Connor, Clark & Lunn Capital Class Inc., Natural Resources Class Shares and Connor, Clark & Lunn Capital Class Inc., Balanced Portfolio Class Shares, Series 1 Special Meeting Results

TORONTO, Dec. 20, 2012 /CNW/ - Connor, Clark & Lunn Capital Class Inc., Natural Resources Class Shares ("NR") and Connor, Clark & Lunn Capital Class Inc., Balanced Portfolio Class Shares, Series 1 ("BP") announced today that shareholders of BP have approved a proposal that will result in the merger of BP with Connor, Clark & Lunn Core Income and Growth Fund ("CIGF") (the "Merger Proposal") at a special meeting held today.  The Merger Proposal is also subject to the receipt of all necessary regulatory approvals and is expected to be implemented on or about January 8, 2013 (the "Effective Date").  A quorum of shareholders for NR was not obtained and an adjourned meeting will be held at 9:00 a.m. (Toronto time) on December 21, 2012 at 1 First Canadian Place, Suite 6300, 100 King Street West, Toronto, Ontario.

CIGF will be the continuing fund and, as a result, shareholders of NR and BP would become holders of CIGF Series A Units. The objectives of the Merger Proposal are to: (i) lower the administrative costs by establishing a larger fund; (ii) lower the management fees borne by NR and BP shareholders; and (iii) benefit from gaining access to a broader asset pool and more balanced income producing investment portfolio.

The investment objectives of CIGF, as the continuing fund, are to provide unitholders with (i) an attractive yield through receipt of monthly distributions initially targeted to yield approximately 6% of net asset value per annum; (ii) downside protection through diversification across multiple asset classes and a conservative approach to security selection; and (iii) growth that outpaces inflation by investing in securities that provide both a high yield and capital appreciation potential. The investment strategy of CIGF is to invest in an actively managed diversified portfolio of high income investments across a broad range of income-oriented securities, which may include equities, income trusts, limited partnerships, real estate investment trusts, corporate bonds, convertible bonds, preferred shares, other income funds and other investments.

Details of the Merger Proposal are outlined in a joint information circular (the "Circular") that has been sent to shareholders of NR and BP in connection with the special meetings. Copies of the Circular are available on www.sedar.com and www.cclcapitalmarkets.com.

SOURCE: Connor, Clark & Lunn

For more information, please visit www.cclcapitalmarkets.com or contact:

Neil Murdoch
President & CEO
Connor, Clark & Lunn Capital Markets Inc.
[phone]
[email protected] 

Darren Cabral
Vice President & CFO
Connor, Clark & Lunn Capital Markets Inc.
[phone] or 1 [phone]
[email protected]