Toronto/Calgary Strategic Energy Management Corp. is pleased to announce that Strategic Energy Fund (the “Fund”) has filed a preliminary short form prospectus in connection with an offering of rights to its unitholders to subscribe for trust units (the “Rights Offering”).
The Rights Offering is subject to receipt of all regulatory approvals, including the approval of the Toronto Stock Exchange.
Rights and subscription price Each unitholder of the Fund will receive one right for each trust unit held on the record date. Three rights will entitle the holder to purchase one trust unit.
The record date, exercise price and rights expiration date have not yet been determined. The Fund will make a further announcement subsequent to the filing of the final prospectus.
Additional subscription privilege Holders of rights who fully exercise their rights are entitled to subscribe pro rata for additional trust units, if available, that were not subscribed for initially, on or before the expiry date.
Step-up privilege Holders of rights not evenly divisible by three will be entitled to round up subscriptions to the next highest whole number.
Use of proceeds The net proceeds of the Rights Offering will be invested by the Fund in accordance with the investment objectives, subject to the investment restrictions of the Fund.
Dealer manager National Bank Financial Inc. and Blackmont Capital Inc. have been engaged to as the Dealer Managers for the Rights Offering.
Strategic Energy Fund Strategic Energy Fund is an investment trust that seeks to provide unitholders with superior rates of return through a diversification strategy focused on investment opportunities within the Canadian energy sector. The Fund invests in established companies, as well as early-stage energy companies and to a lesser extent special energy issuers, each with prospects for high growth in the near to medium term and the potential for long-term capital appreciation.
The Fund’s investments in established companies, including energy royalty and income trusts, are made with a view to generate sufficient income to permit the Fund to make monthly cash distributions to unitholders.
Investments in early-stage energy companies are focused on both private and public issuers with strong, experienced management teams that have proven track records of enhancing shareholder value and successfully executing exit strategies. As well, the Fund may invest in undervalued issuers where Sentry Select Capital Corp., investment advisor to the Fund, believes that capital appreciation can be realized.
Trading information and NAV Strategic Energy Fund units trade on the Toronto Stock Exchange under the symbol SEF.UN. The Fund’s net asset value as at March 8, 2006 was $13.61 per unit.
Sentry Select Capital Corp. The Investment Advisor is Sentry Select Capital Corp., a wealth management company with gross assets under management of approximately $8.5 billion, including more than $1.4 billion in energy sector-related investments.
Documents (including press releases) regarding the various investment funds that are managed or advised by Sentry are provided for information purposes only and cannot be relied on to be complete, exhaustive or error-free unless the complete set of documents for any given investment fund with respect to which information is being sought is reviewed and then only on SEDAR (www.sedar.com).