10th Feb 2015 08:26
LONDON (Alliance News) - Fair Oaks Income Fund Ltd Tuesday said it is issuing new shares at a price of USD0.9932 per share via its placing programme, which it said is in light of its current pipeline of investment opportunities and a new investor commitment received for at least USD21 million.
The fund's shares were untraded Tuesday, but last traded at USD1.06 per share.
In a statement, the closed-ended investment company said the the issue price represents a premium of approximately 2.5% to its net asset value at the end of January.
"The board and Fair Oaks believe that the issue of new shares is in the interests of shareholders as a whole as it will further enlarge the company and diversify the master fund's portfolio. It is expected the proceeds of the issue can be invested on a basis consistent with the company's dividend policy and target return," it said.
Fair Oaks said the issue is expected to close at 12pm on February 13. The issue is being led by he company's broker, Numis.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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