Aberdeen Frontier Mkts Inv Co Ltd Tender offer update (6449S)
December 22 2016 - 9:42AM
UK Regulatory
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RNS Number : 6449S
Aberdeen Frontier Mkts Inv Co Ltd
22 December 2016
Aberdeen Frontier Markets Investment Company Limited
Tender offer update
22 December 2016
Further to the publication on 9 December of an announcement
confirming termination of the tender offer to purchase up to 100
per cent. of the Ordinary Shares in issue, the Board of Aberdeen
Frontier Markets Investment Company Limited (the "Company") have
received detailed proposals from Aberdeen Fund Managers Limited
regarding the future of the Company.
The Board in consultation with Aberdeen Fund Managers Limited
(the "Manager") and Numis Securities, and following discussions
with certain shareholders, believe that there remains demand for a
listed, Aberdeen-managed, closed end frontier market vehicle,
providing exposure to the Frontier Markets of Africa, the Middle
East, Eastern Europe, Asia and Latin America. Following these
discussions, the Board have also concluded that this would be best
accessed on a direct equity basis rather than as a fund of fund
proposition.
This new proposition would be run by Aberdeen's Emerging Market
equity team, under the leadership of Devan Kaloo and Joanne
Irvine.
The Board of the Company expect to publish a circular to
shareholders (the "Circular") by the end of January. The Circular
will propose an amendment to the investment policy to allow direct
equity investment. In addition, the Circular will provide
Shareholders with an opportunity to realise their investment in the
Company at prevailing NAV less costs should they wish to do so.
As part of the new proposition a revised discount control will
be put in place, with annual tender offers subject to discount
level. The Board have agreed with the Manager a reduction in the
base fee to 1% of net assets, and the removal of the performance
fee. In addition, and as a reflection of the Manager's commitment
to the Company going forward, when the investment policy is
amended, Aberdeen commit to invest GBP10m into the Company either
through acquiring shares in the market or the acquisition of New
Ordinary Shares issued at NAV.
This Announcement contains Inside Information as defined under
the Market Abuse Regulation (EU) No. 596/2014.
Enquiries:
Aberdeen Fund Managers Limited
(Manager to Aberdeen Frontier Markets Investment Company
Limited)
William Hemmings / Gary Jones
Tel: +44 (0)20 7463 6000
Grant Thornton UK LLP
(Nominated Adviser)
Philip Secrett
Tel: +44 (0)20 7383 5100
Numis Securities Limited
(Nominated Broker)
David Benda/Hugh Jonathan
Tel: +44 (0)20 7260 1275/1263
This information is provided by RNS
The company news service from the London Stock Exchange
END
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