Sentry Select Capital Corp.

Sentry Select Capital Corp.

September 27, 2005 09:44 ET

Sentry Select Capital Corp. Announces Closing of Diversified Income Trust 'TSX: SDT.UN' Rights Offering; Raises Total Gross Proceeds of $244,333,887

TORONTO, ONTARIO--(CCNMatthews - Sept. 27, 2005) - Sentry Select Capital Corp -

Rights Offering

Sentry Select Capital Corp. (the "Manager") announces the closing of the Rights Offering for Sentry Select Diversified Income Trust (the "Trust"). On August 30, 2005 (the "Record Date") each unitholder of record received one Right for each Trust Unit held. Three Rights entitled the holder to purchase one Trust Unit at a price of $5.25 until 4 PM (Toronto time) on September 22, 2005.

Results of the Rights Offering
Maximum Number
Trust Units Trust Units of Trust Units Total Gross
Initially Additionally Available for Proceeds
Subscribed Subscribed(i) Issue

44,518,614 2,021,174 46,539,788 $244,333,887

(i)Due to the limit on the number of Trust Units available for issue pursuant to the Rights Offering, only 2,021,174 Trust Units will be issued under the additional subscription privilege.

Expenses of the Offering

Sentry Select Capital Corp., the Manager of the Trust (the "Manager") has agreed to pay the expenses of the Rights Offering incurred by the Trust, together with interest thereon, over five years from the date of closing. The first payment will occur in January 2007.

Use of Proceeds

The Trust will use the net proceeds of the Rights Offering to acquire, in the open market and through private placements, securities in royalty trusts, unit trusts, income trusts, real estate investment trusts, limited partnerships and other similar issues, in accordance with the Trust's prevailing investment policies and restrictions.

Dealer Manager

National Bank Financial Inc. was engaged to be the Dealer Manager for the Rights Offering.

Sentry Select Diversified Income Trust

Sentry Select Diversified Income Trust (TSX:SDT.UN) is a closed-end trust with the objective of maximizing distributions to Unitholders by investing primarily in a broad range of royalty and income trusts, real estate investment trusts and other high-yielding securities.

The Manager

Sentry Select Capital Corp. is the manager of the Trust. Sentry Select is also responsible for providing or arranging for the provision of administrative services required by the Trust. Sentry Select is a wealth management company with gross assets under management in excess of $7 billion. It is the portfolio manager of 17 closed-end trusts, 3 flow-through limited partnerships and 11 mutual funds; the manager of an investment corporation; the marketing agent for a series of principal-protected notes; and the administrator of 3 closed-end trusts.

The Exchange Tower
130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4

Contact Information

  • Sentry Select Capital Corp.
    Investor Services (broker/investor enquiries)
    (416) 364-1197 (FAX)
    Sentry Select Capital Corp.
    June MacKinnon (MEDIA enquiries only)
    (416) 364-1197 (FAX)