VANCOUVER, BRITISH COLUMBIA–(Marketwired – Oct. 6, 2014) – Diversified Royalty Corp. (TSX VENTURE:DIV.H) (the “Corporation” or “DIV”) is pleased to announce that it has received final approval from the TSX Venture Exchange for (i) the previously announced transaction with Franworks Franchise Corp. (“Franworks”) to acquire an approximate $12 million annual top-line royalty from Franworks for a purchase price of approximately $103.0 million (the “Transaction”), (ii) the previously announced private placement of 5,240,964 common shares of DIV to Maxam Opportunities Fund II LP at a price of $1.66 per share (the “Private Placement”), and (iii) the previously announced name change from “BENEV Capital Inc.” to “Diversified Royalty Corp.” which was approved at a special meeting of its shareholders held on September 18, 2014 (the “Name Change”).
Accordingly, effective at the open of trading on Tuesday October 7, 2014, the Company’s common shares will begin trading under the symbol “DIV.H” and CUSIP 255331100 / ISIN CA2553311002.
For full particulars of the Transaction, the Private Placement and the Name Change, reference should be made to DIV’s management information circular dated August 18, 2014, a copy of which is available under DIV’s profile at www.sedar.com.
About Diversified Royalty Corp.
DIV is a multi-royalty corporation, engaged in the business of acquiring top-line royalties from profitable, well-managed multi-location businesses and franchisors in North America. DIV’s objective is to acquire predictable, growing royalty streams from a diverse group of multi-location businesses and franchisors. DIV expects to increase cash flow per share by making accretive royalty purchases and through the growth of purchased royalties. DIV expects to pay a predictable and stable dividend to shareholders and increase the dividend as cash flow per share increases allow.
Forward Looking Statements
Certain statements contained in this news release and in certain documents incorporated herein by reference may constitute forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, “intend”, “may”, “will”, “project”, “should”, “believe”, “confident”, “plan” and “intends” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Specifically, forward-looking statements in this news release include, but are not limited to, statements made in relation to: the date DIV’s common shares will begin trading under its new symbol “DIV.H”. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events, performance, or achievements of DIV to differ materially from those anticipated or implied in such forward-looking statements. DIV believes that the expectations reflected in these forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct. Given these uncertainties, readers are cautioned that forward-looking statements included in this news release are not guarantees of future performance, and such forward-looking statements should not be unduly relied upon. These statements speak only as of the date of this news release. DIV undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law.
In formulating the forward-looking statements contained herein, management has assumed that business and economic conditions affecting DIV will continue substantially in the ordinary course, including without limitation with respect to general industry conditions, general levels of economic activity and regulations. These assumptions, although considered reasonable by management at the time of preparation, may prove to be incorrect.
All of the forward-looking statements made in this news release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, DIV.
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.
Diversified Royalty Corp.
President and Chief Executive Officer