BAM Split Corp.
TSX : BNA.PR.A
TSX : BNA.PR.B

BAM Split Corp.

December 20, 2006 10:08 ET

BAM Split Corp. Announces $200,000,000 Public Offering of Class AA Preferred Shares, Series 3 and Commencement of Trading Under New Name

TORONTO, ONTARIO--(CCNMatthews - Dec. 20, 2006) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES

BAM Split Corp. (formerly BNN Split Corp.) (the "Corporation") (TSX:BNA.PR.A) (TSX:BNA.PR.B) announced today that it has entered into an agreement to sell $200,000,000 principal amount of Class AA Preferred Shares, Series 3 (the "Series 3 Preferred Shares") to a syndicate of underwriters led by Scotia Capital Inc. on a bought deal basis. Closing of the offering is expected to occur on or about January 10, 2007. The Series 3 Preferred Shares will carry a fixed coupon of 4.35%, and will have a final maturity of January 10, 2019. The net proceeds of the offering will be used to acquire additional shares of Brookfield Asset Management Inc. ("Brookfield Asset Management") for the Corporation's portfolio.

The Corporation also announced that its existing preferred shares listed on the Toronto Stock Exchange commenced trading under its new name on Friday, December 15, 2006. This change incorporates into the Corporation's name the stock symbol, "BAM", of its principal investment, Brookfield Asset Management. As a result of this name change, the CUSIP number for the Corporation's Class A Preferred Shares has been changed to 05936N 20 6 and the CUSIP number for its Class AA Preferred Shares, Series 1 has been changed to 05936N 30 5. These shares will continue to trade on the TSX under their current stock symbols of "BNA.PR.A" and "BNA.PR.B", respectively.

Concurrently with closing of the offering of the Series 3 Preferred Shares, the Corporation will split the existing capital shares held by BAM Investments Corp. so that an equal number of preferred shares (of all classes and series) and capital shares will be outstanding.

The Corporation's investment objective is to hold a portfolio of Class A Limited Voting Shares of Brookfield Asset Management in order to generate fixed cumulative preferential dividends for the holders of its preferred shares and to enable the holders of its capital shares to participate in any capital appreciation of the Brookfield shares. Brookfield Asset Management, focused on property, power and infrastructure assets, has over US$50 billion of assets under management and is co-listed on the New York Stock Exchange and the Toronto Stock Exchange.

Contact Information

  • BAM Split Corp.
    Bruce K. Robertson
    President and Chief Executive Officer
    (416) 956-5175