Equitable Group Inc.
TSX : ETC

Equitable Group Inc.

April 11, 2007 08:14 ET

Equitable Group Inc. Announces $25 Million Bought Deal

TORONTO, ONTARIO--(CCNMatthews - April 11, 2007) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

Equitable Group Inc. (TSX:ETC) - Equitable Group Inc. today announced that it has entered into an agreement with a syndicate of underwriters co-led by Cormark Securities Inc. and BMO Nesbitt Burns and including Blackmont Capital Inc. and GMP Securities LP, pursuant to which the underwriters have agreed to purchase 769,231 common shares of Equitable on a bought deal basis, at a price of $32.50 per share for aggregate gross proceeds to the Company of approximately $25 million. The Company will file a preliminary short form prospectus in all of the provinces of Canada other than Quebec for the purpose of qualifying the common shares for distribution to the public on or before April 16, 2007 and the offering is scheduled to close on or about April 30, 2007. The offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange and the securities regulatory authorities.

The net proceeds of the offering will be used to invest in the equity of the Company's wholly-owned subsidiary, The Equitable Trust Company.

The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

About Equitable Group

Equitable Group Inc. provides first mortgage financing through its wholly-owned subsidiary, The Equitable Trust Company. It also offers Guaranteed Investment Certificates to depositors as a nationally-licensed deposit-taking institution. Equitable Trust was founded in 1970, and by following a prudent, results-driven approach, Equitable has become a leader in its primary niches: alternative single family dwelling as well as multi-unit residential mortgage lending. The common shares of Equitable Group Inc. are listed on the Toronto Stock Exchange under the trading symbol of "ETC". For more information visit www.equitablegroupinc.com.

Notice to Readers

Certain forward-looking statements are made in this news release, including statements regarding possible future business, financing and growth objectives. Investors are cautioned that such forward-looking statements involve risks and uncertainties detailed from time to time in the Company's periodic reports filed with Canadian regulatory authorities. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. Equitable Group Inc. does not undertake to update any forward-looking statements, oral or written, made by itself or on its behalf.

Contact Information

  • Equitable Group Inc.
    Andrew Moor
    (416) 515-7000
    or
    Equitable Group Inc.
    Stephen Coffey
    (416) 515-7000
    Website: www.equitablegroupinc.com