Erez Blumberger

The Filer applied for exemptive relief to exclude depreciation of income-producing properties when applying the Income Test for its continuous disclosure obligations under Part 8 of National Instrument 51-102.

The Filer argued that including depreciation produced anomalous results compared to other significance tests.

The Ontario Securities Commission granted the requested relief, finding that excluding depreciation more accurately reflected the business and commercial significance of the acquisition.

The Applicant applied for a decision under the securities legislation of multiple jurisdictions that it is not a reporting issuer.

The Decision Makers were satisfied that the Applicant met the test, as its securities are beneficially owned by fewer than 51 security holders in Canada and are not traded on a marketplace.

The application was granted, and the Applicant was ordered to not be a reporting issuer.

The Filer applied for exemptive relief to use a net operating income (NOI) test rather than the prescribed income test for determining the significance of certain business acquisitions under Part 8 of National Instrument 51-102.

The Filer argued that the prescribed income test produced anomalous results compared to other significance tests.

The Ontario Securities Commission granted the relief, noting that the decision does not terminate or alter any prior right of action or penalty against the Filer for failing to file the reports on time.

The applicant applied to the securities regulatory authorities in Alberta, Ontario, and Québec for a decision that it is not a reporting issuer.

The decision maker found that the applicant met the requirements, including having fewer than 51 security holders in Canada and no securities traded on a marketplace.

The application was granted.