BlackRock Announces Results of Shareholder Vote at Special Meeting Relating to BlackRock Municipal Income Fund, Inc. (MUI) Conversion to Unlisted Closed-End Interval Fund Structure
BlackRock Municipal Income Fund, Inc. (NYSE: MUI) shareholders have approved proposals for the fund's conversion from an exchange-listed, closed-end fund to an unlisted closed-end interval fund. This decision was made at a special meeting of shareholders. The conversion is expected to take place in the first quarter of 2025.
As an unlisted closed-end fund, MUI will conduct periodic repurchases of its shares in accordance with Rule 23c-3 under the Investment Company Act of 1940. This structural change represents a significant shift in how the fund operates and how shareholders can access their investments.
Il BlackRock Municipal Income Fund, Inc. (NYSE: MUI) ha approvato le proposte per la conversione del fondo da un fondo chiuso quotato in borsa a un fondo chiuso ad intervalli non quotato. Questa decisione è stata presa durante un incontro straordinario degli azionisti. La conversione è prevista per il primo trimestre del 2025.
Come fondo chiuso non quotato, MUI effettuerà riacquisti periodici delle proprie azioni in conformità con la Regola 23c-3 ai sensi dell'Investment Company Act del 1940. Questa modifica strutturale rappresenta un cambiamento significativo nel funzionamento del fondo e nel modo in cui gli azionisti possono accedere ai loro investimenti.
El BlackRock Municipal Income Fund, Inc. (NYSE: MUI) ha aprobado las propuestas para convertir el fondo de un fondo cerrado cotizado en bolsa a un fondo cerrado de intervalo no cotizado. Esta decisión se tomó en una reunión extraordinaria de accionistas. Se espera que la conversión ocurra en el primer trimestre de 2025.
Como fondo cerrado no cotizado, MUI realizará recuperaciones periódicas de sus acciones de acuerdo con la Regla 23c-3 bajo la Ley de Compañías de Inversión de 1940. Este cambio estructural representa un cambio significativo en la forma en que opera el fondo y en cómo los accionistas pueden acceder a sus inversiones.
블랙록 뮤니시펄 인컴 펀드, Inc. (NYSE: MUI)의 주주들이 상장된 폐쇄형 펀드에서 비상장 폐쇄형 구간 펀드로의 전환 제안을 승인했습니다. 이 결정은 주주 특별 회의에서 이루어졌습니다. 전환은 2025년 첫 분기에 이루어질 예정입니다.
비상장 폐쇄형 펀드로서 MUI는 1940년 투자회사법에 따라 규칙 23c-3에 따라 주식의 정기적인 재매입을 수행할 것입니다. 이 구조적 변화는 펀드 운영 방식과 주주들이 투자에 접근하는 방식에서 중요한 변화를 의미합니다.
Le BlackRock Municipal Income Fund, Inc. (NYSE: MUI) a approuvé des propositions pour la conversion du fonds d'un fonds fermé coté en bourse à un fonds fermé d'intervalle non coté. Cette décision a été prise lors d'une assemblée générale extraordinaire des actionnaires. La conversion devrait avoir lieu au premier trimestre de 2025.
En tant que fonds fermé non coté, MUI effectuera des rachats périodiques de ses actions conformément à la règle 23c-3 en vertu de la loi sur les sociétés d'investissement de 1940. Ce changement structurel représente un tournant significatif dans le fonctionnement du fonds et dans la façon dont les actionnaires peuvent accéder à leurs investissements.
Der BlackRock Municipal Income Fund, Inc. (NYSE: MUI) hat Vorschläge zur Umwandlung des Fonds von einem börsennotierten geschlossenen Fonds in einen nicht börsennotierten geschlossenen Intervallfonds genehmigt. Diese Entscheidung wurde auf einer außerordentlichen Hauptversammlung der Aktionäre getroffen. Die Umwandlung soll im ersten Quartal 2025 stattfinden.
Als nicht börsennotierter geschlossener Fonds wird MUI periodische Rückkäufe seiner Anteile gemäß Regel 23c-3 des Investment Company Act von 1940 durchführen. Diese strukturelle Änderung stellt einen bedeutenden Wandel in der Betriebsweise des Fonds und hinsichtlich des Zugangs der Aktionäre zu ihren Investitionen dar.
