AIC Global Financial Split Corp.
TSX : ASC
TSX : ASC.PR.A
TSX : ADC
TSX : GBP.UN
TSX : FIT.UN
TSX : CIW.UN
TSX : CBW

AIC Global Financial Split Corp.

December 01, 2006 18:23 ET

AIC Global Financial Split Corp. Announces Rights Offering

BURLINGTON, ONTARIO--(CCNMatthews - Dec. 1, 2006) - AIC Global Financial Split Corp. (the "Company")(TSX:ASC)(TSX:ASC.PR.A)(TSX:ADC)(TSX:GBP.UN)(TSX:FIT.UN)(TSX:CIW.UN)(TSX:CBW), announced today that it is issuing rights ("Rights") to subscribe for units ("Units"), each Unit consisting of one class A share of the Company (a "Class A Share") and one preferred share of the Company (a "Preferred Share"), to holders of Class A Shares ("Class A Shareholders") of record at the close of business on December 12, 2006 (the "Record Date"). Each Class A Shareholder is entitled to one Right for each Class A Share held on the Record Date. Four Rights will entitle the holder to purchase one Unit at a price of $25.00 per Unit, consisting of one Class A Share at a price of $15.00 and one Preferred Share at a price of $10.00. The Rights may be exercised prior to 4:00 p.m. (Toronto time) on Friday, January 19, 2007. The subscription price of $25.00 per Unit, consisting of one Class A Share at a price of $15.00 and one Preferred Share at a price of $10.00, is approximately 92% of the closing price of a Class A Share and 94.3% of the closing price of a Preferred Share on the Toronto Stock Exchange (the "TSX") on November 29, 2006.

The Company also announced that it intends to pay a special distribution in February 2007 to Class A Shareholders of record on January 31, 2007 in the aggregate amount of approximately $383,425, or $0.25 per Class A Share, based on the anticipated number of outstanding Class A Shares on the Record Date. The actual amount of the special distribution will be announced by way of press release on or about January 9, 2007. The actual per Class A Share amount of the special distribution will be announced following the completion of the rights offering.

If all the Rights are exercised, the Company will issue approximately 383,425 Units, each Unit consisting of one Class A Share and one Preferred Share, and receive net proceeds of $9,295,625. The net proceeds received from the subscriptions for Units under the Rights Offering will be used to acquire securities of bank-based, insurance-based and investment management-based financial services companies in accordance with the Company's investment strategy and criteria. In particular, the proceeds will be used to provide AIC Investment Services Inc., the Company's investment manager, with the ability to capitalize on anticipated attractive buying opportunities.

The TSX has approved the listing on the TSX of the Rights and the Class A Shares and Preferred Shares issuable on the exercise of the Rights.

National Bank Financial Inc. will act as dealer manager to form a soliciting dealer group to solicit subscriptions of the Rights.

AIC commenced operations in 1985 and has grown to become one of Canada's largest privately-held mutual fund companies with assets under management of approximately $9 billion.

Contact Information

  • Media Contacts:
    AIC Investment Services, Burlington ON
    Chris Lowe, Senior Vice President and Portfolio Manager
    (905) 331-4242, ext. 4232 or 1-888-710-4242, ext. 4232
    Email: clowe@aic.com
    or
    AIC Limited, Burlington ON
    Terri Oswald
    Director, Media Relations
    (905) 331-4242, ext. 4345 or 1-888-710-4242, ext. 4345
    Email: toswald@aic.com
    Website: www.aic.com