PRESS RELEASES 12/24/2012 2:16:31 PM | Filing Services Canada

Mosaic Capital Corporation Announces Agreement for Sale of Lethbridge Warehouses By Its Subsidiary First West

By: Copyright (c) 2006 Filing Services Canada Inc.
 2012-12-24 19:16:31

Mosaic Capital Corporation Announces Agreement for Sale of Lethbridge Warehouses By Its Subsidiary First West

Calgary, Alberta CANADA, December 24, 2012 /FSC/ - Mosaic Capital Corporation  (M - TSX Venture, M.PR.A - TSX Venture), ("Mosaic") is pleased to announce that all of the conditions precedent have been satisfied in respect of an agreement for the sale of two warehouses owned by Mosaic's wholly owned subsidiary, First West Properties L.P. ("First West"). The two warehouses comprise 187,200 square feet of rentable space and are both located in Lethbridge, Alberta.  The aggregate consideration to be received by First West for the sale of the two properties is $14.7 million (subject to typical closing adjustments) and represents a gain over the book value of the properties.

Closing of the transaction is contemplated to occur on or about January 31, 2013.

This transaction is a continuation of the strategic execution by First West in finding real estate to which it can provide a catalyst for value creation in secondary markets in western Canada.

ABOUT MOSAIC CAPITAL CORPORATION

Mosaic is an investment company based in western Canada that owns a portfolio of established businesses with unique competitive advantages that have a history of generating strong sustainable cash flow from their operations.  Mosaic's objective is to create long term value for our shareholders and business partners and to have that reflected in our share price. We believe that this is achieved by growing free cash flow per share and retained earnings.  We do this by acquiring businesses that we understand at attractive prices and we manage our risk through extensive due diligence, creative transaction structuring and working closely with our businesses after acquisition.

FOR FURTHER INFORMATION PLEASE CONTACT:

Tim Taylor
Vice President, Investor Relations
Mosaic Capital Corporation
400, 2424 - 4th Street SW
Calgary, AB T2S 2T4

T:  (403) 270-4658
E:  ttaylor@mosaiccapitalcorp.com

Forward-Looking Information

This news release contains forward-looking information and statements within the meaning of applicable Canadian securities laws (herein referred to as "forward-looking statements") that involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.  All information and statements in this news release which are not statements of historical fact may be forward-looking statements.  The words "believe", "expect", "intend", "estimate", "anticipate", "project", "scheduled", and similar expressions, as well as future or conditional verbs such as "will", "should", "would", and "could" often identify forward-looking statements.  In particular this news release contains forward-looking statements regarding the anticipated date upon which the disposition of First West's Lethbridge properties is to be completed. Such statements or information are only predictions and reflect the current beliefs of management with respect to future events and are based on information currently available to management.  Actual results and events may differ materially from those contemplated by these forward-looking statements due to these statements being subject to a number of risks and uncertainties.  Undue reliance should not be placed on these forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are based will occur.  By their nature forward-looking statements involve assumptions and known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions and other forward-looking statements will not occur.  A number of factors could cause actual results to differ materially from the those expressed or implied by the forward-looking statements, including, but not limited to, general business and economic conditions in geographic areas where Mosaic and its subsidiaries have operations; pricing pressures and other competitive factors; third parties failing to honour their contractual obligations with Mosaic and its subsidiaries; results of management's on-going efforts to sell, re-lease, lease and improve real estate owned and being acquired by Mosaic indirectly through First West; legislative or regulatory developments; changes in prevailing interest rates; and the availability and terms of financing. Should any risks or uncertainties which face Mosaic and its subsidiaries materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results or achievements could vary materially from those expressed or implied by the forward-looking statements contained in this news release.

Readers are cautioned that the foregoing list of risks is not exhaustive. Additional information on these and other factors that could affect the operations or financial results of Mosaic and its subsidiaries are included in reports on file with applicable securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com) under the profile for Mosaic.

Although Mosaic believes that the expectations represented by any forward-looking-statements contained herein are reasonable based on the information available to them on the date of this news release, management cannot assure investors that actual results, performance or achievements will be consistent with these forward-looking statements. Any forward-looking statement herein contained is made as of the date of this news release and Mosaic does not assume any obligation to update or revise them to reflect new information, events or circumstances, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view this press release as a webpage, please click on the following link:
http://www.usetdas.com/pr/mosaic12242012.htm


Source: Mosaic Capital Corporation (TSXV: M - TSXV: M.PR.A)
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