Ecofin Water & Power Opportunities convertible – which matures in 2016 and pays a coupon of 6% – converts into the ordinary shares of Ecofin Water & Power Opportunities. Its investment objectives are to achieve a high, secure dividend yield on its investment portfolio and to realise long-term growth in the capital value of its portfolio for the benefit of shareholders, while taking care to preserve shareholders’ capital.
Ecofin Water & Power Opportunities’ assets are primarily invested in the equity and equity-related securities of utility and utility-related companies although the Company may invest up to 15% of its gross assets in the debt instruments of such companies and may also hold significant cash or cash equivalent positions from time to time. For purposes of investment, utility companies are those involved in the generation, transmission, distribution and supply of electric power; the abstraction, treatment and distribution of water; the treatment of waste water and waste; the distribution of natural gas; and the transmission of energy. Utility-related companies are those that supply equipment, technology, fuel or services to utility companies or which enjoy natural monopolies in the provision of essential infrastructure services