Toronto: CAPVEST Income Corp. (the “Corporation”) is pleased to announce that it has filed a preliminary short-form prospectus in connection with an offering of rights to its shareholders to subscribe for common shares (the “Rights Offering”).
The Rights Offering is subject to receipt of all regulatory approvals, including the approval of the TSX Venture Exchange.
Rights and subscription price: Each shareholder of the Corporation will receive one right for each common share held on the record date. One right will entitle the holder to purchase one common share.
The record date, exercise price and rights expiration date have not yet been determined. The Corporation 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 common shares, if available, that were not subscribed for initially, on or before the expiry date.
Use of proceeds: The net proceeds of the Rights Offering will be invested by the Corporation in accordance with the investment objectives, subject to the investment restrictions of the Corporation.
Dealer manager: Blackmont Capital Inc. has been engaged as the Dealer Manager for the Rights Offering.
Investment objectives: The investment objective of CAPVEST Income Corp. is to generate capital appreciation and, to a lesser extent, income, through exposure to commodity-related investments, including commodity-related income trusts and the Rogers International Commodity Index (RICI).
Net asset value and trading price: As of June 8, 2006, the Company’s net asset value was $0.22 per share and the closing price on the TSX Venture Exchange was $0.18 per share, representing a 18% discount to the NAV.
Debentures: CAPVEST Income Corp. unsecured convertible debentures have an interest coupon of 7% per annum, payable quarterly, with a maturity date of December 31, 2008.
Trading information: CAPVEST Income Corp. common shares and convertible debentures trade on the TSX Venture Exchange under the symbols CVS and CVS.DB respectively.
Sentry Select Capital Corp.: Sentry Select Capital Corp. provides investment, administrative and marketing services to 24 exchange-listed closed-end funds, 15 of which have exposure to the income trust sector, 16 mutual funds, 13 principal-protected notes and three flow-through limited partnerships. Sentry Select is one of the largest Canadian investment managers in the income trust sector. As of May 31, 2006, the firm had approximately $8.0 billion in gross assets under management.
More information: Investor Services (broker/investor inquiries), Brian McOstrich (media inquiries) or Kevin Cohen (Corporate Secretary)Tel: 1-888-246-6656 Fax: 416 364-1197 firstname.lastname@example.org www.sentryselect.com
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Les documents (y compris les communiqués de presse) se rapportant aux divers fonds d'investissement pour lesquels Sentry agit à titre de gestionnaire ou de conseiller ne sont fournis qu'à titre informatif. Ces documents ne peuvent être considérés comme étant exhaustifs ou exempts d'erreur sans un examen approfondi de la totalité des documents se rapportant à un fonds d'investissement en particulier disponibles sur SEDAR (www.sedar.com).