Toronto Stock Exchange: MTG
TORONTO, Oct. 2, 2013 /CNW/ - Timbercreek Senior Mortgage Investment Corporation (the "Company") announced today that as the next step in the Company's transition to a corporate structure, the specified deadline for the final redemption option of the Class A shares, Class B shares, Class I shares and Class J shares has passed. Redemption requests from holders of 6,622,059 Class A shares, 120,100 Class B shares, 74,000 Class I shares, and no Class J shares of the Company have been received pursuant to the redemption option.
As the redemption requests received for Class I shares are below the 15% redemption cap for each class, all redemption requests for the Class I shares will be processed pursuant to the articles of the Company. With respect to the Class A shares and the class B shares, as the redemption requests received exceeded the 15% redemption cap for each class, the redemption requests will be processed on a pro rata basis (as provided for in the articles of the Company). As a preliminary indication, the percentage of redemption shares that will be accepted for redemption will be approximately 82% for the Class A shares and 27% for the Class B shares. The redemption prices will be the NRV per Class A share, Class B share and Class I share, respectively, on Oct 31, 2013, which will be published by the Company when it is determined on or after Oct 31, 2013. The redemption will be paid out of funds previously allocated for this purpose.
About the CompanyThe Company provides investors with an opportunity to receive attractive yields by investing indirectly, through holding shares of the Company, in mortgage loan investments, comprised of first mortgages, selected and determined to be high quality by its manager, Timbercreek Asset Management Inc. (the "Manager"). The investment objective of the Company is, with a primary focus on capital preservation, to acquire and maintain a diversified portfolio of mortgage loan investments that generates attractive, stable returns in order to permit the Company to pay monthly distributions to its shareholders.