Matco Canadian Equity Class, Matco Global Equity Class and Matco Small Cap Class to Complete Reorganization to Convert to Mutual Fund Trusts

CALGARY, May 22, 2019 /CNW/ - Matco Funds Corp. is pleased to announce its intention to complete a reorganization transaction (the "Transaction") whereby the securityholders of the Matco Canadian Equity Class, Matco Global Equity Class and Matco Small Cap Class (the "Corporate Funds") will become securityholders of three newly created mutual funds, structured as mutual fund trusts, being the Matco Canadian Equity Fund, Matco Global Equity Fund and Matco Small Cap Fund (the "Trust Funds").  The Transaction is expected to take place on or before December 31, 2019 (the "Effective Date") in accordance with the following steps.  On or prior to the Effective Date, the Corporate Funds will sell their portfolio of securities to the equivalent Trust Fund for units of the applicable Trust Fund.  On the Effective Date, the units of the Trust Funds received from the sale of the portfolio of the Corporate Funds will be transferred to the former holders of the Corporate Funds in consideration for the redemption of the shares in the Corporate Funds previously held by them.  As a result of the Transaction, each of the former holders of the Corporate Funds will become unitholders of the equivalent Trust Fund holding units with an equivalent net asset value to the shares of the Corporate Funds previously held by them. The Trust Funds will have an equivalent fundamental investment objective, valuation procedure and fee structure as their equivalent Corporate Fund. The Corporate Funds will be wound up and discontinued as soon as reasonably possible following completion of the Transaction.  Holders of shares of the Corporate Funds will continue to have the right to redeem securities of the Corporate Funds up to the close of business on the business day immediately before the Effective Date.

Completion of the Transaction is subject to receipt of all applicable approvals, including approval of all of the shareholders holding shares in the Corporate Funds. A special meeting of such shareholders will be held on June 20, 2019, commencing at 10:00 a.m. (Calgary Time) at the offices of Bennett Jones LLP, 4500 Bankers Hall East, 855 – 2^nd Street, S.W., Calgary, Alberta, T2P 4K7. Details of the proposed Transaction are contained in an Information Circular and related meeting materials which will be mailed to the shareholders of the Corporate Funds. The record date for the meeting is May 17, 2019. Shareholders of the Corporate Funds are encouraged to complete and return their proxy forms in order that their shares can be voted at the meeting. The board of directors of Matco Funds Corp. and its manager, Matco Financial Inc. have each determined that the Transaction is in the best interests of Corporate Funds and therefore, recommend that shareholders holding shares in the Corporate Funds vote in favor of the Transaction at the meeting.

Certain statements in this press release may be viewed as forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, intentions, projections, objectives, assumptions, or future events or performance (often, but not always, using words such as "expects", "is expected" or "intends" (or negative or grammatical variations thereof), or stating that certain actions, events or results "may" or "will" be taken, occur or be achieved) are not statements of historical fact and may be forward-looking statements. Statements which may constitute forward-looking statements relate to: the proposed timing of the Transaction and the expected completion thereof; the expected benefits of the Transaction and the wind up of the Corporate Funds thereafter. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements including as a result of changes in the general economic and political environment, changes in applicable legislation and the performance of the Corporate Funds and Trust Funds. There are no assurances the funds can fulfill such forward-looking statements and the funds do not undertake any obligation to update such statements. Such forward-looking statements are only predictions; actual events or results may differ materially as a result of risks facing one more of the funds, some which are beyond the control of the funds.

SOURCE Matco Financial Inc.