European Opportunities trust outlines plans for 25% tender offer
The tender offer will be paid in cash and will be equal to a 2% discount to net asset value based on the calculation date.
The move was first announced last month ahead of the trust's continuation vote, which was passed on 15 November with some shareholder opposition.
The tender offer will be paid in cash and will be equal to a 2% discount to net asset value based on the calculation date, EOT said in a stock exchange notice today (5 December).
Registration for the offer will begin on 29 January 2024, with completion expected to take place on 31 January 2024.
European Opportunities passes continuation vote in face of shareholder opposition
The plans will be subject to shareholder approval, with investors having the opportunity to vote on the measure at the upcoming general meeting on 21 December.
EOT said the maximum number of shares to be acquired under the tender offer will be 24,074,080, representing 25% of shares in issues, excluding those held in treasury.
Singer Capital Markets has been appointed to manage the tender offer, with the company being responsible for purchasing the shares that have been validly tendered. After the purchase, all shares that have been bought back will be cancelled, EOT said.
European Opportunities trust rejects shareholder call for 50% tender offer
The plans follow opposition from activist investor Saba Capital, who called for the offer to be increased to 50% after EOT unveiled its tender offer plans. The trust rejected Saba's call and stuck with its 25% offer.
EOT also reiterated its intention to undertake an additional performance-related tender offer at the annual general meeting in 2026, conditional to the trust's NAV not equating or exceeding its benchmark total return — the MSCI
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