"The completion of this transaction marks a pivotal moment for Bridgemarq. The acquisition of these brokerage operations and the internalization of the management team are crucial to the long-term success and growth of our business. Expanding the Company's profile with the addition of new and innovative business models will allow us to increase revenues and better position our brands to capture greater market share. We believe this transaction will provide long-term value for shareholders and offer even more diverse and technology-forward solutions for our network of real estate professionals," said
For additional details on the Transaction, see the Management Information Circular dated
Following the completion of the Transaction, the Company effected several key changes to the Company's board of directors (the "Board") and management team to increase the operational effectiveness of the business while maintaining continuity of operations:
Lorraine Bell , who has been a valuable member of the Board since 2003, has succeededSpencer Enright as the independent chair of the Board;Spencer Enright , who for the past decade has been the Chief Executive Officer of the Manager and responsible for overall leadership and oversight over operations of the Target Entities, was appointed Chief Executive Officer of Bridgemarq and will continue as a director on the Board; andPhil Soper will continue in his role managing all agent and franchise relationships as the President of Bridgemarq, andGlen McMillan will continue in his role as Chief Financial Officer of Bridgemarq.
In connection with the Transaction, the Company has also amended its credit facility (the "Credit Facility") effective
For a full description of the Company's Credit Facility, see the Company's Annual Information Form for the year ended December 31, 2023, or the Company's Annual Report, which will be available on the Company's website at www.bridgemarq.com and on the Company's profile on SEDAR+ at www.sedarplus.ca.
Bridgemarq is a leading provider of services to residential real estate brokers and a network of approximately 21,000 REALTORS®. We operate in
Bridgemarq is an affiliate of Brookfield Business Partners, a business services and industrials company focused on owning and operating high-quality businesses that benefit from barriers to entry and/or low production costs. Brookfield Business Partners is listed on the
This news release contains forward-looking information and other "forward-looking statements", including, without limitation, statements with respect to the anticipated benefits of the Transaction, and the economic and strategic impact of the Transaction. Words such as "believe", "growth", "may", "to", "will", and other expressions that are predictions of or could indicate future events and trends and that do not relate to historical matters identify forward-looking statements.
Reliance should not be placed on forward-looking statements because they involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those indicated in the forward-looking statements include: any resurgence of COVID-19 (including any impact of COVID-19 on the economy and the Company's business), changes in the supply or demand of houses for sale in
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BRIDGEMARQ® & DESIGN / |
The trademarks REALTOR®, REALTORS® and the REALTOR® logo are controlled by The |
Prior to completion of the Transaction, Brookfield, together with the persons and entities which are directly or indirectly controlled by it, beneficially owned or exercised control or direction over 315,000 Restricted Voting Shares (representing approximately 3.3% of the Restricted Voting Shares on a non-diluted basis and 2.5% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all outstanding Exchangeable Units, in each case prior to completion of the Transaction) and 3,327,667 Exchangeable Units (representing approximately 26.0% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all Exchangeable Units prior to the completion of the Transaction). Such securities, in the aggregate, represented approximately 28.4% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all Exchangeable Units prior to the completion of the Transaction.
Upon completion of the Transaction, after taking into account the additional 2,920,877 Exchangeable Units issued by the Partnership in consideration for the Transaction (representing approximately 18.6% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all Exchangeable Units), Brookfield, together with the persons and entities which are directly or indirectly controlled by it, beneficially own or exercise control or direction over, 315,000 Restricted Voting Shares (representing approximately 3.3% of the Restricted Voting Shares on a non-diluted basis and 2.0% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all outstanding Exchangeable Units) and 6,248,544 Exchangeable Units (representing approximately 39.7% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all Exchangeable Units). Such securities, in the aggregate, represent approximately 41.7% of the Restricted Voting Shares on a fully-diluted basis, assuming the exchange of all Exchangeable Units.
The above calculations are based on 9,483,850 Restricted Voting Shares and 3,327,667 Exchangeable Units issued and outstanding (calculated on a non-diluted basis) immediately prior to the Transaction and 9,483,850 Restricted Voting Shares and 6,248,544 Exchangeable Units issued and outstanding (calculated on a non-diluted basis) following the Transaction.
Brookfield's direct and indirect holdings of Restricted Voting Shares and Exchangeable Units are being held for investment purposes and such holdings may be increased or decreased as considered appropriate in light of investment criteria, market conditions and other factors and in accordance with the provisions of applicable securities legislation.
This news release is being issued under the early warning provisions of Canadian securities legislation. A copy of the Early Warning Report to be filed by Brookfield in connection with the transactions described above will be available on SEDAR+ (www.sedarplus.ca) under the Company's issuer profile.
The head office of the Company is located at
To obtain a copy of the Early Warning Report filed under National Instrument 62-103, please contact:
| Anne-Elise Cugliari Allegritti |
SOURCE
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