CHC Student Housing Announces Approvals for Sale of London Property and Director Resignation
Toronto, Ontario--(Newsfile Corp. - January 31, 2020) - CHC Student Housing Corp. (TSXV: CHC) ("CHC" or the "Company") announces that it has received shareholder approval and conditional acceptance of the TSX Venture Exchange ("TSXV") for the previously announced sale of its London property for total gross proceeds of $55.0 million. Shareholder approval was obtained at the Company's annual and special meeting of shareholders held on January 22, 2020, at which shareholders approved a special resolution approving the sale of the London property. The closing of the sale is subject to final acceptance of the TSXV and certain additional conditions which are customary for transactions of this nature. Subject to the satisfaction of all required conditions, the transaction is expected to close on or about February 5, 2020.
The Company also announces that Heather Fitzpatrick has resigned as a director of CHC.
Following the sale of the London property, the Company will cease to have active operations. As a result, it will not meet the continued listing requirements for the TSXV and will be transferred to the NEX upon completion of the sale. The NEX is a separate board of the TSXV that provides a trading forum for listed companies that have fallen below the TSXV's continued listing requirements.
As previously disclosed, the Company will use the net proceeds from the sale of the London property to settle its debts, return capital to its shareholders in an amount to be determined, and seek out alternative business opportunities which could potentially result in additional value for shareholders. At the Company's annual and special meeting of shareholders held on January 22, 2020, shareholders approved a special resolution approving a reduction in the stated capital of the Company for the purpose of permitting a special distribution to be made to its shareholders as a return of capital in an amount to be determined by the Board of Directors in its sole discretion. The Company will announce further details with respect to any of these matters as they develop.
Forward Looking Information
Certain statements contained in this news release may constitute forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "expect", "may", "will", "intend", "should", and other similar expressions. Forward-looking statements in this news release include statements regarding the expected sale of the Company's London property. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. The forward-looking statements contained in this news release represent the Company's expectations as of the date hereof, and are subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
Neither the TSX Venture Exchange ("TSXV") nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
For more information, please contact:
Simon Nyilassy, President and Chief Executive Officer
CHC Student Housing Corp.
Telephone: (416) 504-9380
Ron Schwarz, Chair
CHC Student Housing Corp.
Telephone: (416) 593-7085
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/52027