Newport Partners Income Fund
TSX : NPF.UN

June 06, 2006 08:31 ET

Newport Partners Income Fund Announces Closing of $75 million Offering of Trust Units

TORONTO, ONTARIO--(CCNMatthews - June 6, 2006) -

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Newport Partners Income Fund ("Newport")(TSX:NPF.UN) today announced it has successfully completed its previously announced equity financing, raising gross proceeds of $75,026,000. On May 16, 2006, Newport announced it had entered into an agreement with a syndicate of underwriters led by RBC Capital Markets to issue to the public 8,155,000 trust units ("the Units") for $9.20 per Unit on a bought deal basis.

Newport will use the proceeds of the offering to retire debt owing under its credit facility, to continue its investment program and for general corporate purposes.

"This financing gives us added capacity to pursue a number of investment opportunities in the near term that will provide value for our unitholders," said Mr. Peter Wallace, President & CEO of Newport.

ABOUT NEWPORT

Newport is an unincorporated, open-ended, limited purpose trust created to hold an indirect interest in NPY, a limited partnership established to invest in securities of private businesses and distribute available cash flows to the limited partners. Newport trades on the TSX under the symbol NPF.UN.

Newport is an asset manager that uniquely partners with leading entrepreneurs of well-established, cash-flowing private businesses that represent a diverse cross-section of the Canadian economy. Newport unitholders participate in the cash flows, growth and diversification of the underlying businesses through monthly distributions. Newport provides access to growth capital and strategic and financial advice for its operating partnerships, and investment oversight and management for unitholders. Newport has indirect ownership interests in 13 operating partnerships in four business segments. Newport management and the operating partners have a long track record in the entrepreneurial market in Canada and own approximately 39% of all outstanding units.

Certain statements in this news release may include "forward-looking" statements that relate to future events or future performance and reflect management's expectations and assumptions regarding the growth, results of operations, performance and business prospects and opportunities of Newport and the operating partnerships in which it holds an ownership interest (the "Operating Partnerships"). Such forward-looking statements reflect management's current beliefs and are based on information currently available to management of the Newport and the Operating Partnerships. In some cases, forward-looking statements can be identified by terminology such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "estimate", "predict", "potential", "continue" or the negative of these terms or other similar expressions concerning matters that are not historical facts. In particular, statements regarding the future operating results and economic performance of Newport and the Operating Partnerships are forward-looking statements. A number of factors could cause actual events or results to differ materially from the events and results discussed in the forward-looking statements. In evaluating these statements, prospective purchasers should specifically consider various factors, including the risks outlined under "Risk Factors" in Management's Discussion and Analysis, which may cause actual events or results to differ materially from any forward-looking statement. Although the forward-looking statements are based on what management of Newport and the Operating Partnerships consider to be reasonable assumptions based on information currently available to it, there can be no assurance that actual events or results will be consistent with these forward-looking statements, and management's assumptions may prove to be incorrect. These forward-looking statements are made as of the date of this news release, and Newport does not assume any obligation to update or revise them to reflect new events or circumstances.


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