TORONTO, ONTARIO--(Marketwired - Apr 24, 2015) - Harvest Portfolios Group Inc. (the "Manager"), on behalf of Tech Achievers Growth & Income Fund (the "Fund") is pleased to announce the exchange ratios for the exchange offer by the Fund (the "Exchange Option") being made under the preliminary prospectus of the Fund dated March 30, 2015.
The Fund's investment objectives are to provide Unitholders with (i) the opportunity for capital appreciation; (ii) monthly cash distributions; and (iii) lower overall volatility of Portfolio returns than would otherwise be experienced by owning Equity Securities of Technology Achievers directly.
The Fund will invest in an equally-weighted Portfolio of Equity Securities of 20 Technology Issuers, which are issuers listed on a North American stock exchange that are included in the information technology, health care equipment, health care technology, wireless telecommunication services or electrical components and equipment sub-sectors of the Global Industry Classification Standards and whose underlying business includes, but is not limited to, the provision of technology related goods and services and that at the time of investment (i) have a market capitalization of at least US$10 billion, and (ii) have options in respect of their Equity Securities listed on a recognized options exchange.
In order to seek to generate additional returns, Highstreet Asset Management Inc. (the "Options Advisor") may sell call options each month on up to 33% of each of the Equity Securities held in the Portfolio.
The Manager will be responsible for the execution of the Fund's overall investment strategy, including managing the composition of the Portfolio.
The indicative distribution amount will be $0.0583 per Unit per month ($0.70 per annum), representing an annual cash distribution of 7% based on the per Unit issue price.
The Exchange Ratio was determined by dividing the volume weighted average trading price of such securities on the TSX or other applicable exchange during the Pricing Period, as adjusted to reflect distributions declared by the applicable Exchange Issuer that will not be received by the Fund, by $10.00. For issuers that only trade in U.S. dollars, the U.S. dollar amount was converted to Canadian dollars using the Reference Exchange Rate on April 24, 2015. Holders of securities of Exchange Eligible Issuers who deposited such securities pursuant to the Exchange Option will continue to be holders of record up to but not including the date of the closing of the offering of Units and will be entitled to receive distributions in respect of such securities of Exchange Eligible Issuers that are declared up to but not including such date. The Exchange Ratios were rounded down to four decimal places. Fractional Units will not be issued by the Fund. Allocation of cash in respect of fractional Units to purchasers who have authorized the deposit of Exchange Eligible Securities through CDS will be at the discretion of the CDS Participant.
The table below sets out the name of the Exchange Eligible Security, TSX ticker symbol, CUSIP number, ISIN, the volume weighted average trading price during the Pricing Period adjusted for dividends and the Exchange Ratio.
Exchange Eligible Securities
|Adobe Systems Incorporated
|Agilent Technologies, Inc.
|Analog Devices, Inc.
|Boston Scientific Corporation
|Cisco Systems, Inc.
|International Business Machines Corporation
|Intuitive Surgical, Inc.
|Micron Technology, Inc.
|Motorola Solutions, Inc.
|Red Hat, Inc.
|St. Jude Medical, Inc.
|Texas Instruments Incorporated
|T-Mobile US, Inc.
|CGI Group Inc.
|Constellation Software Inc.
|Magna International Inc.
|Manitoba Telecom Services Inc.
|Open Text Corporation
|Rogers Communications Inc.
|Shaw Communications Inc.
|Sierra Wireless, Inc.
|The Descartes Systems Group Inc.
|Thomson Reuters Corporation
|Valeant Pharmaceuticals International, Inc.
|iShares Core S&P 500 Index ETF(CAD- Hedged)
|iShares Core S&P/TSX Capped Composite Index ETF
|iShares Global Tech ETF
|iShares North American Tech ET
|iShares S&P/TSX 60 Index ETF
|iShares S&P/TSX Capped Information Technology Index ETF
|iShares US Technology ETF
|Vanguard Information Technology ETF
|Vanguard S&P 500 Index ETF
The syndicate of agents for the Offering is being co-led by BMO Capital Markets, CIBC and Scotiabank, and includes National Bank Financial Inc., Canaccord Genuity Corp., GMP Securities L.P., Raymond James Ltd., Dundee Securities Ltd., PI Financial Corp., Desjardins Securities Inc., Global Securities Corporation and Industrial Alliance Securities Inc. (collectively, the "Agents").
Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions "expect", "intend", "will" and similar expressions to the extent they relate to the Fund, the Manager and/or the Options Advisor. The forward-looking statements are not historical facts but reflect the Fund's, the Manager's, and/or the Options Advisor's 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 Fund, the Manager, and/or the Options Advisor 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 Fund, the Manager and/or the Options Advisor 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.
A preliminary prospectus dated March 30, 2015 (the "Prospectus") containing important information relating to these securities has been filed with securities commissions or similar authorities in each of the provinces and territories of Canada. The Prospectus is still subject to completion or amendment. Copies of the Prospectus may be obtained from any of the Agents. There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.
All capitalized terms noted herein but not defined are as defined in the Prospectus.
For further information: please contact Paul MacDonald at Harvest Portfolios Group Inc. at firstname.lastname@example.org or at 1-866-998-8298; visit Harvest Portfolios Group Inc. online at www.harvestportfolios.com; or for additional information or a copy of the Prospectus, please contact your registered financial advisor.