EnerVest Diversified Income Trust

EnerVest Diversified Income Trust

September 15, 2010 08:30 ET

EnerVest Diversified Income Trust Warrants Expire September 23, 2010

CALGARY, ALBERTA--(Marketwire - Sept. 15, 2010) -


EnerVest Diversified Income Trust ("EnerVest" or the "Fund") (TSX:EIT.UN) reminds warrant holders that the EnerVest warrants (TSX:EIT.WT) expire at 5:00 p.m. (MST) Thursday, September 23, 2010 and will be delisted at the close of business that day. Investors wishing to exercise their warrants are encouraged to ACT NOW

Warrant holders are also reminded that investment firms may impose earlier deadlines in order to facilitate the processing of warrant exercises; as such investors are strongly encouraged to consult with their investment advisor to confirm their timelines.

  • WARRANTS IN THE MONEY – Warrants are "in the money", with the trust Units currently trading above the $13.31 warrant exercise price. 
  • ACCESS TO SEPTEMBER DISTRIBUTION - By exercising the warrants newly subscribed unitholders will be entitled to receive the September monthly distribution of $0.10 per Unit, making the effective Unit purchase price $13.21.
  • ATTRACTIVE VALUE - EnerVest Units provide an attractive yield of approximately 9% based on the current market price and are trading at a discount to Net Asset Value of approximately 15%. For the eight month period ended August 31, 2010, EnerVest Units generated a total market price return of 12.6%, versus the S&P/TSX Composite Total Return Index (the "Benchmark") which returned only 3.2%. For the 12 months ended August 31, 2010, EnerVest Units have generated a total market price return of 31.7%, versus the Benchmark which generated a total return of only 12.7%. 
  • ADVISOR FEE - The Fund will pay an exercise fee of $0.20 per warrant to the investment advisor of the CDS participant whose client exercises the warrant. 

How to Exercise Warrants

Warrant holders who wish to exercise their warrants should instruct their investment advisor for an "immediate exercise" and be prepared to provide payment to their advisor firm equal to the exercise price for each warrant exercised. Once payment is received the warrants will be cancelled and the investor will receive EnerVest Units. Investors are encouraged to consult with their investment advisor to confirm the time required to complete this process and other costs associated with the exercise, if any. Registered unitholders (unitholders who hold a physical Unit certificate) wishing to exercise warrants need to contact Computershare Trust Company of Canada directly at 1-800-564-6253.

Each warrant holder who exercises his or her warrants for Units may subscribe for additional Units at the warrant exercise price, if available, which will be distributed on a pro rata basis. Further details are available in the warrant prospectus document filed on SEDAR at www.sedar.com.

About EnerVest

The Fund is one of Canada's largest and most liquid diversified closed-end investment funds. The Fund is listed on the TSX under the symbol EIT.UN and is an actively managed, diversified portfolio of income-generating and capital growth oriented securities listed on the TSX and is designed to maximize distributions and Net Asset Value for the benefit of its unitholders.

Certain statements included in this news release constitute forward-looking statements. The forward-looking statements are not historical facts but reflect EnerVest Management Ltd.'s and its affiliates (the "Administrator") current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although the Administrator believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. The Administrator undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law. The indicated rates of return are the historical and annual compounded total returns including changes in unit value and reinvestment of all distributions and does not take into account sales, redemption, distribution, or optional charges or income taxes payable by any security holder that would have reduced returns. Investment funds are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer. There can be no assurances that the fund will be able to maintain its net asset value at a constant amount or that the full amount of your investment in the fund will be returned to you. Past performance may not be repeated.

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