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Diversified Royalty Corp T.DIV

Alternate Symbol(s):  BEVFF | T.DIV.DB.A

Diversified Royalty Corp. is a multi-royalty company. The Company is engaged in acquiring royalties from multi-location businesses and franchisors in North America. It owns Mr. Lube + Tires, AIR MILES, Sutton, Mr. Mikes, Nurse Next Door, Oxford Learning Centres, Stratus Building Solutions and BarBurrito trademarks. Mr. Lube + Tires is the quick lube service business in Canada, with locations across Canada. AIR MILES is a coalition loyalty program. Sutton is a residential real estate brokerage franchisor business in Canada. Mr. Mikes operates casual steakhouse restaurants in western Canadian communities. Nurse Next Door is a home care provider. Oxford Learning Centres is a franchisee supplemental education service. Stratus Building Solutions is a commercial cleaning service franchise company providing comprehensive environmentally friendly janitorial, building cleaning, and office cleaning services in the United States. BarBurrito is a quick-service Mexican restaurant food chain.


TSX:DIV - Post by User

Post by maypeterson May 13, 2021 10:33pm
104 Views
Post# 33201223

shelf prospectus

shelf prospectussometimes the company file the shelf prospectus just to keep it active in case it is needed. 

With access to cash in the Acquisition Facility - the last thing on management's mind is to dilute the existing shareholders. Also there will be no buybacks right now. It is a pipe dream. 


Acquisition Facility
 
DIV has a $50.0 million senior secured credit facility (the “Acquisition Facility”) with a Canadian chartered bank that matures on November 30, 2022. The Acquisition Facility has a term of three years, and each draw is interest only for the first six months and then amortizes over sixty months. The Acquisition Facility is subject to a customary annual standby fee, and draws under the facility are subject to prevailing market interest rates at the time of the draw. The Acquisition Facility is secured by a general security interest over the assets of the Company and, if requested by the lender, may be secured by specific assignments of certain material agreements entered into by the Company from time to time.

As at March 31, 2021 and May 13, 2021, the Acquisition Facility was undrawn.
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