Harvest Portfolios Group Inc.

Harvest Portfolios Group Inc.
Harvest Banks & Buildings Income Fund

September 02, 2009 17:04 ET

Harvest Banks & Buildings Income Fund Files Preliminary Prospectus

TORONTO, ONTARIO--(Marketwire - Sept. 2, 2009) - Harvest Portfolios Group Inc. (the "Manager") is pleased to announce that a preliminary prospectus for the Harvest Banks & Buildings Income Fund (the "Fund") has been filed with, and a receipt therefore issued by, the securities regulatory authorities in each of the provinces and territories of Canada.

The Fund proposes to issue units (the "Units") of the Fund (the "Offering") at a price of $12.00 per Unit. Each Unit consists of one trust unit ("Trust Unit") and one warrant ("Warrant"). Each whole Warrant will entitle the holder to purchase one Trust Unit at a subscription price of $12.00 on or before 5:00 p.m. (Toronto time) on, and only on, April 15, 2011.

The Fund's investment objectives are:

(i) to provide Unitholders with monthly distributions (initially targeted to be $0.07 per Trust Unit ($0.84 per annum) representing an annual cash distribution of 7.0% based on the $12.00 per Trust Unit issue price); and

(ii) to maximize total return for Unitholders.

The net proceeds of the Offering will be invested in an actively managed portfolio that will consist primarily of securities of publicly-traded Canadian banking, other financial and real estate issuers.

Avenue Investment Management Inc. (the "Investment Manager") will be responsible for the execution of the Fund's overall investment strategy, including managing the composition of the portfolio of the Fund.

The syndicate of agents is being co-led by BMO Capital Markets and CIBC World Markets Inc. and includes Scotia Capital Inc., HSBC Securities (Canada) Inc., Canaccord Capital Corporation, Raymond James Ltd., Blackmont Capital Inc., Dundee Securities Corporation, Wellington West Capital Markets Inc., Desjardins Securities Inc., GMP Securities L.P. and Industrial Alliance Securities Inc. (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 Manager and/or the Investment Manager. The forward-looking statements are not historical facts but reflect the Fund's, the Manager and/or Investment 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 Fund, the Manager and/or the Investment 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 Fund, the Manager and/or the Investment 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 September 1, 2009 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 final prospectus has been issued.

Contact Information

  • Harvest Portfolios Group Inc.
    Michael Kovacs
    1.866.998.8298
    mkovacs@harvestportfolios.com
    For additional information: please contact your registered
    financial advisor.