InnVest Real Estate Investment Trust
TSX : INN.UN
TSX : INN.DB.A
TSX : INN.DB.B
TSX : INN.DB.C

InnVest Real Estate Investment Trust

November 12, 2009 12:00 ET

InnVest Real Estate Investment Trust Announces Renewal of Normal Course Issuer Bid for Units and Implements Normal Course Issuer Bid for Convertible Debentures

TORONTO, ONTARIO--(Marketwire - Nov. 12, 2009) - InnVest Real Estate Investment Trust ("InnVest") (TSX:INN.UN)(TSX:INN.DB.A)(TSX:INN.DB.B)(TSX:INN.DB.C) today announced that the Toronto Stock Exchange (the "TSX") has accepted notice of its intention to make normal course issuer bids for its trust units ("Units"), Series A 6.25% Convertible Debentures, Series B 6.00% Convertible Debentures and Series C 5.85% Convertible Debentures.

As at November 11, 2009, there were 87,402,245 Units issued and outstanding. InnVest may purchase through the facilities of the TSX up to 8,032,364 Units, representing 10% of the public float of Units as of the date of the notice. Daily purchases of Units will not exceed 81,928 Units, subject to InnVest's ability to make "block" purchases under the rules of the TSX. InnVest purchased 633,136 Units at a weighted average price per Unit of $3.43 under its previous normal course issuer bid, which commenced on November 11, 2008 and terminated on November 10, 2009.

As at November 11, 2009, InnVest had the following principal amount of convertible debentures outstanding: $45,764,000 of Series A 6.25% Convertible Debentures; $74,980,000 of Series B 6.00% Convertible Debentures; and $70,000,000 of Series C 5.85% Convertible Debentures. InnVest may purchase through the facilities of the TSX up to $4,576,400 principal amount of Series A 6.25% Convertible Debentures, $7,498,000 principal amount of Series B 6.00% Convertible Debentures, and $7,000,000 principal amount of Series C 5.85% Convertible Debentures, each such amount representing 10% of the public float of the applicable series of convertible debentures as of the date of the notice. Daily purchases of convertible debentures will not exceed $7,980 principal amount of Series A 6.25% Convertible Debentures, $10,020 principal amount of Series B 6.00% Convertible Debentures, and $15,387 principal amount of Series C 5.85% Convertible Debentures, subject, in each case, to InnVest's ability to make "block" purchases under the rules of the TSX.

InnVest believes that, from time to time, the market price of its Units and convertible debentures may not reflect their underlying value and that the purchase of Units and convertible debentures may represent an appropriate and desirable use of its funds. InnVest intends to fund any purchases out of available cash and undrawn credit facilities.

Purchases under the normal course issuer bids can be made from time to time over a twelve- month period, commencing on November 16, 2009 and terminating on November 15, 2010, as appropriate opportunities arise. The price InnVest will pay for any Units or convertible debentures will be the market price at the time of acquisition. It is currently expected that Units or convertible debentures purchased under the bids will be cancelled, other than Units issued to the trustees of InnVest in satisfaction of a portion of their annual retainer fee. The actual number of Units or principal amount of convertible debentures which may be purchased and the timing of any such purchases will be determined by InnVest, in accordance with the rules of the TSX.

FORWARD LOOKING STATEMENTS

Statements contained in this press release that are not historical facts are forward-looking statements which involve risk and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. Among the key factors that could cause such differences are real estate investment risks, hotel industry risks and competition. These and other factors are discussed in InnVest's 2008 annual information form which is available at www.sedar.com or www.innvestreit.com. InnVest disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required to do so by applicable securities law.

TRUST PROFILE

InnVest REIT holds Canada's largest hotel portfolio together with an interest in Choice Hotels Canada Inc. the largest franchisor of hotels in Canada. The hotel portfolio currently comprises 145 hotel properties, with approximately 19,000 guest rooms, operated under internationally recognized franchise brands such as Comfort Inn®, Holiday Inn®, Quality Suites/Inn®, Radisson®, Delta®, Travelodge®, Hilton® Staybridge Suites®, Fairmont Hotels®, Sheraton Suites® and Best Western®. InnVest's trust units and outstanding convertible debentures trade on the Toronto Stock Exchange under the symbols INN.UN, INN.DB.A, INN.DB.B and INN.DB.C, respectively.

Contact Information

  • InnVest Real Estate Investment Trust
    Kenneth Gibson
    President and Chief Executive Officer
    (905) 206-7100
    or
    InnVest Real Estate Investment Trust
    Tamara Lawson
    Chief Financial Officer and Corporate Secretary
    (905) 206-7100
    (905) 206-7114 (FAX)
    Website: www.innvestreit.com