Tortoise Capital Plans Merger of Two Closed-End Funds and Strategic Review of Ecofin Sustainable and Social Impact Term Fund
Tortoise Capital Advisors announced the boards of Tortoise Midstream Energy Fund (NYSE: NTG) and Tortoise Energy Infrastructure Corp (NYSE: TYG) approved a merger of NTG into TYG with TYG as the surviving company, targeted for completion in Q4 2024 subject to shareholder and regulatory approvals.
The combined funds had $914.4 million in assets (including leverage) as of Aug. 31, 2024. Upon closing, TYG's board approved a 40% increase in distributions, changing payments to monthly from quarterly, and the manager and investment team would remain unchanged.
The firm also announced a strategic review of Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF), which had $229.0 million in assets (including leverage) as of Aug. 31, 2024, citing disappointing performance and a discount to NAV. Recent restructuring actions include completed and pending sales of related businesses.
Tortoise Capital Advisors ha annunciato che i consigli di Tortoise Midstream Energy Fund (NYSE: NTG) e Tortoise Energy Infrastructure Corp (NYSE: TYG) hanno approvato una fusione di NTG in TYG, con TYG quale società sopravvissuta, prevista per essere realizzata nel 4Q 2024, soggetta all'approvazione degli azionisti e delle autorità regolamentari.
I fondi combinati avevano $914,4 milioni di attivi (inclusa la leva) al 31 agosto 2024. Al closing, il consiglio di TYG ha approvato un aumento del 40% delle distribuzioni, passando i pagamenti da trimestrali a mensili, e il gestore e il team di investimento rimarranno invariati.
L'azienda ha anche annunciato una revisione strategica del Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF), che aveva $229,0 milioni di attivi (inclusa leva) al 31 agosto 2024, citando performance deludente e uno sconto al NAV. Azioni di ristrutturazione recenti includono vendite completate e in corso di attività correlate.
Asesores de Tortoise Capital anunció que las juntas directivas de Tortoise Midstream Energy Fund (NYSE: NTG) y Tortoise Energy Infrastructure Corp (NYSE: TYG) aprobaron una fusión de NTG en TYG, con TYG como la empresa sobreviviente, prevista para completarse en Q4 2024 sujeta a aprobaciones de accionistas y regulatorias.
Los fondos combinados tenían $914.4 millones en activos (incluidas palancas) al 31 de agosto de 2024. Al cerrarse, la junta de TYG aprobó un aumento del 40% en las distribuciones, pasando de pagos trimestrales a mensuales, y el gestor y el equipo de inversión permanecerían sin cambios.
La firma también anunció una revisión estratégica del Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF), que tenía $229.0 millones en activos (incluidas palancas) al 31 de agosto de 2024, citando rendimiento decepcionante y un descuento respecto al NAV. Acciones de reestructuración recientes incluyen ventas completadas y pendientes de negocios relacionados.
토로티스 캐피털 어드바이저스는 Tortoise Midstream Energy Fund (NYSE: NTG)와 Tortoise Energy Infrastructure Corp (NYSE: TYG)의 이사회가 NTG를 TYG에 합병하여 TYG를 생존회사로 하는 것을 승인했으며, 주주 및 규제 승인에 따라 2024년 4분기에 완료될 예정이라고 발표했습니다.
합병 후 기금의 자산은 9억 1,440만 달러(레버리지를 포함)였으며, 2024년 8월 31일 기준입니다. 마감 시점에 TYG 이사회는 분배를 40% 증가시켜 분배를 분기에서 월간으로 변경하고 관리인과 투자팀은 변하지 않을 것이라고 승인했습니다.
또한 Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF)에 대한 전략적 재검토를 발표했으며, 2024년 8월 31일 기준 자산이 $229.0 million으로 나타났고, 실적 부진과 NAV 대비 할인으로 지적되었습니다. 최근 구조조정 조치로는 관련 사업의 매매가 완료되었거나 진행 중인 것이 포함됩니다.
Tortoise Capital Advisors a annoncé que les conseils d'administration de Tortoise Midstream Energy Fund (NYSE: NTG) et Tortoise Energy Infrastructure Corp (NYSE: TYG) ont approuvé la fusion de NTG dans TYG, TYG restant la société survivante, prévue pour être réalisée au 4e trimestre 2024, sous réserve des approbations des actionnaires et des autorités.
