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Northwest Healthcare Properties lifts offering size

NorthWestHealthcare Properties REIT boosted the size of its publicbought-deal offering to 6,550,000 units, priced at C$9.20 per unit,representing gross proceeds of roughly C$60.3 million.

The REIT also granted the underwriters a 30-dayoverallotment option to purchase up to 982,500 additional units, the companysaid April 1.

The company previouslysaid it would offer 6 million units, at the same per-unit price, equating to roughly C$55.2 million in gross proceeds, witha 900,000-unit overallotment option.

In a concurrent private placement, NorthWest's largest unitholder, NorthWest Value Partners Inc., has agreed to purchase anaggregate of roughly C$10 million in units at the offeringprice.

Net proceeds from the offering and private placement areintended for use in funding the equity portion of its planned purchase of atwo-building medical office complex in Berlin. Proceeds may also be used to repayexisting indebtedness, including amounts outstanding on the REIT's revolvingcredit facility, and for general trust purposes.

Following these applications of the funds, NorthWest expectsto have additional financial flexibility to pursue various growth initiatives.

NorthWest Value Partners Inc. currently holds aroughly 34% stake in the REIT and is wholly owned by Paul Dalla Lana,the company's CEO.

The closing of the public offering is conditional upon theclosing of the concurrent private placement. The offering is also subject tonormal regulatory approvals, including approval of the Toronto StockExchange, and is expected to close on or about April 20.