StorageVault to Acquire Canadian Storage Portfolio for $396.6 Million and Agrees to Internalize Management and Acquire Third Party Management Business for $16 Million - Seite 2

INTERNALIZATION OF MANAGEMENT AND ACQUISITION OF THIRD PARTY MANAGEMENT BUSINESS

StorageVault has reached an agreement in principle to internalize management of StorageVault's 50 stores and acquire the third party management contracts for over 55 stores from Access Results Management Services Inc. ("ARMS"), a related party of StorageVault (the "Transaction"). The gross purchase price for the Transaction is $16,000,000, subject to customary adjustments. It is anticipated that this Transaction will close on or before March 31, 2017. The third party management platform is an important acquisition funnel for StorageVault and it provides a separate and valuable revenue stream.

Purchase Price and Payment

The purchase price for the Transaction is $16,000,000, subject to customary adjustments, and is payable by the issuance of $11,000,000 of common shares of StorageVault at a deemed price of $1.70 per common share, with the remainder of the purchase price being paid with funds on hand.

Conditions Precedent to the Proposed Transaction

The obligation of StorageVault to complete the Transaction is subject to satisfactory due diligence. The obligations of StorageVault and ARMS to complete the closing of the Transaction are subject to the satisfaction of other customary closing conditions including, but not limited to, TSXV acceptance of the Transaction.

TSXV Acceptance and Exemption from MI 61-101 and TSXV Policy 5.9

As ARMS is a non-arm's length party of StorageVault, the Transaction is considered to be a "related party transaction" as defined in Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101") and TSXV Policy 5.9. StorageVault is relying on exemptions from the formal valuation and minority approval requirements of MI 61-101 and TSXV Policy 5.9, in respect of the Transaction, pursuant to Section 5.5(b) (Issuer Not Listed on Specified Markets) and Section 5.7(a) (Fair Market Value Not More Than 25% of Market Capitalization) of MI 61-101, respectively.

OTHER INFORMATION

No new insiders will be created, nor will any change of control occur, as a result of the Acquisition or the Transaction. Completion of the Acquisition and the Transaction are subject to a number of conditions, including, as set forth above. No finders fees are payable in relation to the Acquisition or the Transaction. There can be no assurance that the Acquisition or the Transaction will be completed as proposed or at all. The TSXV has in no way passed upon the merits of the Acquisition or the Transaction and has neither approved nor disapproved the contents of this news release.