The following is a set of excerpts from the prospectus document for the preferreds share. The excerpts, highlight the most relevant information, an investor should know when analyzing this preferred. A link to the prospectus is provided lower in this page. The original document for AX.PR.I Prospectus was used for the excerpts and the important information was highlighted for quick access.
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Excerpt: Size and initial yield
AX.PR.E FixedReset . An agreement to sell to a syndicate of underwriters led by RBC Capital Markets and CIBC (the “Underwriters”), on a bought deal basis, 2,000,000 Cumulative Rate Reset Preferred Trust Units, Series E (“Series E Units”) at a price of $25.00 per Series E Unit for gross proceeds to Artis of $50,000,000 (the “Financing”). Artis has also granted the Underwriters an option, exercisable at any time up to 48 hours prior to the closing of the Financing, to purchase a further 300,000 Series E Units at the issue price which, if fully exercised, would result in additional gross proceeds of $7,500,000.
Excerpt: Reset Date and Yield Terms
The Series E Units will pay fixed cumulative preferential distributions of $1.1875 per Series E Unit per annum, yielding 4.75% per annum, payable on the last day of March, June, September and December of each year, as and when declared by the board of trustees of Artis, for the initial period ending September 30, 2018. The first quarterly distribution, if declared, shall be payable on June 30, 2013 and shall be $0.3286 per Series E Unit, based on the anticipated closing of the offering of Series E Units of March 21, 2013. The distribution rate will be reset on September 30, 2018 and every five years thereafter at a rate equal to the sum of the then five-year Government of Canada bond yield and 3.30%. The Series E Units are redeemable by Artis, at its option, on September 30, 2018 and on September 30 of every fifth year thereafter..
Excerpt: Conversion Terms
Holders of Series E Units will have the right to reclassify all or any part of their Series E Units as Cumulative Floating Rate Preferred Trust Units, Series F (the “Series F Units”), subject to certain conditions, on September 30, 2018 and on September 30 of every fifth year thereafter. Such reclassification privilege may be subject to certain tax considerations (to be disclosed in the prospectus supplement). Holders of Series F Units will be entitled to receive a floating cumulative preferential distribution, payable on the last day of March, June, September and December of each year, as and when declared by the board of trustees of Artis, at a rate equal to the sum of the then 90-day Government of Canada Treasury Bill yield plus a spread of 3.30%.