TSX Symbol: CIX
TORONTO, May 25, 2011 /CNW/ - CI Financial Corp. ("CI") announced today
that Glass, Lewis & Co., a highly regarded proxy advisory service, has
issued a report recommending that investors support CI's shareholder
The firm's recommendation, released May 24, reverses an earlier
recommendation against the Shareholders Rights Plan. Glass, Lewis said
it believes "it would be prudent for shareholders to renew the plan."
"We are pleased that Glass, Lewis has recommended that investors support
the continuation of CI's shareholder protection plan," said Stephen A.
MacPhail, CI President and Chief Executive Officer. "The report points
out that the Plan does not prevent the Bank of Nova Scotia or anyone
else from making a takeover bid for CI, as long as all shareholders
have an opportunity to receive a premium for their shares."
Mr. MacPhail noted that CI shareholders continue to vote overwhelmingly
in favour of CI's Shareholder Rights Plan. Currently, approximately 90%
of votes cast are in favour of the continuation of the Plan. A number
of institutional shareholders have reversed their votes and now support
CI's Board of Directors is urging shareholders to vote for the
continuation of the shareholder protection plan, which ensures that any
change of control transaction is conducted in a manner that is fair and
in the best interests of all shareholders.
"We are not opposed to the Bank of Nova Scotia or any other entity
making a takeover bid for CI," said Mr. MacPhail. "We have always held
the position that any firm, including the bank, is welcome to make a
bid for CI at any time and it is up to shareholders to make a decision
on the offer. However, we firmly believe that all shareholders should
be treated equally. The Shareholder Rights Plan protects CI
shareholders from a creeping takeover of control whereby a large
shareholder, such as the bank, acquires just enough shares to seize
control and implement an agenda favourable to that particular
Shareholders may vote by submitting their proxy by May 30 or by
attending CI's annual and special meeting of shareholders on June 1 at
11 a.m. at 15 York St., 2nd Floor, Toronto. Shareholders who have already voted and would like to
change their vote may submit a new proxy or new voting instructions.
CI Financial Corp. (TSX: CIX) is an independent, Canadian-owned wealth
management company with approximately $99.0 billion in assets as of
April 30, 2011. CI offers a broad range of investment products and
services, including an industry-leading selection of investment funds,
and is on the Web at www.ci.com/cix.
SOURCE CI Investments Inc.
For further information:
Stephen A. MacPhail
President and Chief Executive Officer
CI Financial Corp.