Slate Office REIT Announces Results of Meeting of Holders of Its 5.25% Convertible Unsecured Subordinated Debentures

TORONTO--(BUSINESS WIRE)--Slate Office REIT (TSX: SOT.UN) (the “REIT”), an owner and operator of high-quality workplace real estate, announced today that the holders (the “Debentureholders”) of its 5.25% convertible unsecured subordinated debentures, due February 28, 2023 (the “Debentures”), have adopted an extraordinary resolution (the “Extraordinary Resolution”) to approve the implementation of certain amendments to the terms of the Debentures (the “Amendments”) at a meeting of the Debentureholders held on January 27, 2023 (the “Meeting”).

The adoption of the Extraordinary Resolution was overwhelmingly supported by the Debentureholders at the Meeting, with the adoption being approved by holders of approximately 89% of the outstanding principal amount of the Debentures in attendance at the Meeting.

The Amendments approved by the Debentureholders at the Meeting will: (i) increase the interest rate of the Debentures from 5.25% to 9.00%, effective February 28, 2023; (ii) decrease the conversion price of the Debentures from $10.53 per trust unit of the REIT (each, a “Unit”) to $5.50 per Unit; (iii) extend the maturity date of the Debentures from February 28, 2023 to February 28, 2026; and (iv) provide that the Debentures are not redeemable prior to February 28, 2025 and, at any time after February 28, 2025, the REIT will be permitted to redeem the amended Debentures, in whole or in part at a price equal to the principal amount thereof plus accrued and unpaid interest to, but excluding, the date of the redemption. The Amendments are described in detail in the REIT’s consent and proxy solicitation statement dated December 29, 2022, and available on the REIT’s SEDAR profile at www.sedar.com.

The Amendments will be implemented by way of a supplemental indenture to be entered into by the REIT and TSX Trust Company, as trustee for the Debentures (the “Supplemental Indenture”), which is expected to occur prior to February 28, 2023. Once entered into, the Supplemental Indenture will be filed on SEDAR under the REIT’s profile at www.sedar.com in accordance with applicable securities laws.

About Slate Office REIT (TSX: SOT.UN)
Slate Office REIT is a global owner and operator of high-quality workplace real estate. The REIT owns interests in and operates a portfolio of strategic and well-located real estate assets in North America and Europe. The majority of the REIT’s portfolio is comprised of government and high-quality credit tenants. The REIT acquires quality assets at a discount to replacement cost and creates value for unitholders by applying hands-on asset management strategies to grow rental revenue, extend lease term and increase occupancy. Visit slateofficereit.com to learn more.

About Slate Asset Management
Slate Asset Management is a global alternative investment platform targeting real assets. We focus on fundamentals with the objective of creating long-term value for our investors and partners. Slate’s platform has a range of real estate and infrastructure investment strategies, including opportunistic, value add, core plus and debt investments. We are supported by exceptional people and flexible capital, which enable us to originate and execute on a wide range of compelling investment opportunities. Visit slateam.com to learn more.

Forward-Looking Statements
Certain information herein constitutes “forward-looking information” as defined under Canadian securities laws which reflect management’s expectations regarding objectives, plans, goals, strategies, future growth, results of operations, performance, business prospects and opportunities of the REIT. The words “plans”, “expects”, “does not expect”, “scheduled”, “estimates”, “intends”, “anticipates”, “does not anticipate”, “projects”, “believes”, or variations of such words and phrases or statements to the effect that certain actions, events or results “may”, “will”, “could”, “would”, “might”, “occur”, “be achieved”, or “continue” and similar expressions identify forward-looking statements. Such forward-looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations.

Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable by management as of the date hereof, are inherently subject to significant business, economic and competitive uncertainties and contingencies. When relying on forward-looking statements to make decisions, the REIT cautions readers not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not the times at or by which such performance or results will be achieved. A number of factors could cause actual results to differ, possibly materially, from the results discussed in the forward-looking statements. Additional information about risks and uncertainties is contained in the filings of the REIT with securities regulators.

SOT-SA