The Mexico Equity and Income Fund Announces Expiration of Rights Offering

Rhea-AI Summary

The Mexico Equity and Income Fund, Inc. (NYSE: MXE) announced the expiration of its non-transferable rights offering for additional shares on October 8, 2021. The Subscription Price was set at $8.90, with the Estimated Subscription Price at $11.13. All subscription requests by Rights Holders will be fulfilled, and refunds will be issued for excess amounts. A total of 2,613,746 shares will be issued to subscribing Rights Holders. This offering allows for increased equity participation, enhancing the Fund’s capital base.

Positive

• Rights offering successfully attracted subscriptions.
• 2,613,746 shares to be issued, increasing capital.
• Fulfillment of all subscription requests enhances shareholder engagement.

Negative

• Subscription Price of $8.90 is lower than Estimated Subscription Price of $11.13, indicating potential undervaluation.

NEW YORK--(BUSINESS WIRE)-- The Mexico Equity and Income Fund, Inc. (“the Fund”) (NYSE: MXE) announced today that its non-transferable rights offering to purchase additional shares of its common stock expired on October 8, 2021.

The Subscription Price was $8.90. The Fund has elected to fulfill all subscription requests by Rights Holders. Since the Subscription Price is greater than the Estimated Subscription Price of $11.13, refunds will be made to those Rights Holders that elected to receive a refund of such excess amount. All other subscribing Rights Holders will receive additional shares of the Fund for such excess amount.

The total number of shares to be issued to subscribing Rights Holders is 2,613,746.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211012006106/en/

U.S. Bank Global Fund Services – John Buckel (414) 765-4255

Source: The Mexico Equity and Income Fund, Inc.

FAQ

What is the expiration date of MXE's rights offering?

The rights offering for The Mexico Equity and Income Fund (NYSE: MXE) expired on October 8, 2021.

What was the subscription price for MXE's rights offering?

The subscription price for the rights offering was $8.90.

How many shares will MXE issue to subscribers?

The fund will issue a total of 2,613,746 shares to subscribing Rights Holders.

What happens to excess subscription amounts for MXE?

Rights Holders who elected to receive a refund for excess subscription amounts will be refunded due to the difference in pricing.

What is the significance of MXE's subscription and estimated prices?

The Subscription Price of $8.90 was lower than the Estimated Subscription Price of $11.13, which may suggest potential undervaluation.