First Trust Announces Results of Special Meeting of Shareholders Relating to the Reorganization of First Trust/abrdn Global Opportunity Income Fund with and into abrdn Income Credit Strategies Fund

Rhea-AI Summary

First Trust Advisors L.P. announced that shareholders of First Trust/abrdn Global Opportunity Income Fund (NYSE: FAM) have approved its reorganization with and into abrdn Income Credit Strategies Fund (ACP) at a special meeting on July 25, 2024. The reorganization, previously approved by FAM's Board of Trustees on October 23, 2023, is expected to close by September 30, 2024, subject to customary conditions.

Upon completion of the tax-free reorganization, FAM's assets will be transferred to ACP, and FAM shareholders will receive ACP shares of equal aggregate net asset value. First Trust Advisors L.P., FAM's investment advisor, manages approximately $228 billion in assets as of June 30, 2024.

Positive

• Shareholders approved the reorganization, indicating investor support
• The reorganization is expected to be tax-free for shareholders
• First Trust Advisors L.P. manages a substantial $228 billion in assets

Negative

• None.

WHEATON, Ill.--(BUSINESS WIRE)-- First Trust Advisors L.P. (“FTA”) announced today the results of the special meeting shareholders of First Trust/abrdn Global Opportunity Income Fund (NYSE: FAM) (the “Fund”) held on July 25, 2024.

Shareholders of FAM, a diversified, closed-end management investment company organized as a Massachusetts business trust, have approved the reorganization of FAM with and into abrdn Income Credit Strategies Fund (“ACP”), a diversified, closed-end management investment company organized as a Delaware statutory trust. As previously announced, the reorganization was approved by the Board of Trustees of FAM on October 23, 2023. Subject to the satisfaction of certain customary closing conditions, the reorganization of FAM into ACP is expected to close by September 30, 2024, or as soon as practicable thereafter. No assurance can be given as to the exact closing of the transaction. Upon the completion of the reorganization, which is expected to be tax-free, the assets of FAM will be transferred to, and the liabilities of FAM will be assumed by, ACP. The shareholders of FAM will receive shares of ACP with a value equal to the aggregate net asset value of the shares of FAM held by them.

FTA is a federally registered investment advisor and serves as the investment advisor of the Fund. FTA and its affiliate First Trust Portfolios L.P. (“FTP”), a FINRA registered broker-dealer, are privately-held companies that provide a variety of investment services. FTA has collective assets under management or supervision of approximately $228 billion as of June 30, 2024, through unit investment trusts, exchange-traded funds, closed-end funds, mutual funds and separate managed accounts. FTA is the supervisor of the First Trust unit investment trusts, while FTP is the sponsor. FTP is also a distributor of mutual fund shares and exchange-traded fund creation units. FTA and FTP are based in Wheaton, Illinois.

In the United States, abrdn is the marketing name for the following affiliated, registered investment advisers: abrdn Inc., abrdn Investments Limited, abrdn Asia Limited, abrdn Private Equity (Europe) Limited and abrdn ETFs Advisors LLC.

Additional Information / Forward-Looking Statements

This press release is not intended to, and shall not, constitute an offer to purchase or sell shares of ACP. An investor should carefully consider the investment objectives, risks, charges and expenses of ACP before investing.

Certain statements made in this news release that are not historical facts are referred to as “forward-looking statements” under the U.S. federal securities laws. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements due to numerous factors. Generally, the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “will” and similar expressions identify forward-looking statements, which generally are not historical in nature. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ from the historical experience of FTA and the funds managed by FTA and its present expectations or projections. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. FTA, the Funds and ACP undertake no responsibility to update publicly or revise any forward-looking statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240725428002/en/

Jeff Margolin – (630) 517-7643

Daniel Lindquist – (630) 765-8692

Chris Fallow – (630) 517-7628

Source: First Trust Advisors L.P.

FAQ

When is the reorganization of First Trust/abrdn Global Opportunity Income Fund (FAM) expected to close?

The reorganization of FAM is expected to close by September 30, 2024, or as soon as practicable thereafter, subject to certain customary closing conditions.

What will happen to FAM shareholders after the reorganization?

FAM shareholders will receive shares of abrdn Income Credit Strategies Fund (ACP) with a value equal to the aggregate net asset value of their FAM shares.

Is the reorganization of FAM expected to be tax-free?

Yes, the reorganization of FAM into ACP is expected to be tax-free for shareholders.

What was the result of the special meeting for FAM shareholders on July 25, 2024?

Shareholders of FAM approved the reorganization with and into abrdn Income Credit Strategies Fund (ACP) at the special meeting held on July 25, 2024.