Mainstreet Affiliate Completes Stock Offer
Mainstreet Chief Executive Officer Zeke Turner will lead the company.
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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowThe Canadian affiliate of Carmel-based Mainstreet has completed its public offer of common stock. Mainstreet Health Investments Inc., a publicly traded real estate company, sold 9.5 million shares on the Canadian market for $95 million in gross proceeds.
Mainstreet says the majority of the net proceeds will be used to acquire 13 senior housing and care properties throughout the United States. These include two transitional care properties developed by Mainstreet in Mooresville and Chesterton, both of which were leased to a third party operator.
"We are energized about this public offering and the ability to acquire high-quality health care properties in North America," said Scott White, president of Mainstreet Health Investments. "Our goal is to create long-term shareholder value while continuing to transform lives and transform health care. This acquisition is the first step in serving the health care consumer and will provide our shareholders with an investment opportunity that makes a difference."
The other properties are located in Pennsylvania, Kansas and New York. Mainstreet says any remaining net proceeds will be used to repay financing on one of its existing properties, lend mezzanine financing, fund capital improvement projects and working capital.
Mainstreet announced the completion of a reverse takeover transaction in April, which resulted in the creation of Mainstreet Health Investments.
