Cornerstone Strategic Value Fund, Inc. Announces Completion of Rights Offering
May 17 2021 - 9:20AM
Cornerstone Strategic Value Fund, Inc. (the “Fund”) (NYSE American:
CLM) is pleased to announce the completion of its one-for-three
rights offering which expired on Friday, May 14, 2021 (the
“Offering”). The Offering was over-subscribed. Under the terms of
the Offering, record date stockholders were entitled to purchase
one newly issued share of common stock of the Fund for every three
rights held. The subscription price for each newly issued share was
determined to be $10.64 which, under the terms of the prospectus,
was equal to the greater of (i) 107% of net asset value per share
as calculated at the close of trading on the date of expiration of
the Offering and (ii) 80% of the market price per share at such
time.
Based on preliminary results provided by the
Fund's subscription agent, the Fund received requests for
approximately $420 million of its shares.
The subscription price is lower than the
original estimated subscription price of $10.88. Under the
prospectus, any excess payment received from a stockholder will,
unless otherwise indicated on the subscription certificate received
from such stockholder, be applied towards the purchase of
unsubscribed shares. It is anticipated that shares will be issued
on or about Thursday, May 20, 2021. Stockholders are encouraged to
contact their broker regarding the specifics of their account.
Newly issued shares will not be entitled to the Fund’s distribution
to stockholders for the month of May 2021.
Cornerstone Strategic Value Fund, Inc. is a
closed-end, diversified management investment company and is
registered with the U.S. Securities & Exchange Commission
(“SEC”) under the Investment Company Act of 1940, as amended.
Cornerstone Strategic Value Fund, Inc. is traded
on the NYSE American under the trading symbol “CLM”. The Fund’s
investment adviser is Cornerstone Advisors, Inc., which also serves
as the investment adviser to another closed-end fund, Cornerstone
Total Return Fund, Inc. (NYSE American: CRF). For more information
regarding Cornerstone Strategic Value Fund, Inc. or Cornerstone
Total Return Fund, Inc. please visit
www.cornerstonestrategicvaluefund.com, and
www.cornerstonetotalreturnfund.com.
Past performance is no guarantee of future
performance. An investment in the Fund is subject to certain risks,
including market risk. In general, shares of closed-end funds often
trade at a discount from their net asset value and at the time of
sale may be trading on the exchange at a price that is more or less
than the original purchase price or the net asset value. An
investor should carefully consider the Fund’s investment objective,
risks, charges and expenses. Please read the Fund’s disclosure
documents before investing.
In addition to historical information, this
report contains forward-looking statements, which may concern,
among other things, domestic and foreign markets, industry and
economic trends and developments and government regulation and
their potential impact on the Fund’s investment portfolio. These
statements are subject to risks and uncertainties, including the
factors set forth in the Fund’s disclosure documents, filed with
the SEC, and actual trends, developments and regulations in the
future and their impact on the Fund could be materially different
from those projected, anticipated or implied. The Fund has no
obligation to update or revise forward-looking statements.
Contact: (866) 668-6558