TORONTO, Nov. 14 /CNW/ - Gencap Funds LP is pleased to announce that the
O'Leary Global Infrastructure Fund (the "Fund") has successfully completed
today its initial public offering of 4,600,000 class A combined units ("Class
A Combined Units) at a price of $12.00 per unit for aggregate gross proceeds
of $55,200,000 (the "Closing"). Each Class A Combined Unit consists of one
transferrable class A trust unit ("Class A Unit") and one purchase class A
warrant ("Class A Warrant"). Each Class A Warrant entitles the holder to
purchase one Class A Unit at a subscription price of $12.00 on or before 5:00
p.m. (Toronto time) on November 30, 2009. The Class A Combined Units will
separate into Class A Units and Class A Warrants upon the earlier of the
closing of the over-allotment option and 30 days following the Closing. Once
separated, the Class A Unit and the Class A Warrant will trade on the Toronto
Stock Exchange independently under the symbols: OGN.un and OGN.wt.
The Fund has granted the Agents an over-allotment option to acquire up to
an additional 690,000 Class A Combined Units.
The initial monthly cash distribution of $0.06 per Class A Unit is
payable on January 15, 2009 to unitholders of record on December 31, 2008.The Fund has been created to invest globally in:
(i) publicly traded equity and debt securities issued by
infrastructure issuers with market capitalizations of at least
$1 billion; and
(ii) investments in equity and debt securities of private issuers
having infrastructure assets or operations.The Fund will permit investors to capitalize on the knowledge and
capabilities of Stanton Asset Management Inc. (the "Portfolio Advisor") and
O'Leary Funds Inc., who will work together to identify global infrastructure
investments. The Portfolio will be comprised primarily of publicly traded
equity and debt securities of infrastructure issuers with minimum market
capitalizations of $1 billion. The Portfolio Advisor will invest in equities
that it believes provide access to high quality long-term assets, predictable
cash flow, high dividend yields, reduced volatility and positive correlation
to inflation, as well as capital appreciation, and in bonds that the Portfolio
Advisor believes provide a steady income stream. In addition, up to 20% of the
Fund's Total Assets may be invested in equity and debt securities of private
issuers having infrastructure assets or operations.The Fund's investment objectives are:
(a) to provide holders of the Class A Units with monthly distributions
initially targeted to be $0.06 per Class A Unit ($0.72 per annum
representing an annual cash distribution of 6% based on the $12.00
per Class A Combined Unit issue price); and
(b) to provide long-term capital appreciation through investments in a
sector positively correlated to inflation.The syndicate of agents is co-led by CIBC World Markets Inc., RBC Capital
Markets and BMO Capital Markets, and includes Scotia Capital Inc., Blackmont
Capital Inc., Wellington West Capital Inc., Dundee Securities Corporation,
HSBC Securities (Canada) Inc., Raymond James Ltd. and Richardson Partners
Financial Limited.
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 the Fund. The forward-looking statements are not
historical facts but reflect Gencap Funds LP's current expectations regarding
future results or events. 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 Gencap Funds LP 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. Gencap
Funds LP 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.
This offering is only made by a prospectus dated October 29, 2008. The
prospectus contains important information relating to these securities. Copies
of the prospectus may be obtained from any of the Agents. Investors should
read the prospectus before making an investment decision.
All capitalized terms noted herein but not defined are as per the
prospectus dated October 29, 2008.
For further information: For media inquiries: please contact: Brett
Berman, Executive Director, Gencap Funds LP at bberman@gencapfunds.com or at
(416) 464-9422; For additional information: please contact your IDA registered
financial advisor or Alexander Price at Gencap Funds LP at
olearyglobal@gencapfunds.com or at 1-877-849-2004 x226
