Deans Knight Income Corporation
TSX : DNC

Deans Knight Income Corporation

March 18, 2009 15:47 ET

Deans Knight Income Corporation Initial Public Offering

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 18, 2009) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION OVER US NEWSWIRE SERVICES.

As previously announced, Deans Knight Income Corporation (the "Company") (TSX:DNC) completed an initial public offering of 10,036,890 voting common shares ("Common Shares") of the Company at a price of $10.00 per Common Share for gross proceeds of $100,368,900.

The Company's investment objectives are to: (i) maximize the total return for shareholders, consisting of dividend income and capital appreciation; and (ii) provide shareholders with monthly dividends targeted to payout a minimum of 75% of net earnings (as defined in the final prospectus) annually. The net proceeds of the offering will be invested by the Company in an actively managed portfolio consisting primarily of corporate debt securities rated BBB or below by Standard & Poor's Rating Services or an equivalent rating by another nationally recognized statistical rating organization. The Company may also invest in investment grade debt securities rated above BBB and non-rated debt securities from time to time.

The offering was carried out by a syndicate of investment dealers co-led by GMP Securities L.P. and RBC Capital Markets and including Canaccord Capital Corporation, TD Securities Inc., Blackmont Capital Inc., Haywood Securities Inc. and FirstEnergy Capital Corp. The Agents were granted an over-allotment option in connection with the offering and have now advised the Company that they will not be exercising the over-allotment option.

The Common Shares are trading on the Toronto Stock Exchange under the symbol "DNC".

This press release does not constitute an offer to sell securities, nor is it a solicitation of an offer to buy securities in any jurisdiction. The securities are not, and will not be, registered under the securities laws of the United States, nor any state thereof and may not be sold in the United States absent registration in the United States of the availability of an exemption from such registration.

Contact Information

  • Deans Knight Income Corporation
    Dillon Cameron
    (604) 669-0212
    or
    Deans Knight Income Corporation
    Craig Langdon
    (604) 669-0212
    Website: www.dkincomecorp.com