CALGARY, Dec. 20, 2012 /CNW/ - Middlefield Group is
pleased to announce that MINT Income Fund ("MINT" or the
"Fund") has filed a final prospectus in connection with an offering
of Rights to its unitholders to subscribe for Units (the "Rights
Offering"). Unitholders of record at the close of business
(Toronto time) on January 2, 2013 will receive one Right for each
MINT Unit held at that time. The Rights will commence trading on
the Toronto Stock Exchange ("TSX")
under the symbol MID.RT on December 28,
2012. Three Rights will entitle the holder to purchase
one MINT Unit at a price of $9.00
until 4:00 p.m. (Toronto time) on January 28, 2013, at which time all unexercised
Rights will expire with closing of exercised Rights to occur
shortly thereafter. If all the Rights are exercised, the Fund
will issue approximately 4,200,000 Units and receive net proceeds
of approximately $37.4 million. The
subscription price of $9.00 is
approximately 91% of the closing price of the Units on the TSX on
December 18, 2012.
Each holder of Rights who subscribes for all of
the Units to which that holder is entitled under the Basic
Subscription Privilege may subscribe for any number of additional
Units, if available, at a price equal to the subscription price for
each additional Unit, subject to availability. Units issued
pursuant to this Rights Offering will participate in the Fund's
distribution payable February 15,
2013.
The net proceeds of the Rights Offering will be
invested by the Fund in accordance with its investment objectives
which include (i) monthly distributions (currently targeted to be
$0.06 per Unit per month, or
$0.72 per Unit per annum); (ii) a
cost-effective method of reducing the risk of investing in high
income securities; and (iii) the potential for capital appreciation
by investing in an actively managed, diversified portfolio
comprised primarily of high yielding equity securities.
MINT Income Fund is Middlefield's oldest TSX-listed fund and will
celebrate its 16th anniversary on the TSX in
March 2013. As at November 30, 2012, MINT has generated annualized
total returns for the one, three and five year periods and since
inception of 5.5%, 10.9%, 8.7% and 11.7%, respectively.
MINT Income Fund trades on the Toronto
Stock Exchange under the symbol MID.UN.
The Rights Offering is only made by the
prospectus. The prospectus contains important detailed information
about the Rights and the Units issuable upon the exercise thereof.
Copies of the prospectus may be obtained from Middlefield or your IIROC registered financial
advisor. Investors should read the prospectus before making an
investment decision.
Certain statements included herein constitute
forward-looking statements. Forward-looking statements include,
among other things, statements regarding the Fund, the proposed use
of net proceeds from the Rights Offering and investment
opportunities. Forward-looking statements are necessarily based
upon a number of estimates and assumptions. While such estimates
and assumptions are considered reasonable by the Fund, they are
inherently subject to significant business, economic and
competitive uncertainties and risks. Investors are cautioned not to
put undue reliance on forward-looking statements.
SOURCE MINT Income Fund