Brompton Split Banc Corp.

Brompton Split Banc Corp.

March 22, 2006 10:28 ET

Brompton Split Banc Corp. Announces Increase In Net Asset Value To $15.91 Per Share

TORONTO, ONTARIO--(CCNMatthews - March 22, 2006) - Brompton Split Banc Corp. (TSX:SBC)(TSX:SBC.PR.A) is pleased to announce that the net asset value per Class A share has increased by 16% since inception on November 16, 2005 to $15.91 as at March 21, 2006. At the same time, Class A shareholders have received the benefit of high monthly cash distributions of $0.10 per share per month.

Since inception, both the Class A and Preferred Shares have traded at an average premium to net asset value of 4.7% and 7.7% respectively. As a result, the Fund filed a final prospectus related to a Rights Offering available to all Class A shareholders of record on March 13, 2006. Each Class A shareholder received one Right for each Class A share held. One Right entitles the holder to purchase a Unit, consisting of one Class A share and one Preferred share for $26.10 on or before April 10, 2006, the expiry date. The Rights are currently trading on the TSX under the ticker symbol SBC.RT.

During the Rights Offering period, the Class A share trade volumes may increase and there may be opportunities to purchase Class A shares at a relative discount to their historic trade values due to investors hedging their positions. Hence, during the Rights Offering period, a buying opportunity may be available to those investors looking to gain leveraged exposure on a low cost basis to the performance of the Canadian "big six" banks at attractive prices.

Brompton Split Banc Corp. is also pleased to announce that a distribution in the amount of $0.13125 per Preferred share will be paid on April 17, 2006 to shareholders of record on March 31, 2006. The Preferred shares are rated Pfd-2 by Dominion Bond Rating Service Limited.

For further information, please contact your financial advisor, call our investor relations line at 416-642-9051 (toll free at 1-866-642-6001) or visit our website at

Commissions, trailing commissions, management fees and expenses all may be associated with investment funds. Please read the fund's publicly filed documents which are available from SEDAR at Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.

Contact Information

  • Brompton Split Banc Corp.
    David E. Roode
    Senior Vice President
    (416) 642-6008