TORONTO, Feb. 26 /CNW/ - YIELDPLUS Income Fund ("YIELDPLUS" or the "Fund") is pleased to announce that pursuant to the exercise of Warrants it has raised total gross proceeds of $211 million, being the maximum permitted under its Warrant Offering which expired today.
Units issued pursuant to this Warrant Offering will participate in distributions declared by the Fund commencing with the distribution declared to Unitholders of record as at February 28, 2010.
The net proceeds of the Warrant Offering will be invested by the Fund in accordance with its investment objectives. The Fund's investment objectives are to (i) pay monthly distributions to Unitholders, (ii) return to Unitholders upon the termination of the Fund at least the original subscription price of the Units, and (iii) enhance long-term total return through capital appreciation of the investment portfolio. The Fund is invested in an actively managed diversified portfolio comprised primarily of high yielding equity securities of issuers operating in various industries and geographic regions. On an annualized basis, the current distribution rate is $0.84 per Unit.
YIELDPLUS Income Fund trades on the Toronto Stock Exchange under the symbol YP.UN.
Certain statements in this press release may constitute forward-looking information, including statements regarding use of proceeds and expected future distributions. Forward-looking statements are subject to various risks and uncertainties that could cause estimates to differ materially from the expectations expressed, including the risk that the per Unit distributions may decrease, which could occur for various reasons beyond the control of the Fund such as a decrease in the distributions paid by the issuers of securities included in the Fund's portfolio or a change in general economic conditions. The forward-looking information contained in this press release constitutes the Fund's current estimate, as of the date of this press release, with respect to the matters covered hereby. Investors and others should not assume that any forward-looking statement contained in this press release represents the Fund's estimate as of any date other than the date of this press release.
SOURCE YIELDPLUS Income Fund
For further information: For further information: please visit our website at www.middlefield.com or contact Nancy Tham, Senior Vice-President, at (416) 847-5349 or toll-free at 1-888-890-1868