Aston Hill Asset Management Inc. is proposing to merge Aston Hill Global High Income Fund into Aston Hill Global Convertible Bond Class and Aston Hill Global Convertible Bond Fund, the company said Tuesday.

With the merger, non-taxable unitholders of the Aston Hill Global High Income Fund will become unitholders of Aston Hill Global Convertible Bond Fund.

Taxable unitholders of the fund (other than taxable unitholders resident in Quebec) will become shareholders of Aston Hill Global Convertible Bond Class.

Taxable unitholders of the fund resident in Quebec will become unitholders of Aston Hill Global Convertible Bond Fund.

The merger will not be implemented on a tax-deferred basis as the terminating fund will complete its forward transaction prior to implementing the merger. It is currently expected that the merger will result in unitholders receiving a capital gain of approximately $0.71 per Class A unit and $0.91 per Class F unit, or approximately 7.6% and 9.5%, respectively, of the Class A and Class F net asset values per unit.

Class A and F unitholders of the fund will become Series Y and F investors, respectively, in the continuing funds which have the same or lower management fees than the terminating fund.

As a result of the merger, unitholders will obtain exposure to a more broadly diversified investment portfolio with the benefit of a lower management expense ratio achieved through lower costs and economies of scale.

A special meeting of the unitholders will be held on December 20, to approve the merger. If all required approvals are obtained, the merger is expected to be implemented on or shortly after December 20.