TORONTO, April 5 /CNW/ - Connor, Clark & Lunn Capital Markets Inc. is pleased to announce that the Connor, Clark & Lunn 2008 Flow-Through Limited Partnership (the "Partnership") has completed its mutual fund rollover transaction and acquired Class A Shares of the Connor, Clark & Lunn Natural Resources Fund Inc. ("CC&L Natural Resources Fund") in exchange for the transfer of its assets to the CC&L Natural Resources Fund. As a result, the Class A Shares of CC&L Natural Resources Fund have been distributed investors of the Partnership. These events occurred on a tax-deferred basis.
The Partnership's final net asset value was $25.3812 resulting in a total after-tax return of approximately 45.5% assuming that investors deducted the full $25 per unit invested in 2008, have a cost base of nil and are subjected to a marginal tax rate of 46.41%.
For investors interested in tax-assisted investments for the current year, the Connor, Clark & Lunn 2010 Flow-Through Limited Partnership (the "2010 Partnership") is currently available for sale. Investors can redeem Class A Shares of CC&L Natural Resources Fund and use the proceeds to invest in the 2010 Partnership which is expected to close on April 22, 2010. For further information and to obtain a prospectus, please consult with your investment advisor.
Each investor in the Partnership received approximately 2.5022 Class A Shares for each Partnership unit held. This ratio was determined based on the April 1, 2010 net asset value of the Partnership and of the Class A Shares which was $10.1436.
CC&L Natural Resources Fund is actively managed by the same team of portfolio managers at Connor, Clark & Lunn Investment Management Ltd. responsible for the investments of the Partnership and the 2010 Partnership. CC&L Natural Resources Fund seeks to generate long term growth by providing investors with exposure to Canadian natural resources companies. Investors can defer incurring the capital gains tax liability that arises upon disposition of their investment by retaining their investment in CC&L Natural Resources Fund. In early April 2010, investors will also be able to switch their Class A Shares into a new class of shares with a balanced fund mandate on a tax-deferred basis.
A preliminary prospectus relating to units of the 2010 Partnership has been filed with securities commissions or similar authorities in each of the provinces of Canada but has not yet become final for the purpose of distribution to the public. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale or any acceptance of an offer to buy these securities in any province of Canada prior to the time a receipt for the final prospectus or other authorization is obtained from the securities commission or similar authority in such province.
SOURCE Connor, Clark & Lunn Capital Markets Inc.
For further information: For further information: please visit our website at www.cclcapitalmarkets.com or contact: Darren Cabral, Vice-President, Connor, Clark & Lunn Capital Markets Inc., (416) 214-6182 or 1-888-276-2258, email@example.com