TORONTO, Jan. 13, 2012 /CNW/ - The Board of Directors of R Split III Corp. (the "Company") announced today it has approved a proposal to reorganize the Company. The reorganization will permit holders of Capital Shares to extend their investment in the Company beyond the scheduled redemption date of May 31, 2012 for an additional five years. The Preferred Shares will be redeemed on the same terms originally contemplated in their share provisions on May 31, 2012. Holders of Capital Shares who do not wish to extend their investment and all holders of Preferred Shares will have their shares redeemed on May 31, 2012.
The reorganization will involve (i) the extension of the originally scheduled redemption date, (ii) a special retraction right to enable holders of Capital Shares to retract their shares as originally contemplated should they not wish to extend their investment and (iii) the issuance of a new class of preferred shares in order to provide continuing leverage for the Capital Shares.
A special meeting of holders of the Capital Shares will be held on March 14, 2012 to consider and vote upon the proposed reorganization. Details of the proposed reorganization will be outlined in an information circular to be prepared and delivered to holders of Capital Shares of record on February 6, 2012 in connection with the special meeting and will be available on www.sedar.com. Implementation of the proposed reorganization will also be subject to applicable regulatory approval including the Toronto Stock Exchange.
R Split III Corp. is a mutual fund corporation created to hold a portfolio of common shares of the Royal Bank of Canada. Capital Shares and Preferred Shares of R Split III Corp. are listed for trading on The Toronto Stock Exchange under the symbols RBS and RBS.PR.A respectively.
For further information: