TORONTO, ONTARIO--(Marketwired - Dec. 13, 2016) - (TSX:ERM) Eclipse Residential Mortgage Investment Corporation ("Eclipse") announces the temporary suspension of its distribution reinvestment plan for the December 30, 2016 record date for Class A Shares. All Class A shareholders of record on December 30, 2016 will receive cash distributions for payment date on January 16, 2017.
As previously announced, on November 30, 2016, Shareholders approved an extraordinary resolution to transition Eclipse from the Canadian securities regulatory regime for investment funds to the Canadian securities regulatory regime for reporting issuers that are not investment funds. The transition includes exchanging Class A shares for Common shares which is expected to occur on or about January 4, 2017. As a result of the exchange of shares, the distribution reinvestment plan will be temporarily suspended for the December 30, 2016 record date. The distribution reinvestment plan is expected to be amended as a result of the transition based on substantially similar terms as the original plan. It is anticipated that the amended plan will be in place for the distribution record date on January 31, 2017. An announcement of the implementation of the amended plan will be made prior to the record date.
About Brompton Funds
Brompton Funds, a division of Brompton Group which was founded in 2000, is an experienced investment fund manager with approximately $2 billion in assets under management. Brompton's investment solutions include TSX listed closed-end funds, mutual funds, hedge funds and flow-through limited partnerships. For further information, please contact your investment advisor, call Brompton's investor relations line at 416-642-6000 (toll-free at 1-866-642-6001), email firstname.lastname@example.org or visit our website at www.bromptongroup.com.
About MCAP Financial Corporation
One of Canada's largest mortgage financing companies, MCAP Financial Corporation ("MCAP") originates and services all mortgages for Eclipse. MCAP has more than 20 years of experience underwriting and servicing Canadian Single Family Residential Mortgages, with over $60 billion in mortgage assets managed for banks, lifecos, credit unions and institutional investors.
You will usually pay brokerage fees to your dealer if you purchase or sell shares of the investment fund on the Toronto Stock Exchange or other alternative Canadian trading system (an "exchange"). If the shares are purchased or sold on an exchange, investors may pay more than the current net asset value when buying shares of the investment fund and may receive less than the current net asset value when selling them.
There are ongoing fees and expenses associated with owning shares of an investment fund. An investment fund must prepare disclosure documents that contain key information about Eclipse. You can find more detailed information about Eclipse in the public filings available at www.sedar.com. The indicated rates of return are the historical annual compounded total returns including changes in share value and reinvestment of all dividends and do not take into account certain fees such as redemption costs or income taxes payable by any securityholder that would have reduced returns. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.
Certain statements contained in this news release constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to matters disclosed in this press release and to other matters identified in public filings relating to Eclipse, to the future outlook of Eclipse and anticipated events or results and may include statements regarding the future financial performance of the Fund. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Investors should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and we assume no obligation to update or revise them to reflect new events or circumstances.