PrefBlog

Scotia Managed Companies, the sponsor of BNS Split Corp. II has announced:

the completion of its warrant offering.

The gross proceeds from the exercise of the warrants totaled $63.0 million, representing 100% of the maximum available subscription amount.

The net proceeds from the exercise of the warrants will be invested in accordance with the investment objectives of the Company.

BNS Split Corp. II is a mutual fund corporation created to hold a portfolio of common shares of The Bank of Nova Scotia. The Capital Shares and Preferred Shares of BNS Split Corp. II are listed for trading on The Toronto Stock Exchange under the symbols BSC and BSC.PR.B, respectively.

This doubles the size of the issue, meaning that there are now about 2.6-million shares outstanding with a par value of 18.85. This is sufficient to provide meaningful liquidity – not great, but meaningful – and the issue has been added to HIMIPref™ effective on the date of original issue, 2010-9-22. Purists will object to the backdating on the grounds that this increases selection bias in the HIMIPref™ universe; purists are invited to go take a running jump.

Issue information has been taken from the prospectus of the original issue.

BSC.PR.B was last mentioned on PrefBlog when I reported the imminent expiration of the warrants. BSC.PR.B is currently included in the Scraps index.

This entry was posted on Friday, July 8th, 2011 at 6:23 pm and is filed under Issue Comments. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.