NXG NextGen Infrastructure Income Fund (NYSE: NXG) Announces the Preliminary Results of its Rights Offering

Rhea-AI Summary

NXG NextGen Infrastructure Income Fund (NYSE: NXG) has announced the completion of its oversubscribed transferable rights offering. The offering, which ran from July 21, 2025, to August 13, 2025, allowed rights holders to subscribe for up to 1,414,904 common shares at a subscription price of $44.92 per share, representing 90% of the Fund's NAV at closing.

The offering is expected to generate gross proceeds of approximately $63 million, which the Fund plans to invest according to its investment objective and policies. Common shares will be issued after receiving shareholder payments and completing the pro-rata allocation for over-subscription privileges.

Positive

• Rights offering was oversubscribed, indicating strong investor demand
• Expected gross proceeds of approximately $63 million to support investment objectives
• Offering price set at 10% discount to NAV, benefiting participating shareholders

Negative

• Potential dilution for existing shareholders who did not participate in the rights offering

DALLAS, Aug. 14, 2025 /PRNewswire/ -- The NXG NextGen Infrastructure Income Fund (NYSE: NXG) (the "Fund") announced the preliminary results of its transferable rights offering (the "Offer").  The Offer commenced on July 21, 2025, and expired on August 13, 2025 (the "Expiration Date").  The Offer entitled rights holders to subscribe for up to an aggregate of 1,414,904 of the Fund's common shares of beneficial interest, par value $0.001 per share ("Common Shares").  The subscription price was $44.92 per Common Share and was determined based upon 90% of the Fund's net asset value per Common Share at the close of trading on the New York Stock Exchange on the Expiration Date.  The Offer was oversubscribed. Common Shares will be issued promptly after receipt of all shareholder payments and completion of the pro-rata allocation of Common Shares in respect of the over­subscription privilege.

Gross proceeds of the Offer are expected to be approximately $63,000,000. The Fund intends to invest the net proceeds of the Offer in accordance with its investment objective and policies.

This document is not an offer to sell any securities and is not soliciting an offer to buy any securities in any jurisdiction where the offer or sale is not permitted. This document is not an offering, which can only be made by a prospectus. Investors should consider the Fund's investment objectives, risks, charges and expenses carefully before investing. Such information, including other information about the Fund, can be found on file with the Securities and Exchange Commission and should be read carefully before investing.

About NXG Investment Management

The Investment Adviser is an SEC-registered investment adviser headquartered in Dallas, Texas. Cushing serves as investment adviser to affiliated funds and managed accounts. Cushing Asset Management, LP is doing business as NXG Investment Management, providing Next Generation investment strategies to investors seeking long-term growth in companies focused on a clean and sustainable future as well as traditional and transformational infrastructure companies.

About NXG NextGen Infrastructure Income Fund

The Fund is a closed-end management investment company with an investment objective of seeking a high total return with an emphasis on current income. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its net assets, plus any borrowings for investment purposes, in a portfolio of equity and debt securities of infrastructure companies, including: (i) energy infrastructure companies, (ii) industrial infrastructure companies, (iii) sustainable infrastructure companies, and (iv) technology and communication infrastructure companies. The Fund will invest no more than 25% of its Managed Assets in securities of energy master limited partnerships ("MLPs") that qualify as publicly traded partnerships under the Internal Revenue Code. The Fund's shares are traded on the New York Stock Exchange under the symbol "NXG."

There can be no assurance that the Fund will achieve its investment objectives. Investments in the Fund involve operating expenses and fees. The net asset value of the Fund will fluctuate with the value of the underlying securities. It is important to note that closed-end funds trade on their market value, not net asset value, and closed-end funds often trade at a discount to their net asset value.

The Fund utilizes leverage as part of its investment strategy. There can be no assurance that the Fund will achieve its investment objectives.

For information about the Fund, please contact your financial advisor.

Contact:
Blake Nelson
NXG Investment Management
214-692-6334
www.nxgim.com 

NOT FDIC INSURED                      NO BANK GUARANTEE               MAY LOSE VALUE

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SOURCE NXG Investment Management

FAQ

What are the preliminary results of NXG NextGen Infrastructure Income Fund's rights offering?

The rights offering was oversubscribed, with expected gross proceeds of approximately $63 million. The subscription price was set at $44.92 per share, representing 90% of the Fund's NAV at closing.

When did NXG's rights offering expire?

The rights offering expired on August 13, 2025, after commencing on July 21, 2025.

How many common shares were offered in NXG's rights offering?

The rights offering entitled holders to subscribe for up to an aggregate of 1,414,904 common shares of beneficial interest.

How will NXG use the proceeds from the rights offering?

NXG NextGen Infrastructure Income Fund intends to invest the net proceeds in accordance with its investment objective and policies.

What was the subscription price for NXG's rights offering?

The subscription price was set at $44.92 per Common Share, which represented 90% of the Fund's net asset value per Common Share at the close of trading on the expiration date.