On April 23, 2025, Melcor Developments Ltd. (“Melcor”) completed the acquisition of the remaining 45% equity interest it did not already own in Melcor Real Estate Investment Trust (“Melcor REIT”) through a court-approved plan of arrangement. Melcor paid C$5.50 per Class A LP Unit in cash, resulting in a total transaction value of approximately C$55.7 million. The REIT used the proceeds to repurchase and cancel all outstanding participating trust units at the same price, net of applicable withholding taxes.

The transaction was initially announced on September 12, 2024, with a revised offer accepted on November 24, 2024. It was approved by unitholders on April 11, 2025, and received final court approval on April 16, 2025. Melcor REIT’s units were expected to be delisted from the Toronto Stock Exchange after market close on April 24, 2025, and the REIT planned to cease public reporting thereafter.

Unitholders also received a non-cash Arrangement Distribution of C$0.40 per unit, reflecting estimated taxable income and capital gains for 2025. This was effected through the issuance of additional units followed by a unit consolidation.

DLA Piper (Canada) LLP advised the REIT’s Independent Committee, and Bryan & Company LLP acted for Melcor. Norton Rose Fulbright Canada LLP acted as special counsel to FC Private Equity Realty Management Corp. and Telsec Property Corporation, unitholders of Melcor REIT. Financial advisors included BMO Capital Markets, Ventum Capital Markets, and CIBC Capital Markets. ATB Capital Markets and Laurel Hill also advised.