News Column

Royal Host Inc. announces shareholder approval of acquisition by Holloway Lodging Corporation

June 25, 2014



/NOT FOR DISTRIBUTION ON U.S. WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

HALIFAX, June 25, 2014 /CNW/ - Royal Host Inc. (TSX: RYL) ("Royal Host") and Holloway Lodging Corp. (TSX: HLC) ("Holloway") are pleased to announce that, at the annual and special meeting of shareholders of Royal Host held today, shareholders approved the previously announced statutory plan of arrangement (the "Arrangement") pursuant to which Holloway will acquire all of the issued and outstanding common shares of Royal Host. Pursuant to the Arrangement, Royal Host shareholders will receive for each Royal Host share they own $1.00 in cash and 0.1 of a Holloway common share.

The Arrangement was approved by approximately 99.3% of the votes cast at the meeting.

Provided that the Arrangement is approved by the Ontario Superior Court and the other closing conditions are met, the parties expect the Arrangement to close on or about July 1, 2014.

ABOUT HOLLOWAY LODGING CORPORATION

Holloway is a real estate corporation focused on acquiring, owning and operating select and limited service lodging properties and a small complement of full service hotels primarily in secondary, tertiary and suburban markets. Holloway currently owns 18 hotels with 1,797 rooms.  Holloway's shares trade on the TSX under the symbol "HLC". More information about Holloway can be found at www.sedar.com or at www.hlcorp.ca.

ABOUT ROYAL HOST INC.

Royal Host is a diversified hospitality company. Royal Host currently owns 17 hotels with 2,382 rooms across Canada. Royal Host also owns and operates the Travelodge Canada franchise business which is currently comprised of over 90 hotels across Canada. Royal Host's common shares and convertible debentures are traded on the Toronto Stock Exchange under the trading symbols "RYL", "RYL.DB.B", "RYL.DB.C" and "RYL.DB.D" respectively. More information about Royal Host can be found at www.sedar.com or at www.royalhost.com.

FORWARD LOOKING STATEMENTS

This press release contains forward-looking information within the meaning of applicable securities laws.  Forward-looking information may relate to Holloway's future outlook and anticipated events or results and may include statements regarding Holloway's future financial position, business strategy, financial results, plans and objectives. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts.  More particularly, this press release includes, without limitation, forward looking statements concerning the timing and completion of the proposed acquisition.

Forward looking statements contained in this press release are based on certain key expectations and assumptions made by Holloway. Although Holloway believes that the expectations and assumptions on which the forward looking statements are based on are reasonable, undue reliance should not be placed on the forward looking statements because Holloway can give no assurance that they will prove to be correct. Since forward looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Forward-looking information is subject to certain factors, including risks and uncertainties, that could cause actual results to differ materially from what Holloway currently expects and there can be no assurance that such statements will prove to be accurate. Holloway does not intend to update or revise any such forward-looking information should its assumptions and estimates change.

SOURCE Holloway Lodging Corporation


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Source: Canada Newswire


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