TORONTO, ONTARIO--(Marketwired - May 7, 2014) -
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA
Harvest Portfolios Group Inc., the manager of Australian REIT Income Fund (TSX:HRR.UN) (the "Fund"), is pleased to announce that the Fund has filed a final prospectus for an offering of Class A warrants ("Class A Warrants") and Class F warrants ("Class F Warrants") of the Fund to holders of Class A units ("Class A Units") and Class F units ("Class F Units"), respectively. Each holder of a Class A Unit of record on May 21, 2014 will receive one Class A Warrant for each Class A Unit held and each holder of a Class F Unit on record on May 21, 2014 will receive one Class F Warrant for each Class F Unit held.
Two whole Warrants of a class will entitle the holder to purchase a Unit of such class upon payment of the applicable subscription price. The subscription price for the Class A Units is $8.93 per Class A Unit, which is the sum of the most recently calculated NAV per Class A Unit prior to the date of the preliminary short form prospectus plus the estimated per Class A Unit fees and expenses of the Offering. The subscription price for the Class F Units is $9.26 per Class F Unit, which is the sum of the most recently calculated NAV per Class F Unit prior to the date of the preliminary short form prospectus plus the estimated per Class F Unit fees and expenses of the Offering.
Class A Warrants and Class F Warrants not exercised by 5:00 p.m. (Toronto time) on October 31, 2014 will be void and have no value.
The Class A Warrants distributed under the prospectus have been conditionally approved for listing on the TSX under the symbol HRR.WT.
Warrants of either class will not be eligible to received distributions provided, however, that if Units of a class are issued on or before an applicable record date, Units of such class received upon exercise of the Warrants of such class will be eligible to receive distributions from the Fund.
Class A Warrants and Class F Warrants will be distributed to client accounts by brokers after the record date. The Fund will pay an exercise fee of $0.09 per Class A Unit at the time the Class A Warrants are exercised, payable to the investment advisor of the CDS participant whose client is exercising the Warrant. No exercise fee is payable in respect of the exercise of the Class F Warrants into Class F Units.
The Warrants are not qualified for distribution in the United States of America. Copies of the final prospectus have been filed on SEDAR at
under the Fund's profile.
This press release does not constitute an offer to sell or the solicitation of an offer to buy securities nor will there be any sale of such securities in any state in which such offer, solicitation or sale would be unlawful.