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Sentry Select Corporate Class Ltd. acquires the assets of 130/30 Mining LP for a total value of $23.9 million
2010-07-12

TORONTO: Sentry Investments (“Sentry”) is pleased to announce that on Friday July 9th, 2010, as planned in the IPO prospectus, Sentry Select Corporate Class Ltd. (the “Corporation”) acquired all of the assets of 130/30 Mining LP (the “Partnership”). The value of the assets at the time of the acquisition was $22,340,077 for Class A units and $1,515,726 for Class F units, for a total of $23,855,803.

Mutual fund share value of the 130/30 Mining LP: In exchange for the Partnership’s assets, the Partnership received an aggregate of 1,756,829 Series A sales charge option shares (“Series A Shares”) and 115,043 Series F shares (“Series F Shares”) of Sentry Mining Opportunities Class (the “Fund”) at a net asset value of $12.72 per Series A Share and $13.18 per Series F Share in the capital of the Corporation.

Value of the Partnership units: As at the close of business on July 9, 2010, the value of a Partnership unit was $12.46 per Class A unit and $13.00 per Class F unit.

Distribution of mutual fund shares: Following the transfer of the Partnership’s assets to the Corporation in exchange for either Series A Shares or Series F Shares, as applicable, of the Fund on July 9, 2010, the Partnership distributed all of the acquired Series A Shares and Series F Shares to its limited partners in proportion to their respective interest in the Partnership. The former limited partners of the Partnership are now shareholders of the Corporation holding either Series A Shares and/or Series F Shares, as applicable, of the Fund in the same proportion as their original investment in the Partnership. Both the Series A Shares and the Series F Shares are redeemable on a daily basis at the Fund’s net asset value per applicable series share and can be switched into shares of other corporate classes as described below.

Notice to limited partners: A notice, dated June 7, 2010, was mailed to the limited partners of the Partnership in connection with the proposed sale of the Partnership’s assets to the Corporation in exchange for the Series A Shares and Series F Shares.

Partnership estimated adjusted cost base and tax allocation per unit at rollover:

 

Class A

Class F

Dividends

 0.002

 0.002

Capital Gains

 4.201

 4.389

Partnership Income

-0.853

-0.980

Issue Costs*

 0.464

 0.281

ACB as of July 9, 2010

12.376

12.773

*Section 20 (1)(e)(vi) of the Income Tax Act (Canada) allows issue costs to be written off for tax purposes over a number of years. Those costs may be deducted on line 122 of your income tax return.

Sentry Mining Opportunities Class: Sentry Mining Opportunities Class is a class of mutual fund shares of the Corporation. To achieve its objective of long-term growth through capital appreciation, the Fund invests primarily in companies involved in the exploration, development, production, marketing and distribution of commodities, excluding oil and natural gas. As at the close of business on July 9, 2010, the net assets of the Fund were approximately $45,624,443. As of June 30, 2010, the average annual compound returns of the Fund’s Series A and Series F Shares were as follows:

Series

3 Month

6 Month

1 Year

3 Year

Since Inception

A

9.1%

23%

78.7%

-4.6%

 6.2%

F

9.5%

23.8%

81.0%

N/A

-6.6%


Sentry Select Corporate Class Ltd.: In addition to Sentry Mining Opportunities Class, the Corporation offers shares of Sentry Canadian Income Class, Sentry Canadian Resource Class, Sentry Money Market Class, Sentry Precious Metals Growth Class and Sentry Tactical Bond Capital Yield Class. The corporate class structure allows investors to switch shares of one corporate class fund into another without triggering capital gains tax.

Sentry Investments:Sentry Investments is a Canadian asset management company that offers a diverse range of investment products including mutual funds, hedge funds, closed-end investment funds, principal-protected notes and other alternative investments, covering a variety of domestic and global mandates.


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).