Aurora Funds Management Limited, in its capacity as responsible entity for the HHY Fund (Fund or ASX: HHY), announces the following variations to HHY’s Entitlement Offer announced to the ASX on 25 February 2020.
In order to ensure all institutional holders may participate in the Entitlement Offer in full, HHY has varied the offer terms as follows: • the closing date of the Institutional Entitlement Offer has been extended to 7.00pm AEST on Monday, 2 March 2020; • the Record Date has been extended to 7.00pm AEST on Tuesday, 3 March 2020; and • to require the appointment of a nominee to acquire New Units that Ineligible Unitholders would have been entitled to acquire, had they been eligible to participate in the Entitlement Offer.
As a result of the above changes, the Retail Entitlement Offer will open on 5 March 2020 and close on 16 March 2020.
As at the time of this announcement, no acceptances have been received to the Institutional Offer (as defined in the Entitlement Offer). However HHY has received indications that at least one institutional holder intends to participate in the offer and in the shortfall offer, to the maximum extent permitted by law.
Under the terms of the Entitlement Offer, certain Unitholders in the HHY Fund were ineligible to participate in the Entitlement Offer. So far as HHY is aware, there is only one such unitholder, a retail unitholder (with less than 10,000 units), who is ineligible. As a result, HHY originally concluded that the costs of the nominee arrangement described below was not justified. However, to ensure that unitholders participating in the Entitlement Offer have the benefit of the exemption described at item 10 of the table set out under section 611 of the Corporations Act, HHY will issue units that would otherwise have been issued to Ineligible Unitholder(s) to a nominee, which will exercise its discretion in selling those New Units. The net proceeds of the sale (if any) will, at the conclusion of the sale process, be distributed to the Ineligible Unitholder(s) in proportion to their unitholding at the Record Date.
These variations are made in accordance with section 5.8 of the original Entitlement Offer. The amended terms of the Entitlement Offer are reflected in the amended Entitlement Offer booklet set out in Annexure A, with the updated terms (including some typographical corrections) shown in marked-up form.
