Dividend Select 15 Corp.

Dividend Select 15 Corp.

December 03, 2010 09:46 ET

Dividend Select 15 Corp.: Over-Allotment Exercised

TORONTO, ONTARIO--(Marketwire - Dec. 3, 2010) - Dividend Select 15 Corp. (the "Company") has issued an additional 780,000 shares of the Company for aggregate gross proceeds of $7,800,000. These shares are pursuant to the over-allotment granted to the Company's agents in its recently completed public offering. This brings the Company's gross proceeds to $97,800,000. The additional shares trade on the Toronto Stock Exchange under the existing symbol DS.

The net proceeds from the over-allotment will be used by the Company to invest in a portfolio of 15 Canadian companies whose shares offer investors an above-average dividend yield, and which have shown solid earnings growth and have a history of capital appreciation. The Portfolio Companies will be selected from among the following 20 companies listed on the Toronto Stock Exchange:

Bank of Montreal Great-West Lifeco Inc. TELUS Corporation
BCE Inc. Husky Energy Inc. The Bank of Nova Scotia
CIBC National Bank of Canada The Toronto-Dominion Bank
CI Financial Corp. Power Corporation of Canada Thomson Reuters Corporation
Enbridge Inc. Royal Bank of Canada TMX Group Inc.
EnCana Corporation Shoppers Drug Mart Corporation TransAlta Corporation
  Sun Life Financial Inc. TransCanada Corporation

The investment objectives are to provide shareholders with i) monthly cash distributions and ii) the opportunity for capital appreciation.

The initial distribution target is to pay regular monthly distributions of $0.0583 per share to yield 7.00% per annum on the original issue price of the shares. Distributions are expected to be in the form of Canadian eligible dividends and/or capital gains dividends.

The portfolio weightings are actively managed based on the Manager's assessment of which companies provide the most stable dividend yields and attractive growth potential. The Company engages in active covered call writing to provide an additional source of income to the portfolio and to capitalize on volatility in the underlying portfolio companies.

The syndicate of agents was co-led by Scotia Capital Inc., CIBC World Markets Inc., RBC Dominion Securities Inc. and includes BMO Nesbitt Burns Inc., National Bank Financial Inc., TD Securities Inc., HSBC Securities (Canada) Inc., Raymond James Ltd., Canaccord Genuity Corp., Dundee Securities Corporation, Macquarie Capital Markets Canada Ltd., Wellington West Capital Markets Inc., Desjardins Securities Inc. and Manulife Securities Incorporated.

Contact Information

  • Dividend Select 15 Corp.
    Investor Relations
    416-304-4443 or toll free at 1-877-4-Quadra (1-877-478-2372)