TSE SYMBOL: BEI NYSE SYMBOL: BEI August 18, 2003
Boardwalk Equities Inc. - Intention to Make Normal Course Issuer Bid
Calgary, Alberta – August 18, 2003
CALGARY, Aug. 18 /CNW/ - Boardwalk Equities Inc. ("Boardwalk") wishes to
announce its intention to make a normal course issuer bid (the "Bid") through
the facilities of and subject to regulatory approval of The Toronto Stock
Exchange. Boardwalk's previous normal course issuer bid expired on August 11,
2003.
Boardwalk currently has 50,456,314 issued and outstanding common shares.
The Bid, if approved, would allow Boardwalk to purchase up to 2,771,228 common
shares, representing 10% of its public float, through the facilities of The
Toronto Stock Exchange. The Bid, if approved, is expected to commence on
August 25, 2003 and will terminate one year later, or at such earlier time as
the Bid is complete.
Boardwalk believes that the current and recent market prices of its
common shares do not reflect their underlying value. Boardwalk's management is
initiating this program as it feels that, at current market prices, an
investment in Boardwalk's own high quality portfolio will deliver strong
returns for shareholders and represents an effective use of its capital and
steadily increasing cash flows. At the same time, Boardwalk plans to continue
its property acquisition and capital improvement programs. Boardwalk will
purchase the common shares for cancellation with the intention of increasing
the proportionate interest of all remaining shareholders.
Concurrent with the Bid, Messrs. Sam and Van Kolias, the controlling
shareholders of Boardwalk, through Boardwalk Properties Company Limited, a
company wholly-owned and controlled by them, intend to sell 300,000 Common
Shares of Boardwalk from their combined holdings to fund repayment of
indebtedness, to diversify their investment portfolios and to fund their
charitable causes. In connection with such sale of Common Shares, Messrs. Sam
and Van Kolias have taken appropriate steps to ensure that none of the Common
Shares sold by them, through Boardwalk Properties Company Limited, are offered
for sale or purchased as part of the Bid and will instruct the brokerage firm
appointed to execute the sale of their 300,000 Common Shares through the
facilities of The Toronto and New York Stock Exchanges not to offer for sale
any of those Common Shares through the Bid.
Corporate Profile
Boardwalk Equities Inc. is Canada's largest owner/operator of
multi-family rental properties. Boardwalk currently owns in excess of
250 properties with approximately 31,200 units totalling approximately
26 million net rentable square feet. The company's portfolio is concentrated
in the provinces of Alberta, Saskatchewan, Ontario and Quebec. Boardwalk is
headquartered in Calgary and its shares are listed on both the Toronto Stock
Exchange and the New York Stock Exchange and trade under the symbol BEI. The
Company has a total market capitalization of approximately $2.1 billion.
For further information: Boardwalk Equities Inc., Sam Kolias, President
and CEO, (403) 531-9255, Roberto Geremia, Senior Vice-President, Finance and
Chief Financial Officer, (403) 531-9255, Mike Hough, Senior Vice President,
(416) 364-0849, Paul Moon, Director of Corporate Communications, (403)
531-9255, Internet: http://www.bwalk.com
