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TORONTO, Dec. 20, 2023 (GLOBE NEWSWIRE) -- Ninepoint Partners LP (“Ninepoint”) is pleased to announce that Canadian Large Cap Leaders Split Corp. (the “Company”) has filed a preliminary prospectus dated December 19, 2023 in connection with an initial public offering of preferred shares (“Preferred Shares”) and class A shares (“Class A Shares”). A receipt for the preliminary prospectus has been issued by the securities regulatory authorities in each of the provinces and territories of Canada.
The Company will invest in an initially equally-weighted portfolio comprised primarily of equity securities of Canadian Dividend Growth Companies (as defined below), selected by the portfolio manager, that at the time of investment and immediately following each periodic reconstitution and rebalancing: (i) are listed on a Canadian exchange; (ii) pay a dividend; (iii) generally have a market capitalization of at least $10 billion; (iv) have options in respect of its equity securities that, in the opinion of the portfolio manager, are sufficiently liquid to permit the portfolio manager to write options in respect of such securities; and (v) have a history of dividend growth or, in the portfolio manager’s view have high potential for future dividend growth (“Canadian Dividend Growth Companies”).
The Preferred Shares will be offered at a price of $10.00 per share. The investment objectives for the Preferred Shares are to provide their holders with fixed cumulative preferential quarterly cash distributions in the amount of $0.1875 per Preferred Share ($0.75 per annum or 7.5% per annum on the issue price of $10.00 per Preferred Share), and to return the original issue price of $10.00 to holders upon maturity. The Preferred Shares have been provisionally rated Pfd-3 (high) by DBRS Limited.
The Class A Shares will be offered at a price of $15.00 per share. The investment objectives for the Class A Shares are to provide their holders with regular monthly non-cumulative cash distributions targeted to be $0.125 per Class A Share representing a yield on the issue price of $15.00 per Class A Share of 10% per annum and to provide holders with the opportunity for growth in the net asset value per Class A Share.
Prospective purchasers may purchase: (i) Preferred Shares or Class A Shares by a cash payment; or (ii) “Units” (each Unit comprised of one Preferred Share and one Class A Share) or Class A Shares by an exchange (the “Exchange Option”) of freely-tradeable listed securities of any eligible issuers (the “Exchange Eligible Issuers”) set forth in the preliminary prospectus. Prospective purchasers who elect to pay by using the Exchange Option must do so by depositing securities of Exchange Eligible Issuers prior to 5:00 p.m. (Toronto time) on January 22, 2024 in the manner described in the preliminary prospectus.
Ninepoint will act as the manager, portfolio manager and promoter of the Company and will provide all administrative services required by the Company.
Agents
The offering is being made through a syndicate of agents led by RBC Capital Markets which includes CIBC Capital Markets, National Bank Financial Inc., Scotiabank, BMO Capital Markets, Canaccord Genuity Corp., TD Securities Inc., iA Private Wealth Inc., Manulife Securities Incorporated, Richardson Wealth Limited, Desjardins Securities Inc., Raymond James Ltd., Echelon Wealth Partners Inc., Hampton Securities Limited, Research Capital Corporation and Wellington-Altus Private Wealth Inc.
A preliminary 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 preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from one of the agents noted above. 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.
About Ninepoint Partners LP
Based in Toronto, Ninepoint Partners LP is one of Canada’s leading alternative investment management firms overseeing approximately $7.8 billion in assets under management and institutional contracts. Committed to helping investors explore innovative investment solutions that have the potential to enhance returns and manage portfolio risk, Ninepoint offers a diverse set of alternative strategies spanning Equities, Fixed Income, Alternative Income, Real Assets, F/X and Digital Assets.
For more information on Ninepoint, please visit www.ninepoint.com or for inquiries regarding the offering, please contact us at (416) 943-6707 or (866) 299-9906 or invest@ninepoint.com.
Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions “expects”, “intends”, “anticipates”, “will” and similar expressions to the extent that they relate to the Company. The forward-looking statements are not historical facts but reflect Ninepoint'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 Ninepoint believes 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. Neither the Company nor Ninepoint undertake any 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 securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or any applicable exemption from the registration requirements. This news release does not constitute an offer to sell or the solicitation of an offer to buy securities nor will there be any sale of such securities in any state in which such offer, solicitation or sale would be unlawful.
