Lazard World Trust Fund EGM and discount management policy (8895X)
15 August 2018 - 7:54PM
UK Regulatory
TIDMWTR
RNS Number : 8895X
Lazard World Trust Fund
15 August 2018
15 August 2018
Lazard World Trust Fund (the "Fund")
Further re: EGM and discount management policy
The Board of Lazard World Trust Fund notes the publication of
the letter from City of London Investment Management to the
Directors dated 14 August 2018 explaining its intention to oppose
renewing the Company's buyback authority at the EGM to be held on
30 August 2018.
The Circular of the Company, published on 9 August 2018, set out
details of the proposal to renew the Company's authority to make
market acquisitions of its Shares. In particular, it highlighted
the Board's broader strategy to enhance the demand for Shares and
broaden the appeal of the Company to potential new investors. This
includes the adoption of an enhanced dividend policy in April and,
more recently, the implementation of share buyback programme in
order to actively manage the imbalances between supply and demand
of the Shares, thereby reducing the volatility of the discount.
Following the implementation of the share buyback programme on 1
June 2018, the Shares have traded at an average discount of 3.0 per
cent. to Net Asset Value, with a high of 4.5 per cent. and a low of
1.3 per cent. This compares with an average discount to Net Asset
Value of 8.8 per cent. for the year ended 31 March 2018, with a
high of 14.2 per cent. and a low of 1.9 per cent.
Since the implementation of the share buyback programme, the
Company has repurchased c.3 million shares, representing 6.5 per
cent. of the Shares in issue at the date of the 2017 AGM,
representing in excess of 50 per cent. of the limit of the
authority given at that meeting.
Notwithstanding the 2018 AGM contains the usual resolution for
shareholders to renew the buyback authority, based on the recent
volumes repurchased by the Company, it is possible that the Company
will exhaust its buyback authority from the 2017 AGM prior to the
2018 AGM to be held on 20 September 2018. The Board considers that
it is in the best interests of Shareholders as a whole that it has
the requisite authority to continue to actively manage the discount
at which the Shares trade and would therefore like to retain the
flexibility to continue to buy back Shares ahead of the 2018 AGM in
the event that the buyback authority obtained at the 2017 AGM is
fully utilised prior to the 2018 AGM.
The Board therefore recommends that Shareholders vote in favour
of the resolution at the Extraordinary General Meeting (the
deadline for the return of Forms of Proxy or Forms of Direction, as
required, are 2.00 p.m. (CEST) on 28 August or 24 August,
respectively). In addition, the Board confirms that, subject to the
passing of the annual continuation vote at the 2018 AGM, the Board
intends to continue to utilise the share buyback programme in order
to actively manage the imbalances between supply and demand of the
Shares.
Enquiries:
Link Company Matters
Paul Johnston +44 (0)20 7954 9552
Cenkos Securities plc +44 (0)20 7397 8900
Alex Collins
Will Rogers
Andrew Worne
Capitalised terms used but not defined in this announcement will
have the same meaning as set out in the Circular.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
MSCLIFEATLIELIT
(END) Dow Jones Newswires
August 15, 2018 05:54 ET (09:54 GMT)
Lazard World (LSE:WTR)
Historical Stock Chart
From Apr 2024 to May 2024
Lazard World (LSE:WTR)
Historical Stock Chart
From May 2023 to May 2024