TORONTO, January 27, 2012 - First Asset Canadian Dividend Opportunity Fund II (the "Fund") announces that it has filed a final prospectus dated January 25, 2012 with the securities regulatory authorities of each of the Canadian provinces and territories for an initial public offering of up to 15 million units (the "Units") at a price of $10 per Unit, for a maximum offering size of $150 million. The Toronto Stock Exchange ("TSX") has conditionally approved the listing of the Units under the symbol of DVF.UN, subject to the fulfillment of TSX requirements.
The Fund has been created to invest in an actively managed portfolio (the "Portfolio") comprised primarily of dividend paying equity securities of Canadian Utility Issuers, Energy Issuers, Energy Infrastructure Issuers, REITs and Telecommunications and Cable Issuers that First Asset Investment Management Inc. (the "Manager" or "First Asset") believes will provide superior risk adjusted returns through a combination of dividend income and capital appreciation potential.
The Fund's investment objectives are to provide holders of Units with:
- monthly distributions; and
- the opportunity for capital appreciation.
The distributions are initially targeted to be 5% per annum on the subscription price of $10.00 per Unit ($0.0416 per Unit per month or $0.50 per annum).
The Portfolio will be actively managed by First Asset. First Asset is a Canadian wealth management company that manages and administers approximately $2.5 billion in assets. Mr. John Stephenson will be the lead portfolio manager responsible for the Portfolio. Mr. Stephenson is also the lead portfolio manager for First Asset Canadian Dividend Opportunity Fund (TSX: DOF.UN), an investment fund which has a substantially similar investment strategy.
First Asset will pay all of the expenses of the offering as well as $0.225 per Unit of the Agents' fees.
On or about (but not later than February 28, 2014), the Fund will, subject to receipt of all required regulatory approvals, automatically either: (i) convert to an open-end mutual fund, or (ii) merge with an open-end mutual fund on a tax-deferred basis, to be managed by the Manager or an affiliate of the Manager.
The syndicate of agents for this offering is being led by CIBC, co-led by National Bank Financial Inc. and RBC Capital Markets, and includes TD Securities Inc., BMO Capital Markets, Scotia Capital Inc., Canaccord Genuity Corp., GMP Securities L.P., Raymond James Ltd., Dundee Securities Ltd. and Macquarie Private Wealth Inc.
For further information, please call Rob MacNiven, Investor Relations, First Asset at 416-642-1289 or 1-877-642-1289 or visit www.firstasset.com.
This offering is only made by prospectus. The prospectus contains important detailed information about the securities being offered. Investors should obtain a prospectus from one of the Agents and read it carefully before making an investment decision. This investment may not be suitable for all investors. Commissions, trailing commissions, management fees and expenses all may be associated with this investment. An investment in the Fund is not guaranteed, its value changes frequently and past performance may not be repeated.