This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Amica Mature Lifestyles To Acquire Majority Ownership In Amica At Westboro Park And Announces $24.8 Million Offering Of Common Shares


VANCOUVER, April 24, 2012 /PRNewswire/ - (TSX: ACC) - Amica Mature Lifestyles Inc. ("Amica" or the "Company") is pleased to announce that it has entered into agreements to acquire an additional 73.5% aggregate ownership interest in Amica at Westboro Park, located in Ottawa, Ontario. In connection with this acquisition, the Company is also pleased to announce that it has entered into an agreement with Canaccord Genuity Corp., together with a syndicate of underwriters (the "Underwriters"), to purchase, on a bought deal basis, 2,750,000 common shares ("Common Shares") of the Company at a price of $9.00 per Common Share (the "Offering").

The acquisition of the additional 73.5% ownership interest will bring the Company's ownership position in Amica at Westboro Park to 87.5%. The closing date and effective date for the acquisition is anticipated to be June 1, 2012.

The purchase price to be paid for the acquisition of the 73.5% ownership interest will be approximately $30.72 million, including cash consideration of $7.35 million, and the assumption of the vendors' share of a mortgage on the property and other net liabilities in the amount of approximately $23.37 million.

"Amica at Westboro Park is currently in the late stage of lease-up with occupancy at approximately 82%. Based on an additional 3 net pending move-ins, occupancy is expected to reach 84% by the end of April. We are confident that we will see this community reach stabilized occupancy over the course of the next few months," said Samir Manji, Chairman, President and Chief Executive Officer. "Additionally, we are pleased with the financial performance of Amica at Westboro Park and we look forward to adding Amica at Westboro Park to our growing list of consolidated properties."

Amica at Westboro Park opened in September 2008 and has a total of 137 suites.  It is located in the mature and prestigious Westboro community of Ottawa.  It represents one of the premier retirement residences in the entire Ottawa market and includes all of the Wellness & Vitality™ design features that represent the Amica brand, including a LUXURA™ Spa, featuring salon services such as manicures, pedicures and massage therapy. Based on the projected fiscal 2013 net operating income, the Company estimates that the capitalization rate to be paid on this transaction is approximately 7% and would be approximately 7.5% upon achieving occupancy of 95%. The community has a first mortgage in place (non CMHC-insured) at an interest rate of 4.00% that matures on December 31, 2012.

Pursuant to the Offering, the Company has agreed to sell 2,750,000 Common Shares, on a bought deal basis to the Underwriters, at a price of $9.00 per Common Share for gross proceeds of $24,750,000. In addition, Amica has granted to the Underwriters an over-allotment option exercisable at any time up to 30 days after closing of the Offering to acquire up to an additional 412,500 Common Shares of the Company. In the event that the over-allotment option is exercised in full, the aggregate gross proceeds of the Offering will be $28,462,500. The net proceeds from the Offering (after deducting the underwriters' fee and estimated Offering expenses) will be used to fund the Amica at Westboro Park acquisition described herein, future acquisition opportunities, capital needs of properties in lease-up and development, future acquisitions of increased ownership positions in existing Amica communities and for general corporate and working capital purposes.

The Common Shares will be offered by way of a short form prospectus to be filed with the securities commissions and other similar regulatory authorities in each of the provinces of Canada, except Quebec, pursuant to National Instrument 44-101 - Short Form Prospectus Distributions and in the United States pursuant to exemptions from the registration requirements of the United States Securities Act of 1933, as amended.

Closing of the Offering is currently expected to take place on May 15, 2012 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Stock Exchange and the securities regulatory authorities.

About Amica Mature Lifestyles Inc.

Amica Mature Lifestyles Inc., a Vancouver based public company, is a leader in the management, marketing, design, development and ownership of luxury housing and services for mature lifestyles. There are 25 Amica Wellness & Vitality™ Residences, including a recent acquisition that the Company is transitioning to rebrand, one under development and one in pre-development. The common shares of Amica are traded on the Toronto Stock Exchange under the symbol "ACC". For more information, visit

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable securities laws ("forward-looking statements").

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.99 0.00%
FB $102.01 0.00%
GOOG $682.40 0.00%
TSLA $151.04 0.00%
YHOO $27.04 0.00%


Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs