they will prove to be correct. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the risks related to the acquisition, the effect of the COVID-19 pandemic on the Corporation’s financial condition, the real estate industry, and society as a whole, the market for the common shares, volatility of market price for common shares and other risks generally attributable to the business of the Corporation. For additional information with respect to risks and uncertainties, refer to the annual MD&A of the Corporation for the year ended December 31, 2020 and to the other periodic filings that the Corporation has made and may make in the future with the securities commissions or similar regulatory authorities in Canada, all of which are available under the Corporation’s SEDAR profile at www.sedar.com.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS PRESS RELEASE REPRESENTS THE EXPECTATIONS OF THE CORPORATION AS OF THE DATE OF THIS PRESS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE THE CORPORATION MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE SECURITIES LEGISLATION.
