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TORONTO, May 4, 2016 /CNW/ - Marret Asset Management Inc. ("Marret"), as the manager of Marret High Yield Strategies Fund ("MHY") (TSX: MHY.UN) and Marret Multi-Strategy Income Fund ("MMF") (TSX: MMF.UN), announced today that it will not be proceeding with the previously announced proposal to merge MMF into MHY ("Merger"). The Merger would not permit the funds to maintain their listing on the Toronto Stock Exchange ("TSX") and, in Marret's determination, the costs associated with the Merger would outweigh any cost savings and efficiencies associated with implementing the Merger and operating a merged fund.
Marret is pleased to announce it is applying to list the Class A units of each of MHY and MMF on the Canadian Securities Exchange ("CSE"). If the funds qualify for listing on the CSE, Marret will apply to voluntarily de-list the Class A units of each of MMF and MHY from the TSX. The TSX is reviewing the eligibility of the Class A units of each of MHY and MMF for continued listing on the TSX pursuant to the TSX's Remedial Review Process. If the funds cannot demonstrate compliance with the TSX requirements, the units of each of MHY and MMF may be de-listed as early as June 27, 2016.
If the Class A units of each of MHY and MMF are listed on the CSE, they will continue to be considered qualified investments for registered plans. Marret will provide a further update as soon as the status of the CSE listing application has been confirmed.
Marret is continuing to seek liquidation of the securities of Cline Mining Corporation held by the funds in order to facilitate the orderly termination of the funds.
Marret also announced today that it has relocated to the same building as its parent company, CI Financial Corp., providing cost efficiencies and operational synergies. The new registered address of Marret is:
2 Queen St. East,
Forward Looking Information
This press release contains forward-looking statements and information within the meaning of applicable securities legislation. Forward-looking statements can be identified by the expressions "seeks", "expects", "believes", "estimates", "will", "target" and similar expressions. The forward-looking statements are not historical facts but reflect the current expectations of Marret and the managers of the underlying portfolios regarding future results or events and are based on information currently available to them. Certain material factors and assumptions were applied in providing these forward-looking statements. All forward-looking statements in this press release are qualified by these cautionary statements. Marret believes that the expectations reflected in forward-looking statements are based upon reasonable assumptions; however, Marret can give no assurance that the actual results or developments will be realized. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the matters discussed under "Risks Factors" in the annual information forms of MHY and MMF dated March 28, 2016. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, a forward-looking statement speaks only as of the date on which such statement is made. Marret undertakes no obligation to publicly update any such statement or to reflect new information or the occurrence of future events or circumstances except as required by securities laws. These forward-looking statements are made as of the date of this press release.
Marret specializes in fixed income and particularly in high-yield debt strategies. The experienced team of investment professionals is led by Barry Allan, President and Chief Investment Officer. He founded Marret in 2000, following a career at Altamira, Nesbitt Thomson and a Canadian chartered bank, and has over 30 years of experience in credit and fixed-income markets.
SOURCE Marret Asset Management Inc.
For further information: Marret Investor Relations, 416-214-5800, [email protected]