Covington Venture Fund Inc. Series VII Honours Investment Objective by June 1, 2016
This communication is to notify shareholders of Class A Shares, Series VII of Covington Venture Fund Inc., formerly Capital First Venture Fund Inc., (the “Fund”), that: (i) the Fund has met one of its objectives by being in a position to return investors’ capital in an amount equal to the subscription price paid for the Class A Shares of the Fund on or about the Capital Repayment Date; and (ii) the Fund has determined that the most efficient manner in which to effect the objective of returning the original subscription amount of your Class A Shares by the Capital Repayment Date of June 1, 2016 is through the Fund’s normal redemption process.
At the time of writing to you, the net asset value per share is $7.94. In order to honour the investment objective, the Manager will inject its own capital to increase the net asset value of the Class A Share to the original subscription price of $10 per Share.
If investors wish to receive $10 per share by way of a return of their capital on or about the Capital Repayment Date they may redeem that amount from their account beginning on June 1, 2016. Investors wishing to redeem the full amount of their investment will be entitled to do so. The Manager anticipates that it will be in a position to maintain this share price, until August 31, 2016 after such time, the net asset value of the Fund will continue to float freely without any additional capital support from the Manager.
In the event that an investor chooses not to redeem, or to redeem a portion of their investment, the Fund will continue to invest the remainder of their investment in accordance with its investment strategy.
This notice is being provided to you for informational purposes. You are not required to take any action due to the information described in this notice unless you wish to receive a return of your original investment amount on or about the Capital Repayment Date. If so, it is recommended that you contact your investment advisor.
Additional information on Covington and the Series may be obtained by contacting your financial advisor or visiting www.covingtonfunds.com, SEDAR at www.sedar.com, or Covington Client Services at 416.364.0759 or 1.888.746.4751.