Delavaco Residential Properties Corp (TSX-V: DVO.U), an affiliate of private equity and merchant banking firm The Delavaco Group, is in discussions concerning a possible sale of a controlling interest in the business to an unidentified third party. It has retained Clarus Securities Inc as a financial advisor on a potential deal. Based in Toronto and Fort Lauderdale, Florida, Delavaco Residential Properties specializes in the acquisition and development of distressed single-family homes in the United States.
Delavaco Residential Properties Corp. Announces Preliminary Discussions Regarding Possible Sale of a Controlling Interest
TORONTO, ON–(Marketwired – April 15, 2015) – Delavaco Residential Properties Corp. (the “Company”) (TSX VENTURE: DVO.U) (OTCQX: DELAF) announced today it is in discussions with a third party concerning a possible transaction to acquire a controlling interest in the Company. While terms of a possible transaction have been discussed, the Company emphasizes that these discussions are at a preliminary stage and there can be no assurance that these discussions will result in a definitive agreement.
The board of directors of the Company has formed a special committee of independent directors to consider various strategic proposals received by the Company. The Company has retained Clarus Securities Inc. as financial advisor to assist in evaluating a possible transaction. The Company will make further announcements of any material developments if, as and when appropriate.
Delavaco Residential Properties Corp. was formed on January 27, 2011 to take advantage of the U.S. housing crisis with the goal of significant capital appreciation through the recovery of the housing sector. Now a public company, Delavaco has its shares listed for trading on the TSX Venture Exchange and the OTCQX marketplace in the U.S. Delavaco is focused on the ownership and management of single and multi-family residential properties located principally in the south-eastern United States. Delavaco’s real estate portfolio consists of 814 single-family homes in Florida, Georgia and New Jersey, and 311 multi-family units in Florida and Texas. Delavaco also manages a 316 multi-family unit portfolio in Hollywood Florida. Delavaco’s acquisition strategy involves the identification and purchase of under-valued residential properties located in highly populated and dynamic urban centers within the lower to middle income demographic sector. Delavaco’s security holders include some of the leading Canadian institutional investors and real estate holding companies.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain information in this news release constitutes forward-looking statements under applicable securities law. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as “may”, “should”, “anticipate”, “expect”, “intend” and similar expressions. Forward-looking statements in this news release include, but are not limited to, statements with respect to Delavaco’s intended acquisition focus. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; volatility of real estate prices; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; industry and government regulation; changes in legislation, income tax and regulatory matters; the ability of Delavaco to implement its business strategies; competition; currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information on Delavaco please contact:
The Delavaco Group
Tel: (416) 362-4441
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