Update on Termination of the Marquest Mutual Funds Inc. – Flex Dividend and Income Growth™ Series Fund
Toronto, Ontario, May 1, 2023 – Further to the Press Release and Material Change Report on April 6, 2023, Marquest Asset Management Inc. (the ”Manager”), the Manager of Marquest Mutual Funds Inc. (the “Corporation”), advises you of the termination (the “Termination”) of Marquest Mutual Funds Inc. – Flex Dividend and Income Growth™ Series Fund (the “Fund”) effective on June 26, 2023.
In connection with the Termination, the Fund has issued a Stock Dividend on May 1, 2023 to the shareholders of record of the Fund on April 24, 2023. On May 9, 2023, the Fund will issue Contingent Value Right (“CVR”) to the shareholders of record of the Fund on May 2, 2023 (“Record Date”) to confirm the shareholders’ entitlement to a proportionate share of a refund of Refundable Dividend Tax on Hand (“RDTOH”) receivable by the Fund.
All remaining outstanding shares of the Fund that have not initiated a switch from the Fund to another class of mutual fund shares of Marquest Mutual Funds Inc., as described in the offering documents of the Fund, up to and including June 26, 2023, will be cancelled (redeemed) at the NAV per share on June 26, 2023; and any such shareholder will be paid proceeds of redemption as of June 28, 2023 which will be delivered in the same manner as a shareholder initiating a redemption (the “Distribution”).
The Corporation will confirm the expected amount and timing of the payment to shareholders of the Fund in respect of their proportionate share of the RDTOH refund received by the Corporation in due course.
Any redemption of shares, the receipt of the stock dividend and/or the disposition of shares upon wind-up of the Fund will have tax consequences to a shareholder. We encourage all shareholders to consult with their financial advisors to understand the financial and tax implications associated with redeeming or switching their shares and the termination of the Fund, and to discuss their investment options.
If you have any questions regarding the termination of the Fund, please do not hesitate to contact us by email at clientservices@marquest.ca.
Sincerely,
Marquest Asset Management Inc., as Manager on behalf of the Fund
Notice on forward-looking statements:
This Press Release includes forward-looking statements regarding the Corporation and the Fund. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “is expected”, “expects”, “scheduled”, “intends”, “contemplates”, “anticipates”, “believes”, “proposes” or variations (including negative variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such statements are based on the current expectations of the Manager, and are based on assumptions and subject to risks and uncertainties. Although the Manager believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting the Fund. Although the Manager has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward- looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Forward-looking statements speak only as of the date on which they are made and, except as required by applicable securities laws, the Manager undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.