TORONTO, Dec. 30, 2014 /CNW/ - Marret Asset Management Inc. ("Marret") today announced that Marret Multi-Strategy Income Fund (TSX: MMF.UN) has received permission from the Canadian securities regulators to suspend the redemption of its units pending completion of its previously announced termination. Instead, unitholders of record on January 19, 2015 will receive on or about January 22, 2015 a distribution of their pro rata amount of the net proceeds received by the fund (after providing for the liabilities of the fund) from the sale of the liquid assets (the "Liquid Portfolio") of the reference trust to which the fund currently links its returns. When combined with the quarterly distribution of $0.15 per unit to be paid by the fund on or before January 15, 2015, this will result in all unitholders of the fund receiving approximately 90% of their current net asset value per unit by the date on which they otherwise would have been paid for redeeming their units. This approach will enable the fund to distribute the maximum amount of assets pro rata to all its unitholders as quickly as possible in an orderly manner while ensuring that all unitholders are treated in a similar manner in connection with the termination of the fund.
The fund will distribute to unitholders the net proceeds from the sale of the remaining assets of the reference trust (less any amount necessary to provide for the liabilities of the fund) at a later date once the reference trust has liquidated the assets not included in the Liquid Portfolio (the "Private Portfolio"). Marret will seek to complete the liquidation of the Private Portfolio by December 31, 2016. No ongoing management or other fees will be charged by Marret for overseeing the liquidation of the fund's assets and the termination of the fund.
Marret also announced that it has received confirmation from the Toronto Stock Exchange that the fund's Class A units will remain listed for trading on the TSX following the distribution of the net proceeds from the Liquid Portfolio. The continued listing is intended to provide unitholders with a source of liquidity prior to the termination of the fund. The TSX may revisit this continued listing at a later date.
Additional information concerning the upcoming termination of the fund was contained in the fund's press release issued on December 18, 2014.
About Marret Asset Management Inc.
Marret Asset Management Inc. 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.
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 prospectus. 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.
SOURCE: CI Investments Inc.
For further information: Marret Investor Services, 416-214-5800 or [email protected]