Shareholders Approve Merger of Duff & Phelps Select MLP and Midstream Energy Fund Inc. Into Open-End Fund

Rhea-AI Summary

On May 19, 2021, Duff & Phelps Select MLP and Midstream Energy Fund (NYSE: DSE) announced that shareholders approved its merger into the Virtus Duff & Phelps Select MLP and Energy Fund (I Shares: VLPIX). The merger is set to take effect after June 25, 2021, with DSE shareholders receiving VLPIX shares at an equivalent Net Asset Value. This transaction is anticipated to be tax-free, incurring no fees for shareholders. Additionally, shareholders re-elected three directors during the annual meeting, ensuring continuity in management.

Positive

• Shareholders approved the merger, indicating strong support.
• The merger may enhance fund management efficiency and investor options.
• Expected to be a tax-free reorganization, benefiting shareholders.

Negative

• None.

HARTFORD, Conn., May 19, 2021 /PRNewswire/ -- Duff & Phelps Select MLP and Midstream Energy Fund Inc. (NYSE: DSE), a closed-end fund subadvised by Duff & Phelps Investment Management Co., announced today that its shareholders have approved the merger of the fund into the Virtus Duff & Phelps Select MLP and Energy Fund (I Shares: VLPIX), an open-end mutual fund also subadvised by Duff & Phelps with a similar investment objective and strategy.

Through the merger, which is currently expected to be effective following the close of business of the New York Stock Exchange on June 25, 2021, DSE shareholders will receive shares of VLPIX with a Net Asset Value (NAV) equal to the NAV of their DSE shares. Trading in DSE shares is expected to be halted prior to the reorganization in order to allow for processing of the transaction. The transaction is expected to qualify as a tax-free reorganization for federal income tax purposes, and shareholders will not incur any sales charge, commission or similar fee in connection with the reorganization. After the reorganization, shareholders will be able to purchase additional shares of VLPIX, exchange their shares of VLPIX for Class I shares of other Virtus Funds, or redeem their shares of VLPIX, each as set forth in the VLPIX prospectus.

At the fund's annual meeting on May 19, 2021, shareholders of DSE also reelected George R. Aylward, Connie D. McDaniel, and Philip R. McLoughlin as Class III directors.

The voting results are as follows:

Proposal 1: To approve the acquisition of assets and liabilities of the Duff & Phelps Select MLP and Midstream Energy Fund Inc. by the Virtus Duff & Phelps Select MLP and Energy Fund:
For		Withheld		Abstain
# of Shares     % of Shares O/S		# of Shares     % of Shares O/S		# of Shares     % of Shares O/S
1,540,324	58.72%	26,878	1.03%	17,119	0.65%

 

Proposal 2: To elect directors of the Duff & Phelps Select MLP and Midstream Energy Fund:
	For		Withheld
	# of Shares	% of Shares Voted	# of Shares	% of Shares Voted
George R. Aylward	2,182,327	96.74%	73,655	3.27%
Connie D. McDaniel	2,185,140	96.86%	70,842	3.14%
Philip R. McLoughlin	2,180,858	96.67%	75,124	3.33%

For more information about the fund, contact shareholder services at (866) 270-7788, by email at closedendfunds@virtus.com, or through the closed end fund section on the web at www.virtus.com.

Fund Risks
An investment in a fund is subject to risk, including the risk of possible loss of principal. A fund's shares may be worth less upon their sale than what an investor paid for them. Shares of closed-end funds may trade at a premium or discount to their net asset value. For more information about the fund's investment objective and risks, please see the fund's annual report. A copy of the fund's most recent annual report may be obtained free of charge by contacting Shareholder Services at (866) 270-7788, by email at duff@virtus.com, or by visiting the DSE website.

Forward-Looking Information
This press release contains statements that are, or may be considered to be, forward-looking statements. All statements that are not historical facts, including statements about beliefs or expectations, are "forward-looking statements" within the meaning of The Private Securities Litigation Reform Act of 1995. These statements may be identified by such forward-looking terminology as "expect," "estimate," "plan," "intend," "believe," "anticipate," "may," "will," "should," "could," "continue," "project," or similar statements or variations of such terms. Forward-looking statements are based on a series of expectations, assumptions, and projections; are not guarantees of future results or performance; and may involve risks and uncertainty. All forward-looking statements are as of the date of this release only; the fund undertakes no obligation to update or review any forward-looking statements. The fund can give no assurance that such expectations or forward-looking statements will prove to be correct. Actual results may differ materially. You are urged to carefully consider all such factors.

 

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SOURCE Duff & Phelps Select MLP and Midstream Energy Fund Inc.

FAQ

What is the outcome of the merger between DSE and VLPIX?

The merger approval means DSE shareholders will receive shares of VLPIX equivalent to their DSE shares' Net Asset Value.

When will the merger of DSE into VLPIX take effect?

The merger is expected to be effective after the close of business on June 25, 2021.

Will shareholders incur any fees during the reorganization of DSE into VLPIX?

No, shareholders will not incur any sales charges, commissions, or similar fees during the reorganization.

What does the merger signify for DSE shareholders?

The merger signifies a strategic consolidation aimed at enhancing investment management and providing shareholders with more options.

Who were re-elected as directors during the DSE annual meeting?

George R. Aylward, Connie D. McDaniel, and Philip R. McLoughlin were re-elected as directors.