HOUSTON, Nov. 7, 2016 /PRNewswire/ -- Salient Midstream
& MLP Fund (the "Fund") (NYSE: SMM) today announced a dividend
of $0.244 for the fourth quarter
ending November 30, 2016.
At the close of business on October 31,
2016, the Fund's total consolidated assets were $336.9 million and the Net Asset Value (NAV) per
share was $13.36. On October 31, 2016, the closing share price of the
Fund was $12.48, which was trading at
a 6.6% discount to the NAV.1 For the month ending
October 31, 2016, the Fund's NAV and
market price total returns were -6.9% and -1.6%, respectively, and
the Fund's yield was 7.8%.2 Year-to-date, the Fund's NAV
and market price total returns were 34.2% and 43.9%, respectively,
compared to 10.8% for the Alerian MLP Index.3
The Fund's fourth quarter dividend will be payable on
November 30, 2016 to common
stockholders of record on November 18,
2016. It is anticipated that this dividend will be a
combination of return of capital and ordinary income for tax
purposes. The final tax status of the dividend may differ
substantially from this preliminary information, and the final
determination of such amount will be made in early 2017 when the
Fund can determine its earnings and profits for the 2016 fiscal
year.
The Fund's quarterly dividends per share over the past year are
shown below:4
|
Amount
|
Payable
Date
|
Ex-Date
|
Record
Date
|
|
$0.244
|
November 30,
2016
|
November 16,
2016
|
November 18,
2016
|
|
$0.244
|
August 31,
2016
|
August 17,
2016
|
August 19,
2016
|
|
$0.325
|
May 31,
2016
|
May 18,
2016
|
May 20,
2016
|
|
$0.325
|
February 29,
2016
|
February 17,
2016
|
February 19,
2016
|
|
$0.369
|
November 30,
2015
|
November 16,
2015
|
November 18,
2015
|
|
|
Past performance is
not indicative of future results.
|
|
The Fund
distributions are comprised of distributable cash flow generated
from its portfolio investments plus any realized capital
gains. The tax characteristics of the historical distributions
can be found on
www.salientpartners.com/strategies/salient-midstream-mlp-fund/
|
|
The Fund's Top 10 consolidated holdings as of October 31, 2016 are shown below:5
|
Company
Name
|
Sector
|
Percent of
Consolidated
Gross
Assets
|
|
Plains GP Holdings
L.P.
|
MLP
Affiliate
|
9.1%
|
|
ONEOK,
Inc.
|
General
Partner
|
8.1%
|
|
Enbridge Energy
Management LLC
|
MLP
Affiliate
|
7.9%
|
|
EMG Utica I Offshore
Co-Investment, L.P.
|
MLP
Affiliate
|
6.6%
|
|
Targa Resources
Corp.
|
Midstream
Company
|
6.2%
|
|
SemGroup Corp., Class
A
|
Midstream
Company
|
4.8%
|
|
The Williams
Companies, Inc.
|
General
Partner
|
4.7%
|
|
Macquarie
Infrastructure Corp.
|
Other Energy &
Infrastructure
|
4.7%
|
|
Energy Transfer
Partners LP
|
MLP
|
4.6%
|
|
Williams Partners
LP
|
MLP
|
4.6%
|
|
Total
|
|
61.3%
|
|
|
For illustrative
purposes only. Current and future holdings are subject to change
and risk.
Source: Salient Capital Advisors, LLC, October 31, 2016.
|
|
The Fund's consolidated unaudited balance sheet as of
October 31, 2016 is shown
below:
|
Salient Midstream
& MLP Fund
|
|
Consolidated
Balance Sheet
|
|
October 31,
2016
|
|
(Unaudited)
|
|
|
|
Assets
|
(in
millions)
|
|
Investments
|
$334.5
|
|
Other
Assets
|
1.8
|
|
Cash and Cash
Equivalents
|
0.6
|
|
Total
Assets
|
336.9
|
|
|
|
Liabilities
|
|
|
Line of Credit
Payable
|
97.8
|
|
Deferred Tax
Liability
|
1.5
|
|
Other
Liabilities
|
0.8
|
|
Total
Liabilities
|
100.1
|
|
Net
Assets
|
$236.8
|
|
|
|
|
The Fund had 17.7
million common shares outstanding as of October 31,
2016.
|
|
Past performance is not indicative of future results.
