Business & Finance
Tue, May 17, 2011Mon, May 16, 2011Sat, May 14, 2011Fri, May 13, 2011Thu, May 12, 2011Wed, May 11, 2011Tue, May 10, 2011Mon, May 9, 2011Sun, May 8, 2011Sat, May 7, 2011Fri, May 6, 2011Thu, May 5, 2011Wed, May 4, 2011Tue, May 3, 2011Mon, May 2, 2011Fri, April 29, 2011Kayne Anderson Energy Total Return Fund Completes Private Placement of Senior Notes and Preferred Stock
Published in Business and Finance on Tuesday, May 10th 2011 at 14:20 GMT by Market Wire
HOUSTON--([ BUSINESS WIRE ])--Kayne Anderson Energy Total Return Fund, Inc. (the aFunda) (NYSE: KYE) announced today that it has completed a private placement with institutional investors of $60million of senior unsecured notes (aSenior Notesa) and $30 million of mandatory redeemable preferred stock (aMRPSa). The table below sets forth the key terms of the Senior Notes and the MRPS:
| Amount | |||||||||||||
| Security | ($ in millions) | Rate | Maturity | ||||||||||
| Senior Notes | |||||||||||||
| Series F | $ | 30 | 3-month LIBOR + 145 bps | 5/10/2016 | |||||||||
| Series G | 20 | 3.71 | % | 5/10/2016 | |||||||||
| Series H | 10 | 4.38 | % | 5/10/2018 | |||||||||
| Total | $ | 60 | |||||||||||
| Mandatory Redeemable Preferred Stock | |||||||||||||
| Series B | $ | 30 | 5.13 | % | 5/10/2018 | ||||||||
Net proceeds from such offerings will be used to repay borrowings under the Funda™s revolving credit facility, to make new portfolio investments that are consistent with its investment objectives and policies and for general corporate purposes.
Neither the Senior Notes nor the MRPS will 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.
The Fund is a non-diversified, closed-end management investment company registered under the Investment Company Act of 1940 whose common stock is traded on the NYSE.The Funda™s investment objective is to obtain a high total return with an emphasis on current income by investing primarily in securities of companies engaged in the energy industry, principally including publicly-traded energy-related master limited partnerships and limited liability companies taxed as partnerships and their affiliates, energy-related U.S. and Canadian income trusts and other companies that derive at least 50% of their revenues from operating assets used in, or providing energy-related services for, the exploration, development, production, gathering, transportation, processing, storing, refining, distribution, mining or marketing of natural gas, natural gas liquids (including propane), crude oil, refined petroleum products or coal.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This press release contains "forward-looking statements" as defined under the U.S. federal securities laws. Generally, the words "believe," "expect," "intend," "estimate," "anticipate," "project," "will" and similar expressions identify forward-looking statements, which generally are not historical in nature. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to materially differ from the Funda™s historical experience and its present expectations or projections indicated in any forward-looking statement. These risks include, but are not limited to, changes in economic and political conditions; regulatory and legal changes; energy industry risk; commodity pricing risk; leverage risk; valuation risk; non-diversification risk; interest rate risk; tax risk; and other risks discussed in the Funda™s filings with the SEC.You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Fund undertakes no obligation to publicly update or revise any forward-looking statements made herein. There is no assurance that the Funda™s investment objectives will be attained.
