NOVA NET LEASE REIT ANNOUNCES RESULTS OF VOTING AT SPECIAL MEETING OF UNITHOLDERS
TORONTO, Dec. 30, 2024 – Nova Net Lease REIT, a real estate investment trust with investments in cannabis-related properties in the U.S., has announced the results of its special meeting of unitholders. At this meeting, a special resolution related to the REIT’s previously announced transaction was approved. This transaction involves the indirect sale of all Class A Units of Nova Net Lease Operating LLC to BlueBird Real Estate Holdings, LLC, for a total gross consideration of US$3.71 million. Following this sale, the REIT plans to distribute its net assets to unitholders and terminate according to the REIT’s declaration of trust.
The special meeting witnessed active participation, with over 56% of the issued and outstanding units being voted upon. The resolution to approve the transaction was overwhelmingly supported, receiving a 100% affirmative vote both inclusive and exclusive of votes from units held by Steve Dawson, Katie Barthmaier, and their respective affiliates. This unanimous support underscores the confidence of the unitholders in the proposed transaction and its anticipated benefits.
The closing of the Class A Unit Sale is targeted to occur around January 2, 2025, subject to the fulfillment of customary closing conditions. Unitholders can expect the distribution of net assets and the termination of the REIT to follow in the first quarter of 2025.
About Nova Net Lease REIT
Nova Net Lease REIT is a cross-border real estate investment trust. It focuses on investments in cannabis-related properties across the United States through its operating partnership. This strategic focus taps into the growing cannabis industry landscape in the U.S., providing investment opportunities for its stakeholders.
Forward-Looking Information
The announcement contains forward-looking information regarding the completion and implications of the transaction. Such statements may include terms like “expect,” “intend,” “anticipate,” and other similar expressions. These statements are subject to inherent risks and uncertainties, as circumstances may change due to various factors. It is essential to bear in mind that while the REIT bases these forward-looking statements on reasonable assumptions, actual results may vary. Factors such as changes in financial trends and business strategies can influence these projections.
The disclosure highlights the REIT’s cautionary stance, acknowledging that numerous unknown risks, largely beyond its control, could alter the outcome of the transaction or lead to modifications or termination per the transaction’s terms. Such uncertainties are detailed in the REIT’s publicly filed materials available through its profile, providing comprehensive risk assessment for informed decision-making.
While the REIT remains committed to performing in the best interest of its unitholders, it emphasizes the unpredictable nature of forward-looking statements. No obligation arises to update such statements unless mandated by Canadian law. This transparency ensures that all parties remain informed, fostering trust and reliability.
The progression of this transaction is a significant milestone for Nova Net Lease REIT and its stakeholders, as it aims to efficiently conclude its operations and deliver shareholder value through strategic asset distribution.