Les fonds combinés avaient 914,4 millions de dollars d'actifs (y compris l'effet de levier) au 31 août 2024. Après la clôture, le conseil de TYG a approuvé une augmentation de 40% des distributions, passant les paiements de trimestriels à mensuels, et le gestionnaire et l'équipe d'investissement resteraient inchangés.
La firme a également annoncé un examen stratégique du Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF), qui affichait 229,0 millions de dollars d'actifs (y compris l'effet de levier) au 31 août 2024, citant des performances décevantes et une décote par rapport à la NAV. Des mesures de restructuration récentes incluent des ventes d'activités associées, achevées et en cours.
Tortoise Capital Advisors gab bekannt, dass die Vorstände von Tortoise Midstream Energy Fund (NYSE: NTG) und Tortoise Energy Infrastructure Corp (NYSE: TYG) eine Fusion von NTG in TYG mit TYG als übernehmendes Unternehmen genehmigt haben, die voraussichtlich im 4. Quartal 2024 abgeschlossen wird, vorbehaltlich der Zustimmung von Aktionären und Aufsichtsbehörden.
Die kombinierten Fonds hatten zum 31. August 2024 Vermögenswerte in Höhe von $914,4 Millionen (einschließlich Leverage). Beim Closing genehmigte der Vorstand von TYG eine 40%-ige Erhöhung der Ausschüttungen, wodurch Zahlungen von vierteljährlich auf monatlich umgestellt werden, und der Manager sowie das Investment-Team würden unverändert bleiben.
Das Unternehmen kündigte außerdem eine strategische Überprüfung des Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF) an, der zum 31. August 2024 Vermögenswerte in Höhe von $229,0 Millionen (einschließlich Leverage) aufweist, und mit enttäuschender Performance sowie einem Abschlag zum NAV begründet wird. Zu den jüngsten Restrukturierungsmaßnahmen gehören abgeschlossene und ausstehende Veräußerungen von verwandten Geschäftsbereichen.
مستشاري كابيتال توروتويس أعلن أن مجلسي إدارة Tortoise Midstream Energy Fund (NYSE: NTG) وTortoise Energy Infrastructure Corp (NYSE: TYG) وافقا على دمج NTG في TYG لتكون TYG الشركة الباقية، ومن المتوقع أن يكتمل في الربع الرابع من 2024 بشرط موافقات المساهمين والجهات التنظيمية.
كان لدى الصناديق المجمعة أصول بقيمة $914.4 مليون (بما في ذلك الرفع المالي) حتى 31 أغسطس 2024. عند الإغلاق، وافق مجلس إدارة TYG على زيادة 40% في التوزيعات، مما غير المدفوعات إلى شهرياً بدلاً من ربع سنوي، وسيظل المدير وفريق الاستثمار بلا تغيير.
كما أعلنت الشركة عن مراجعة استراتيجية لـEcofin Sustainable and Social Impact Term Fund (NYSE: TEAF)، الذي كان لديه أصول بقيمة $229.0 مليون (بما في ذلك الرفع المالي) حتى 31 أغسطس 2024، مع الإشارة إلى أداء مخيب للآمال وتداول عند خصم مقارنةً بـ NAV. تشمل إجراءات إعادة الهيكلة الأخيرة بيع أعمال ذات صلة مكتملة ومعلقة.
- Combined fund assets of $914.4 million as of Aug. 31, 2024
- TYG board approved a 40% distribution increase and switch to monthly payments
- Manager continuity: same investment team to manage the combined fund
- TEAF underperformance and persistent discount to NAV noted by management
- Merger completion subject to shareholder and regulatory approvals (timing uncertain)
- TEAF assets of only $229.0 million as of Aug. 31, 2024, indicating smaller scale
Insights
Tortoise consolidates funds and reviews strategy; merger set for
Tortoise Capital Advisors will combine NTG into TYG, creating a single surviving closed‑end fund with combined assets of
The benefits rest on clearer scale and a larger distribution profile for the surviving fund, while risks depend strictly on shareholder and regulatory approvals and execution of the merger during
Key items to watch: shareholder votes and regulatory clearance for the NTG→TYG merger and the timing of the payout change at close (near term,
OVERLAND PARK, Kan., Sept. 5, 2024 /PRNewswire/ -- Tortoise Capital Advisors, L.L.C., a fund manager focused on traditional energy and power infrastructure investing, today announced plans to merge two of its closed-end funds.
