Aberdeen Asia-Pacific Income Fund, Inc. Announces Issuance Of Senior Secured
Notes And Term Loans
PHILADELPHIA, June 13, 2013
PHILADELPHIA, June 13, 2013 /PRNewswire/ --Aberdeen Asia-Pacific Income Fund,
Inc. (NYSE MKT: FAX) (the "Fund"), a closed-end fund, today announced that it
entered into a note purchase agreement with institutional investors relating
to the private placement of $200 million of senior secured notes rated 'AAA'
by Fitch Ratings and also entered into a term loan agreement providing for
$200 million in secured term loans from Bank of America, N.A. Net proceeds
from the senior secured notes and the term loans will be used to refinance
$400 million of the Fund's existing $600 million revolving credit facility.
The table below sets forth the key terms:
($ in millions)
Series A Senior Secured Notes $100 June 12, 2020
Series B Senior Secured Notes $100 June 12, 2023
Five-Year Term Loan $100 June 11, 2018
Three-Year Term Loan $100 June 11, 2016
"The steps taken have enabled the Fund to diversify its borrowing structure,
significantly extend the maturity of the leverage facility and lock in the
cost of borrowing at an attractive rate given the historically low interest
rate environment," said Christian Pittard, President of the Fund.
The senior secured notes will not be registered under the Securities Act of
1933 and may not be offered or sold in the United States absent registration
or an applicable exemption from registration.
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
a fund will achieve its investment objective. Past performance does not
guarantee future results.
Investors should consider a fund's investment objectives, risks, charges and
expenses carefully before investing. A copy of the prospectus for Aberdeen
Asia Pacific Income Fund, Inc. that contains this and other information about
the Fund may be obtained by calling 800-522-5465. Please read the prospectus
carefully before investing. Investing in the Fund involves risk, including
possible loss of principal.
If you wish to receive this information electronically, please contact
SOURCE Aberdeen Asia-Pacific Income Fund, Inc.
Contact: Aberdeen Asset Management Inc., Investor Relations, 800-522-5465,
Press spacebar to pause and continue. Press esc to stop.