Canadian Banc Capital Securities Trust Announces Extension Proposal
TORONTO, April 22, 2014 /CNW/ - Aston Hill Capital Markets Inc. ("Aston Hill") as Manager of Canadian Banc Capital Securities Trust (the "Fund") announced today that it is calling a meeting of holders of the Fund's Class A and Class F units ("Unitholders") to consider a proposal to extend the term of the Fund. The extension will involve:
- The extension of the termination date permitting Unitholders to hold their investment until June 28, 2019;
- the change of the mandate to broaden the geographic scope and to expand the types of bank capital securities that are eligible for inclusion in the portfolio; and
- the creation of a special retraction right to provide Unitholders who do not wish to extend their investment with the option of redeeming their units as originally contemplated on June 30, 2014.
A special meeting of Unitholders has been called and will be held on June 9, 2014 to consider and vote on the proposal extension. Details of the proposed extension will be outlined in an information circular to be prepared and delivered to Unitholders in connection with the special meeting and which will be available on www.sedar.com. The extension will be subject to receipt of all necessary regulatory approvals.
About Canadian Banc Capital Securities Trust
The Fund is an investment trust whose investment objectives are to (i) provide Unitholders with attractive tax-advantaged quarterly cash distributions, and (ii) return to Unitholders the original issue price of the Units upon termination of the Fund. Distributions are targeted to be $1.50 per annum per Unit consisting primarily of returns of capital, representing a yield on the Unit issue price of 6.0% per annum. The Fund seeks to achieve its investment objectives through exposure to an actively managed portfolio consisting primarily of Innovative Tier 1 Capital Securities of the six largest Canadian banks. The units of the Fund are listed for trading on The Toronto Stock Exchange under the symbol CSB.UN.
Aston Hill Capital Markets Inc. is a leading Canadian structured financial products investment firm focused on creating and managing high quality investment vehicles. The Manager is a subsidiary of Aston Hill Financial Inc. (TSX: AHF). Aston Hill Financial Inc. is a diversified asset management company with a suite of retail mutual funds, closed end funds, private equity funds, hedge funds and segregated institutional funds. Aston Hill Financial is also engaged in the administration of Argent Energy Trust (TSX: AET.UN). Aston Hill Financial has offices in Calgary, Toronto and Halifax.
SOURCE Aston Hill Asset Management Inc.For further information: please contact your financial advisor, call Aston Hill's Sales and Marketing support line at 416-583-2300 (toll-free at 1-800-513-3868), or visit our website at www.astonhill.ca.