ATLANTA–(BUSINESS THREAD)–Angel Oak Capital Advisors, LLC, an investment management firm specializing in value-oriented fixed income solutions, is pleased to announce that the reorganization of Angel Oak Dynamic Financial Strategies Income Term Trust (NYSE: DYFN) with and into Angel Oak Financial Strategies Income Term Trust (NYSE). : FINS) was completed on July 29, 2022 after the close of trading. The reorganization is intended to offer potential benefits to shareholders, such as lower operating expenses and increased secondary market liquidity, among other efficiencies.
The completed reorganization and the related issuance of new FINS shares, which required the approval of FINS stockholders and the satisfaction of applicable regulatory requirements, included the transfer of all assets of DYFN to FINS. FINS issued approximately 4,757,307 new common shares in exchange for the assets of DYFN, bringing the total number of its outstanding common shares to approximately 25,062,638. The conversion ratio was calculated at 1.17 FINS common shares for each DYFN common share. FINS’ net assets and total assets are now approximately $409 million and $589 million, respectively.
“The reorganization allows us to deploy capital as we strive to take advantage of current market conditions,” says Johannes Palsson, managing director and senior portfolio manager at Angel Oak. “We remain strongly convinced that financial sector debt, and particularly the subordinated debt of community and regional banks, remains an attractive solution for fixed income investors in this unique economic environment.”
There will be no change in FINS’ investment objectives, investment strategies or investment policies as a result of the proposed reorganization.
Since mid-2014, Angel Oak has participated in more than 300 new issuances for more than $2.5 billion in financial sector debt. Angel Oak’s dedicated team looks forward to continuing to find value for its investors in the community banking and non-banking financial sectors as it leverages its expertise and proprietary research and investment strategies.
ABOUT ANGEL OAK CAPITAL ADVISORS, LLC
Angel Oak is an investment management company focused on providing compelling fixed income investment solutions to its clients. Supported by a value-based approach, Angel Oak seeks to deliver attractive, risk-adjusted returns through a combination of stable current income and price appreciation. Its experienced investment team looks for the best opportunities in fixed income, with a specialization in mortgage securities and other areas of structured credit.
ON THE FINS
FINS is a closed-end fund that invests primarily in U.S. financial sector debt, as well as selective opportunities in the preferred and common equity financial sector. Under normal circumstances, at least 50% of the FINS portfolio is publicly rated as investment grade or, if not rated, considered by Angel Oak to be investment grade.
Information about the Fund, including the Fund’s annual and semiannual reports and other Fund regulatory filings, can be accessed on the website of the Securities and Exchange Commission (“SEC”) at www.sec.gov and on the Angel Oak website at https://angeloakcapital.com.
The information in this press release is for informational purposes only and will not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy securities or the solicitation of any vote or approval in any jurisdiction pursuant to or in connection with the proposed transaction or otherwise, nor will there be any sale, issuance or transfer of securities in any jurisdiction in violation of applicable law. No offering of securities will be made except by means of a prospectus that meets the requirements of Section 10 of the Securities Act of 1933, as amended.
Past performance is neither indicative nor a guarantee of future results. Investors should carefully consider the investment objective, risks, fees and expenses of FINS before investing. There can be no guarantee that the fund will achieve its investment objectives. Investments in the fund involve operating expenses and commissions. The net asset value of the fund will fluctuate with the value of the underlying securities. An investment in FINS carries risks, is not suitable for all investors and is not intended to be a complete investment program. Closed-end fund shares are subject to investment risks, including the possible loss of principal invested. Closed-end funds often trade at a discount to their net asset value. Angel Oak, a registered investment adviser, is the investment manager for FINS. Destra Capital Advisors, LLC, a registered investment advisor, provides secondary market services for FINS. Contact your securities representative or call 1-877-855-3434 for information about FINS.