MONTREAL, Dec. 17 /CNW/ - O'Leary Funds Management LP (the "Manager") is pleased to announce that the O'Leary Canadian Income Opportunities Fund 2 (the "Fund") has closed today its initial public offering (the "Offering") of 11,500,000 units at a price of $12.00 per unit for aggregate gross proceeds of $138 million. The Fund has granted the agents an over-allotment option exercisable in whole or in part for a period of 30 days following the closing of the Offering to acquire up to an additional 1,725,000 units.
The Fund is an investment trust governed by the laws of the Province of Ontario and was created to invest in an actively-managed portfolio comprised primarily of publicly-traded securities of issuers domiciled in Canada providing investors with both income and potential for capital appreciation. The Fund's investment objectives are to: (i) maximize total return for holders of trust units of the Fund ("Unitholders"), consisting of distributions, interest and dividend income and capital appreciation; and (ii) initially provide Unitholders with monthly distributions targeted to be $0.08 per Unit ($0.96 per annum representing an annual cash distribution of 8% based on the $12.00 per Unit issue price).
The Manager has retained Stanton Asset Management Inc. (the "Portfolio Advisor") to provide investment advisory services to the Fund. The Portfolio Advisor is a Canadian investment firm focused on global investment opportunities, and is also the manager of a variety of specialized funds.
On or about December 14, 2012, the Fund will become an open-end mutual fund, the Units of the Fund will be delisted and the Units will become redeemable at their net asset value per Unit on a daily basis.
The syndicate of agents is co-led by CIBC and RBC Capital Markets and includes National Bank Financial Inc., Scotia Capital Inc., Macquarie Private Wealth Inc., Canaccord Genuity Corp., Raymond James Ltd., Wellington West Capital Markets Inc., Dundee Securities Corporation, GMP Securities L.P., HSBC Securities (Canada) Inc., MGI Securities Inc., Desjardins Securities Inc., Mackie Research Capital Corporation and Manulife Securities Incorporated (collectively, the "Agents").
Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions "expect", "intend", "will" and similar expressions to the extent they relate to the Fund. The forward-looking statements are not historical facts but reflect the Manager's current expectations regarding future results or events. 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. Although the Manager believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. The Manager undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.
This offering is only made by a prospectus dated November 26, 2010. The prospectus contains important information relating to these securities. Copies of the prospectus may be obtained from any of the Agents. Investors should read the prospectus before making an investment decision.
All capitalized terms noted herein but not defined are as per the prospectus dated November 26, 2010.
For further information:
For further information: for media inquiries or additional information: please contact O'Leary Funds at [email protected] or at 1-877-849-2004 x226