TORONTO, ONTARIO -- (Marketwired) -- 08/29/13 -- Global Champions Split Corp. ("Global Champions" or the "Company") (TSX: GCS.PR.A) announced today that its net assets per unit, as determined for financial reporting purposes, was $47.02 at June 30, 2013.
Portfolio securities and net assets totaled $94.6 million and $48.0 million, respectively, as at June 30, 2013. Global Champions paid its first dividend to its preferred shareholders in April 2013 which represented a prorated distribution from our closing date of the preferred share offering to March 31, 2013 and declared its second dividend on June 28, 2013 which was paid in July 2013. Net assets per unit consists of one preferred share and one capital share. The net asset value per unit, as determined for retraction purposes, is posted daily on our website at www.globalchampions.com.
STATEMENT OF OPERATIONS AND NET ASSETS
For the period from March 7, 2013 to June 30, 2013
(Expressed in US Thousands)
(unaudited)
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Investment income
Dividend income $ 1,067
Interest and other income 66
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1,133
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Expenses
Management fees 12
Operating costs 47
Current income taxes 308
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367
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Income available for distribution 766
Preferred share dividends (608)
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Income available for distribution to capital
shareholders 158
Amortization of share issuance costs (80)
Deferred income tax recovery 287
Change in realized and unrealized value of investments (284)
Unrealized foreign exchange loss (529)
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Results of investment operations $ (448)
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Net Assets $ 48,023
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Global Champions Split Corp. is a mutual fund corporation established under the laws of the Province of Ontario to invest in a diversified portfolio of large capitalization companies that its manager, Brookfield Investment Management (Canada) Inc. ("BIM Canada"), believes are best-in-class within their respective industries. The Company is capitalized with public preferred shares (TSX: GCS.PR.A) and private capital shares.
BIM Canada is a subsidiary of Brookfield Asset Management Inc., a global alternative asset manager with over $175 billion of assets under management as of June 30, 2013 and over a 100-year history of owning and operating assets with a focus on property, renewable power, infrastructure and private equity.
Allen G. Taylor, Chief Financial Officer, will be available at (416) 363-9491 to answer any questions on the Company's financial results.
FORWARD-LOOKING INFORMATION
This news release contains forward-looking information concerning the Company's business and operations. The words "intend", "believe", "principally", "primarily", "likely", "often", "generally" and other expressions of similar import, or the negative variations thereof, and similar expressions of future or conditional verbs such as "could", "should", "would", "may" or "will", are predictions of or indicate future events, trends or prospects or identify forward-looking information. Forward-looking information in this news release includes, among others, statements with respect to the Company's objective of investing in a diversified portfolio (the "Portfolio") of large capitalization companies that Brookfield Investment Management (Canada) Inc. (the "Manager") believes are best in class within their respective industries to generate cash dividends to fund quarterly fixed cumulative preferential dividends for the holders of the Company's preferred shares and to enable holders of its capital shares to participate in any capital appreciation of the Portfolio, fluctuations in the market value of units of the Company due to interest rate levels and the value of the Portfolio. Additional forward-looking information may also include fluctuations in the value of the Company's Portfolio and cash flows due to foreign currency exchange rates.
Although the Company believes that the anticipated future results or achievements expressed or implied by the forward-looking information and statements are based upon reasonable assumptions and expectations, the reader should not place undue reliance on the forward-looking statements and information because they involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking information and statements.
Factors that could cause actual results to differ materially from those contemplated or implied by the forward-looking information include: the behavior of financial markets, including fluctuations in the value of the Portfolio and interest and exchange rates, availability of financings and other risks and factors detailed from time to time in the Company's other documents filed with the Canadian securities regulators.
We caution that the foregoing list of important factors that may affect future results is not exhaustive. When relying on our forward-looking information to make decisions with respect to the Company, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Except as may be required by law, the Company undertakes no obligation to publicly update or revise any forward-looking information or statements, whether written or oral, that may be as a result of new information, future events or otherwise. Reference should be made to the Company's prospectus with respect to the Class A Preferred Shares, Series 1 for a description of the major risk factors.
Contacts:
Global Champions Split Corp.
Allen G. Taylor
Chief Financial Officer
(416) 363-9491
www.globalchampions.com
