First Capital Real Estate Investment Trust (FCR-UN.TO) on Thursday said it has agreed to be acquired by Choice Properties REIT and KingSett Capital, on behalf of KingSett Real Estate Growth LP No. 8 and other investors, in a unit-and-cash transaction valued at about C$9.4 billion, including debt.
Under the agreement, First Capital unitholders will receive C$19.24 in cash and 0.3186 units of Choice Properties per unit, implying total consideration of C$24.40 per unit. The offer represents a 17% premium to the company's 20-day volume-weighted average price and an 8% premium to its net asset value.
Upon completion, Choice Properties will acquire approximately C$5 billion of retail assets, while KingSett will acquire about C$4.4 billion of assets and all outstanding First Capital units.
Choice Properties said the acquisition will strengthen its retail portfolio and enhance scale, while maintaining a disciplined capital structure. Pro forma net debt to adjusted EBITDA is expected at around 8.5x, with a path to deleveraging over time.
The transaction, structured as a plan of arrangement, is expected to close in the second half of 2026.
Following completion, First Capital units are expected to be delisted from the Toronto Stock Exchange.
First Capital units closed at C$21.84 on Wednesday, up 0.65%.
For comments and feedback contact: editorial@rttnews.com
Business News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.