Granite REIT Announces Normal Course Issuer Bid to Repurchase Units

Strategic Insights -

Granite Real Estate Investment Trust (GRANITE REIT) has announced the acceptance by the Toronto Stock Exchange (TSX) of its Notice of Intention to Make a Normal Course Issuer Bid (NCIB). This bid will allow Granite REIT to purchase up to 6,060,162 of its issued and outstanding units, approximately 10% of its public float, over the next 12 months. The bid will commence on May 26, 2025, and conclude on the earlier of the date on which purchases are completed and May 25, 2026.

Key Takeaways:

  • Granite REIT has received approval from the TSX to purchase up to 6,060,162 units, representing approximately 10% of its public float.
  • The NCIB will run for 12 months, commencing on May 26, 2025, and concluding on the earlier of the date on which purchases are completed and May 25, 2026.
  • The daily limit for purchases made through the TSX will not exceed 27,099 units, being 25% of the average daily trading volume on the TSX for the six-month period ended April 30, 2025.
  • Granite REIT intends to enter into an automatic securities purchase plan with a broker to facilitate repurchases of units under the NCIB during scheduled blackout periods.
  • The Board of Trustees believes that the potential purchases at prices below Granite REIT's view of intrinsic value are in the best interests of the company and are a desirable use of its liquidity.
  • All units purchased under the NCIB will be cancelled.

Statistics:

  • Aggregate number of units that Granite REIT proposes to purchase: 6,060,162
  • Maximum number of units that may be purchased on any given day through the TSX: 27,099
  • Daily trading volume on the TSX for the six-month period ended April 30, 2025: 108,396 units
  • Percentage of public float that Granite REIT proposes to purchase: 10%
  • Current number of units issued and outstanding: 60,897,220
  • Current public float: 60,601,628 units

Sources:

  • https://www.businesswire.com/news/home/20250521316778/en/
  • Toronto Stock Exchange (TSX)
  • Granite Real Estate Investment Trust (GRANITE REIT) - Financial Statements and Management's Discussion and Analysis for the quarter ended March 31, 2025
  • Annual Information Form of Granite REIT dated February 26, 2025