DGAP-Adhoc: Dream Global Real Estate Investment Trust: Dream Global REIT Announces $175 Million Equity Offering

DGAP-Ad-hoc: Dream Global Real Estate Investment Trust / Key word(s): 
Capital Increase 
Dream Global REIT Announces $175 Million Equity Offering 
 
05-Jun-2018 / 23:15 CET/CEST 
Disclosure of an inside information acc. to Article 17 MAR of the Regulation 
(EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG. 
The issuer is solely responsible for the content of this announcement. 
 
*Dream Global Real Estate Investment Trust -Disclosure of inside information 
according to Article 17 of the EU Market Abuse Rregulation (EU 596/2014, 
MAR)* 
 
*Not for release, publication or distribution, directly or indirectly, in or 
into the United States or any other jurisdiction in which the distribution 
or release would be unlawful.* 
 
*TORONTO, JUNE 5, 2018* 
 
*DREAM GLOBAL REAL ESTATE INVESTMENT TRUST* 
 
*Unit Code: TSX:DRG.UN, FRA:DRG* 
 
*ISIN: CA26154A1066 * 
 
*DREAM GLOBAL REIT ANNOUNCES $175 MILLION EQUITY OFFERING* 
 
Dream Global Real Estate Investment Trust (the "Trust") announced today that 
it has entered into an agreement to sell 12,000,000 units of the Trust (the 
"Units") on a bought deal basis at a price of $14.60 per Unit to a syndicate 
of underwriters led by TD Securities Inc. (the "Underwriters") for gross 
proceeds of $175,200,000 (the "Offering"). In addition, Dream Global REIT 
has granted the Underwriters an over-allotment option, exercisable for a 
period of 30 days following closing of the Offering, to purchase up to an 
additional 1,800,000 Units which, if exercised in full, would increase the 
gross proceeds of the Offering to $201,480,000. Closing of the Offering is 
expected to occur on or about June 26, 2018. The Offering is subject to 
certain customary conditions, including the approval of the Toronto Stock 
Exchange. 
 
The Trust intends to use the net proceeds from the Offering to fund 
acquisitions and for general trust purposes. The Trust is currently in 
exclusive negotiations with vendors on five potential acquisitions of high 
quality office and industrial properties located in its target markets in 
Germany and the Netherlands. The combined expected purchase price of these 
properties would exceed EUR170 million ($250 million). 
 
The combined gross leasable area (GLA) of these five properties is 935,000 
square feet. Four of these properties are located in strong German markets 
and one property is located in a G5 Dutch market. One of the German 
properties will be vacant at closing in an excellent market with strong 
leasing velocity. Dream Global REIT expects that when the building is fully 
leased, substantial value will be created. The balance of the properties in 
exclusivity are on average 97% occupied with a staggered weighted average 
lease term (WALT) of 4.5 years. 
 
The Units will be offered by way of a short form prospectus to be filed on 
or about June 18, 2018 with the securities commissions and other similar 
regulatory authorities in each of the provinces of Canada. 
 
For further information, please contact: 
 
P. Jane Gavan        Tamara Lawson        Alexander Sannikov 
President and Chief  Chief Financial      Senior Vice 
Executive Officer    Officer              President, Commercial 
                                          Properties 
[phone]       [phone]       [phone] 
[e-mail]      [e-mail]     [e-mail] 
 
*About Dream Global REIT* 
 
Dream Global REIT is an unincorporated, open-ended real estate investment 
trust that provides investors with the opportunity to invest in commercial 
real estate exclusively outside of Canada. Dream Global's portfolio 
currently consists of approximately 19.5 million square feet of gross 
leasable area of office, industrial and mixed-use properties across Germany, 
the Netherlands, Belgium and Austria. For more information, please visit 
www.dream.ca/global [1]. 
 
