Gabelli Healthcare & WellnessRxTrust Concludes Rights Offering Which is Heavily Over-Subscribed
RYE, N.Y.--(BUSINESS WIRE)-- The Gabelli Healthcare & WellnessRx Trust (the "Fund") (NYS: GRX) is pleased to announce the completion of its transferable rights offering (the "Offering" or "Offer") in which more than 3.7 million common shares will be issued, totaling approximately $33.6 million. Pursuant to the Offer, the Fund issued one transferable right (a "Right") for each common share of the Fund to shareholders of record (record date shareholders) as of June 17, 2013. Holders of Rights were entitled to purchase one common share by submitting three Rights and $9.00 per share (the subscription price). The Offer expired at 5:00 PM Eastern Time on July 17, 2013 and the Rights no longer trade on the NYSE.
Preliminary results indicate that the Fund received total subscriptions of approximately $83 million (including over-subscription requests and notices of guaranteed delivery) for 247% of the 3,739,154 shares available to be issued pursuant to the primary subscription. Approximately 72% of the shares to be issued were subscribed for in the primary subscription. The over-subscription requests exceeded the over-subscription shares available. As a result, the available over-subscription shares will be allocated pro rata among those fully exercising record date shareholders based on the number of Rights originally issued to them by the Fund. The new common shares will be issued on July 25, 2013.
We thank all our subscribing shareholders as well as the full service brokers and financial advisers who assisted our shareholders throughout the Offering.
The Gabelli Healthcare & WellnessRx Trust is a diversified, closed-end management investment company with approximately $163 million in total net assets whose investment objective is long-term growth of capital. The Fund is managed by Gabelli Funds, LLC, a subsidiary of GAMCO Investors, Inc. (NYS: GBL) , which is a publicly traded NYSE listed company.
This press release is not an offering, which can only be made by a prospectus.Investors should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing.The Fund's prospectus contains this and other important information and should be read carefully before investing.Visitwww.gabelli.comfor more information about the Fund.
The Gabelli Healthcare & WellnessRx Trust
Wayne C. Pinsent, CFA
Adam E. Tokar
KEYWORDS: United States North America New York
The article Gabelli Healthcare & WellnessRx Trust Concludes Rights Offering Which is Heavily Over-Subscribed originally appeared on Fool.com.
Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.