Ensis Back in Game If Merger Plan Ok'd

Summary


Details of a proposal that would see the ENSIS fund amalgamated into the larger GrowthWorks Canadian Fund might start hitting the ENSIS board members' desks in the coming weeks.

The ENSIS board -- the only component of the ENSIS fund that remains independent of GrowthWorks -- will try to have its own due diligence completed before the ENSIS annual general meeting at the end of April, when it would make a recommendation to shareholders, who then have a chance to vote on the deal.

The merger seems like a reasonable proposition. Benefits to ENSIS shareholders that are being touted include a lowered management expense ratio, improved liquidity by virtue of the larger size of the GrowthWorks fund (net assets of just less than $400 million for GrowthWorks, compared to about $100 million at ENSIS), a more diversified portfolio across a diversified geographic base, and a larger and more cost-effective marketing base from which to raise new money.

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Extract


Ensis Back in Game If Merger Plan Ok'd

Martin Cash

ON a particularly cold evening last week, shareholders of the ENSIS Growth Fund were invited to a trade show to learn first-hand about the 29 companies in which the fund holds stakes.

It is an impressive group of l...

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