O'Leary Funds Management LP announces change to fund line-up in proposed transaction with Canoe Financial LP

MONTREAL, Oct. 26, 2015 /CNW Telbec/ - As previously announced on October 15, 2015, O'Leary Funds Management LP ("O'Leary" or the "Manager"), the manager of certain investment funds ("O'Leary Funds") has entered into an agreement (the "Asset Purchase Agreement") with Canoe Financial LP ("Canoe") pursuant to which Canoe has agreed to purchase the rights to manage the O'Leary Funds from the Manager, along with certain related assets ("Proposed Transaction").

The Proposed Transaction is expected to be completed in January 2016, subject to, among other matters, receiving all necessary unitholder and regulatory approvals, as well as satisfying other conditions of closing.

Upon closing of the Proposed Transaction, Canoe will become the trustee and manager of the O'Leary Funds.  As of closing, Canoe also intends to change the portfolio manager of the O'Leary Funds to Canoe or another third-party portfolio manager, change the names of all the O'Leary Funds, change the investment objectives of certain O'Leary Funds, change the investment strategies of certain O'Leary Funds, and have certain O'Leary Funds adopt the form of master declaration of trust used by the Canoe mutual funds. Canoe intends to merge certain O'Leary Funds into mutual funds managed by Canoe within a certain time period after Closing.  The unitholders of certain O'Leary Funds will also be asked to approve a proposal to replace the method in which certain operating expenses are charged to each fund with a fixed-rate administration fee which would be equal to a percentage of the net asset value of a series, calculated and paid in the same manner as the management fee for the series.

The Manager and Canoe have now agreed that O'Leary Canadian Bond Yield Fund will not merge into Canoe Bond Advantage Fund on or about April 2016 as previously announced.

Thus with respect to this Fund the following changes will apply:

  • Change of manager, trustee and portfolio manager
  • Appointment of Stanton as sub-advisor
  • Amendment to master declaration of trust
  • Adopt a fixed administration fee in lieu of floating expenses
  • Change of investment strategies
  • Change of name to Canoe Canadian Corporate Bond Fund

In addition, the investment objectives of O'Leary Floating Rate Income Fund will not be changed as previously announced.

All other material changes announced are expected to proceed as previously announced on October 15, 2015.

More information about the Proposed Transaction and other changes is set out in the simplified prospectus of the O'Leary mutual funds, which will become available on SEDAR at www.sedar.com and the Manager's website at www.olearyfunds.com.

Certain statements contained in this news release constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to the future outlook of the O'Leary Funds and anticipated distributions, events or results and may include statements regarding the future financial performance of the Funds. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "anticipate", "believe", "intend" or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information.

About O'Leary Funds Management LP

O'Leary Funds Management LP is a Canadian investment fund manager of mutual funds and closed-end funds striving to provide Canadian investors with reliable and strategic income solutions. Based on its value-yield investment philosophy, Canadian and global investment opportunities are identified through a disciplined investment process. Its core principles, Income, Capital Appreciation and Capital Preservation, are driven by each portfolios investment objectives. Its portfolios are diversified by sector, region and asset class. For more details about O'Leary Funds, visit www.olearyfunds.com.

About Canoe Financial LP

Founded in 2008, Canoe Financial LP is an investment management firm focused on building financial wealth for Canadians.  Canoe is Canada's fastest-growing independent mutual fund company and currently manages approximately $3 billion in assets across a diversified range of award-winning mutual funds, flow-through limited partnerships and private energy equity products.  Canoe has expanded from its Calgary head office to across Canada, including a significant presence in Toronto and offices in Vancouver, Winnipeg and Ottawa. To learn more about Canoe Financial and its investment products, visit www.canoefinancial.com.

 

SOURCE O'LEARY FUNDS MANAGEMENT LP

For further information: for media inquiries or additional information, please contact Louise Anne Poirier, Investor Relations at info@olearyfunds.com or at 877-849-2004 or 514-849-1056.

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O'LEARY FUNDS MANAGEMENT LP

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Canoe Financial LP

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