HARTFORD, Conn., Jan. 4, 2023 /PRNewswire/ -- Virtus Convertible
& Income Fund (NYSE: NCV) and Virtus Convertible & Income
Fund II (NYSE: NCZ) (each, a "Fund" and, together, the "Funds"),
today announced that each Fund will redeem, at liquidation
preference plus any accumulated but unpaid dividends, its remaining
auction rate preferred shares ("ARPS") beginning on January 23, 2023 and concluding on January 27, 2023.
As previously announced, in a tender offer completed in early
November approximately 99.7% of outstanding ARPS were tendered for
NCV and approximately 99.2% of outstanding ARPS were tendered for
NCZ. The remaining ARPS outstanding after the tenders were
completed are 29 shares representing $725,000 in aggregate liquidation preference for
NCV and 49 shares representing $1,225,000 in aggregate liquidation preference
for NCZ. Due to the limited benefit from utilizing the remaining
ARPS for leverage, ongoing costs to maintain the ARPS, and certain
asset-testing requirements that remain in place for as long as a
Fund has any ARPS outstanding, management recommended and the Board
of each Fund approved redeeming the remaining ARPS at 100% of
liquidation preference ($25,000 per
share) plus accumulated but unpaid dividends, up to their
respective dates of redemption. ARPS shareholders will receive
notices with additional details regarding the redemption.
Following are the shares to be redeemed by series:
Virtus Convertible & Income Fund (NCV)
|
Series
|
Redemption
Date
|
Redemption
Amount
|
|
Series A (CUSIP:
92838X201)
|
January 23,
2023
|
$75,000 (3 shares x
$25,000)
|
|
Series B (CUSIP:
92838X300)
|
January 24,
2023
|
$150,000 (6 shares x
$25,000)
|
|
Series C (CUSIP:
92838X409)
|
January 25,
2023
|
$225,000 (9 shares x
$25,000)
|
|
Series D (CUSIP:
92838X508)
|
January 26,
2023
|
$75,000 (3 shares x
$25,000)
|
|
Series E (CUSIP:
92838X607)
|
January 27,
2023
|
$200,000 (8 shares x
$25,000)
|
|
Total
|
|
$725,000 (29
shares x $25,000)
|
Virtus Convertible & Income Fund II (NCZ)
|
Series
|
Redemption
Date
|
Redemption
Amount
|
|
Series A (CUSIP:
92838U207)
|
January 23,
2023
|
$275,000 (11 shares x
$25,000)
|
|
Series B (CUSIP:
92838U306)
|
January 24,
2023
|
$100,000 (4 shares x
$25,000)
|
|
Series C (CUSIP:
92838U405)
|
January 25,
2023
|
$100,000 (4 shares x
$25,000)
|
|
Series D (CUSIP:
92838U504)
|
January 26,
2023
|
$75,000 (3 shares x
$25,000)
|
|
Series E (CUSIP:
92838U603)
|
January 27,
2023
|
$675,000 (27 shares x
$25,000)
|
|
Total
|
|
$1,225,000 (49
shares x $25,000)
|
About the Funds
Virtus Convertible & Income Fund (NCV) and Virtus
Convertible & Income Fund II (NCZ) each have an investment
objective to provide total return through a combination of capital
appreciation and high current income. Virtus Investment Advisers,
Inc. is the investment adviser and Voya Investment Management is
the subadviser to the Funds. For more information on the Funds,
contact Shareholder Services at (866) 270-7788, by email at
closedendfunds@virtus.com, or through the closed-end
funds section of virtus.com.
Fund Risks
An investment in a fund is subject to risk, including the risk
of possible loss of principal. A fund's shares may be worth less
upon their sale than what an investor paid for them. Shares of
closed-end funds may trade at a premium or discount to their net
asset value. For more information about each Fund's investment
objective and risks, please see the Fund's annual report, a copy of
which may be obtained free of charge by contacting Shareholder
Services as set forth at the bottom of this release.
For Further Information:
Shareholder Services
(866) 270-7788
closedendfunds@virtus.com
View original content to download
multimedia:https://www.prnewswire.com/news-releases/virtus-convertible--income-fund-virtus-convertible--income-fund-ii-announce-redemption-of-remaining-auction-rate-preferred-shares-301713850.html
SOURCE Virtus Convertible & Income Fund; Virtus Convertible
& Income Fund II