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Picton Mahoney Asset Management to Acquire Five Vertex One Asset Management Inc. Funds

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TORONTO , Aug. 26, 2019 /CNW/ - Picton Mahoney Asset Management ("Picton Mahoney") and Vertex One Asset Management Inc. ("Vertex One") today announced that they have entered into a letter of intent under which Picton Mahoney will acquire the investment fund management contracts for the five hedge funds and alternative mutual funds listed below, with approximately $380 million in assets (collectively, the "Funds").

Hedge Funds

Alternative Mutual Funds

Vertex Arbitrage Fund

Vertex Liquid Alternative Fund

Vertex Arbitrage Fund Plus

Vertex Liquid Alternative Fund Plus

Vertex Bond Alpha Fund

 

The Funds will continue to be managed by Craig Chilton and Tom Savage , the current portfolio managers of the Funds, who will join Picton Mahoney upon the closing of the proposed transaction.  

"We are pleased to acquire some of Canada's leading risk arbitrage investment strategies to complement our broad line-up of alternative solutions," said David Picton , President, CEO & Portfolio Manager at Picton Mahoney. "We believe Canadian investors should have a full range of investment solutions that can help fortify their investment portfolio. The addition of these Vertex One Funds will offer more choice and access to solutions, consistent with our philosophy of helping investors meet their long-term goals with more certainty."

 "We look forward to joining the Picton Mahoney organization. This transaction represents an incredible opportunity for Canadian investors looking for investment solutions that focus on risk management," said Tom Savage , Portfolio Manager, Vertex One.

"The Vertex One Arbitrage Team and Picton Mahoney have both persevered through challenging and volatile market cycles and are experienced in using sophisticated alternative investment strategies to help deliver a smoother ride for investors," said Craig Chilton , Portfolio Manager, Vertex One.

The proposed transaction is expected to close during the last quarter of 2019, subject to the entering into of a definitive agreement, regulatory and unitholder approvals. Upon completion of the proposed transaction, Picton Mahoney will become the investment fund manager and portfolio manager of each Fund and all Funds will undergo a name change to continue under the Picton Mahoney branded-family of funds.

Unitholders of the Vertex One Funds will also be asked to approve certain other changes. Details about the changes will be contained in meeting materials to be mailed to unitholders of the Vertex One Funds. More information on the proposed acquisition can be found in the Vertex One news release  issued today and posted on www.sedar.com and www.pictonmahoney.com.

To learn more about Picton Mahoney's full suite of funds, visit www.pictonmahoney.com.

About Picton Mahoney

Picton Mahoney Asset Management specializes in differentiated investment solutions and rules-based volatility management.  Picton Mahoney helps its clients fortify their portfolios based on experience honed over the years through different market cycles and investing environments.

Founded in 2004 and 100% employee-owned, Picton Mahoney is a portfolio management boutique entrusted with over $7.4 billion (as at July 31, 2019) in assets under management.  Pioneers of Authentic Hedge® investment principles and practices in Canada, the firm offers a full suite of investment solutions, including mutual and alternative funds, to institutional and retail investors across the country.

Commissions, trailing commissions, management fees, performance fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated. Alternative funds can only be purchased through a registered dealer and are available only in those jurisdictions where they may be lawfully offered for sale.

Forward-Looking Statements and Past Performance Information

This release contains "forward-looking statements" which reflect the current expectations of Picton Mahoney Asset Management.  These statements reflect management's current beliefs with respect to future events and are based on information currently available to management. Forward-looking statements in this press release include, but are not limited to, statements with respect to the negotiation of the definitive agreements for the transaction, the terms of such definitive agreements, the addition of members of the Vertex One Arbitrage Team to Picton Mahoney, the closing of the transaction and the anticipated benefits from the transaction.  Forward-looking statements involve significant known and unknown risks, uncertainties and assumptions, including with respect to the negotiation of the definitive agreements, the closing of the transaction, the timing and receipt of all applicable regulatory approvals, unitholder approvals and third-party consents, the anticipated benefits from the transaction and the satisfaction of other conditions to the completion of the transaction.  Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements.  The closing of the transaction could be delayed if the necessary regulatory approvals, unitholder approvals and third-party consents are not obtained on the timelines planned or the transaction may not be completed at all if these approvals are not obtained or any other conditions to closing are not satisfied. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking statements contained in this release.  Although the forward-looking statements contained in this release are based upon what Picton Mahoney believes to be reasonable assumptions, management cannot assure investors that actual results, performance or achievements will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this release and Picton Mahoney does not assume any obligation to update or revise them to reflect new events or circumstances, except as required by law.

SOURCE Picton Mahoney Asset Management


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