Commerce Split Corp.
TSX : XCM
TSX : XCM.PR.A

Commerce Split Corp.

March 10, 2010 17:38 ET

Commerce Split Corp. Announces Further Details of Capital Reorganization

TORONTO, ONTARIO--(Marketwire - March 10, 2010) - Commerce Split Corp. (the "Company") today announced additional details regarding its capital reorganization, which is expected to be completed later this month.

The assets of the Company will be reorganized into two separate investment portfolios, to be known as the "Original Commerce Split Fund" and the "New Commerce Split Fund".

Holders of existing Priority Equity Shares who elected to participate in the Original Commerce Split Fund will have their election requests honoured, and will be issued one Priority Equity Share of the Original Commerce Split Fund for each existing Priority Equity Share held. Approximately 1.7 million of such shares will be issued.

All other holders of existing Priority Equity Shares will be issued one Class I Preferred Share and one Class II Preferred Share of the New Commerce Split Fund, as well as one-half of a warrant with an expiry date in 2011 and one full warrant with an expiry date in 2012. Each full warrant will permit the holder to acquire one Class I Preferred Share, one Class II Preferred Share and one Capital Share of the New Commerce Split Fund on specified exercise dates. Approximately 3.8 million Class I Preferred Shares and 3.8 million Class II Preferred Shares of the New Commerce Split Fund will be issued.

Holders of existing Class A Shares who elected to participate in the Original Commerce Split Fund will have their election requests honoured, and will be issued one Class A Share of the Original Commerce Split Fund for each existing Class A Share held.

As discussed in the Management Information Circular dated December 23, 2009 (the "Circular"), the Company must ensure that the same number of Shares of each class are issued. Accordingly, holders of existing Class A Shares who did not elect to receive Class A Shares will be issued a combination of Class A Shares of the Original Commerce Split Fund and Capital Shares of the New Commerce Split Fund to achieve this balance. Such holders will receive approximately 28 Class A Shares of the Original Commerce Split Fund and 72 Capital Shares of the New Commerce Split Fund for each 100 existing Class A Shares held.

Further details on the exact date of the reorganization will be released as soon as they are finalized.

Additional information regarding the capital reorganization is contained in the Circular, available on SEDAR at www.sedar.com or on the Company's website.

Contact Information

  • Commerce Split Corp.
    Investor Relations
    416-304-4443 or Toll Free at 1-877-4-Quadra (1-877-478-2372)
    www.CommerceSplit.com