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Canadian 50 Advantaged Preferred Share Fund closes C$47.6 million treasury offering of Class A and Class F Units

Date Closed

December 05, 2012

Lead Office

Toronto

Value

47.60 Million CAD

On December 5, 2012, Connor, Clark & Lunn Capital Markets Inc. (the "Manager") announced the closing of a treasury offering of Units of Canadian 50 Advantaged Preferred Share Fund (the "Fund").  The Fund raised total gross proceeds of C$47.6 million from the sale of 1,850,000 Class A Units at a price of C$24.33 per Class A Unit and 105,787 Class F Units at a price of C$24.51 per Class F Unit which prices were determined so as to be non-dilutive to the net asset value per Unit of existing Unitholders. The Fund has granted to the agents an over-allotment option, exercisable for a period of 30 days from the closing date, to purchase up to an additional 277,500 Class A Units. The Class A Units are listed on the Toronto Stock Exchange under the symbol "CPF.UN".

The Fund's investment objectives are to provide (i) tax-advantaged quarterly cash distributions consisting primarily of returns of capital; and (ii) low-cost exposure to the total return approximating that of the BMO Capital Markets 50 Preferred Share Index (the "Preferred Share 50 Index").  Based on current estimates and the assumptions set out in the prospectus, the Fund's current distribution target is C$0.3125 per Unit per quarter, consisting primarily of returns of capital which are not immediately taxable but which reduce a Unitholder's adjusted cost base of its Units.

The Units were offered for sale by a syndicate of agents led by BMO Capital Markets and including CIBC, RBC Capital Markets, Scotiabank, National Bank Financial Inc., TD Securities Inc., Raymond James Ltd., Canaccord Genuity Corp., GMP Securities L.P., Mackie Research Capital Corporation, Macquarie Private Wealth Inc., Desjardins Securities Inc. and Manulife Securities Incorporated.

McCarthy Tétrault LLP represented BMO Nesbitt Burns and the syndicate of agents, with a team led by Andrew Armstrong.

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