Mall owner RioCan REIT plans $151.5 million public offering of trust units

Thu Jan 18, 4:44 PM

TORONTO (CP) - Shopping mall developer and owner RioCan Real Estate Investment Trust (TSX:REI.UN) is raising $151.5 million by issuing units to investors.

The Toronto company said late Thursday it has struck a deal with underwriters led by RBC Capital Markets to sell six million trust units for $25.25 each.

RioCan said it will use the money raised from the financing for acquisitions, including the cash portion of the purchase of the Yonge Eglinton Centre in midtown Toronto, ongoing development programs and for general trust purposes.

RioCan is Canada's largest real estate investment trust with a total market value of about $7.9 billion. It owns and manages Canada's largest portfolio of shopping centres with ownership interests in 204 retail properties across Canada.

The trust has about 199.9 million units outstanding.