NEW YORK, Aug. 5, 2020 /PRNewswire/ -- Neuberger Berman
High Yield Strategies Fund Inc. (NYSE American: NHS) (the
"Fund") announced today that it has successfully refinanced a
portion of its leverage by completing a private placement of
7,600,000 Mandatory Redeemable Preferred Shares (the "Preferred
Shares") with an aggregate liquidation preference of $95,000,000 to a major unaffiliated financial
institution. The Preferred Shares pay dividends based on a floating
rate and have a term of three years. The Fund used the proceeds
from the issuance of the Preferred Shares, without interrupting its
leveraged investment program, to prepay a portion of its
outstanding Floating Rate Senior Notes and repurchase preferred
stock it had previously issued. In connection with the refinance
transaction announced today, the total amount of leverage employed
by the Fund has not changed.
The leverage refinancing announced today follows recent periods
of extreme market volatility, during which management and the
Fund's Board of Directors (the "Board") closely monitored, among
other things, the amount of leverage employed by the Fund, as well
as the effect of market conditions on the value of the Fund's
investments and the Fund's ability to comply with the asset
coverage requirements of the Investment Company Act of 1940, as
amended. Management and the Board believe that the amended
leverage structure announced today provides the Fund with an
enhanced ability to withstand potential market volatility and
better positions the Fund to avoid having to sell securities into
volatile markets in order to comply with required asset coverage
levels.
About Neuberger Berman
Neuberger Berman, founded in 1939, is a private, independent,
employee-owned investment manager. The firm manages a range of
strategies—including equity, fixed income, quantitative and
multi-asset class, private equity, real estate and hedge funds—on
behalf of institutions, advisors and individual investors globally.
With offices in 24 countries, Neuberger Berman's diverse team has
2,300 professionals. For six consecutive years, the company has
been named first or second in Pensions & Investments Best
Places to Work in Money Management survey (among those with 1,000
employees or more). The firm was awarded an A+ in every
category in the latest 2019 PRI report for our approach to ESG
integration across asset classes. The firm manages $357 billion in client assets as of June 30, 2020. For more information, please visit
our website at www.nb.com.
Statements made in this release that look forward in time
involve risks and uncertainties. Such risks and uncertainties
include, without limitation, the adverse effect from a decline in
the securities markets or a decline in the Fund's performance, a
general downturn in the economy, competition from other closed end
investment companies, changes in government policy or regulation,
inability of the Fund's investment adviser to attract or retain key
employees, inability of the Fund to implement its investment
strategy, inability of the Fund to manage rapid expansion and
unforeseen costs and other effects related to legal proceedings or
investigations of governmental and self-regulatory
organizations.
Contact:
Neuberger Berman Investment Advisers
LLC
Investor Information
(877) 461-1899
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