U.S. Dividend Growers Income Corp. files preliminary prospectus

  A diversified portfolio of U.S. Issuers that have a demonstrated history of strong dividend growth and are underrepresented in Canada

CALGARY, Jan. 30, 2015  /CNW/ - Middlefield Group, on behalf of U.S. Dividend Growers Income Corp. (the "Fund"), is pleased to announce that it has filed a preliminary prospectus in relation to an initial public offering of shares at a price of $10.00 per share.

The Fund's investment objectives are to provide holders of shares with:

(i) stable monthly cash distributions and to grow distributions over time, and

(ii) enhanced long-term total return through capital appreciation of the Fund's investment portfolio;

through an investment strategy which focuses on investing in securities of issuers that have exhibited strong dividend growth and that are organized in the United States or that derive a significant portion of their revenue or earnings from the United States.

The initial target distribution yield for the Fund is 5.0% per annum based on the original subscription price (or $0.04167 per share per month or $0.50 per share per annum).

Middlefield Capital Corporation, the advisor, will provide investment management advice to the Fund. Sector & Sovereign Research, LLC, an investment research boutique based in Stamford, Connecticut, will act as an industry advisor to the advisor and in such capacity will provide the advisor with ongoing analysis regarding the healthcare and technology sectors.

Middlefield Limited, the manager, intends that on or about April 17, 2017, the Fund will, subject to applicable law, merge on a tax-deferred basis with Middlefield U.S. Dividend Growth Class, an open-end mutual fund.

Prospective purchasers investing in U.S. Dividend Growers Income Corp. will have the option of paying for shares in cash or by exchanging securities of issuers listed in the preliminary prospectus. Prospective purchasers under the exchange option are required to deposit their exchange eligible securities prior to 5:00 p.m. (Toronto time) on February 19, 2015 in the manner described in the preliminary prospectus.

The syndicate of agents is being co-led by CIBC, RBC Capital Markets and Scotiabank and includes BMO Nesbitt Burns Inc., TD Securities Inc., GMP Securities L.P., National Bank Financial Inc., Canaccord Genuity Corp., Raymond James Ltd., Dundee Securities Ltd., Mackie Research Capital Corporation, Manulife Securities Incorporated and Middlefield Capital Corporation.

A preliminary prospectus containing important information relating to these securities has been filed with securities commissions or similar authorities in each of the provinces of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from any of the agents named above using the contact information for such agent. There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.

SOURCE U.S. Dividend Growers Income Corp.

please visit our website at www.middlefield.com or contact Nancy Tham, Managing Director, Sales and Marketing, at 416.847.5349 or 1.888.890.1868.