Covington Strategic Capital Fund Inc. Series I and Series II Announce That Class A Shares Will No Longer Be Offered For Subscription
Covington Capital Corporation and the Board of Directors for Covington Strategic Capital Fund Inc. (the “Fund”) today announced that effective December 19, 2011 the Funds will no longer offer Class A shares for sale to either new or existing investors.
Given the changes in Canada’s retail venture capital industry and the stage of the Fund’s portfolio, the Fund’s Board of Directors believe that now is the right time to close to new investments – allowing the Fund’s investment portfolio to further mature as well as focus on facilitating appropriate exit opportunities. The Fund will remain open to redemptions. The closure of the Fund to purchases is reflective of the finite life of venture funds whereby mature funds shift their focus from making new investments and building their venture portfolios to managing existing investments to maturity while seeking exit opportunities to provide a return of capital to investors.
About Covington Capital Corporation
Founded in 1995, Covington Capital Corporation (www.covingtonfunds.com) is one of Canada’s largest and most experienced venture capital fund providers. Managing approximately $400 million in venture capital assets on behalf of institutional and retail investors, Covington invests in small-and-medium businesses throughout many industry sectors. Covington Capital Corporation is headquartered in Toronto, Ontario.
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