Northview Apartment REIT Announces Agreement to be Acquired by Starlight and KingSett for $36.25 Per Unit in Cash in a Transaction Valued at $4.8 Billion

Northview Board Unanimously Recommends Unitholders Vote IN FAVOUR of Transaction

CALGARY, Alberta, Feb. 20, 2020 (GLOBE NEWSWIRE) -- Northview Apartment Real Estate Investment Trust (“Northview”) (TSX:NVU.UN) announced today that it has entered into an arrangement agreement (the “Arrangement Agreement”) with affiliates of Starlight Group Property Holdings Inc. (“Starlight”) and KingSett Capital Inc. (“KingSett”) (collectively, the “Purchasers”) pursuant to which the Purchasers will acquire Northview, and the holders of Northview’s outstanding trust units (the “Units”) (other than Starlight’s interest in Northview which will be rolled into the acquiring entities) will receive $36.25 per Unit (the “Offer Price”) in cash in a transaction valued at $4.8 billion including net debt (the “Transaction”).

TRANSACTION HIGHLIGHTS

• The Transaction provides attractive value for Northview unitholders, representing a premium of 25% to consensus analyst net asset value per Unit
  
  
• Northview unitholders to receive $36.25 per Unit in cash, representing a 17% premium to Northview’s 30-day volume weighted average Unit price and a 12% premium to Northview’s closing Unit price on the TSX, as at February 19, 2020
  
  
• Northview has secured a “Go-Shop” period of up to 60 days to actively solicit, evaluate and enter into negotiations with third parties that express an interest in acquiring Northview
  
  
• A special committee comprised of independent trustees of Northview (the “Special Committee”) unanimously recommended that the board of trustees of Northview (the “Board”) approve the Transaction. The Board unanimously recommends that unitholders vote in favour of the Transaction
  
  
• The Board has obtained a fairness opinion from Scotiabank and the Special Committee has obtained an independent fairness opinion and formal valuation from National Bank

“This Transaction provides significant value, certainty and liquidity to unitholders, while also allowing Northview to solicit superior proposals through a go-shop period of up to 60 days,” said Mr. Scott Thon, Chair of the Board. “Following an unsolicited approach from Starlight and KingSett, the Special Committee led extensive negotiations which resulted in this attractive Transaction.”