Magellan Asset Management Limited (ASX: $MGF) has announced the proposed conversion of the Magellan Global Fund's Closed Class Units to Open Class Units. The Supreme Court of New South Wales has provided judicial advice justifying the convening of meetings of unitholders to consider and approve the resolutions to effect the Conversion Proposal. The Unitholder Booklet and Product Disclosure Statement (PDS) have been provided to the unitholders for their consideration. The indicative timetable for the Conversion Proposal has been outlined, and the Directors unanimously recommend that Unitholders vote in favor of the resolutions. The Independent Expert has concluded that the Conversion Proposal is in the best interests of Unitholders.
The proposed Conversion aims to address the trading discount to NAV per Unit and provide greater flexibility for Unitholders to enter and exit the Fund. Unitholders are encouraged to read the Unitholder Booklet and the Independent Expert's Report in full. The Conversion Proposal is subject to inter-conditional approvals, including Unitholder approvals and ASX formal approval for the removal of the Fund from the Official List of ASX. The Conversion will be implemented based on the Conversion Ratio, and the number of Open Class Units to be issued will be determined based on the respective NAV per Closed Class Unit and NAV per Open Class Unit.
Magellan Asset Management Limited has proposed the conversion of Closed Class Units to Open Class Units, aiming to address the trading discount and provide greater flexibility for Unitholders. The company emphasizes the importance of Unitholders' participation and understanding of the proposed changes. The Conversion Proposal is subject to inter-conditional approvals, including Unitholder approvals and ASX formal approval for the removal of the Fund from the Official List of ASX. The announcement provides comprehensive information about the proposed Conversion Proposal, including the process, benefits, risks, and implications for Unitholders. The Independent Expert has opined that the Conversion is in the best interests of Unitholders, and the Directors unanimously recommend that Unitholders vote in favor of the Conversion Resolutions.