OVERVIEW
CORE HOLDINGS
NEW Commerce Split Corp. is a corporation investing in common shares of Canadian Imperial Bank of Commerce. The corporation offers three types of shares, a Capital share (YCM), a Class I Preferred (YCM.PR.A) and a Class II Preferred (YCM.PR.B).
Canadian Imperial Bank of Commerce
OBJECTIVES
SHARE HIGHLIGHTS
Class I Preferred Share (YCM.PR.A)
(i) to provide holders of the Class I Preferred Shares with fixed cumulative preferential monthly cash dividends in the amount of $0.025 per Class I Preferred Share to yield 6.00% per annum on the Class I Preferred Share Repayment Amount; and
(ii) on or about the December 1, 2029 termination date (subject to further 5 year extensions thereafter), to pay the holders of the Class I Preferred Shares $5.00 per Class I Preferred Share.
Class II Preferred Share (YCM.PR.B)
(i) to provide holders of the Class II Preferred Shares with fixed cumulative preferential monthly cash dividends in the amount of $0.03125 per Class II Preferred Share to yield 7.50% per annum on the Class II Preferred Share Repayment Amount of $5.00, if and when the net asset value per Unit exceeds $10.00; and
(ii) on or about the December 1, 2029 termination date (subject to further 5 year extensions thereafter), to pay the holders of the Class II Preferred Shares $5.00 per Class II Preferred Share
Capital Share (YCM)
(i) to provide holders of Capital Shares with dividends in an amount to be set by the Board of Directors of the Company at its discretion, based on market conditions, if and when the net asset value per Unit exceeds $15.00; and
(ii) to permit holders of Capital Shares to participate in all growth in the net asset value of the Company above $10.00 per Unit
Class I Preferred Share (YCM.PR.A)
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Fixed, cumulative monthly distributions*
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Potential for higher monthly distributions with any 5 year extension
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Quality investment in a leading Global Financial Institution
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Attractive alternative to other income vehicles
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Tax efficient distributions
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Strong downside protection and asset coverage
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Non-Callable before termination
Class II Preferred Share (YCM.PR.B)
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Monthly distributions* if and when NAV exceeds $10 per unit (effective June 2014)
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Potential for higher monthly distributions with any 5 year extension
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Quality investment in a leading Global Financial Institution
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Attractive alternative to other income vehicles
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Tax efficient distributions
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Non-Callable before termination
Capital Share (YCM)
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Monthly distributions* if and when NAV exceeds $15.00 per unit
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Quality investment in a leading Global Financial Institution
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Capital appreciation potential
*For the purposes of the Income Tax Act (Canada) and any similar provincial legislation, the Company designates any and all dividends paid on its Class A and Preferred shares as “eligible dividends” unless the Company indicates otherwise.
TOP HOLDINGS
VALUATION
Common Shares:
The Canadian Imperial Bank of Commerce
April 15, 2024
NAV Pre-Distribution: $11.99
Distribution: $0.00
NAV Net of Distribution: $11.99
NAV + Total Distributions Paid to Date: $20.51