Calamos Closed-End Funds (NASDAQ: CHI, CHY, CSQ and CCD) Announce Private Placements Totaling $170 Million of Mandatory Redeemable Preferred Shares
METRO CHICAGO, Ill., Sept. 9, 2024 /PRNewswire/ -- The Boards of Trustees of four of Calamos Investments' closed-end funds (the Funds) today announced the issuance of an additional series of mandatory redeemable preferred (MRP) shares totaling $170 million. The newly issued MRP shares will provide additional financial leverage for the Funds.
"Our commitment to serving closed-end fund investors with innovative and attractive solutions has been steadfast since we entered the business more than 20 years ago," said John Koudounis, President and Chief Executive Officer of Calamos Investments. He continued, "We are pleased to complete this transaction with terms that we believe are beneficial for the Funds' common shareholders. "
Kroll Bond Rating Agency, LLC (KBRA) assigned ratings of "AA-" to each series of MRP shares. The MRP shares were privately placed with institutional investors and are subject to mandatory redemption 5 years from the date of issuance, as shown. The Series G MRP shares are to pay monthly cash dividends initially at a rate of 6.24%, subject to adjustment under certain circumstances. The co-placement agents for this offering of MRP shares were Nomura Securities International, Inc. and UBS Securities LLC.
MRP Shares Issuance – Aggregate Liquidation Preference by Series (in Millions) | |
Fund | Series G (5 years) (September 9, 2029) |
CHI (inception 06/26/2002) | $33.00 |
CHY (inception 05/28/2003) Calamos Convertible and High Income Fund | $36.00 |
CSQ (inception 03/26/2004) Calamos Strategic Total Return Fund | $80.00 |
CCD (inception 03/27/2015) Calamos Dynamic Convertible and Income Fund | $21.00 |
Additional information about Calamos closed-end funds can be found on our website at:
www.calamos.com/CHI, www.calamos.com/CHY, www.calamos.com/CSQ, and www.calamos.com/CCD.
About Calamos
Calamos Investments is a diversified global investment firm offering innovative investment strategies, including alternatives, multi-asset, convertible, fixed income, private credit, equity, and sustainable equity. With $38.5 billion in AUM, including more than $16.9 billion in liquid alternatives assets as of July 31, 2024, the firm offers strategies through ETFs, mutual funds, closed-end funds, interval funds, UCITS funds and separately managed portfolios. Clients include financial advisors, wealth management platforms, pension funds, foundations & endowments, and individuals, globally. Headquartered in the Chicago metropolitan area, the firm also has offices in New York, San Francisco, Milwaukee, Portland, Oregon, and the Miami area. For more information, visit us on LinkedIn, on Twitter (@ Calamos ), on Instagram (@calamos_investments), or at www.calamos.com.
The information in each fund's prospectus and statement of additional information) is not complete and may be changed. We may not sell the securities of any fund until such fund's registration statement filed with the Securities and Exchange Commission is effective. Each fund's prospectus and statement of additional information is not an offer to sell such fund's securities and is not soliciting an offer to buy such fund's securities in any state where the offer or sale is not permitted.
Before investing, carefully consider the fund's investment objectives, risks, and charges and expenses. Please see the prospectus and summary prospectus containing this and other information which can be obtained by calling 1-866-363-9219. Read it carefully before investing.
Calamos Investments LLC, referred to herein Calamos is a financial services company offering such services through its subsidiaries: Calamos Advisors LLC, Calamos Wealth Management LLC, Calamos Investments LLP, and Calamos Financial Services LLC.
An investment in the Fund(s) is subject to risks, and you could lose money on your investment in the Fund(s). There can be no assurance that the Fund(s) will achieve its investment objective. Your investment in the Fund(s) is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. The risks associated with an investment in the Fund(s) can increase during times of significant market volatility. The Fund(s) also has specific principal risks, which are described below. More detailed information regarding these risks can be found in the Fund's prospectus.
Important Notes about Performance and Risk. Past performance is no guarantee of future results. As with other investments, market price will fluctuate with the market and upon sale, your shares may have a market price that is above or below net asset value and may be worth more or less than your original investment. Returns at NAV reflect the deduction of the Fund's management fee, debt leverage costs and other expenses. You can purchase or sell common shares daily. Like any other stock, market price will fluctuate with the market. Upon sale, your shares may have a market price that is above or below net asset value and may be worth more or less than your original investment. Shares of closed-end funds frequently trade at a discount which is a market price that is below their net asset value.
Calamos Financial Services LLC, Distributor
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SOURCE Calamos Investments
