ClearBridge Energy Midstream Opportunity Fund Inc. Announces Completion of Mergers and Share Conversion Prices
September 09 2024 - 7:30AM
Business Wire
ClearBridge Energy Midstream Opportunity Fund Inc. (NYSE: EMO)
today announced the completion of the mergers of ClearBridge MLP
and Midstream Fund Inc. (NYSE: CEM) and ClearBridge MLP and
Midstream Total Return Fund Inc. (NYSE: CTR) and together with EMO,
the “Funds” or each, a “Fund”) with and into EMO (the “Mergers”).
Effective before markets open on Monday, September 9, 2024, CEM and
CTR stockholders became EMO stockholders.
Each share of common stock of CEM and CTR, par value $0.001
per share, converted into an equivalent dollar amount (to the
nearest $0.001) of full shares of common stock of EMO, based on the
net asset value of each Fund on the business day preceding the
Mergers. EMO will not issue fractional shares to CEM and CTR
stockholders. In lieu of issuing fractional shares, EMO will pay
cash to each former holder of CEM and CTR common stock in an amount
equal to the net asset value of the fractional shares of EMO common
stock that the investor would otherwise have received in the
Mergers. The conversion price was based on each Fund’s net asset
value (NAV) per share calculated at the close of business on
Friday, September 6, 2024.
NAV, as of 9/6/24 market close
EMO
$46.6960
CEM
$51.9511
CTR
$47.0194
The conversion ratio was calculated at 1.112539 common shares of
EMO for each CEM common share. EMO did not issue any fractional
common shares to CEM stockholders. In lieu thereof, EMO purchased
all fractional shares at the then current NAV and remitted the cash
proceeds to former CEM stockholders in proportion to their
fractional shares.
The conversion ratio was calculated at 1.006926 common shares of
EMO for each CTR common share. EMO did not issue any fractional
common shares to CTR stockholders. In lieu thereof, EMO purchased
all fractional shares at the then current NAV and remitted the cash
proceeds to former CTR stockholders in proportion to their
fractional shares.
EMO’s post-Merger net assets totaled $849,413,976, and its NAV
per common share was $46.6960 based on approximately 18,190,295
shares outstanding, as of the close of business on September 6,
2024.
EMO issued and delivered to each of the CEM and CTR’s Mandatory
Redeemable Preferred Stock (“MRPS”) holders newly issued shares of
EMO’s MRPS with the same aggregate liquidation preference (of $35
per share) and terms as their MRPS that were issued and outstanding
immediately before the date of the Mergers. EMO also amended its
MRPS that are outstanding to align the voting rights of all of
EMO’s outstanding preferred stock so that each preferred
stockholder will have one vote for every $35 of liquidation
preference following the Mergers. No fractional MRPS will be issued
to CEM and CTR holders as a result of the Mergers. EMO will round
up to the next whole share instead of issuing fractional shares of
MRPS.
EMO is a non-diversified, closed-end management investment
company managed by Franklin Templeton Fund Adviser, LLC (formerly
known as Legg Mason Partners Fund Advisor, LLC) (“FTFA”), and
subadvised by ClearBridge Investments, LLC (“ClearBridge”). FTFA
and ClearBridge are both indirect wholly-owned subsidiaries of
Franklin Resources, Inc., a global investment management
organization operating as Franklin Templeton.
For more information, please call Investor Relations on
1-888-777-0102, or consult the Fund’s website at
www.franklintempleton.com/investments/options/closed-end-funds.
Hard copies of the Fund’s complete audited financial statements are
available free of charge upon request.
THIS PRESS RELEASE IS NOT AN OFFER TO PURCHASE NOR A
SOLICITATION OF AN OFFER TO SELL SHARES OF THE FUND. THIS PRESS
RELEASE MAY CONTAIN STATEMENTS REGARDING PLANS AND EXPECTATIONS FOR
THE FUTURE THAT CONSTITUTE FORWARD-LOOKING STATEMENTS WITHIN THE
PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. ALL STATEMENTS
OTHER THAN STATEMENTS OF HISTORICAL FACT ARE FORWARD-LOOKING AND
CAN BE IDENTIFIED BY THE USE OF WORDS SUCH AS “MAY,” “WILL,”
“EXPECT,” “ANTICIPATE,” “ESTIMATE,” “BELIEVE,” “CONTINUE” OR OTHER
SIMILAR WORDS. SUCH FORWARD-LOOKING STATEMENTS ARE BASED ON THE
FUND’S CURRENT PLANS AND EXPECTATIONS, AND ARE SUBJECT TO RISKS AND
UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY
FROM THOSE DESCRIBED IN THE FORWARD-LOOKING STATEMENTS.
ADDITIONAL INFORMATION CONCERNING SUCH RISKS AND UNCERTAINTIES
IS CONTAINED IN THE FUND’S FILINGS WITH THE SECURITIES AND EXCHANGE
COMMISSION.
About Franklin Templeton
Franklin Resources, Inc. is a global investment management
organization with subsidiaries operating as Franklin Templeton and
serving clients in over 150 countries. Franklin Templeton’s mission
is to help clients achieve better outcomes through investment
management expertise, wealth management and technology solutions.
Through its specialist investment managers, the company offers
specialization on a global scale, bringing extensive capabilities
in fixed income, equity, alternatives and multi-asset solutions.
With more than 1,500 investment professionals, and offices in major
financial markets around the world, the California-based company
has over 75 years of investment experience and over $1.6 trillion
in assets under management as of July 31, 2024. For more
information, please visit franklintempleton.com and follow us on
LinkedIn, Twitter and Facebook.
Category: Fund Announcement
Investor Contact: Fund Investor Services 1-888-777-0102
Source: Franklin Resources, Inc.
Source: Legg Mason Closed End Funds
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version on businesswire.com: https://www.businesswire.com/news/home/20240909554666/en/
Media Contact: Lisa Tibbitts +1 (904) 942-4451
Lisa.Tibbitts@franklintempleton.com
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