*Important Notice:* 
 
This news release is for information only and does not constitute an offer 
to sell, purchase, exchange or transfer any securities or a solicitation of 
any such offer in the United States or any other jurisdiction. The 
securities referred to herein have not been and will not be registered under 
the United States Securities Act of 1933, as amended, and accordingly are 
not being offered for sale and may not be offered, sold or delivered, 
directly or indirectly within the United States, its possessions and other 
areas subject to its jurisdiction or to, or for the account or for the 
benefit of a U.S. person, except pursuant to an exemption from the 
registration requirements of that Act. 
 
*Forward-looking statements* 
 
This news release may contain forward-looking information within the meaning 
of applicable securities legislation, including with respect to the 
potential acquisitions referred to in this news release; the fact that such 
assets achieve the Trust's objectives of enhancing cash flow, growing net 
operating income, and increasing the value of the Trust's properties; the 
Trust's intentions for financing such acquisitions; and the Trust's 
expectations for reducing leverage and increasing flexibility to pursue 
additional acquisition opportunities in the future. Forward looking 
information is based on a number of assumptions and is subject to a number 
of risks and uncertainties, many of which are beyond Dream Global REIT's 
control that could cause actual results to differ materially from those that 
are disclosed in or implied by such forward-looking information. These risks 
and uncertainties include, but are not limited to, capital markets 
conditions, global and local economic and business conditions; the financial 
condition of tenants; the Trust's ability to refinance maturing debt; 
leasing risks, including those associated with the ability to lease vacant 
space; interest and currency rate functions; and, with respect to the 
potential acquisitions referred to in this news release, the risk of failure 
to reach definitive agreements relating to the aqcuisitions, to receive any 
required approvals or consents in connection with the acquisitions, to 
satisfy or waive any conditions to the accquisitions or to realize the 
expected benefits from the acquisitions, as well as the risk that the 
properties that may be acquired may not perform as anticipated. The Trust's 
objectives and forward-looking information are based on certain assumptions, 
including that the Canadian and European economies remain stable, interest 
rates remain stable, conditions within the real estate market remain 
consistent, competition for acquisitions remains consistent with the current 
climate and that the capital markets continue to provide ready access to 
equity and/or debt. All forward-looking information in this news release 
speaks as of the date of this news release. Dream Global REIT does not 
undertake to update any such forward-looking information whether as a result 
of new information, future events or otherwise except as required by law. 
Additional information about these assumptions and risks and uncertainties 
is contained in Dream Global REIT's filings with securities regulators, 
including its latest annual information form and MD&A. These filings are 
also available at Dream Global REIT's website at www.dreamglobalreit.ca [2]. 
 
*Non-GAAP Measures * 
 
The Trust's consolidated financial statements are prepared in accordance 
with International Financial Reporting Standards ("IFRS"). This news release 
refers to the Trust's expectations that the potential acquisitions referred 
to in this news release will achieve its objectives of growing net operating 
income, which is a non-GAAP measure. Net operating income is defined by the 
Trust as net rental income (being investment properties revenue less 
investment properties operating expenses), plus the share of net rental 
income from investment in joint ventures. Although the Trust does not in 
this news release refer quantitatively to the impact of the proposed 
acquisitions on its net operating income, this measure is used by the Trust 
in evaluating property operating performance. As it is not defined by IFRS, 
net operating income does not have a standardized meaning and may not be 
comparable to similar measures presented by other issuers. Net operating 
income should not be considered as an alternative to net rental income as an 
indicator of Dream Global REIT's performance. For a description of net 
operating income, including a reconciliation of net rental income to net 
operating income, please refer to "Non-GAAP Measures and Other Disclosures" 
in the Trust's most recent Management's Discussion and Analysis. 
 
05-Jun-2018 CET/CEST The DGAP Distribution Services include Regulatory 
Announcements, Financial/Corporate News and Press Releases. 
Archive at www.dgap.de 
692701 05-Jun-2018 CET/CEST 
 
 
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(END) Dow Jones Newswires

June 05, 2018 17:14 ET (21:14 GMT)