First Capital Real Estate Investment Trust (REIT) has resolved a dispute with activist unit-holders, Sandpiper Group and Artis REIT, and rescheduled the annual meeting that had been set for later this month. Under the agreement, Sandpiper and Artis have withdrawn a challenge to the tenure of four of First Capital’s board members.
“First Capital is pleased to have reached an agreement with Sandpiper and Artis that the board believes is in the best interests of all unit-holders,” says Paul Douglas, chair of First Capital’s board. “Our refreshed board and management team will focus on continuing to enhance and unlock value across the REIT’s portfolio.”
“We are pleased to have arrived at a settlement with First Capital,” concurs Samir Manji, chief executive officer of Sandpiper Group and Artis REIT. “As a significant owner of First Capital, we will continue to collaborate with the board and provide constructive input and ideas for their consideration.”
Meanwhile, Artis REIT is set to be deleted from the S&P/TSX composite index — the benchmark Canadian index representing about 70 per cent of the value of the Toronto Stock Exchange’s market capitalization — as of March 20, 2023.
