Business & Finance
Business and Finance
Business and Finance
Mon, January 26, 2009
Sat, January 24, 2009
Fri, January 23, 2009 Rivus Bond Fund Announces Rights Offering
ARMONK, N.Y.--([ BUSINESS WIRE ])--Rivus Bond Fund (NYSE: BDF) (the "Fund") announced today that the Board of Trustees has authorized the filing of a preliminary registration statement for a rights offering to the Fund's shareholders.
The Fund will issue one transferable right for each whole share of common stock held. The rights will entitle the holder to subscribe for one additional share of the Fund's common stock for each three rights held. Shareholders of record on the record date for the rights offering who fully exercise their rights are expected to be entitled to oversubscribe, subject to certain limitations and allotment, for any shares not purchased pursuant to the primary subscription rights. The rights are expected to be transferable and the Fund expects to apply to have them accepted for trading on the New York Stock Exchange. Final terms of the proposed offering, including the record date, subscription price and subscription period, will be determined at a later date and announced at that time.
The rights offering will be made only by means of a prospectus. Subject to making the necessary filings, including a registration statement with the SEC, and such filings becoming effective, it is expected that the rights offering will be conducted in March 2009. The securities to be offered may not be sold nor may offers to buy be accepted prior to the time that the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities.
The Fund is a closed-end, diversified management investment company whose primary investment objective is to seek a high rate of return, primarily from interest income and trading activity, from a portfolio principally consisting of debt securities. The Fund is managed by MBIA Capital Management Corp, which was founded in 1993, and provides fixed income management to a variety of institutional clients including corporations, governmental entities, employee benefit plans and registered investment companies. MBIA Capital Management is an indirect, wholly-owned subsidiary of MBIA Inc. Shares of MBIA Inc. are listed on the New York Stock Exchange, and trade under the symbol "MBI."
