ATLANTA, October 15, 2021 –
FINAL RESULTS OF TENDER OFFER
Invesco Advisers, Inc., a subsidiary of Invesco Ltd. (NYSE: IVZ), announced today the final results of the previously announced tender offer for Invesco Dynamic Credit Opportunities Fund (NYSE: VTA), (the
“Fund”). The tender offer expired at 11:59 p.m., New York City time, on Thursday, October 7, 2021 (the “Expiration Date”). The Fund conducted a tender offer for cash of up to 12,596,028 of the Fund’s outstanding common shares of beneficial
interest (“common shares”), representing twenty percent of its common shares.
Based on calculations by American Stock Transfer & Trust Company, LLC, the depositary agent (the “Agent”) for the Fund’s tender offer, approximately 32,779,030 common shares, or approximately 52.05% of the
Fund’s common shares outstanding, were tendered through the Expiration Date. The Fund has accepted 12,596,028 shares (subject to adjustment for fractional shares) for cash payment at a price equal to $12.24 per share. This purchase price is
98.5% of the Fund’s net asset value (“NAV”) per share of $12.43 as of the close of regular trading on the New York Stock Exchange on October 8, 2021, the pricing date stated in the Offer to Purchase. Because the total number of common shares
tendered exceeds 12,596,028 shares, the number of common shares offered to purchase, the relative number of common shares that will be purchased from each shareholder will be prorated based on the number of common shares properly tendered in
accordance with the terms of the Offer to Purchase. Under final pro-ration, 38.42% of the common shares tendered will be accepted for payment, subject to adjustment for fractional shares. Following the purchase of the tendered shares, the
Fund will have approximately 50,384,113 common shares outstanding.
UPCOMING REORGANIZATION AND CEASING OF TRADING
As previously announced, at the Annual Meeting of Shareholders of the Fund held on September 3, 2021, Fund shareholders approved a proposal to reorganize (the “Reorganization”) the Fund into a newly created
closed-end interval fund (the “Interval Fund”). The Interval Fund will offer four classes of shares (Class A, Class AX, Class R and Class Y) and will provide liquidity to shareholders in the form of quarterly repurchase offers. The Interval
Fund will be managed with the same investment objective and similar investment strategy as the Fund, all as described in the proxy statement/prospectus, which has been filed publicly. Shareholders should read the proxy/statement prospectus as
it contains important information about the Reorganization and the Interval Fund.
It is currently expected that the closing of the Reorganization will occur effective on the open of business on Monday, November 1, 2021, subject to the satisfaction of applicable regulatory requirements and customary closing conditions.
To facilitate the Reorganization, common shares of the Fund will delist and cease trading on the New York Stock Exchange as of market close on Thursday, October 28, 2021. On Monday, November 1, 2021, common
shareholders remaining in the Fund as of the market close on Thursday, October 28, 2021 will become shareholders of the Interval Fund in the Reorganization and will hold the Interval Fund. Common shareholders of the Fund who become
shareholders of the Interval Fund will receive newly issued Class AX shares of the Interval Fund priced daily at the Interval Fund’s NAV.
The Interval Fund expects its initial repurchase offer to commence in the first quarter of 2022. As a result, common shareholders of the Fund remaining in the Fund as of the market close on Thursday, October 28, 2021 who become
shareholders of the Interval Fund will first have an opportunity to redeem their Interval Fund shares in the first quarter of 2022 at the current NAV per share.
CHANGE IN DIVIDEND PAYABLE DATE AND TERMINATION OF MANAGED DISTRIBUTION PLAN
In addition, in connection with the Reorganization:
|
•
|
The Fund’s managed distribution plan described below will terminate as of market close on Thursday, October 28, 2021. The Interval Fund does not have a managed distribution plan.
|
|
•
|
The Fund’s dividend payable date will occur on Friday, October 22, 2021 instead of October 29, 2021 as previously announced. The Fund’s previously announced ex-date of October 13, 2021, record date of October 14, 2021, and
dividend amount of $0.0750 per share will not change.
|
MANAGED DISTRIBUTION PLAN
The Fund has implemented a managed distribution plan (the “Plan”) whereby the Fund will pay its monthly dividend to common shareholders at a stated fixed monthly distribution amount of $0.075 per share. The Plan is intended to provide
shareholders with a consistent, but not guaranteed, periodic cash payment, regardless of when or whether income is earned or capital gains are realized. If sufficient investment income is not available for a monthly distribution, the Fund
will distribute long-term capital gains and/or return of capital in order to maintain its managed distribution level under the Plan. A return of capital may occur, for example, when some or all of the money that shareholders invested in the
Fund is paid back to them. A return of capital distribution does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income.” No conclusions should be drawn about the Fund’s investment
performance from the amount of its distributions or from the terms of the Plan. The Plan will be subject to periodic review by the Fund’s Board of Trustees, and the Board of Trustees may amend the terms of the Plan or terminate the Plan at
any time without prior notice to the Fund’s shareholders. The amendment or termination of the Plan could have an adverse effect on the market price of the Fund’s common shares.
_____________________________________
For more information, call 1-800-341-2929.