MFS Investment Management Announces Planned Liquidation of MFS InterMarket Income Trust I
July 16 2015 - 4:15PM
Business Wire
MFS Investment Management (“MFS”) announced that, at a meeting
held today, the Board of Trustees of MFS InterMarket Income Trust I
(the “fund”) (NYSE: CMK), a closed-end management investment
company, approved a plan of liquidation and termination for the
fund. The plan is currently expected to take effect on or about
September 9, 2015.
In determining to liquidate the fund, the fund's investment
manager, MFS Investment Management, and the Board considered a
variety of factors. These included the submission to the fund of
proposals for the 2015 annual meeting of shareholders of the fund
made by certain shareholders holding large blocks of the fund's
shares and the potential costs and other consequences to the Fund
and its shareholders of contesting those proposals or of
implementing them if approved by shareholders; the relatively small
size of the fund; and the fund's trading discount. MFS and the
Board also considered alternatives, including merging the fund into
another investment company or open-ending the fund or conducting a
tender offer, and on balance determined that a liquidation would be
in the best interests of the fund and its shareholders.
Subsequent to the effective date of the plan, the fund will
begin the orderly liquidation of its assets, determine and pay, or
set aside in cash or cash equivalents, an amount at least equal to
all known or reasonably ascertainable liabilities and obligations
of the fund, including liabilities associated with the fund’s
financial leverage, and make one or more liquidating distributions
to the fund’s common shareholders. The fund may also begin to
liquidate certain holdings prior to the effective date of the plan.
The fund has fixed the close of business on September 9, 2015 as
the record date for determining the common shareholders of the fund
entitled to receive liquidating distributions. As of that time, the
share transfer books of the fund will be closed, and the trading of
the fund’s shares on the New York Stock Exchange is expected to be
suspended. The MFS Closed-End Funds Dividend Reinvestment and Cash
Purchase Plan for the fund will be terminated and shares held in
the plan will be liquidated and proceeds will be remitted directly
to shareholders participating in the plan. The recurring monthly
distribution scheduled for September will be suspended and the
August monthly distribution will be the final monthly distribution.
The fund’s liquidating distributions will be paid in cash. It is
currently anticipated that the liquidation will be completed on or
about September 25, 2015.
About MFS Investment
Management
Established in 1924, MFS is an active, global asset manager with
investment offices in Boston, Hong Kong, London, Mexico City, São
Paulo, Singapore, Sydney, Tokyo and Toronto. We employ a uniquely
collaborative approach to build better insights for our clients.
Our investment approach has three core elements: integrated
research, global collaboration and active risk management. As of
June 30, 2015, MFS manages US$440.5 billion in assets on behalf of
individual and institutional investors worldwide. Please visit
mfs.com for more information.
Statements made in this release that look forward in time
involve risks and uncertainties and are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. Such risks and uncertainties include, without limitation,
the adverse effect from a decline in the securities markets or a
decline in a Fund’s performance, a general downturn in the economy,
competition from other closed-end investment companies, changes in
government policy or regulation, inability of a Fund’s investment
adviser to attract or retain key employees, inability of a Fund to
implement its investment strategy, inability of a Fund to manage
rapid expansion and unforeseen costs and other effects related to
legal proceedings or investigations of governmental and
self-regulatory organizations.
The funds are closed-end investment products. Common shares
of the funds are only available for purchase/sale on the NYSE at
the current market price. Shares may trade at a discount to
NAV.
MFS Investment Management111
Huntington Ave, Boston, MA 02199
33676.1
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