Sila Realty Trust Amends Share Repurchase Program, Declares Distributions
December 14, 2020
Share Repurchase Program
As described in Sila Realty Trust, Inc.‘s (the “Company”) Current Report on Form 8-K filed with the SEC on May 1, 2020, on April 30, 2020, due to the uncertainty surrounding the coronavirus pandemic, the Company’s board of directors (the “Board”) decided to temporarily suspend share repurchases under the Company’s share repurchase program effective with repurchase requests that would otherwise be processed on the third quarter repurchase date, which was July 30, 2020; provided, however, the Company continued to process repurchases due to death in accordance with the terms of the share repurchase program.
On December 11, 2020, the Board authorized and approved the Amended and Restated Share Repurchase Program (the “A&R SRP”), which will apply beginning with the first quarter repurchase date of 2021, which is expected to be on or around January 30, 2021; provided, however, the Company will only repurchase shares due to death and involuntary exigent circumstances in accordance with the A&R SRP, subject in each case to the terms and limitations of the A&R SRP, including, but not limited to, quarterly share limitations, an annual 5.0% share limitation, and distribution reinvestment plan funding limitations. Under the A&R SRP, the Company may waive certain of the terms and requirements of the A&R SRP in the event of the death of a stockholder who is a natural person, including shares held through an Individual Retirement Account or other retirement or profit sharing plan, and certain trusts meeting the requirements of the A&R SRP. Written requests in connection with death in the event of certain trusts that meet the requirements under the A&R SRP must be accompanied by an executed certification of trust in the Company’s required form.
The Company may also waive certain of the terms and requirements of the A&R SRP in the event of an involuntary exigent circumstance, as determined by the Company or any of executive officers thereof, in its or their sole discretion. To qualify for a repurchase due to involuntary exigent circumstance, a stockholder must certify to the Company (pursuant to the Company’s required form) that he or she (a) has been diagnosed with a condition caused by injury, disease or illness from which there is no reasonable medical probability of recovery and the stockholder’s life expectancy is less than twenty four (24) months, as evidenced by a physician certification, and (b) is experiencing financial need, and if the repurchase is not granted, would be unable to meet the basic financial obligations to support himself/herself and such stockholder’s dependents.
Class A Distributions Authorized
On December 11, 2020, the Board approved and authorized a daily distribution to the Company’s Class A stockholders of record as of the close of business on each day of the period commencing on January 1, 2021, and ending on January 31, 2021. The distributions for January 2021 will be calculated based on 365 days in the calendar year and will be equal to $0.001369863 per share of Class A common stock, which is equal to an annualized distribution of $0.50 per share of Class A common stock. The distributions declared for each record date in January 2021 will be paid in February 2021. The distributions will be payable to stockholders from legally available funds therefor.
Class I Distributions Authorized
On December 11, 2020, the Board approved and authorized a daily distribution to the Company’s Class I stockholders of record as of the close of business on each day of the period commencing on January 1, 2021, and ending on January 31, 2021. The distributions for January 2021 will be calculated based on 365 days in the calendar year and will be equal to $0.001369863 per share of Class I common stock, which is equal to an annualized distribution of $0.50 per share of Class I common stock. The distributions declared for each record date in January 2021 will be paid in February 2021. The distributions will be payable to stockholders from legally available funds therefor.
Class T Distributions Authorized
On December 11, 2020, the Board approved and authorized a daily distribution to the Company’s Class T stockholders of record as of the close of business on each day of the period commencing on January 1, 2021, and ending on January 31, 2021. The distributions for January 2021 will be calculated based on 365 days in the calendar year and will be equal to $0.001131781 per share of Class T common stock, which is equal to an annualized distribution of $0.41 per share of Class T common stock. The distributions declared for each record date in January 2021 will be paid in February 2021. The distributions will be payable to stockholders from legally available funds therefor.
Class T2 Distributions Authorized
On December 11, 2020, the Board approved and authorized a daily distribution to the Company’s Class T2 stockholders of record as of the close of business on each day of the period commencing on January 1, 2021, and ending on January 31, 2021. The distributions for January 2021 will be calculated based on 365 days in the calendar year and will be equal to $0.001131781 per share of Class T2 common stock, which is equal to an annualized distribution of $0.41 per share of Class T2 common stock. The distributions declared for each record date in January 2021 will be paid in February 2021. The distributions will be payable to stockholders from legally available funds therefor.
Source: SEC
