Invesco Bond Income Plus (BIPS) has announced the price at which it will issue new shares in the two-week fund raise closing tomorrow.
Investors who have subscribed in the institutional placing and retail offer will buy their shares at 173.28p.
That is 0.75% above the net asset value announced by the bond fund yesterday, which means that existing shareholders will reap a tiny boost from the shares being sold at a modest premium.
It is also 0.7% below the mid-market price at 1pm today, meaning investors subscribing to the new shares get a small bargain.
The offer opened on 29 January and closes at 2pm tomorrow with the £423m investment company announcing how much it has raised on Friday.
The BIPS board, Invesco and broker Winterflood will hope for a good result given the 7% covered dividend yield and solid performance record under fund managers Rhys Davies and Edward Craven in the past five years.
While there has been a dearth of fund raises and share issues in recent years as many investment companies have struggled with share price discounts, the Loans and Bonds sector, in which BIPS sits, has stood out with the shares of the five listed funds trading on premiums of up to 6%, reflecting good investor demand.
