SEARCH NEWS
MARKETS: Middlefield to launch uranium energy fund on TSX
        (AlbertaIndex, April 24) --- Fund manager Middlefield Group said it has filed a preliminary prospectus in connection with an offering of rights to its unitholders to subscribe for its Uranium Focused Energy Fund.

        Middlefield said one right will entitle the holder to purchase one fund unit at a price of C$9.90. The subscription price represents a 2.5% discount to the market price of $10.15 on April 19, 2007. The fund is valued weekly every Thursday and on April 19, 2007 the Net Asset Value was $9.68.

       

Holders who fully exercise their rights are entitled to subscribe pro rata for additional units, if available, that were not subscribed for initially, on or before the expiry date.
        The company said the unit’s record date and rights expiration date have not yet been determined.
        The fund will make another announcement subsequent to the filing of the final prospectus. The rights offering is subject to receipt of all regulatory approvals, including the approval of the Toronto Stock Exchange (TSX). The net proceeds of the offering will be invested by the fund in accordance with its investment objectives.
        Uranium Focused Energy Fund is a TSX-listed fund focused on the securities of issuers that operate in or have exposure to the uranium sector, supplemented with securities of other energy related issuers. The bulk of its funds, around 78%, will be in invested in uranium companies, 5% in uranium related companies, 12% in other energy companies and 5% in cash.
        The fund has been designed to capitalize on the view of the advisor, Middlefield Capital Corporation, that the uranium sector will continue to provide attractive opportunities for investment over the next several years. The strong fundamentals underlying the uranium business include rising demand for nuclear power on the back of concerns over carbon emissions from coal-based power generation as well as the high cost of alternative fuels like natural gas.
        Global Fuel Solutions, an independent uranium industry consultant based in Los Altos, California, has been engaged to provide Middlefield with analysis and opinion regarding uranium market supply-demand fundamentals and associated pricing implications.
        Clark M. Beyer, Global Fuel’s principal, has over 20 years experience in trading, marketing and consulting in the international markets for uranium and nuclear fuel. His experience and expertise includes analysis of uranium market supply, demand and price trends; uranium production investment opportunities; fuel market forecasts and studies; sales and/or purchasing strategies; contract portfolio optimization; development of international sales and marketing channels; and import/export and regulatory support.
        The new fund trades on the Toronto Stock Exchange under the symbol UF.UN. Its key holdings include Cameco Corp, Paladin Resources Ltd, Denison Mines Corp, UrAsia Energy Ltd, Uranium Particpation Corp, BHP Billiton Limited, Energy Metals Corp, First Uranium Corp, UEX Corp, Areva, Rio Tinto PLC, SXR Uranium One Inc, Energy Resources of Australia Ltd, Ur-Energy Inc and Major Drilling Group International.



Did you enjoy this article? Please share it!
Reddit!Del.icio.us!Google!Netscape!StumbleUpon!Newsvine!Furl!Yahoo!