This Notice is sent to you as
Shareholder of the Fund. It is important and requires your
immediate attention. If you are in any doubt as to the action to be
taken, you are advised to consult your stockbroker, solicitor or
attorney, accountant or other independent financial adviser. If you
have sold or otherwise transferred your holding in the Fund, please
send at once this document to the stockbroker or other agent
through whom the sale or transfer was effected for transmission to
the purchaser or transferee. Where appropriate, please pass the
contents of this communication on to the beneficial investors of
the Fund.
This Notice has not been reviewed by the Central Bank of
Ireland (the "Central
Bank"), and it is possible that changes thereto may be
necessary to meet the Central Bank's requirements. The Directors
are of the opinion that there is nothing contained in this Notice
or in the proposals detailed herein that conflicts with the CBI
UCITS Regulations, the guidance issued by, and the regulations of,
the Central Bank. The Directors accept responsibility for the
information contained in this Notice.
Capitalised terms used in this notice shall have the same
meaning ascribed to them in the latest version of the Prospectus
unless the context otherwise requires.
LETTER FROM THE
BOARD TO THE SHAREHOLDER OF VANECK VECTORS™ NATURAL RESOURCES UCITS
ETF (THE "FUND")
VanEck Vectors™ UCITS ETFs plc
REGISTERED
OFFICE
33 Sir John Rogerson’s Quay
Dublin 2
D02 XK09
Ireland
(A company
incorporated with limited liability as an open-ended investment
company with variable capital under the laws of Ireland with registered number 548554)
Directors:
Jonathan R. Simon, Bruce J. Smith, Adam
Phillips, Mary Canning,
Jon Lukomnik, Adrian Waters, Gijsbert
Koning,
12 March
2021
Dear Shareholder,
This letter is to inform you on behalf of the board of directors
of the Company (the “Directors”) about recent developments
in respect of the Fund.
Fund and issued share class
details
Share Class
Name |
ISIN |
VanEck Vectors™
Natural Resources UCITS ETF (USD) Class A |
IE00BDFBTK17 |
Closure of the Fund
The assets under management of the Fund are at a level which has
been below the expectations since the Fund was launched on
21 September 2017.
After careful consideration and with the long-term interests of
investors in mind, the Directors have resolved that it is in the
best interest of the Fund and its investors as a whole to effect a
total redemption of all remaining Shares in the Fund as at the
Compulsory Redemption Date (as defined below), in accordance with
the applicable provisions of the Constitution and the
Prospectus.
Consequently, the Directors wish to give notice to investors in
the Fund that it is the intention to:
i. permanently de-list the Shares of the Fund
from the London Stock Exchange, Deutsche Börse Xetra, SIX
Swiss Exchange, Borsa Italiana and Euronext Dublin (the
"Relevant Exchanges");
ii. permanently close the Fund to further
subscriptions and redemptions; and
iii. compulsorily redeem any residual shareholdings
in the Fund in accordance with the procedure and the dates set out
under the heading "Procedure" below (the "Compulsory
Redemption").
Procedure
It is intended to close the Fund in accordance with the
procedure and relevant dates set out below.
1) The last day of trading of the Shares in the
Fund on each of the Relevant Exchanges shall
be 12th April
2021, (the "Final Exchange Trading Date").
Therefore, investors on the secondary market who wish to avoid
having their Shares compulsorily redeemed should consider selling
their Shares on a Relevant Exchange on or before the Final Exchange
Trading Date.
2) The last day on which applications from
Authorised Participants for subscriptions and redemptions of Shares
in the Fund may be made will be 14th
April 2021 (the "Final
Dealing Date"). Therefore, final applications for subscriptions
and redemptions from Authorised Participants in respect of the
Final Dealing Date must be received no later than the cut-off times
outlined in the Supplement for the Fund on 13th
April 2021.
3) Investors who:
- have not sold their Shares on or before the Final Exchange
Trading Date; or
- have not validly applied for redemption of their Shares in
accordance with the terms of the Prospectus, on or before the Final
Dealing Date,
and, in each case, who are investors in the Fund as
at 23rd April 2021 (the “Record Date”), shall have
their Shares compulsorily redeemed on 20th
April 2021 (the "Compulsory
Redemption Date") which will be the day the final net asset
value (the “Final NAV”) is calculated.
4) The effective date of the cancellation of
admission to and listing of the Shares in the Fund on
the Relevant Exchanges shall be 13th
April 2021 (the
"Delisting Date").
5) The proceeds of the
Compulsory Redemption shall be distributed on or
around 27th April
2021 (the "Settlement Date") to such
person listed in the Company's register of
Shareholders as the holder of the Shares of the Fund as at the
Record Date.
If your shareholding in the Fund is compulsorily redeemed, as
set out above, it will be redeemed at the appropriate redemption
price for the relevant Shares (calculated on the Compulsory
Redemption Date in accordance with the terms of the Prospectus)
and, subject to all anti-money laundering documentation
requirements having been complied with.
Please note that, investors buying and selling Shares through a
broker or market maker/Authorised Participant and/or investors who
hold Shares through a nominee and/or clearing agent, may not appear
in the Company's register of Shareholders. Such investors should
deal directly with the relevant broker, market maker/Authorised
Participant, nominee or clearing agent (as relevant) in respect of
their investment.
If you do not wish to be automatically redeemed on the
Compulsory Redemption Date, you can (if you are an Authorised
Participant) redeem your Shares in the Fund at any time up to and
including the Final Dealing Date in accordance with the Fund's
normal redemption procedures as set out in the Prospectus.
However, if a redemption request does not settle by the Record
Date, such Shares will be compulsorily redeemed against the Final
NAV Value as of the Compulsory Redemption Date as part of the Fund
closure process as outlined above.
You may also wish to acquire an alternative ETF within VanEck
Vectors™ UCITS ETF plc range. If you would like further
information, please contact VanEck using the details set out at the
end of this Notice. Investors should seek their own advice as to
the suitability of any alternative investment option.
Please note that as part of the closure process and before
the Compulsory Redemption Date, the ability to
meet the investment objective of the Fund may be compromised in the
event of significant redemptions and/or as the underlying portfolio
of the Fund is liquidated in preparation for its closure.
Particularly, a regular rebalancing of the Funds’ assets may be
waived in advance of the closure, if it is deemed in the best
interest of the Shareholders. Therefore, there will accordingly be
an increased risk of tracking error in the Fund versus its
Index.
Costs of closure
The additional costs incurred in respect of closing the Fund
will be paid by VanEck Asset Management B.V. The Fund's normal
operating costs and transaction costs together with any Cash
Redemption Fees will continue to be borne by the Fund and its
respective Shareholders in accordance with the terms of the
Supplement for the Fund.
Tax consequences
Investors are advised to consult their own professional advisers
as to the tax implications of the Compulsory Redemption and closure
of the Fund under the laws of the countries of their nationality,
residence, domicile or incorporation.
If you have any queries, concerning the matters outlined in this
Notice, please contact your local agent, or (if none) VanEck at the
registered address provided above or at
international@vaneck.com.
Yours faithfully,
The Directors
VanEck Vectors™ UCITS ETFs plc