TORONTO, Sept. 28 /CNW/ - Golf Town Income Fund (TSX:GLF.UN) (the "Fund")
and OCPI Golf Inc. ("OCPI") announced today that OCPI has completed its
acquisition of all of the indirect operating assets of the Fund from Golf Town
Limited Partnership (the "Partnership") pursuant to the transaction agreement
dated August 10, 2007 made among OCPI, OMERS Capital Partners Inc., the Fund
and the Partnership.
The Units will be delisted from the Toronto Stock Exchange at the close
of trading on October 1, 2007. Unitholders will receive a total payment of
$17.15 per Unit (net of applicable withholding taxes) on or about October 2,
2007 in respect of a special distribution and redemption of their Units. The
Fund has declared a special distribution of $12.00 per Unit (net of any
applicable withholding taxes) payable in cash on or about October 2, 2007. In
accordance with the Fund's Declaration of Trust, as amended, and following the
payment of the special distribution, all Units (other than Units held by OCPI)
will be redeemed for $5.15 per Unit (net of any applicable withholding taxes).
Of the $17.15, it is estimated that approximately $4.00 will be treated for
tax purposes as the Unitholder's share of the taxable portion of an allocated
capital gain, approximately $4.00 will be treated for tax purposes as the
Unitholder's share of the non-taxable portion of such capital gain, and the
residual will effectively be treated as the Unitholder's proceeds of
disposition in respect of each Unit. In particular, it is estimated that a
portion of this residual amount will be a return of capital of approximately
$4.00 and a portion will be proceeds of disposition of $5.15. Unitholders will
receive a tax information slip in respect of the Fund's 2007 taxation year
including the special distribution.
About OMERS Capital Partners Inc.
OMERS Capital Partners Inc. is the entity responsible for the private
equity investments of OMERS Administration Corporation ("OMERS"). OMERS is one
of Canada's largest pension plans, with more than $48 billion in assets
invested around the globe in publicly-traded investments, real estate,
infrastructure and private equity.
About Golf Town Income Fund
Golf Town was founded in 1998 and is now the largest golf retailer in
Canada with 32 stores across the country.
This press release includes certain forward-looking statements including,
without limitation, statements concerning the Fund's expectations with respect
to the payment of a special distribution, the redemption of all of the Units,
the winding up of the affairs of the Fund and projected costs. Forward-looking
statements generally can be identified by the use of forward-looking
terminology such as "may," "will," "expect," "intend," "estimate,"
"anticipate," "believe," "should," "plans," or "continue" or the negative
thereof or variations thereon or similar terminology. Although the Fund
believes that the expectations reflected in such forward-looking statements
are reasonable, it can give no assurance that such expectations will prove to
be correct. These forward-looking statements are subject to a number of risks
and uncertainties, and actual results could differ materially from those
anticipated in these forward-looking statements.
For further information:
For further information: Stephen Bebis, President and CEO Golf Town,