The board of directors of each of Tortoise Midstream Energy Fund, Inc. (NYSE: NTG) and Tortoise Energy Infrastructure Corp. (NYSE: TYG) have approved the merger of NTG into TYG, with TYG as the surviving company. TYG invests in energy infrastructure companies and is positioned to benefit from growing energy demand and accelerated efforts to reduce global CO2 emissions from energy consumption. The combined assets of the two funds, including leverage, totaled
In addition, Tortoise Capital intends to conduct a strategic review of the investment strategy of its closed-end fund Ecofin Sustainable and Social Impact Term Fund (NYSE: TEAF), including the impact of blending private and public investments in a closed-end fund. TEAF provides investors access to a combination of public and private investments in essential assets. TEAF had total assets, including leverage, of
"As part of our product restructuring, we are evaluating our entire fund lineup and are making changes that are in the best interest of fund shareholders," said Tom Florence, CEO of Tortoise Capital Advisors. "We have been disappointed with TEAF's performance and its discount to NAV and aim to correct the issue."
Tortoise Capital intends to complete the merger of NTG into TYG during the fourth quarter of 2024, subject to requisite fund shareholder and regulatory approvals.
Last month, Tortoise Capital announced plans to merge three of its closed-end funds into a newly formed actively managed exchange-traded fund (ETF), Tortoise Power and Energy Infrastructure ETF. In July the company announced a strategic restructuring including the sale of its Ecofin Advisors Limited business and its private credit business to focus on traditional energy and power infrastructure investing. The sale of the private credit business to 503 Capital Partners, LLC was completed on July 31, 2024 and the sale of Ecofin Advisors Limited is expected to close on Sept. 30, 2024.
About Tortoise Capital
With approximately
Cautionary Statement Regarding Forward-Looking Statements
This press release contains certain statements that may include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, included herein are "forward-looking statements." Although the funds and Tortoise Capital Advisors believe that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the fund's reports that are filed with the Securities and Exchange Commission (SEC). You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Other than as required by law, the funds and Tortoise Capital Advisors do not assume a duty to update this forward-looking statement.
IMPORTANT INFORMATION
In connection with the proposed merger discussed in this press release, NTG and TYG expect to file with the SEC solicitation materials in the form of a joint proxy statement/prospectus that will be included in a registration statement on Form N-14. After the registration statement is filed with the SEC, it may be amended or withdrawn, and the joint proxy statement/prospectus will not be distributed to fund shareholders unless and until the registration statement is declared effective by the SEC. Investors are urged to read the joint proxy statement/prospectus and any other relevant documents when they become available because they will contain important information about the proposed merger. Once filed, copies of the joint proxy statement/prospectus and other materials will be available free of charge on the SEC's website at www.sec.gov.
This press release is for informational purposes only and is not a solicitation of a proxy from any fund shareholder and does not constitute an offer of any securities for sale. No offer of securities will be made except pursuant to a prospectus meeting the requirements of Section 10 of the Securities Act of 1933. However, Tortoise Capital Advisors, NTG, TYG and certain of their respective directors, officers and affiliates may be deemed under the rules of the SEC to be participants in the solicitation of proxies from fund shareholders in connection with the proposed merger discussed in this press release. Information about the directors and officers of NTG and TYG may be found in their annual reports previously filed with the SEC.
Tortoise Capital Advisors, L.L.C. is the investment adviser to Tortoise Energy Infrastructure Corp. (TYG), Tortoise Midstream Energy Fund, Inc. (NTG), and Ecofin Sustainable and Social Impact Term Fund (TEAF) with Ecofin Advisors Limited as TEAF's sub-adviser.
The annual and semi-annual reports of NTG, TYG and TEAF and other regulatory filings with the SEC are accessible at www.sec.gov and at https://cef.tortoiseadvisors.com/. The information contained on the funds' website is not a part of this press release.
Media Contacts:
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SOURCE Tortoise Capital
FAQ
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What distribution change did TYG approve after the NTG merger?
Why is Tortoise conducting a strategic review of TEAF (NYSE: TEAF)?
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