PHILADELPHIA, April 11, 2018 /PRNewswire/ -- Aberdeen
Chile Fund, Inc. (NYSE American: CH) (the "Fund"), a
closed-end equity fund, announced today that shareholders of the
following closed-end funds: Aberdeen Emerging Markets Smaller
Company Opportunities Fund, Inc. ("ABE"), Aberdeen Israel Fund,
Inc. ("ISL"), Aberdeen Indonesia Fund, Inc. ("IF"), Aberdeen Latin
America Equity Fund, Inc. ("LAQ"), Aberdeen Singapore Fund, Inc.
("SGF"), Aberdeen Greater China Fund, Inc. ("GCH") and The Asia
Tigers Fund, Inc. ("GRR" and collectively with ABE, ISL, IF, LAQ,
SGF and GCH, the "Target Funds", and together with the Fund, the
"Combined Fund") have each approved a reorganization into the Fund.
The reorganizations are expected to close on April 27, 2018.
Effective April 30, 2018, the
Combined Fund's name will be changed to Aberdeen Emerging Markets
Equity Income Fund, Inc. and traded under the ticker symbol
"AEF."
The Combined Fund will commence a tender offer for its shares
that, together with a special distribution of capital gains, will
aggregate up to a maximum distribution of 50%, and not less than
40%, of the net assets of the Fund post-consolidation. Barring
exceptional or unforeseen circumstances, the Combined Fund
anticipates announcing the amount of the tender offer and an
estimate of the special capital gains distribution within
approximately 10 business days after the closing of the
consolidation, both of which are expected to be completed and paid
within approximately 60 days following the closing of the
consolidation. Additional details regarding the tender offer and
special distribution will be announced in a future press
release.
The Combined Fund will seek to provide both current income and
long-term capital appreciation by investing, under normal market
conditions, at least 80% of its net assets, plus any borrowings for
investment purposes, in emerging market equity securities.
Additionally, the Combined Fund, following the tender offer and
capital gains distribution, intends to use leverage for investment
purposes through borrowing in an amount currently estimated to be
approximately 10% of total assets. The global emerging markets
equity ("GEM") investment team of the Fund's adviser and its
affiliates would continue to be responsible for the day-to-day
management of the Combined Fund. The GEM team works in a
collaborative fashion, with all team members having both portfolio
management and research responsibilities. Devan Kaloo and Joanne
Irvine will continue to lead the team that is jointly and
primarily responsible for managing the Combined Fund following the
consolidation. The countries in which the GEM team currently
expects to invest approximately 10% or more of the Fund's assets
are Brazil, China and India, and approximately 5% or more in
Indonesia, Mexico, South
Africa, Taiwan and
Thailand. The sectors in which the
GEM team currently expects to invest approximately 10% or more of
the Fund's assets are Consumer Staples, Financials, IT and Telecom
Service, and approximately 5% or more in Materials, Industrials,
Consumer Discretionary and Real Estate. The GEM team's expectations
with respect to the percentages of leverage, country allocation and
sector allocation are based on current market conditions and could
vary significantly under market conditions following the
consolidation.
Important Information
This press release may contain statements regarding plans and
expectations for the future that constitute forward-looking
statements within the Private Securities Litigation Reform Act of
1995. All statements other than statements of historical fact are
forward-looking and can be identified by the use of words such as
"may," "will," "expect," "anticipate," "estimate," "believe,"
"continue" or other similar words. Such forward-looking statements
are based on the Fund's current plans and expectations, and are
subject to risks and uncertainties that could cause actual results
to differ materially from those described in the forward-looking
statements. Additional information concerning such risks and
uncertainties are contained in the Fund's filings with the U.S.
Securities and Exchange Commission ("SEC").
The information in this press release is for informational
purposes only and shall not constitute an offer to sell or the
solicitation of an offer to sell or the solicitation of an offer to
buy any securities or the solicitation of any vote or approval in
any jurisdiction pursuant to or in connection with the proposed
transaction or otherwise, nor shall there be any sale, issuance or
transfer of securities in any jurisdiction in contravention of
applicable law. No offer of securities shall be made except by
means of a prospectus meeting the requirements of Section 10
of the Securities Act of 1933, as amended.
The Fund has not commenced the tender offer described in this
release. Any tender offer will be made only by an Offer for
Repurchase or Offer to Purchase for Cash, a related Letter of
Transmittal and other documents which will be filed with the SEC as
exhibits to a tender offer statement on Schedule TO. Holders
of Fund shares and Target Fund shares should read these documents
once they are filed and become available because they will contain
important information about the tender offer. These and other
documents filed by the Fund will be available to investors for free
both on the SEC's website at http://www.sec.gov and from the
Fund. The offer is not being made to, nor will tenders be
accepted from or on behalf of, holders of shares in any
jurisdiction in which making or accepting the offer would violate
that jurisdiction's laws.
For more information about the consolidation and potential
benefits, please review the Fund's proxy statement/prospectus
available at aberdeench.com.
International investing entails special risk considerations,
including currency fluctuations, lower liquidity, economic and
political risks, and difference in accounting methods.
Closed-end funds are traded on the secondary market through one
of the stock exchanges. The Fund's investment return and principal
value will fluctuate so that an investor's shares may be worth more
or less than the original cost. Shares of closed-end funds may
trade above (a premium) or below (a discount) the net asset value
("NAV") of the fund's portfolio. There is no assurance that the
Fund will achieve its investment objective.
If you wish to receive this information
electronically, please contact
InvestorRelations@aberdeen-asset.com.
aberdeench.com
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SOURCE Aberdeen Chile Fund, Inc.