Advantaged Canadian High Yield Bond Fund

April 19, 2011 08:32 ET

Advantaged Canadian High Yield Bond Fund Announces Exercise of Over-Allotment Option

TORONTO, ONTARIO--(Marketwire - April 19, 2011) -


Scotia Managed Companies Administration Inc. is pleased to announce that the syndicate of agents for the initial public offering of the Advantaged Canadian High Yield Bond Fund (TSX:AHY.UN) (the "Fund"), led by Scotia Capital Inc., has exercised the over-allotment option for an additional 300,000 Class A Units of the Fund. In total, the Fund has issued 5.95 million Class A and Class F Units, for aggregate gross proceeds of $59.5 million. The Class A Units are listed for trading on the Toronto Stock Exchange under the symbol "AHY.UN".

The Fund is a closed-end investment fund established under the laws of the Province of Ontario. The Fund was created to provide unitholders with investment exposure to a diversified portfolio of Canadian high yield fixed income securities to be actively managed by High Rock Capital Management Inc. The Fund's investment objectives are to: (i) preserve and enhance the net asset value of the Fund; and (ii) provide unitholders with quarterly tax-advantaged distributions consisting of returns of capital and capital gains, through investment exposure to Canadian high yield fixed income securities.

It is anticipated that on or about March 29, 2013, the Fund will become an open-end mutual fund and the Class A Units will be delisted from any stock exchange on which they are then listed and the Units will be redeemable at their net asset value per Unit on a weekly basis.

Certain statements included in this news release constitute forward-looking statements. The forward-looking statements are not historical facts but reflect 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 and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. Scotia Managed Companies Administration Inc. undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law. Investment funds are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer. There is no assurance that the Fund will be able to achieve its distribution and capital preservation objectives or that the full amount of a unitholders investment in the Fund will be returned.

Contact Information