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Horizons ETFs Announces Unitholder Approval of Proposed Corporate Class Reorganization for BetaPro Gold Bullion -2x Daily Bear ETF

13/11/19 - 12:00 am

TORONTO – November 13, 2019 – Horizons ETFs Management (Canada) Inc. (“Horizons ETFs”) announced today that at a special meeting of the unitholders of the BetaPro Gold Bullion -2x Daily Bear ETF (“HBD”) held on November 13, 2019, unitholders approved all matters relating to the merger of HBD, currently structured as a trust, into a corresponding class of shares of a new multi-class corporate fund structure to be managed by Horizons ETFs, as further described in the Management Information Circular dated October 4, 2019, previously mailed to unitholders.

HBD was the final ETF to receive approval from unitholders for reorganization into the multiclass corporate fund structure. On November 12, 2019, Horizons ETFs announced that it had received unitholder approval on the Mergers (the “Mergers”) of 43 other ETFs (the “ETFs”) that were proposed for reorganization, as set out in Horizons ETFs’ press release dated August 23, 2019.

The necessary regulatory and Independent Review Committee approvals have also been received.

Accordingly, Horizons ETFs expects to proceed with HBD’s merger on November 27, 2019. The other ETFs are also expected to proceed with their Mergers on November 27 and November 29, as previously indicated. HBD will continue to trade as normal up until its merger, and will continue trading on the trading day following the Merger under the same ticker.

It is important to note that HBD is not expected to carry forward any tax liability into the proposed multi-class corporate fund structure, and no historical or retroactive taxable implications to unitholders of HBD are expected.

The reorganization is not expected to be a taxable event for unitholders of HBD provided that, in the case of Canadian resident unitholders who hold units of HBD in taxable accounts, such unitholders make a joint election with the proposed multi-class corporate fund structure under Section 85 of the Income Tax Act (Canada) as part of the exchange from their existing trust units into shares of a class of the new corporate fund structure. Horizons ETFs is establishing a process to provide assistance to unitholders in taking the necessary steps to file the joint election, which will be free of charge. Additional information can be found here: https://horizonsetfs.com/section-85-election

About Horizons ETFs Management (Canada) Inc. (www.HorizonsETFs.com)
Horizons ETFs Management (Canada) Inc. is an innovative financial services company and offers one of the largest suites of exchange traded funds in Canada. The Horizons ETFs product family includes a broadly diversified range of solutions for investors of all experience levels to meet their investment objectives in a variety of market conditions. Horizons ETFs has approximately $10 billion of assets under management and 91 ETFs listed on major Canadian stock exchanges.

For investor inquiries:
Contact Horizons ETFs at 1-866-641-5739 (toll-free) or (416) 933-5745
[email protected]

For media inquiries:
Contact Jonathan McGuire
External Communications Manager
Horizons ETFs Management (Canada) Inc.
(416) 640-2956
[email protected]

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