- Firm Capital Mortgage (FC) has agreed to sell $40,000,000 of unsecured subordinated debentures due September 30, 2028
- The syndicate of underwriters includes TD Securities Inc. and National Bank Financial Inc.
- The corporation has granted the underwriters an over-allotment option to purchase up to $6,000,000 additional debentures
- The net proceeds of the offering will be used for debt repayment, new investments and for general corporate purposes
- The debentures will bear interest at a rate of 5.00 per cent per annum, payable semi-annually
- Firm Capital Mortgage Investment is a non-bank lender providing short-term bridge and conventional real estate financing
- Firm Capital Mortgage Investment Corporation (FC) ended trading up 0.47 per cent, closing at C$15.08 per share
Firm Capital Mortgage (FC) has agreed to sell $40,000,000 of unsecured subordinated debentures due September 30, 2028.
The debentures will be sold to a syndicate of underwriters book run by TD Securities Inc. and National Bank Financial Inc.
The corporation has granted the underwriters an over-allotment option to purchase up to $6,000,000 additional debentures exercisable at any time until 30 days following the closing of the offering. If the over-allotment option is exercised in full, the gross proceeds of the offering will total $46,000,000.
The net proceeds of the offering will be used for debt repayment, new investments and for general corporate purposes.
The offering is expected to close on or about September 3, 2021, and is subject to the receipt of all necessary regulatory approvals.
The debentures will bear interest at a rate of 5.00 per cent per annum, payable semi-annually commencing on March 31, 2022, and will mature on September 30, 2028.
The debentures may be converted into common shares at any time prior to the maturity date at a conversion price of $17.75 per share.
The debentures will not be redeemable before September 30, 2024.
The corporation will have the right to repay the outstanding principal amount of the debentures through the issuance of shares. The corporation will also have the option to satisfy its obligation to pay interest through the issuance and sale of shares.
Firm Capital Mortgage Investment, through its mortgage banker, Firm Capital Corporation, is a non-bank lender providing residential and commercial short-term bridge and conventional real estate financing, including construction, mezzanine and equity investments.
Firm Capital Mortgage Investment Corporation (FC) ended trading up 0.47 per cent, closing at C$15.08 per share.