Morningstar, Inc. Commentaries
Jul 22, 2014
Click here to access CEF Update (7/23/14): News You Can Use
It was a quiet week in closed-end fund news.
Rights Offerings and Tender Offers
Nuveen announced tender offers for four of its muni funds. Nuveen Dividend Advantage Municipal 3 (NZF), Nuveen Dividend Advantage Municipal Income (NVG), Nuveen Municipal Advantage (NMA), and Nuveen Quality Income Municipal(NQU) will purchase up to 10% of outstanding common shares for 98% of net asset value on the purchase date. The offer will commence after the funds' 2014 annual shareholder meetings. In conjunction with the tender offer, activist investor Karpus Management agreed to vote their shares in accordance with the recommendations of the board and has agreed to be bound by "standstill" covenants until Sept. 30, 2017.