Publication of a Circular and Notice of General Meeting
|
M&G Credit Income Investment Trust plc (MGCI)
4 February 2025 LEI: 549300E9W63X1E5A3N24
M&G Credit Income Investment Trust plc
Publication of a Circular and Notice of General Meeting
The Board of M&G Credit Income Investment Trust plc (the “Company”) announces that it has today published a circular (the “Circular”) to convene a general meeting (the “General Meeting”) to allow Shareholders to consider and, if thought fit, approve the allotment of up to a further 31,002,226 Ordinary Shares (representing in total 20 per cent. of the issued Ordinary Share capital of the Company on the basis that the authorities granted at the 2024 AGM are fully exhausted), with statutory pre-emption rights disapplied (the “Proposals”).
Background to the Proposals
At the 2024 AGM, Shareholders approved the allotment of up to 14,091,900 Ordinary Shares (representing approximately 10 per cent. of the then issued share capital) on a non-pre-emptive basis, such authority to expire at the conclusion of the 2025 AGM. Since the 2024 AGM, the Ordinary Shares have traded at an average premium to the prevailing NAV per Ordinary Share of 1.0 per cent. and the Company has issued over 9.6 million Ordinary Shares, comprising issuance from treasury and new issuance, raising over £9.3 million of capital.
There has been high and sustained demand for Ordinary Shares from a wide range of investors, including an increasing number of retail investors. As a result, as at the Latest Practicable Date, the Directors have authority to allot up to 4,415,368 additional Ordinary Shares on a non-pre-emptive basis which represents 2.9 per cent. of the issued share capital of the Company. If the current rate of issuance were to continue, the 2024 AGM Allotment Authority would be expected to be fully utilised some time in advance of the 2025 AGM, where the renewal of such authority would typically be sought.
The Resolutions are being put forward for the primary purpose of ensuring that the Company can continue to meet ongoing demand for Ordinary Shares from investors pursuant to the operation of its "zero discount" policy. This policy is designed to ensure that the Ordinary Shares trade close to NAV in normal market conditions through a combination of Ordinary Share buybacks and the issue of new Ordinary Shares, or resale of Ordinary Shares held in treasury, where demand exceeds supply.
General Allotment Authorities
The Board is seeking approval from the Shareholders:
Any Ordinary Shares would be issued at a price of not less than the prevailing NAV per Ordinary Share together with a premium intended to cover the costs and expenses of the issue of Ordinary Shares.
Given the nature of the Company's strategy, the Board believes that the Investment Manager will be able to deploy any additional capital raised pursuant to the General Allotment Authorities within a period that would not result in any material dilution in returns for existing Shareholders.
As at the date of the Circular, the Company does not hold any shares in treasury.
Benefits of the Proposals
The Board believes that the Proposals, once implemented, have the following benefits for Shareholders:
General Meeting
The formal notice convening the General Meeting, to be held at the offices of M&G Alternatives Investment Management Limited, 10 Fenchurch Avenue, London EC3M 5AG at 9:30 a.m. on 27 February 2025, is set out at Part III of the Circular. The Notice of General Meeting includes the full text of the Resolutions.
Expected Timetable
All times are UK times. Each of the times and dates in this expected timetable (other than in relation to the General Meeting) may be extended or brought forward. Any changes to the expected timetable will be notified to the market by the Company via an RIS announcement.
Terms used and not defined in this announcement shall have the meanings given to them in the Circular.
A copy of the Circular has been submitted to the National Storage Mechanism and will shortly be available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism. The Circular will also be available on the Company's website: http://www.mandg.co.uk/creditincomeinvestmenttrust.
Neither the NSM website nor the Company's website nor the content of any website accessible from hyperlinks on those websites (or any other website) is (or is deemed to be) incorporated into, or forms (or is deemed to form) part of this announcement.
Enquiries:
Dissemination of a Regulatory Announcement, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. |
| ISIN: | GB00BFYYL325, GB00BFYYT831 |
| Category Code: | NOG |
| TIDM: | MGCI |
| LEI Code: | 549300E9W63X1E5A3N24 |
| OAM Categories: | 3.1. Additional regulated information required to be disclosed under the laws of a Member State |
| Sequence No.: | 374453 |
| EQS News ID: | 2080259 |
| End of Announcement | EQS News Service |
|
|
Latest directors dealings
- 1 day ago Savannah Energy
- 1 day ago Buccaneer Energy PLC
- 1 day ago Savannah Energy
- 1 day ago Carclo
- 1 day ago Schroder Japan Growth Fund