Delaware Enhanced Global Dividend and Income Fund announces expiration of its takeover bid
PHILADELPHIA, June 30, 2021– (COMMERCIAL THREAD) – Delaware Enhanced Global Dividend and Income Fund (NYSE: DEX) (the “Fund”), a closed-end investment company, today announced the preliminary results of its takeover bid to purchase at having up to 594,367 of its common shares common shares (“Common Shares”), representing up to five percent of its issued and outstanding common shares, without par value. The offer expired at 11:59 p.m. New York time on Tuesday, June 29, 2021. Based on current information, approximately 31.24% of the common shares, or approximately 3,713,508 of the common shares of the Fund outstanding, have been filed until the expiration date. This total does not include actions made under Notice of Guaranteed Delivery. Since the number of shares exceeded 594,367 shares, the relative number of common shares that will be purchased from each shareholder will be prorated based on the number of common shares duly deposited. The final number of ordinary shares validly deposited and accepted under the public tender offer will be announced at a later date. The Fund expects to make cash payments for the common shares deposited and accepted at a price equal to 98% of the net asset value (NAV) of the Fund at the close of regular trading on the New York Stock Exchange on Wednesday, June 30, 2021. The Payment for common shares deposited and accepted should be sent to depositing shareholders within approximately ten business days after the expiration date.
The primary investment objective of the Fund is to seek current income, with a secondary objective of capital appreciation. The Fund invests globally in dividend paying or income generating securities in a number of asset classes including, but not limited to: equity securities of large, established companies; securities issued by real estate companies (including real estate investment trusts and operating companies in the real estate industry); debt securities (such as government bonds; high yield and high yield corporate bonds; and convertible bonds); and emerging market securities. The Fund also uses enhanced income strategies by engaging in dividend capture transactions; overwriting options; and the realization of gains on the sale of securities, dividend growth and forward currency contracts. There can be no assurance that the Fund will achieve its investment objectives.
Under normal market conditions, the Fund will invest: (1) not more than 60% of its net assets in securities of US issuers; (2) at least 40% of its net assets in securities of non-US issuers, unless market conditions are not considered favorable by the Manager, in which case the Fund would invest at least 30% of its net assets in securities of non-US issuers; and 3) up to 25% of its net assets in securities issued by real estate companies (including real estate investment funds and operating companies in the real estate industry). In addition, the Fund uses leverage techniques in an attempt to obtain a higher return for the Fund.
The Fund has implemented a managed distribution policy. Under the policy, the Fund is managed with the objective of generating the greatest possible distribution from net investment income and short-term capital gains. The balance of the distribution will then come from long-term capital gains to the extent permitted and, if applicable, from a return of capital. A return of capital may occur, for example, when some or all of the money you have invested in the Fund is returned to you. A return of capital distribution does not necessarily reflect the investment performance of the Fund and should not be confused with “return” or “income”. Although the Fund may realize capital gains for the current year, these gains may be offset, in whole or in part, by capital loss carryforwards of the Fund from previous years.
Under the Fund’s managed distribution policy, the Fund pays monthly distributions to common shareholders at a target annual distribution rate of 6.5% of the average net asset value per share of the Fund. The Fund will calculate the average net asset value per share for the three full months immediately preceding the distribution based on the number of business days in those three months in which the net asset value is calculated. The distribution will be calculated at 6.5% of the average net asset value per share for the previous three months, divided by 12. The Fund will generally distribute the amounts necessary to satisfy the managed distribution policy of the Fund and the requirements prescribed by the rules of excise tax and subchapter M of the Internal Regulations Revenue Code. This distribution method is intended to provide shareholders with a constant, but not guaranteed, stream of income as well as a targeted annual distribution rate and is intended to reduce any discount between the market price and the net asset value of the common shares of the Fund, but there is no guarantee that the policy will succeed. The methodology for determining monthly distributions under the Fund’s Managed Distribution Policy will be reviewed at least annually by the Board of Trustees of the Fund, and the Fund will continue to assess its distribution in light of current market conditions. .
The Offer to Purchase and other documents filed by the Fund with the United States Securities and Exchange Commission (SEC), including the Fund’s Annual Report for the year ended November 30, 2020, are available free of charge. on the website of the Commission (sec.gov) or by calling the Fund Information Agent.
About Macquarie Investment Management
Macquarie Investment Management, a member of the Macquarie Group, is a global asset manager with offices in the United States, Europe, Asia and Australia. As active managers, we prioritize autonomy and responsibility at the team level in seeking meaningful opportunities for clients. Macquarie Investment Management draws on the resources of Macquarie Group (ASX: MQG; ADR: MQBKY), a global provider of asset management, investment, banking, financial and advisory services.
Advisory services are provided by Macquarie Investment Management Business Trust, a registered investment adviser. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide. For more information on Delaware funds® by Macquarie, visit delawarefunds.com or call 800 523-1918.
With the exception of Macquarie Bank Limited (MBL), none of the entities mentioned in this document is an authorized deposit institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of MBL, a subsidiary of Macquarie Group Limited and an affiliate of Macquarie Investment Management. MBL does not guarantee or provide any assurance regarding the obligations of these entities, unless otherwise indicated.
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Georgeson LLC (during the tender offer)