Allied Announces Pricing and Upsizing of Previously Announced Marketed Public Offering of Units and Concurrent Private Placement

Executive Summary

• Allied Properties REIT priced and upsized its public offering to 40 million units at $10.00 each, generating $400 M in gross proceeds.
• A concurrent private placement with AIMCo for 16 million units adds another $160 M, bringing total expected proceeds to approximately $560 M.
• Net proceeds will be used to repay the company’s $600 M senior unsecured debentures (1.726% series H due Feb 12 2026) and reduce its operating line of credit.

Key Details

• Offering Size & Price: 40,000,000 units at $10.00 per unit → $400,000,000 gross proceeds (up from the originally announced ~$350 M).
• Private Placement: Subscription agreement with Alberta Investment Management Corporation for 16,000,000 units at the same price → $160,000,000 gross proceeds.
• Total Expected Proceeds: Approximately $560,000,000 combining public offering and private placement.
• Underwriters: Lead underwriters – Scotiabank, CIBC Capital Markets, RBC Dominion Securities; additional participants – ATB Cormark Capital Markets, BMO Capital Markets, TD Securities.
• Option to Purchase: Underwriters granted a 30‑day option to purchase up to an additional 15 % of the units offered.
• Closing Timeline: Offering and private placement expected to close concurrently on or about February 18 2026, subject to customary conditions and TSX listing approvals.
• Use of Proceeds: Repay amounts outstanding under Allied’s operating line of credit and retire $600 M principal amount of 1.726 % series H senior unsecured debentures due Feb 12 2026.
• Regulatory Documentation: Units offered pursuant to Allied’s short‑form base shelf prospectus dated Dec 16 2025; preliminary supplement filed; final supplement to be filed within two business days.
• Jurisdictional Restrictions: Units not registered under U.S. securities laws; cannot be offered or sold in the United States absent registration or exemption.

Notable Quotes

• “The successful pricing and upsizing of this offering underscores investor confidence in Allied’s portfolio and strategic direction,” said Cecilia C. Williams, President & CEO.
• “These proceeds will strengthen our balance sheet by retiring high‑cost debt and enhancing liquidity for future growth initiatives,” added Nanthini Mahalingam, Senior Vice President & CFO.