Amalgamated Income Limited Partnership

Amalgamated Income Limited Partnership

October 07, 2005 12:49 ET

Amalgamated Income Limited Partnership Announces Results of Rights Offering

VICTORIA, BRITISH COLUMBIA--(CCNMatthews - Oct. 7, 2005) -

Not for distribution to U.S. newswire services or for dissemination in the United States. any failure to comply with this restriction may constitute a violation of U.S. securities law.

Amalgamated Income Limited Partnership (TSX:AI.UN) ("Amalgamated LP") is pleased to announce it has successfully closed its previously announced rights offering ("Rights Offering"). A total of 13,277,217 rights ("Rights") were exercised into 3,319,305 units of Amalgamated LP ("Units") raising the maximum gross proceeds of $2,655,444 dollars.

Under the Rights Offering, which was over-subscribed, the total amount of Units unexercised by limited partners eligible to subscribe for Units was 261,457. As a result, the number of Units allocated to each participant in the additional subscription privilege will be the lesser of:

a) The number of Units which that participant has subscribed for under the additional subscription privilege, and

b) 261,457, multiplied by a fraction of which the numerator is the number of Units subscribed for by that participant under the basic subscription privilege and the denominator is 2,890,297.

If any participant subscribed for fewer Units than the number resulting from the application of the formula in part (b) above, the excess Units will be allotted in a similar manner among the participants who were allotted fewer Units than they subscribed for.

The result of this formula is that in most cases limited partners who subscribed for additional Units will be issued the lesser of 9% of the Units they were allowed to subscribe for under their basic subscription privilege and the Units they subscribed for under the additional subscription privilege.

Net proceeds from the Rights Offering will be added to the working capital of Amalgamated LP and will be used for the acquisition of mutual fund limited partnership units and other income generating securities and for other general corporate purposes.

The business of Amalgamated LP is to acquire hold and where appropriate trade units of mutual fund limited partnership units and acquire other income generating assets with a view to making a profit. The Units of Amalgamated LP are listed on the Toronto Stock Exchange (AI.UN) and are eligible for RRSP's.

This news release shall not constitute an offer to sell or the solicitation to buy any of the securities of Amalgamated LP in any jurisdiction. The securities of Amalgamated LP will not be and have not been registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.

Contact Information

  • Amalgamated Income Limited Partnership
    C.W.J. Boatman
    President, 479660 BC Ltd., General Partner
    (250) 413-3103 or Toll free in Canada 1-888-708-5757
    (250) 413-3110 (FAX)
    Amalgamated Income Limited Partnership
    Elias Foscolos
    (403) 265-6540 or Toll free in Canada 1-877-202-4717