The Korea Fund, Inc. Issues Update Regarding Tender Offer Policy
The Korea Fund, Inc. (NYSE: KF) announced a new Tender Offer Policy, entailing a tender offer for up to 25% of its outstanding shares by September 30, 2024, if its total return performance does not meet or exceed the MSCI Korea 25/50 Index from April 1, 2021, to June 30, 2024. Provisional results for this period show the Fund's return at -19.62%, slightly underperforming the Index by 0.32%. The Fund will confirm these results within ten business days and proceed with the tender offer if confirmed. The next measurement period will be from July 1, 2024, through June 30, 2027. The Fund emphasizes risks associated with international and regional investments, potential price volatility, and trading discounts to NAV. Further details will be provided after confirmation from Morningstar, Inc.
- The Korea Fund announced a tender offer policy, potentially benefiting shareholders by repurchasing up to 25% of outstanding shares.
- Provisional performance is closely aligned with the MSCI Korea 25/50 Index, underperforming by only 0.32%.
- The Fund's net asset value total return was -19.62% over the performance measurement period, slightly underperforming the Index at -19.30%.
The Board announced today that, based on the Fund’s internal records and publicly available information regarding the performance of the Index, the Fund’s provisional total return investment performance was marginally less than that of the Index during the Initial Tender Offer Measurement Period. The provisional figures indicate that over the Initial Tender Offer Measurement Period the Fund’s net asset value total return was -
Today’s announcement represents preliminary information which is to be confirmed based on information provided to the Fund by Morningstar, Inc. (“Morningstar”), an independent third-party that the Board has utilized as a source for comparative performance information. The Fund will issue another press release following receipt of information from Morningstar later this month providing the definitive comparative performance results for the Initial Tender Offer Period and details regarding the terms and timing of the Fund’s tender offer if the Fund’s preliminary results are confirmed by Morningstar.
The next performance measurement period under the Tender Offer Policy runs from July 1, 2024 through June 30, 2027.
The Korea Fund, Inc. is a non-diversified, closed-end investment company. The Fund seeks long-term capital appreciation through investing primarily in equity securities trading on the Korean stock exchanges. Its shares are listed on the New York Stock Exchange under the symbol “KF.”
JPMorgan Asset Management (
The Fund’s daily New York Stock Exchange closing market price and NAV, as well as other information, including updated portfolio statistics and performance are available at www.thekoreafund.com or by calling the Fund’s stockholder servicing agent at (866) 706 0510.
This press release contains no recommendations to buy or sell any specific securities and should not be considered investment advice of any kind. Past performance is no guarantee of future results and the investment returns generated by the Fund will fluctuate. There can be no assurance the Fund will meet its stated objective. There is no assurance that the market price of the Fund’s shares, either absolutely or relative to NAV, will increase as a result of any share repurchases. In making any investment decision, individuals should utilize other information sources and the advice of their own professional adviser.
Fund shares are not FDIC-insured and are not deposits or other obligations of, or guaranteed by, any bank. Fund shares involve investment risk, including possible loss of principal.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240701694764/en/
Julian Reid (Chairman of the Board): +44 7768 068 200
Stockholder Servicing Agent: 866 706 0510
The Korea Fund, Inc. www.thekoreafund.com
Source: The Korea Fund, Inc.
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