MONTREAL, Aug. 31 /CNW/ - O'Leary Funds Management LP (the "Manager") is
pleased to announce that a preliminary prospectus for the O'Leary Hard
Asset Income Fund (the "Fund") has been filed with, and a receipt
therefor has been issued by, the securities regulatory authorities in
each of the provinces of Canada.
The Fund was created to invest in Canada and globally primarily in
publicly-traded dividend-paying equity securities of issuers owning or
controlling significant tangible assets in industry sectors including
real estate, pipelines, power utilities, transportation and
telecommunications at the time of investment (the "Hard Asset Sectors")
and having market capitalizations of at least $1 billion (the "Hard
Asset Issuers"), as well as corporate bonds, including non-investment
grade bonds, convertible debt securities and preferred shares.
The Fund's investment objectives are to (i) maximize total return for
holders of trust units of the Fund ("Unitholders"), consisting of
interest and dividend income and capital appreciation; and (ii) to
provide Unitholders with monthly distributions initially targeted to be
$0.065 per Unit ($0.78 per annum representing an annual cash
distribution of 6.5% 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
The Fund is an investment trust governed by the laws of the Province of
Ontario which proposes to issue transferable units (the "Units") of the
Fund (the "Offering") at a price of $12.00 per Unit. Prospective
purchasers may purchase Units either by cash payment or in exchange for
income trust units, dividend-paying equity securities and preferred
shares of the exchange eligible issuers listed in the preliminary
prospectus. Prospective purchasers under the exchange option are
required to deposit their securities prior to 5:00 p.m. on September 24,
2010. CDS Participants may have an earlier deadline for receiving
instructions concerning such deposits.
On or before October 31, 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 World Markets Inc. and RBC
Capital Markets and includes National Bank Financial Inc., Scotia
Capital Inc., Macquarie Private Wealth Inc., GMP Securities L.P., HSBC
Securities (Canada) Inc., Raymond James Ltd., Wellington West Capital
Markets Inc., Canaccord Genuity Corp., Dundee Securities Corporation,
Mackie Research Capital Corporation, Desjardins Securities Corporation,
Manulife Securities Incorporated and MGI Securities Inc. (collectively,
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.
A preliminary prospectus dated August 30, 2010 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. There will not be any sale or any acceptance of an offer to buy
the securities until a receipt for the preliminary prospectus has been
All capital terms noted herein but not defined are as per the
preliminary prospectus dated August 30, 2010.
SOURCE O'LEARY HARD ASSET INCOME FUND
For further information: For further information:
for media inquiries or additional information: please contact O'Leary Funds at firstname.lastname@example.org or at 1-877-849-2004 x226.