TORONTO, May 31, 2011 /CNW/ - Middlefield Group, on behalf of ENERGY
INDEXPLUS Dividend Fund ("ENERGY INDEXPLUS" or the "Fund"), is pleased to announce that it has
filed a preliminary prospectus in relation to an initial public
offering of units at a price of $12.00 per unit.
ENERGY INDEXPLUS Dividend Fund has been designed to provide investors with low-cost exposure to the
energy sector through a combination of indexing and active portfolio
management. At least 40% and up to 80% of the Fund's assets will be
invested in a portfolio of securities which is designed to track, to
the extent practicable, the S&P®/TSX™ Capped Energy Index. The remainder of the Fund's assets will be
invested in an actively managed diversified portfolio of primarily
common shares of Canadian dividend paying energy companies, including
the securities of energy issuers not in the Index as well as the
securities of global energy companies. Middlefield Capital Corporation
will act as the investment advisor to the Fund.
The Fund's investment objectives are to:
(i) provide holders of units with stable monthly cash distributions; and
(ii) outperform the S&P®/TSX™ Capped Energy Index on a total return basis.
Based on current estimates, the initial target distribution yield for
the Fund is expected to be 5.25% per annum based on the original
subscription price (or $0.0525 per unit per month or $0.63 per unit per
Prospective purchasers investing in ENERGY INDEXPLUS will have the
option of paying for units in cash or by exchanging securities of
issuers listed in the preliminary prospectus. Prospective purchasers
under the exchange option will be required to deposit their exchange
eligible securities prior to 5:00 p.m. (Toronto time) on June 23, 2011
in the manner described in the preliminary prospectus.
The syndicate of agents is being co-led by CIBC World Markets Inc. and
RBC Capital Markets and includes BMO Capital Markets, National Bank
Financial Inc., Scotia Capital Inc., TD Securities Inc., HSBC
Securities (Canada) Inc., Canaccord Genuity Corp., GMP Securities L.P.,
Macquarie Private Wealth Inc., Raymond James Ltd., Dundee Securities
Ltd., Mackie Research Capital Corporation, Middlefield Capital
Corporation and Wellington West Capital Markets Inc.
Standard & Poor's ("S&P") and the Toronto Stock Exchange ("TSX") have
not sponsored, endorsed, sold or promoted the units or the Fund and
neither S&P nor the TSX make any representation regarding the
advisability of investing in units of the Fund. S&P has no relationship
to the Fund, but the manager of the Fund (or an affiliate thereof)
intends prior to closing of this offering to enter into an agreement
with S&P relating to the licensing by the Fund of certain trademarks
and trade names of S&P and the TSX.
A preliminary prospectus containing important information relating to
these securities has been filed with securities commissions or similar
authorities in certain jurisdictions of Canada. The preliminary
prospectus is still subject to completion or amendment. Copies of the
preliminary prospectus may be obtained from any of the agents named
above. There will not be any sale or acceptance of an offer to buy the
securities until a receipt for the final prospectus has been issued.
SOURCE ENERGY INDEXPLUS Dividend Fund
For further information:
please visit our website at www.middlefield.com or contact Nancy Tham, Managing Director, Sales and Marketing, at 416.847.5349 or at 1.888.890.1868