TORONTO, Aug. 02, 2017 (GLOBE NEWSWIRE) -- Following a special meeting of unitholders on July 5, 2017, SPR & Co LP, the new operating company created to assume portfolio management of the Canadian diversified assets of Sprott Asset Management LP, and manager of Sprott Private Credit Trust (“SPCT”), is merging the assets of the SPCT into Sprott Private Credit Trust II (“SPCT II”) and renaming the fund Sprott-TEC Private Credit Fund.
As a result of the merger, unitholders of SPCT will now be unitholders of Sprott-TEC Private Credit Fund (“STPC”), formerly SPCT II. The merger is effective as of the July 31, 2017 valuation date.
Third Eye Capital Management Inc. (“TECM”) will continue to act as sub-advisor to STPC to execute on its expertise in the senior secured lending space. TECM has acted as sub-advisor of SPCT since inception, and is the manager of an underlying fund in which SPCT II currently invests.
The merger of SPCT and SPCT II ensures that the net taxable position of unitholders aligns with the net economic benefit generated by holding units of the Trust. “This arrangement will simplify the ownership structure for the relevant assets and, at the same time, streamline annual fixed costs for unitholders,” said SPR & Co Senior Portfolio Manager and Managing Partner John Wilson. “It will also provide more streamlined tax reporting and other potential efficiencies.”
“We are very proud of what the Sprott Private Credit strategy has accomplished for our unitholders. Both SPCT and SPCT II delivered consistent positive monthly results, with 11.06% and 8.68% respective annual net returns to investors1”, said SPR & Co Managing Partner James Fox. “We look forward to continuing to offer Canadian investors best-in-class alternative income solutions to address the low-yield challenges they’re facing.”
STPC will re-open after the merger is completed. New subscription orders can be entered as of August 1, 2017. If you have questions, please email invest@sprlp.com or phone 1-866-299-9906. For media inquiries, contact Corey Goldman, CEO of Goldman Communications at 416-322-2863 or corey@goldman-communications.com.
About SPR & Co LP
SPR & Co LP is an expert active manager of specialty investment solutions, committed to helping investors explore innovative ways to manage portfolio risk, and advisors to differentiate their businesses with unique investment solutions.
Based in Toronto, SPR & Co is an operating company that has been created to assume portfolio management of the Canadian diversified assets of Sprott Asset Management LP, including actively managed hedge and mutual funds. The new firm oversees approximately $3 billion in assets under management.
In the coming months, the company plans to launch a new brand for SPR & Co LP.
Please visit www.sprlp.com to learn more.
DISCLAIMER
The Fund is generally exposed to the following risks. See the offering memorandum of the Fund for a description of these risks: speculative investment; general investment risk; limited operating history; class risk; changes in investment strategy; limited ability to liquidate investment; capital depletion risk; redemptions; number of units redeemed may vary; unitholders not entitled to participate in management; reliance on the manager; dependence of the manager on key personnel; reliance on the Sub-Advisor; dependence of Sub-Advisor on key personnel; taxation of the fund; no ownership interest in the portfolio; distributions; potential indemnification obligations; liability of unitholders; lack of independent experts representing unitholders; no involvement of unaffiliated selling agent; not a public mutual fund; charges to the fund; general economic and market conditions; credit risk and default in repayment obligations by borrowers; liquidity of underlying investments; fixed income securities; equity securities; decline in the industries in which the fund invests; inability to realize on or dispose of security granted by borrowers on a defaulted loan; currency risk; foreign investment risk; options; short sales; market call; leverage; concentration; liquidity; hedging; indebtedness; suspension of trading.
The Sprott-TEC Private Credit Fund is offered on a private placement basis pursuant to an offering memorandum and is only available to investors who meet certain eligibility or minimum purchase amount requirements under applicable securities legislation. The offering memorandum contains important information about the Fund including its investment objective and strategies, purchase options, applicable management fees, performance fees, other charges and expenses, and should be read carefully before investing. Performance data represents past performance of the Fund and is not indicative of future performance. Data based on performance history of less than five years may not give prospective investors enough information to base investment decision on. Please contact your own personal advisor on your particular circumstances. This communication does not constitute an offer to sell or solicitation to purchase securities of the Fund. The information contained herein does not constitute an offer or solicitation by anyone in the United States or in any other jurisdiction in which such an offer or solicitation is not authorized or to any person to whom it is unlawful to make such an offer or solicitation. Prospective investors who are not resident in Canada should contact their financial advisor to determine whether securities of the Fund may be lawfully sold in their jurisdiction.
1 Class F returns since the funds’ inception in January 3, 2012 and June 30, 2016 for SPCT and SPCT II, respectively.