The Taiwan Fund, Inc. Announces a New Conditional Tender Offer Policy

Rhea-AI Summary

The Taiwan Fund (NYSE:TWN) announced a new conditional tender offer policy on Oct 20, 2025.

Under the Policy the Fund would conduct a tender offer to purchase up to 25% of outstanding shares at 98% of net asset value (NAV) if the Fund's NAV performance for the five‑year period ending Dec 31, 2030 exceeds the performance of its benchmark, the TAIEX Total Return Index. The Fund's current conditional offer policy expires on Dec 31, 2025. The Board stated the Policy aims to benefit stockholders either through outperformance versus the benchmark or by providing a source of liquidity via the tender offer.

Positive

• Tender offer up to 25% of outstanding shares
• Tender price set at 98% of NAV
• Provides a defined liquidity mechanism for shareholders

Negative

• Tender triggers tied to five‑year performance ending Dec 31, 2030
• Potential reduction of outstanding shares by up to 25%
• Shareholders selling would receive 98% of NAV (below full NAV)

BOSTON, Oct. 20, 2025 /PRNewswire/ -- The Board of Directors of the Taiwan Fund, Inc. (NYSE: TWN) (the "Fund") announces today that its Board has adopted a new conditional tender offer policy (the "Policy"). The current conditional offer policy expires on December 31, 2025.

Under the Policy, the Fund would conduct a tender offer to purchase up to 25% of its outstanding shares at 98% of net asset value ("NAV") if the Fund's NAV performance for the five year period ending December 31, 2030 exceeded the performance of the Fund's benchmark (the TAIEX Total Return Index) over that period. 

The Board believes that adopting the Policy, following the expiration of the current conditional offer policy, is in the best interests of stockholders. Stockholders will benefit either from the Fund outperforming the benchmark or from a tender offer that will provide stockholders with a source of liquidity.

The Fund is a diversified closed-end investment company, which seeks long term capital appreciation primarily through investments in equity securities listed on the Taiwan Stock Exchange. Shares of the Fund are listed on the New York Stock Exchange under the ticker symbol "TWN."

For additional information on the Fund, including information on the Fund's holdings, visit the Fund's website at www.thetaiwanfund.com or call 1-877-217-9502.

CONTACT:

Brian F. Link, Secretary
877-217-9502
www.thetaiwanfund.com

View original content:https://www.prnewswire.com/news-releases/the-taiwan-fund-inc-announces-a-new-conditional-tender-offer-policy-302589043.html

SOURCE The Taiwan Fund, Inc.

FAQ

What does the Oct 20, 2025 policy change mean for TWN shareholders?

The Board adopted a conditional tender policy allowing a tender to purchase up to 25% of outstanding shares at 98% of NAV if five‑year NAV outperformance conditions are met.

When does the current TWN conditional offer policy expire?

The current conditional offer policy expires on Dec 31, 2025.

What performance period triggers the new TWN tender offer?

The trigger is the Fund's NAV performance for the five‑year period ending Dec 31, 2030 versus the TAIEX Total Return Index.

How much of TWN can be repurchased under the new policy and at what price?

The Fund may repurchase up to 25% of outstanding shares at 98% of NAV under the Policy.

How does the new TWN policy affect liquidity for investors?

The policy provides an additional, board‑approved source of liquidity through a conditional tender offer if the performance condition is met.

Where can investors find more information about TWN holdings or contact the Fund?

Investors can visit www.thetaiwanfund.com or call 1‑877‑217‑9502 for additional information.