Symphony Floating Rate Fund Extends Its Normal Course Bid
Symphony Floating Rate Senior Loan Fund Updates Issuer Bid
The Symphony Floating Rate Senior Loan Fund (the “Fund”), listed on the TSX under the ticker (TSX: SSF.UN), has announced the renewal of its normal course issuer bid. This move allows the Fund to acquire up to 599,520 class A units, representing about 10% of the public float of 5,995,213 Units. This strategic decision reflects the Fund's commitment to managing its portfolio effectively and maximizing shareholder returns.
Purchase Availability and Strategy
Under this updated issuer bid, the Fund may purchase up to 121,737 Units within any given 30-day period, which accounts for 2% of the 6,086,899 Units that were outstanding as of November 13. This approach aims to create value for unitholders by potentially enhancing the Fund's overall performance during favorable market conditions.
Current Buyback Progress
As of mid-November, the Fund had already completed the purchase of 306,100 Units from its current bid of 682,800 Units. These units have been acquired at an average cost of $6.91 each. This proactive purchasing strategy showcases the manager's confidence in the value and prospects of the Fund’s investments.
Timeline for Unit Purchases
The renewed issuer bid allows for unit purchases starting from November 25 and extending all the way to November 24 of the following year. These transactions will occur through the Toronto Stock Exchange or other alternative trading systems in Canada. The units will only be bought back at or below the latest published net asset value per unit, ensuring that the Fund upholds its fiduciary responsibility to its investors.
Manager's Insights on Fund Purchases
The management team firmly believes that these buyback activities are a beneficial use of the Fund's available resources. They argue that engaging in these strategic repurchases aligns with the best interests of the Fund and its stakeholders, potentially leading to an increase in unit value over the long term.
About Brompton Funds
Brompton Funds, established in 2000, is recognized as a respected manager of investment funds, providing solutions focused on both income and growth. Their offerings comprise TSX-listed closed-end funds and exchange-traded funds that cater to a wide array of investors. Anyone interested in their funds is encouraged to reach out to their investor relations department or consult an investment advisor for personalized guidance.
Contact Information
For additional inquiries or detailed information regarding their funds, Brompton Funds can be contacted at their investor relations line: 416-642-6000, or toll-free at 1-866-642-6001. Alternatively, investors can reach them via email at info@bromptongroup.com.
Frequently Asked Questions
What is the purpose of the normal course issuer bid?
The normal course issuer bid allows the Fund to repurchase its own units to enhance shareholder value and improve the overall market liquidity of its units.
How many units can the Fund buy under this new bid?
The Fund is authorized to purchase up to 599,520 class A units, which represents about 10% of the public float.
When will the unit purchases take place?
The purchase period extends from November 25 of this year to November 24 of the following year.
What price will the Fund pay for these units?
The Fund will only purchase units at prices that do not exceed the last published net asset value per unit.
Who manages Brompton Funds?
Brompton Funds, established in 2000, is recognized for its focused investment management expertise in income and growth solutions.
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