Oakville, November 22, 2019 – Harvest Portfolios Group Inc. (the “Manager”), on behalf of Harvest Canadian Consolidated Energy 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 October 29, 2019.
The Fund’s investment objectives are to provide Unitholders with: (i) quarterly cash distributions; and (ii) the opportunity for capital appreciation through investments primarily in listed Equity Securities of companies operating in the Canadian Energy Universe.
In selecting the Canadian Energy Issuers from the Canadian Energy Universe, the Manager may give consideration to: (i) each issuer’s fundamental balance sheet position; (ii) each issuer’s opportunity for financial growth; (iii) production costs for commodity producing issuers; (iv) the experience of the issuer’s management team; (v) oil and natural gas production allocation; and (vi) overall portfolio energy sub-sector diversity. Approximately 80% of the Fund’s net assets will be invested in up to 19 Canadian Energy Issuers on an equal-weight basis (the “Canadian Portfolio”) and approximately, but not more than, 20% of the Fund’s net assets will be invested in the U.S. dollar denominated units of the Harvest Energy Leaders Plus Income ETF in order to gain exposure primarily to global Energy Issuers. The Canadian Portfolio will be reconstituted and rebalanced within 30 days following the end of each calendar quarter following March 31, 2020.
The Manager will be responsible for the execution of the Fund’s overall investment strategy, including managing the composition of the Portfolio.
The initial quarterly cash distribution target for the Fund is $0.12 per Unit per quarter ($0.48 per annum), representing an annual cash distribution of 4% based on the per Unit issue price.
The number of Units issuable for each security of an Exchange Eligible Issuer (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 period of three consecutive trading days ending on and including November 22, 2019 (the “Pricing Period”), as adjusted to reflect dividends or distributions declared by the applicable Exchange Eligible Issuer that will not be received by the Fund, by $12.00. 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 dividends or distributions in respect of such securities of Exchange Eligible Issuers that are declared up to but not including such date. Each Exchange Ratio was rounded down to five 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, ticker symbol, CUSIP number, ISIN, the volume weighted average trading price and the Exchange Ratio during the Pricing Period.
All capitalized terms used but defined herein are as defined in the preliminary prospectus.
|
Exchange Eligible Securities |
Ticker Symbol |
CUSIP Number |
ISIN |
Volume Weighted Average Trading Price |
Exchange Ratio |
|
Advantage Oil & Gas Ltd. |
AAV |
00765F101 |
CA00765F1018 |
$2.2750 |
0.18958 |
|
Africa Oil Corp. |
AOI |
00829Q101 |
CA00829Q1019 |
$1.2318 |
0.10265 |
|
AltaGas Ltd. |
ALA |
021361100 |
CA0213611001 |
$20.0048 |
1.66706 |
|
ARC Resources Ltd. |
ARX |
00208D408 |
CA00208D4084 |
$6.3434 |
0.52861 |
|
