On October 30, 2024, Real Estate Split Corp. (TSX: RS and RS.PR.A) (the “Fund”) completed an overnight public offering (the “Offering”) of 2,000,600 class A shares and 2,040,128 preferred shares for total gross proceeds of approximately C$46.4 million.
The objectives of the Fund are to provide holders of the class A shares with non-cumulative monthly cash distributions and the opportunity for capital appreciation through exposure to the Fund’s investment portfolio and holders of the preferred shares with fixed cumulative preferential quarterly cash distributions and to return the original issue price. This will be achieved through a diversified, actively managed portfolio comprised of dividend-paying securities of issuers operating in the real estate or related sectors, including real estate investment trusts. The Fund is focused on issuers that Middlefield Capital Corporation, the investment advisor to the Fund, believes are well-positioned to benefit from the rapid adoption of e-commerce, the growth of data infrastructure as well as attractive valuations in various areas of the real estate sector.
The syndicate of agents for the offering was co-led by CIBC Capital Markets, RBC Capital Markets and Scotiabank, and included Canaccord Genuity Corp., Hampton Securities Limited, National Bank Financial Inc., BMO Nesbitt Burns Inc., iA Private Wealth Inc., Raymond James Ltd., Manulife Wealth Inc., Ventum Financial Corp., Wellington-Altus Private Wealth Inc., Desjardins Securities Inc. and Research Capital Corporation.
Middlefield Limited, the manager of the Fund, was advised by Fasken with a team that consisted of Stephen Erlichman, Daniel Fuke and George Soules (Securities, Investment Products and Wealth Management); and Mitchell Thaw and Katerina Ignatova (Tax Law).
Jurisdiction
- Ontario