- Shareholders approved the conversion proposal, indicating investor support for the change
- The new structure may provide more flexibility in managing the fund's assets
- The fund will be delisted from the NYSE, potentially reducing liquidity for existing shareholders
- Periodic share repurchases may be less flexible than daily trading on an exchange
Insights
The shareholder approval for MUI's conversion from an exchange-listed closed-end fund to an unlisted closed-end interval fund is a significant structural change. This move will likely impact liquidity and pricing dynamics for investors. Interval funds typically offer periodic share repurchases, usually quarterly, at net asset value (NAV). This could potentially reduce the discount to NAV that MUI has historically traded at, which averaged around
However, the transition also means investors will lose the ability to buy or sell shares daily on the open market. The new structure may appeal to long-term investors seeking more NAV-based pricing, but it could deter those who value the flexibility of exchange-traded funds. The first quarter 2025 implementation timeline gives current shareholders ample opportunity to reassess their positions. It's important for investors to understand that while this change aims to address persistent discounts, it also fundamentally alters the fund's accessibility and liquidity profile.
The Conversion is currently expected to occur in the first quarter of 2025.
About BlackRock
BlackRock’s purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate
Availability of Fund Updates
BlackRock will update performance and certain other data for the Fund on a monthly basis on its website in the “Closed-end Funds” section of www.blackrock.com as well as certain other material information as necessary from time to time. Investors and others are advised to check the website for updated performance information and the release of other material information about the Fund. This reference to BlackRock’s website is intended to allow investors public access to information regarding the Fund and does not, and is not intended to, incorporate BlackRock’s website in this release.
Forward-Looking Statements
This press release, and other statements that BlackRock or the Fund may make, may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act, with respect to the Fund’s or BlackRock’s future financial or business performance, strategies or expectations. Forward-looking statements are typically identified by words or phrases such as “trend,” “potential,” “opportunity,” “pipeline,” “believe,” “comfortable,” “expect,” “anticipate,” “current,” “intention,” “estimate,” “position,” “assume,” “outlook,” “continue,” “remain,” “maintain,” “sustain,” “seek,” “achieve,” and similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “may” or similar expressions.
BlackRock cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made, and BlackRock assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance.
With respect to the Fund, the following factors, among others, could cause actual events to differ materially from forward-looking statements or historical performance: (1) changes and volatility in political, economic or industry conditions, the interest rate environment, foreign exchange rates or financial and capital markets, which could result in changes in demand for the Fund or in the Fund’s net asset value; (2) the relative and absolute investment performance of the Fund and its investments; (3) the impact of increased competition; (4) the unfavorable resolution of any legal proceedings; (5) the extent and timing of any distributions or share repurchases; (6) the impact, extent and timing of technological changes; (7) the impact of legislative and regulatory actions and reforms, and regulatory, supervisory or enforcement actions of government agencies relating to the Fund or BlackRock, as applicable; (8) terrorist activities, international hostilities, health epidemics and/or pandemics and natural disasters, which may adversely affect the general economy, domestic and local financial and capital markets, specific industries or BlackRock; (9) BlackRock’s ability to attract and retain highly talented professionals; (10) the impact of BlackRock electing to provide support to its products from time to time; and (11) the impact of problems at other financial institutions or the failure or negative performance of products at other financial institutions.
Annual and Semi-Annual Reports and other regulatory filings of the Fund with the Securities and Exchange Commission (“SEC”) are accessible on the SEC's website at www.sec.gov and on BlackRock’s website at www.blackrock.com, and may discuss these or other factors that affect the Fund. The information contained on BlackRock’s website is not a part of this press release.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240930737860/en/
1-800-882-0052
Source: BlackRock Closed-End Funds
FAQ
What changes were approved for BlackRock Municipal Income Fund, Inc. (MUI)?
When is the conversion of BlackRock Municipal Income Fund, Inc. (MUI) expected to occur?
How will the new structure of BlackRock Municipal Income Fund, Inc. (MUI) affect share repurchases?
Will BlackRock Municipal Income Fund, Inc. (MUI) remain listed on the NYSE after the conversion?
