TORONTO: Sentry Select Capital Inc. (“Sentry Select” or the “Manager”) is pleased to announce that the merger of Sentry Select Global Real Estate Fund (the “Terminating Fund”) with Sentry Select REIT Fund (the “Continuing Fund”), an open-end mutual fund (the “Merger”), became effective on February 1, 2010. The Merger was approved at a special meeting of unitholders of the Terminating Fund, which was held on January 15, 2010. The Terminating Fund was de-listed from the Toronto Stock Exchange at the close of business on January 20, 2010.
The Terminating Fund transferred all of its assets to the Continuing Fund in exchange for Series A and Series F units of the Continuing Fund (as applicable) and the assumption by the Continuing Fund of all the liabilities of the Terminating Fund. Each unitholder of the Terminating Fund received either Series A or Series F units (as applicable) of the Continuing Fund having the same aggregate net asset value as their Series A or Series F units of the Terminating Fund as of the close of business on February 1, 2010.
Each unitholder of the Terminating Fund received 0.6993 Series A units and 0.6942 Series F units of the Continuing Fund in exchange for each Series A and Series F unit of the Terminating Fund.
Costs of the Merger: All costs and expenses associated with the Merger were borne by the Manager.
Tax consequences of the Merger: The Merger was completed on a taxable basis.
Sentry Select REIT Fund: Sentry Select REIT Fund is an open-end mutual fund with approximately $325 million in assets as at January 31, 2010. The investment objective of the Fund is to provide regular current income by investing primarily in REITs and equity securities of corporations participating in the residential and commercial real estate sectors. The Continuing Fund currently pays a monthly distribution of $0.0833, which represents an annual cash on cash yield of approximately 9.4% on Series A units and 8.7% on Series F units as of February 1, 2010.
Sentry Select Capital Inc.: Sentry Select Capital Inc., the manager of the Continuing Fund, is a Canadian wealth management company that offers a diverse range of investment products including closed-end investment funds, mutual funds, principal-protected notes and flow-through limited partnerships, covering a variety of domestic and global mandates.
Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions “expect,” “intend,” “will” and similar expressions to the extent they relate to Sentry Select. The forward-looking statements are not historical facts but reflect Sentry Select’s current expectations regarding future results or events including, but not limited to, the future distribution rates of the Continuing Fund. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although Sentry Select believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. Sentry Select undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law. For a complete disclosure record of the Fund, please visit the Fund’s profile at www.sedar.com.
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).