Voya Prime Rate Trust Announces Expiration and Preliminary Results of Tender Offer

Rhea-AI Summary

Voya Prime Rate Trust (NYSE: PPR) announced the expiration of its tender offer for 15% of its outstanding shares, which started on December 3, 2020, and ended on January 4, 2021. Approximately 88,416,006 shares were tendered, leading to an oversubscription and a proration for accepted shares. The purchase price will be 99% of the Fund’s net asset value per share on the expiration date. Final results are expected to be announced around January 6, 2021.

Positive

• Successful completion of a tender offer for up to 15% of outstanding shares.
• High demand indicated by the tendering of approximately 88,416,006 shares.

Negative

• Oversubscription means not all tendered shares will be purchased, potentially disappointing shareholders.

Voya Prime Rate Trust (NYSE: PPR) (the “Fund”), today announced the expiration and preliminary results of the Fund’s tender offer (the “Tender Offer”) for up to 15% of its outstanding common shares (the “Shares”), or 21,576,552 Shares. The Tender Offer commenced on December 3, 2020 and expired at 5:00 p.m. Eastern Time on January 4, 2021.

Based on preliminary information, approximately 88,416,006 Shares were properly tendered. Because the Tender Offer was oversubscribed, the relative number of Shares that will be purchased from each shareholder will be prorated based on the number of Shares properly tendered. The purchase price of the properly tendered and accepted Shares will be equal to 99% of the Fund’s net asset value per share as determined as of the close of the regular trading session of the New York Stock Exchange on January 4, 2021, the day the Tender Offer expired. The Fund expects to announce the final results of the Tender Offer on or about January 6, 2021.

Questions regarding the Tender Offer may be directed to Georgeson LLC, the Information Agent for the Tender Offer, toll free at (877) 278-4775.

Important Notice

This press release is for informational purposes only and shall not constitute a recommendation or an offer or a solicitation to buy any Shares. The offer to purchase Shares was made only pursuant to an offer on Schedule TO. Common shareholders may obtain a free copy of the offer to purchase and other documents filed with the SEC at the website maintained by the SEC at www.sec.gov or by directing such requests to the Fund.

About Voya® Investment Management

A leading, active asset management firm, Voya Investment Management manages, as of September 30, 2020, over $238 billion for affiliated and external institutions as well as individual investors. With more than 40 years of history in asset management, Voya Investment Management has the experience and resources to provide clients with investment solutions with an emphasis on equities, fixed income, and multi-asset strategies and solutions. Voya Investment Management was named in 2015, 2016, 2017, 2018, 2019 and 2020 as a “Best Places to Work” by Pensions and Investments magazine. For more information, visit voyainvestments.com. Follow Voya Investment Management on Twitter @VoyaInvestments.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210104005861/en/

FAQ

What is the tender offer by Voya Prime Rate Trust?

The tender offer was for up to 15% of its outstanding common shares, which amounted to 21,576,552 shares.

How many shares were tendered in Voya Prime Rate Trust's offer?

Approximately 88,416,006 shares were properly tendered in the offer.

What will be the purchase price for the tendered shares?

The purchase price for accepted shares will be 99% of the Fund's net asset value per share as of January 4, 2021.

When will Voya Prime Rate Trust announce the final results of the tender offer?

The final results are expected to be announced on or about January 6, 2021.

What does the oversubscription of the tender offer mean for shareholders?

The oversubscription means that the relative number of shares purchased from each shareholder will be prorated.