NEW YORK, May 13, 2024 /PRNewswire/ -- AllianceBernstein National Municipal Income Fund, Inc. (the "Fund"; NYSE: AFB), a registered closed-end investment company, announced today that it intends to commence a private offering of up to $100 million of Variable Rate Demand Preferred Shares ("2024 VRDPS"). The 2024 VRDPS will be offered only to qualified institutional buyers, such as money market funds, as defined pursuant to Rule 144A under the Securities Act of 1933.

Proceeds from the offering are expected to be used, in conjunction with proceeds from the creation of tender option bond ("TOB") trusts by the Fund, to redeem all of the Fund's currently outstanding 2019 Variable Rate MuniFund Term Preferred Shares ("2019 VMTPS") at a redemption price of $25,000 per share, plus accumulated but unpaid dividends. The aggregate amount to be paid by the Fund in connection with the redemption of the 2019 VMTPS is $143.85 million, plus accumulated but unpaid dividends.

The redemption of the 2019 VMTPS are subject to certain notice and other requirements and conditioned upon the successful issuance and placement of new preferred shares of the Fund. The Fund intends to redeem the 2019 VMTPS on or about June 6, 2024.

The 2024 VRDPS, if successfully placed, will allow the Fund to replace a substantial portion of the leverage currently obtained through the 2019 VMTPS with the new preferred shares. AllianceBernstein L.P., the Fund's investment adviser, and the Board of Directors of the Fund believe the full redemption of the 2019 VMTPS and proposed issuance of 2024 VRDPS is in the best interests of the Fund and its stockholders.

This press release is neither an offer to sell nor a solicitation of an offer to buy any of these securities.

Cision View original content:https://www.prnewswire.com/news-releases/alliancebernstein-national-municipal-income-fund-inc-announces-plan-for-full-redemption-of-2019-variable-rate-munifund-term-preferred-shares-and-issuance-of-new-variable-rate-demand-preferred-shares-as-substitute-leverage-302143925.html

SOURCE AllianceBernstein National Municipal Income Fund, Inc.

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