Templeton Dragon Fund, Inc. announces an Equity Buyback for up to 8,451,035 shares, representing 25% of its issued share capital.
November 14, 2023 at 12:00 am EST
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Templeton Dragon Fund, Inc.(NYSE:TDF) announces a share repurchase program. Under the offer, the company will purchase up to 8,451,035 shares, representing 25% of its issued share capital. The shares will be repurchased at a purchase price equal to the net asset value per share as of December 21, 2023.
The purpose of the offer is to provide liquidity to stockholders. The shares purchased by the company will be constitute authorized but unissued shares. The funds for repurchases will be derived from cash on hand and then from the proceeds from the sale of portfolio securities held by the Fund.
If more than 25% shares of its issued share capital are duly tendered before the expiration of the offer and not withdrawn, the Company will accept shares tendered on or before the expiration date for payment on a pro rata basis based on the number of tendered shares. The offer will be valid until December 20, 2023, unless extended. As of November 15, 2023, the company had 33,804,143 shares in issue.
Templeton Dragon Fund, Inc. is a closed-end management investment company. The Fund seeks long-term capital appreciation by investing at least 45% of its total assets in equity securities of China companies. The Fund may invest in companies listed on exchanges in mainland China, Hong Kong, Taiwan, or elsewhere. It invests in various sectors, including air freight and logistics; automobiles; banks; beverages; biotechnology; capital markets; chemicals; construction materials; containers and packaging; electrical equipment; instruments and components; entertainment; food and staples retailing; food products; health care equipment and supplies; health care providers and services; hotels, restaurants and leisure; insurance; interactive media and services; Internet and direct marketing retail; information technology (IT) services; life science tools and services; machinery; media; metals and mining; pharmaceuticals, and others. The Fund's investment manager is Templeton Asset Management Ltd.