High Income Securities Fund Announces Completion of Rights Offering

Rhea-AI Summary

High Income Securities Fund (NYSE: PCF) announced the expiration of its rights offering on January 29, 2021, allowing for the purchase of up to 5,565,006 additional shares. Subscription requests totaled 3,858,789 shares, with the final subscription price set at $8.24, determined by a formula based on market price and net asset value. This price exceeded the estimated $7.91 set in the prospectus. Shareholders must pay an additional $0.33 per share for the newly issued shares.

Positive

• Successful rights offering with subscription requests for 3,858,789 shares.
• Final subscription price of $8.24 is higher than the estimated price of $7.91.

Negative

• None.

High Income Securities Fund (“the Fund”) (NYSE: PCF) announced today that its rights offering to purchase up to an aggregate of 5,565,006 additional shares of its common stock expired on January 29, 2021. The Fund received subscription requests for a total of 3,858,789 shares at a price equal to the greater of 95% of the volume weighted average market price per share for the three consecutive trading days ending on the trading day after the Expiration Date ($8.61) or 85% of the net asset value per share as calculated at the close of the trading day after the Expiration Date ($9.69). The actual subscription price as determined by that formula is $8.24 which is greater than the estimated subscription price of $7.91 per share set forth in the prospectus. The newly issued shares will be promptly distributed upon payment by subscribing rights holders of an additional $0.33 per share.

For more information, please call InvestorCom, the Fund’s information agent at (877) 972-0090.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210202005770/en/

FAQ

What is the subscription price for the High Income Securities Fund's rights offering?

The subscription price is set at $8.24 per share.

How many additional shares were available in the rights offering for PCF?

The rights offering allowed for the purchase of up to 5,565,006 additional shares.

What was the total number of subscription requests received for PCF?

The Fund received subscription requests for a total of 3,858,789 shares.

When did the rights offering for PCF expire?

The rights offering expired on January 29, 2021.