Aston Hill Announces Fund Reorganization Proposals

TORONTO, June 25, 2015 /CNW/ - Aston Hill Asset Management Inc. and Aston Hill Capital Markets Inc. announced today that they are calling a meeting of unitholders of Aston Hill VIP Income Fund ("VIP"), Aston Hill Oil & Gas Income Fund ("OGF") and Low Volatility Canadian Equities Income Fund ("LOW") to consider proposals to reorganize each fund as an open-end mutual fund. A meeting of unitholders of Aston Hill Global Resource & Infrastructure Fund ("GRI"), an open-end mutual fund, will also be called to consider a proposal to merge with OGF, with OGF being the continuing fund, as soon as practical following the conversion of OGF to an open-end fund. The GRI merger proposal is conditional on the approval of the OGF conversion proposal. On the effective date of the conversion proposals:

(i)          

VIP, OGF and LOW will become open-end mutual funds and the units of each fund will be delisted from the Toronto Stock Exchange ("TSX");

(ii)         

the units of VIP, OGF and LOW will become redeemable at their net asset value per unit on a daily basis; and

(iii)       

the management fees, which includes the current service fees payable by VIP, OGF and LOW, will not change.

The investment strategies and restrictions of VIP will be amended to broaden the securities that qualify for inclusion in VIP's portfolio from primarily Canadian securities to North American securities and to change the permitted allocations to certain types of securities.  The investment objectives, strategies and restrictions of OGF will be amended to be substantially similar to those of GRI and will broaden the type of securities that qualify for inclusion in OGF's portfolio to include global resource companies.  Pursuant to the merger proposal with OGF, GRI unitholders will receive units of OGF which will have management fees that are the same as or lower than the current management fees payable by GRI.  The merger is expected to be a taxable event for GRI in order to preserve the significant tax loss carry-forwards of OGF. The investment strategies and restrictions of LOW will be amended to broaden the securities that qualify for inclusion in LOW's portfolio.

A special meeting of unitholders of each of VIP, OGF, LOW and GRI has been called and will be held on August 10, 2015 to consider and vote on the proposed reorganizations. Details of the proposed reorganizations will be outlined in an information circular to be prepared and delivered to unitholders of each fund in connection with the special meetings and which will be available on www.sedar.com. The reorganizations will be subject to receipt of all necessary regulatory approvals.

Aston Hill VIP Income Fund and Aston Hill Oil & Gas Income Fund are closed-end funds managed by Aston Hill Asset Management Inc. and are listed on the TSX under the symbols VIP.UN and OGF.UN, respectively.  Aston Hill Global Resource & Infrastructure Fund is an open-end fund managed by Aston Hill Asset Management Inc.  Low Volatility Canadian Equities Income Fund is a closed-end fund managed by Aston Hill Capital Markets Inc. and is listed on the TSX under the symbol LOW.UN.

Aston Hill Asset Management Inc. and Aston Hill Capital Markets Inc. are subsidiaries 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 Inc. has offices in Calgary, Toronto and Halifax.

SOURCE Aston Hill Financial 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

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