Salient Midstream & MLP Fund is a Delaware statutory trust registered as a
non-diversified, closed-end management investment company under the
Investment Company Act of 1940, as amended. The Fund's investment
objective is to provide a high level of total return with an
emphasis on making quarterly cash distributions to its common
shareholders. The Fund seeks to achieve that objective by investing
at least 80% of its total assets in securities of MLPs and
midstream companies. There can be no assurance that the Fund will
achieve its investment objective.
This press release contains "forward-looking statements" as
defined under the U.S. federal securities laws. Generally, the
words "believe," "expect," "intend," "estimate," "anticipate,"
"project," "will," and similar expressions identify forward-looking
statements, which generally are not historical in nature.
Forward-looking statements are subject to certain risks and
uncertainties that could cause actual future results to differ
significantly from the Fund's present expectations or projections
indicated in any forward-looking statements. These risks include,
but are not limited to, changes in economic and political
conditions; regulatory and legal changes; leverage risk; valuation
risk; interest rate risk; tax risk; the volume of sales and
purchase of shares; the continuation of investment advisory,
administration and other service arrangements; and other risks
discussed in the Fund's filings with the Securities and Exchange
Commission. You should not place undue reliance on forward-looking
statements, which speak only as of the date they are made. The Fund
undertakes no obligation to publicly update or revise any
forward-looking statements made herein. There is no assurance that
the Fund's investment objective will be attained.
About Salient
Salient Partners, L.P. ("Salient") is a
diversified asset management firm and leading provider of real
asset and alternative investment strategies for institutional
investors and investment advisors. The firm offers a comprehensive
suite of single-asset and multi-asset solutions designed to serve
as powerful building blocks for smarter, more efficient portfolios.
Strategies are offered in the form of open- and closed-end funds
and separately managed accounts. Salient provides unconventional
market insights in its highly acclaimed Epsilon Theory
newsletter and Salient blog. Learn more about Salient at
www.salientpartners.com and follow us on LinkedIn and Twitter.
Salient was founded in 2002 and has offices in Houston, San
Francisco, New York and
Newport Beach.
FOR SHAREHOLDER INQUIRIES:
Salient Capital Advisors, LLC
info@salientpartners.com
800-994-0755
FOR MEDIA INQUIRIES:
Catherine P. Jones
Polisi Jones Communications
cjones@polisijones.com
917-330-8934
|
|
|
1 Past
performance is not indicative of future results. Current
performance may be higher or lower than the data shown. The data
shown are unaudited. Returns do not reflect the deduction of taxes
that shareholders may have to pay on Fund distributions or upon the
sale of Fund shares.
|
|
2 Source: Salient Capital Advisors,
LLC. The rate is annualized based on the latest dividend paid
by the Fund divided by the October 31, 2016 stock price. Past
performance is not indicative of future results.
|
|
3 Source: Salient Capital Advisors,
LLC and Alerian, October 31, 2016. Past performance is not
indicative of future results. No investment strategy can guarantee
performance results. The index reflects the reinvestment of
dividends and income and does not reflect deductions for fees,
expenses or taxes. The index is unmanaged and not available for
direct investment.
|
|
4 The
amount of dividends may vary depending on a number of factors. As
portfolio and market conditions change, the rate of distributions
on Fund common shares could change. A portion of the Fund's returns
may be comprised of ordinary income, return of capital and net
realized capital gains. The Fund will determine the tax
characteristics of all Fund dividends after the end of the calendar
year and will provide shareholders such information at that time.
|
|
5 Fund shares do not represent a
deposit or obligation of, and are not guaranteed or endorsed by,
any bank or other insured depository institution, and are not
federally insured by the Federal Deposit Insurance Corporation, the
Federal Reserve Board or any other government agency. Data are
based on total market value of Fund investments unless otherwise
indicated. The data provided are for informational purposes only
and are not intended for trading purposes.
|
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SOURCE Salient Partners, L.P.