Athabasca Oil Corporation |
ATH |
04682R107 |
CA04682R1073 |
$0.3645 |
0.03037 |
|
Baytex Energy Corp. |
BTE |
07317Q105 |
CA07317Q1054 |
$1.5090 |
0.12575 |
|
Birchcliff Energy Ltd. |
BIR |
090697103 |
CA0906971035 |
$2.0411 |
0.17009 |
|
Bonavista Energy Corporation |
BNP |
09784Y108 |
CA09784Y1088 |
$0.4894 |
0.04078 |
|
Bonterra Energy Corp. |
BNE |
098546104 |
CA0985461049 |
$2.9593 |
0.24660 |
|
Calfrac Well Services Ltd. |
CFW |
129584108 |
CA1295841086 |
$0.9385 |
0.07820 |
|
Canacol Energy Ltd. |
CNE |
134808203 |
CA1348082035 |
$4.5652 |
0.38043 |
|
Canadian Natural Resources Limited |
CNQ |
136385101 |
CA1363851017 |
$36.9636 |
3.08030 |
|
Cardinal Energy Ltd. |
CJ |
14150G400 |
CA14150G4007 |
$1.9552 |
0.16293 |
|
Cenovus Energy Inc. |
CVE |
15135U109 |
CA15135U1093 |
$11.9217 |
0.99347 |
|
CES Energy Solutions Corp. |
CEU |
15713J104 |
CA15713J1049 |
$1.9012 |
0.15843 |
|
Crescent Point Energy Corp. |
CPG |
22576C101 |
CA22576C1014 |
$5.1211 |
0.42675 |
|
Crew Energy Inc. |
CR |
226533107 |
CA2265331074 |
$0.4101 |
0.03417 |
|
CWC Energy Services Corp. |
CWC |
12671H105 |
CA12671H1055 |
$0.0941 |
0.00784 |
|
Enbridge Inc. |
ENB |
29250N105 |
CA29250N1050 |
$50.0158 |
4.16798 |
|
Encana Corporation |
ECA |
292505104 |
CA2925051047 |
$5.4696 |
0.45580 |
|
Enerflex Ltd. |
EFX |
29269R105 |
CA29269R1055 |
$11.6599 |
0.97165 |
|
Enerplus Corporation |
ERF |
292766102 |
CA2927661025 |
$8.3042 |
0.69201 |
|
Ensign Energy Services Inc. |
ESI |
293570107 |
CA2935701078 |
$2.3556 |
0.19630 |
|
Falcon Oil & Gas Ltd. |
FO |
306071101 |
CA3060711015 |
$0.2197 |
0.01830 |
|
Freehold Royalties Ltd. |
FRU |
356500108 |
CA3565001086 |
$6.6599 |
0.55499 |
|
Frontera Energy Corporation |
FEC |
35905B107 |
CA35905B1076 |
$9.5488 |
0.79573 |
|
Gear Energy Ltd. |
GXE |
36830P104 |
CA36830P1045 |
$0.3887 |
0.03239 |
|
Gibson Energy Inc. |
GEI |
374825206 |
CA3748252069 |
$25.2300 |
2.10250 |
|
High Arctic Energy Services Inc. |
HWO |
429644206 |
CA4296442060 |
$1.8836 |
0.15696 |
|
Husky Energy Inc. |
HSE |
448055103 |
CA4480551031 |
$9.6225 |
0.80187 |
|
Imperial Oil Limited |
IMO |
453038408 |
CA4530384086 |
$33.0075 |
2.75062 |
|
Inter Pipeline Ltd. |
IPL |
45833V109 |
CA45833V1094 |
$22.1408 |
1.84506 |
|
Journey Energy Inc. |
JOY |
48113W102 |
CA48113W1023 |
$1.7880 |
0.14900 |
|
Kelt Exploration Ltd. |
KEL |
488295106 |
CA4882951060 |
$3.6241 |
0.30200 |
|
Keyera Corp. |
KEY |
493271100 |
CA4932711001 |
$33.4949 |
2.79124 |
|
Kinder Morgan Canada Limited |
KML |
494549702 |
CA4945497028 |
$14.5194 |
1.20995 |
|
Leucrotta Exploration Inc. |
LXE |
52728X208 |
CA52728X2086 |
$0.5175 |
0.04312 |
|
MEG Energy Corp. |
MEG |
552704108 |
CA5527041084 |
$5.5100 |
0.45916 |
|
NuVista Energy Ltd. |
NVA |
67072Q104 |
CA67072Q1046 |
$2.3575 |
0.19645 |
|
Painted Pony Energy Ltd. |
PONY |
695779108 |
CA6957791081 |
$0.6025 |
0.05020 |
|
Paramount Resources Ltd. |
POU |
699320206 |
CA6993202069 |
$6.0538 |
0.50448 |
|
Parex Resources Inc. |
PXT |
69946Q104 |
CA69946Q1046 |
$19.8601 |
1.65500 |
|
Pason Systems Inc. |
PSI |
702925108 |
CA7029251088 |
$12.6862 |
1.05718 |
|
