Schroder Asian Total Return has published a circular to convene a meeting at which shareholders will be asked, amongst other things, to approve the reissue of treasury shares at a discount. The special resolution would give the directors the authority to reissue up to 7,294,914 ordinary shares from treasury (representing approximately 10 per cent of the total issued share capital) on a non pre-emptive basis, for cash, at a price below the then prevailing net asset value per ordinary share.
The directors do not intend to reissue ordinary Shares from treasury other than to provide liquidity for investors in the market and only if they believe it to be advantageous to the company as a whole to do so. Any ordinary shares reissued from treasury will only be re-issued at a discount of no greater than 4 per cent. to net asset value.
This authority, if granted, will expire at the conclusion of the next annual general meeting, at which time the directors intend to consider seeking the renewal of this authority.
ATR : Schroder Asian Total Return wants to reissue treasury shares at a discount