Invesco Advisers, Inc. Announces Termination and Liquidation of Invesco High Income 2024 Target Term Fund

Rhea-AI Summary

Invesco Advisers has completed the termination and liquidation of Invesco High Income 2024 Target Term Fund (IHTA) on December 2, 2024. The fund, launched in December 2017, failed to meet its objective of returning the original NAV of $9.835 per share, instead returning $7.57 per share as its liquidating distribution plus a final distribution of $0.1471 per share. Since inception, the fund paid 83 regular distributions totaling $3.35 per share, achieving an average distribution rate of 4.93% on Original NAV. The annualized total return on NAV was 2.12%, while the total return on market price was 1.86%.

Positive

• Maintained consistent distributions with 83 regular payments totaling $3.35 per share
• Achieved positive returns with 2.12% annualized total return on NAV

Negative

• Failed to meet target objective of returning original NAV of $9.835 per share
• Final liquidation value of $7.57 per share represents significant loss from original NAV
• Below-market returns with only 1.86% total return on market price

ATLANTA, Dec. 3, 2024 /PRNewswire/ -- Invesco Advisers, Inc., a subsidiary of Invesco Ltd. (NYSE: IVZ), announced today that it completed the termination and liquidation of Invesco High Income 2024 Target Term Fund (NYSE: IHTA) (the "Fund"). In accordance with its investment objectives and organizational documents, and previously announced liquidation plans, the Fund terminated its existence and liquidated on December 2, 2024 (the "Termination Date").

The Fund launched on December 4, 2017 with the investment objectives to provide a high level of current income and to return $9.835 per share (the original net asset value ("NAV") per common share before deducting offering costs of $0.02 per share) ("Original NAV") to common shareholders on or about December 1, 2024. As anticipated and previously disclosed, the Fund's objective of returning the Original NAV to common shareholders on or about the Termination Date was not met. The objective to return the Fund's Original NAV was not an express or implied guarantee obligation of the Fund and was dependent on a number of factors.

The Fund is returning to its shareholders a NAV of $7.57 per common share as its liquidating distribution. The Fund also paid an additional distribution of $0.1471 per common share on the Termination Date. Since inception, the Fund paid 83 regular distributions totalling $3.35 per common share, which equates to an average distribution rate of 4.93% on Original NAV and 4.85% on the public offering price. The annualized total return on NAV for the Fund shareholders who invested at the initial public offering was 2.12% and the total return on market price was 1.86%.

Shareholders may recognize a gain or loss for U.S. tax purposes as a result of the liquidation of the Fund. Invesco does not provide tax advice; shareholders should consult a professional tax advisor regarding their specific tax situation.

For more information, call 1-800-341-2929.

This communication is not intended to, and shall not, constitute an offer to purchase or sell shares of any of the Invesco Funds, including the Fund.

About Invesco Ltd.
Invesco Ltd. is a global independent investment management firm dedicated to delivering an investment experience that helps people get more out of life. Our distinctive investment teams deliver a comprehensive range of active, passive, and alternative investment capabilities. With offices in more than 20 countries, Invesco Ltd. managed $1.8 trillion in assets on behalf of clients worldwide as of September 30, 2024. For more information, visit www.invesco.com.

Invesco Distributors, Inc. is the U.S. distributor for Invesco Ltd.'s retail products. Invesco Advisers, Inc. is an investment adviser; it provides investment advisory services to individual and institutional clients and does not sell securities. Each entity is a wholly owned, indirect subsidiary of Invesco Ltd.

Note: There is no assurance that a closed-end fund will achieve its investment objective. Common shares are bought on the secondary market and may trade at a discount or premium to NAV. Regular brokerage commissions apply.

NOT A DEPOSIT l  NOT FDIC INSURED  l  NOT GUARANTEED BY THE BANK  |  MAY LOSE VALUE  |  NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

Media Relations Contact: Matthew Chisum,
Matthew.Chisum@invesco.com, 212-652-4368

 

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SOURCE Invesco Ltd.

FAQ

What was the final liquidation value of Invesco High Income 2024 Target Term Fund (IHTA)?

The fund returned $7.57 per common share as its liquidating distribution, plus an additional distribution of $0.1471 per share on December 2, 2024.

Did Invesco (IVZ) meet its target return objective for IHTA fund?

No, the fund failed to meet its objective of returning the original NAV of $9.835 per share at termination.

What was the total distribution amount paid by IHTA since inception?

The fund paid 83 regular distributions totaling $3.35 per common share, with an average distribution rate of 4.93% on Original NAV.

What was the annualized total return for IHTA investors?

The fund delivered an annualized total return of 2.12% on NAV and 1.86% on market price for investors from the initial public offering.