RiverNorth/DoubleLine Fund Unveils Non-Transferable Rights Offering
RiverNorth/DoubleLine Strategic Opportunity Fund, Inc. (NYSE: OPP) has announced an exciting new offering for its stockholders. The Board of Directors authorized the issuance of non-transferable rights for shareholders to purchase additional shares of common stock and newly issued 6.00%, 3-Year Term, Series C Preferred Stock.
Details of the Offering
The full details of this rights offering will be outlined in the prospectus supplement, dated recently. This prospectus will provide essential information and can be accessed for review on the Securities and Exchange Commission’s Edgar website.
Participation Eligibility and Key Date
It’s important to note that record date shareholders will be eligible to participate. The key date for shareholders to be considered in this offering will be announced shortly. Participation offers unique benefits, allowing investors to increase their holdings significantly.
Understanding the Subscription Rights
The rights will be issued to stockholders of record, granting them the opportunity to subscribe for new shares of common stock and Series C Preferred Stock. Holders of rights will receive one right for every share held as of the record date. For every six rights owned, a holder can purchase two new shares of common stock along with one new share of Series C Preferred Stock.
Facilitating Additional Purchases
Those who fully exercise their rights will also have the chance to subscribe for additional shares of common stock and Series C Preferred Stock through an over-subscription process. The allocation will be based on the initial number of rights issued to each stockholder, creating an equitable system for all participants.
Subscription Pricing and Process
The subscription price for common stock will be calculated using a specific formula that considers either the reported net asset value or the market price, ensuring fairness in pricing. The price for Series C Preferred Stock will be set at $10 per share. The subscription period will close on a specified date, making it crucial for shareholders to remain alert and prepared during the process.
Registration and Compliance
This rights offering will comply with regulatory requirements, built upon the Fund’s existing shelf registration statement. While the current shelf registration will expire during the rights offering, a replacement registration will ensure continuous compliance throughout the offering period.
Investment Considerations and Risks
Investing in any company’s security carries inherent risks. Potential investors are urged to review the offering details carefully while considering their individual risk tolerance and investment strategy. Conducting diligent research and consulting financial professionals can lead to more informed decisions.
Fund Background and Objectives
RiverNorth/DoubleLine Strategic Opportunity Fund is dedicated to achieving current income and overall total return for investors. As of recent assessments, the Fund is managing significant assets, demonstrating a strong commitment to providing value for its stakeholders.
Frequently Asked Questions
What is the purpose of the rights offering by RiverNorth?
The rights offering allows stockholders to purchase additional shares and enhance their investment in the Fund.
How many rights will I receive for my shares?
Stockholders will receive one right per share held, allowing them to purchase new shares based on the rights they hold.
What risks are associated with investing in right offerings?
Investing in rights offerings involves risks including market volatility and the potential of losing part or all of the investment.
When will the subscription period close?
The subscription will close on a defined date, and shareholders are encouraged to participate before this deadline.
How can I get more information about the offering?
Investors can review the prospectus supplement or contact their financial professionals for detailed insights into the offering.
