CMP Funds today announced that its flow-through CMP 2002 Resource Limited Partnership has completed the second closing of its initial public offering, selling 24,080 Units for gross proceeds of $24 million. In total, the partnership has sold 59,832 units worth $59.8 million.

“We’re delighted with the strong response to our latest product offering,” says Jonathan Goodman, president and CEO, Dundee Resources Ltd. and CEO of the General Partner of CMP 2002. “Investors are clearly interested in our products for their significant tax advantages and strong track record of performance. CMP 2002 provides them with a highly tax-efficient way to participate in Canada’s vibrant resource sector in a favourable environment for resource investments in general and for gold and precious metals companies in particular.”

CMP 2002 is a limited partnership that invests in a diversified portfolio of flow-through shares of high-quality resource companies. An investor in CMP 2002 is anticipated to have the benefit of certain resource deductions and other deductions in 2002 totaling approximately 98% of the amount invested.

The target portfolio will be diversified across the entire resource sector, including precious metals, base metals, precious gems, and energy (excluding forestry). CMP 2002 is currently targeting a portfolio of 67% mining shares and 33% oil and gas shares. This emphasis on mining shares offers additional tax incentives, including a 15% Federal Investment Tax Credit and provincial tax credits ranging from 5%-20%, depending on the investor’s province of residence.

CMP will, prior to December 31, 2002, endeavour to invest all proceeds available for investment in flow-through shares of resource companies for which limited partners will be entitled to claim certain tax credits and deductions. On or about January 16, 2004, CMP 2002 intends to transfer its assets into a mutual fund in exchange for shares of the mutual fund on a tax-deferred rollover basis. Within 60 days following the rollover, the mutual fund shares will be distributed to the limited partners of CMP 2002.

The CMP 2002 offering was led by Dundee Securities Corp. and Scotia Capital Inc., and also included BMO Nesbitt Burns Inc., National Bank Financial Inc., TD Securities Inc., Raymond James Ltd. and Wellington West Financial Inc.