Virtus Total Return Fund announces an Equity Buyback.
September 27, 2016 at 12:00 am EDT
Share
Virtus Total Return Fund announces a share repurchase program. Under the offer, the company will repurchase up to 410,986,443 shares or 40% of the fund’s outstanding shares at a price equal to 99% of its net asset value (NAV) per share as of the close of regular trading on the New York Stock Exchange on the date the tender offer expires. Shares acquired by the Fund pursuant to the offer will be retired. The offer will be funded from cash and from sales of securities in the Fund’s investment portfolio. If more than 40% of the fund's outstanding shares are tendered, the fund will purchase shares from tendering shareholders on a pro-rata basis. The offer is not conditioned upon any minimum number of shares being tendered. The tender offer is expected to commence on or about February 15, 2017. The offer will close on March 15, 2017, unless extended. As of January 31, 2017, the company had 27,466,109 shares outstanding.
Georgeson LLC acted as information agent and Computershare Trust Company, N.A. acted as depositary to the company.
Virtus Total Return Fund Inc. (the Fund), formerly The Zweig Fund, Inc., is a closed-end, diversified management investment company. The Fund's investment objective is capital appreciation, with income as a secondary objective. The Fund has a target allocation of investing approximately 60% of its total assets in equity securities and 40% fixed income. The equity portion of the Fund invests globally in the communications, utility, energy, and transportation industries. The Fund also pursues an options income strategy whereby it purchases and sells out-of-the money puts and calls, creating an options spread. The Fund's investment advisor is Virtus Investment Advisers, Inc. Duff & Phelps Investment Management Co. and Newfleet Asset Management, LLC act as the sub-advisors for the Fund.
VIRTUS TOTAL RETURN FUND INC. 