NexGen Financial Limited Partnership announced todayu that a syndicate of agents, co-led by CIBC World Markets Inc. and Scotia Capital Inc., have exercised their over-allotment option for 625,000 Class A shares of Macquarie NexGen Global Infrastructure Corp. for gross proceeds of $6.25 million, which together with the proceeds from its initial public offering of 8.5 million Class A shares, brings the fund’s total gross proceeds to $91.25 million.
The fund’s Class A shares trade on the Toronto Stock Exchange under symbol MNF.
The fund is designed to provide investors with exposure to the total return of an actively managed portfolio consisting primarily of publicly listed equity and equity like securities of global issuers that own or operate infrastructure assets. It is expected that up to 10% of the [ortfolio will consist of unlisted private infrastructure funds when such investment opportunities arise.
Macquarie Alternative Investments Ltd. has been retained by NexGen to manage the portfolio.
The Fund’s investment objectives are to: provide tax efficient monthly distributions which are initially targeted to be 5¢ a share, representing an annual yield of 60¢ a share, or 6% based on the original price of $10 per Class A share; and maximize the total return of the fund.
Monthly distributions are expected to consist primarily of return of capital and may include capital gains dividends.
A syndicate of agents co-led by CIBC World Markets Inc. and Scotia Capital Inc includes: RBC Capital Markets, BMO Capital Markets, National Bank Financial Inc., TD Securities Inc., Canaccord Capital Corporation, Dundee Securities Corporation, HSBC Securities (Canada) Inc., Raymond James Ltd., Berkshire Securities Inc., Blackmont Capital Inc., Wellington West Capital Inc., Desjardins Securities Inc., Newport Securities LP and Research Capital Corporation.