/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES./
TORONTO, Nov. 14, 2013 /CNW/ - Aston Hill Capital Markets Inc. (the
"Manager") is pleased to announce that the syndicate of agents for the
initial public offering of ING High Income Floating Rate Fund (the
"Fund") has exercised a portion of its over-allotment option. As a
result of the exercise of the over-allotment option, the Fund raised
additional gross proceeds of $694,180 from the sale of 69,418 Class A
Units. Inclusive of the over-allotment option, the Fund raised gross
proceeds of approximately $81 million including $76,694,180 from the
sale of 7,669,418 Class A Units and U.S.$4,003,300 from the sale of
400,330 Class U Units. The Class A Units are listed on the Toronto
Stock Exchange under the symbol IHL.UN.
The Fund's investment objectives are to (i) provide monthly cash
distributions; (ii) preserve capital; and (iii) generate increased
returns in the event that short-term market interest rates rise, in
each case, through an investment in a diversified portfolio (the
"Portfolio") consisting primarily of first lien and second lien secured
floating rate loans ("Loans") of non-investment grade North American
borrowers, actively managed by ING Investment Management Co. LLC (the
"Sub-Advisor"). The Portfolio will consist primarily of secured
floating rate corporate loans that are expected to generate increased
returns in the event that short term interest rates rise above any
applicable LIBOR floors.
The Fund does not have a fixed distribution policy, but intends to make
monthly distributions based on the actual and expected returns on the
Portfolio. Given that the majority of the Portfolio will be invested in
Loans which are floating rate, returns may vary with changes in
interest rates. The Fund's initial distribution target is expected to
be $0.05417 per Class A Unit per month (U.S. $0.05417 in the case of
the Class U Units), representing an initial yield on the Unit issue
price of 6.5% per annum.
The Sub-Advisor is an indirect, wholly owned subsidiary of ING U.S.,
Inc. ("ING U.S."), an indirect majority-owned subsidiary of ING Groep
N.V., one of the world's largest financial services companies. The
Sub-Advisor is part of ING U.S. Investment Management, one of ING
U.S.'s businesses. The ING Senior Loan Group, the unit of the
Sub-Advisor that will manage the Portfolio, is located in Scottsdale,
Arizona (with an additional office in London, UK), and consists of a
team of 24 investment professionals and 24 support staff. The ING
Senior Loan Group currently manages over U.S. $17 billion in assets
that are substantially similar to the Loan investments that it will
manage for the Fund across 28 portfolios (not including the Fund).
The Units were offered for sale by a syndicate of agents co-led by BMO
Capital Markets and CIBC and including RBC Capital Markets, Scotiabank,
TD Securities Inc., GMP Securities L.P., National Bank Financial Inc.,
Canaccord Genuity Corp., Macquarie Private Wealth Inc., Raymond James
Ltd., Desjardins Securities Inc., Mackie Research Capital Corporation
and Manulife Securities Incorporated.
SOURCE: Aston Hill Capital Markets Inc.
For further information:
For more information, please visit www.astonhill.ca or contact:
Vice President & CFO
Aston Hill Capital Markets Inc.
(416) 583-2300 or 1 (800) 513-3868