Harvest Canadian Consolidated Energy Fund Announces Exchange Ratios

Date

November 22, 2019

Date

November 22, 2019

Date

November 22, 2019

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 

 

Disclaimer

For Information Purposes Only. All comments, opinions and views expressed are of a general nature and should not be considered as advice and/or a recommendation to purchase or sell the mentioned securities or used to engage in personal investment strategies.

You will usually pay brokerage fees to your dealer if you purchase or sell units of the Fund(s) on the TSX. If the units are purchased or sold on the TSX, investors may pay more than the current net asset value when buying units of the Fund(s) and may receive less than the current net asset value when selling them. There are ongoing fees and expenses associated with owning units of an investment fund. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated. An investment fund must prepare disclosure documents that contain key information about the fund. You can find more detailed information about the fund in these documents.

Certain statements in the Harvest Blog are forward looking Forward-looking statements (“FLS”) are statements that are predictive in nature, depend upon or refer to future events or conditions, or that include words such as “may,” “will,” “should,” “could,” “expect,” “anticipate,” “intend,” “plan,” “believe,” or “estimate,” or other similar expressions. Statements that look forward in time or include anything other than historical information are subject to risks and uncertainties, and actual results, actions or events could differ materially from those set forth in the FLS.

FLS are not guarantees of future performance and are by their nature based on numerous assumptions, which include, amongst other things, that (i) the Fund can attract and maintain investors and have sufficient capital under management to effect their investment strategies, (ii) the investment strategies will produce the results intended by the portfolio managers, and (iii) the markets will react and perform in a manner consistent with the investment strategies. Although the FLS contained herein are based upon what the portfolio manager believe to be reasonable assumptions, the portfolio manager cannot assure that actual results will be consistent with these FLS.

Unless required by applicable law, Harvest Portfolios Group Inc. does not undertake, and specifically disclaim, any intention or obligation to update or revise any FLS, whether as a result of new information, future events or otherwise.