Exchange Eligible Securities |
Ticker Symbol |
CUSIP Number |
ISIN |
Volume Weighted Average Trading Price |
Exchange Ratio |
|
Pembina Pipeline Corporation |
PPL |
706327103 |
CA7063271034 |
$47.4465 |
3.95387 |
|
Pengrowth Energy Corporation |
PGF |
70706P104 |
CA70706P1045 |
$0.0539 |
0.00449 |
|
PetroTal Corp. |
TAL |
71677J101 |
CA71677J1012 |
$0.3476 |
0.02896 |
|
Peyto Exploration & Development Corp. |
PEY |
717046106 |
CA7170461064 |
$2.9049 |
0.24207 |
|
PHX Energy Services Corp. |
PHX |
69338U101 |
CA69338U1012 |
$2.7404 |
0.22836 |
|
Pipestone Energy Corp. |
PIPE |
724112107 |
CA7241121077 |
$1.3353 |
0.11127 |
|
PrairieSky Royalty Ltd. |
PSK |
739721108 |
CA7397211086 |
$13.7605 |
1.14670 |
|
Precision Drilling Corporation |
PD |
74022D308 |
CA74022D3085 |
$1.3700 |
0.11416 |
|
Razor Energy Corp. |
RZE |
75525M109 |
CA75525M1095 |
$0.8950 |
0.07458 |
|
Secure Energy Services Inc. |
SES |
81373C102 |
CA81373C1023 |
$4.2684 |
0.35570 |
|
Seven Generations Energy Ltd. |
VII |
81783Q105 |
CA81783Q1054 |
$7.4240 |
0.61866 |
|
ShawCor Ltd. |
SCL |
820439107 |
CA8204391079 |
$12.3124 |
1.02603 |
|
STEP Energy Services Ltd. |
STEP |
85859H105 |
CA85859H1055 |
$0.9198 |
0.07665 |
|
Storm Resources Ltd. |
SRX |
86221R102 |
CA86221R1029 |
$1.3171 |
0.10975 |
|
Strad Inc. |
SDY |
86254Q104 |
CA86254Q1046 |
$1.6900 |
0.14083 |
|
Suncor Energy Inc. |
SU |
867224107 |
CA8672241079 |
$41.4364 |
3.45303 |
|
Surge Energy Inc. |
SGY |
86880Y109 |
CA86880Y1097 |
$0.9951 |
0.08292 |
|
Tamarack Valley Energy Ltd. |
TVE |
87505Y409 |
CA87505Y4094 |
$1.7987 |
0.14989 |
|
TC Energy Corporation |
TRP |
87807B107 |
CA87807B1076 |
$67.7737 |
5.64780 |
|
Tidewater Midstream and Infrastructure Ltd. |
TWM |
886453109 |
CA8864531097 |
$1.0197 |
0.08497 |
|
TORC Oil & Gas Ltd. |
TOG |
890895303 |
CA8908953034 |
$3.7407 |
0.31172 |
|
Total Energy Services Inc. |
TOT |
89154B102 |
CA89154B1022 |
$5.7926 |
0.48271 |
|
Tourmaline Oil Corp. |
TOU |
89156V106 |
CA89156V1067 |
$12.9565 |
1.07970 |
|
TransGlobe Energy Corporation |
TGL |
893662106 |
CA8936621066 |
$1.5074 |
0.12561 |
|
Trican Well Service Ltd. |
TCW |
895945103 |
CA8959451037 |
$0.8678 |
0.07231 |
|
Valeura Energy Inc. |
VLE |
919144402 |
CA9191444020 |
$0.7902 |
0.06585 |
|
Vermilion Energy Inc. |
VET |
923725105 |
CA9237251058 |
$19.4490 |
1.62075 |
|
Whitecap Resources Inc. |
WCP |
96467A200 |
CA96467A2002 |
$4.0761 |
0.33892 |
|
Yangarra Resources Ltd. |
YGR |
98474P501 |
CA98474P5013 |
$1.0608 |
0.08840 |
|
iShares S&P/TSX Capped Energy Index ETF |
XEG |
46428C100 |
CA46428C1005 |
$8.5224 |
0.71020 |
The syndicate of agents for the offering is being co-led by BMO Capital Markets, CIBC Capital Markets, RBC Capital Markets, Scotiabank, National Bank Financial Inc., and TD Securities Inc., and also includes Canaccord Genuity Corp., GMP Securities L.P., Raymond James Ltd., Desjardins Securities Inc., Echelon Wealth Partners Inc., Industrial Alliance Securities Inc., Mackie Research Capital Corporation, Manulife Securities Incorporated and PI Financial Corp.
For information, please visit www.harvestportfolios.com
