Mr. Wes Bews reports
BOSTON PIZZA ROYALTIES INCOME FUND ANNOUNCES INTENTION TO MAKE NORMAL COURSE ISSUER BID
Boston Pizza Royalties Income Fund has received Toronto Stock Exchange approval of a notice of intention to make a normal course issuer bid through the facilities of the TSX and other Canadian marketplaces from Nov. 28, 2018, to no later than Nov. 27, 2019. The normal course issuer bid will permit the fund to repurchase for cancellation up to 115,000 units of the fund, being approximately 0.5 per cent of the fund's issued and outstanding units (as at Nov. 26, 2018). The fund has 21,886,063 units issued and outstanding as at Nov. 26, 2018. The average daily trading volume of the units for the period between May 1, 2018, and Oct. 31, 2018, was 32,659 units. In accordance with the rules of the TSX, the maximum number of units that can be purchased on a daily basis by the fund is 8,164 units, subject to the block purchase exception.
The board of trustees of the fund believes that, from time to time, market conditions provide opportunities for the fund to acquire units at attractive prices and that the purchases are an appropriate use of funds that will enhance unitholder value.
The fund intends to finance purchases under the normal course issuer bid by drawing on the remaining balance of the fund's credit facilities established on May 5, 2015, by subsidiaries of the fund, Boston Pizza Royalties LP and Boston Pizza Holdings LP, with a Canadian chartered bank, or using other future sources of financing. Full particulars of the fund's credit facilities, including applicable interest rates, security, guarantees, and other terms and conditions, are contained within the credit agreement governing the credit facilities, a copy of which is available on
The fund has established an automatic securities purchase plan with its broker, BMO Nesbitt Burns Inc., to allow for the repurchase of units under the normal course issuer bid at any time, including when it ordinarily would not be active in the market due to its own internal trading blackout periods, insider trading rules or otherwise. The plan will terminate on the earliest of: (a) the date on which the purchase limits specified in the plan have been attained; (b) the date on which the normal course issuer bid automatically terminates in accordance with the plan; (c) the fund terminates the plan in accordance with the terms of the plan, in which case the fund will issue a press release announcing such termination; and (d) Nov. 27, 2019. All purchases will be made on the open market through the facilities of the TSX in accordance with the requirements of the TSX or other Canadian marketplaces by registered investment dealers.
About Boston Pizza Royalties Income Fund
The fund is a limited purpose open-ended trust with an excellent record for investors since its initial public offering in 2002. Including the October, 2018, distribution which is payable on Nov. 30, 2018, the fund has delivered 18 distribution increases and 196 consecutive monthly distributions totalling $301.8-million or $20.41 per unit.
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