BlackRock Innovat and Growth Term ord Stock Price, News & Analysis

BlackRock Innovation and Growth Term Trust (NYSE: BIGZ) is a closed-end management investment company advised by BlackRock Advisors, LLC. According to public disclosures and press releases, the Trust is part of BlackRock’s family of closed-end funds and is associated with the finance and insurance sector, with a focus on securities and investment activities. BIGZ’s shares are listed on the New York Stock Exchange under the ticker symbol BIGZ.

The Trust has been described in BlackRock communications as the BlackRock Innovation and Growth Term Trust. BlackRock states that its purpose as an asset manager is to help more people experience financial well-being and that, as a fiduciary and provider of financial technology, it works with a broad range of investors. BIGZ operates within this broader BlackRock platform and is one of several BlackRock closed-end funds that provide investors with access to professionally managed portfolios.

Investment policies and strategy changes

BlackRock Advisors, LLC has announced that the Board of Trustees of BlackRock Innovation and Growth Term Trust approved a series of strategy changes to the Trust’s investment policies. These changes include the adoption of a new non-fundamental investment policy under which the Trust will, under normal market conditions, invest at least 80% of its total assets in a combination of equity securities issued by U.S. and non-U.S. technology companies and privately held companies. This is referred to in BlackRock’s release as the “80% Policy Change.”

The Board also approved amendments to the Trust’s fundamental investment restriction regarding industry concentration to allow the Trust to concentrate its investments in one or more industries, and a change in the Trust’s diversification status under the Investment Company Act of 1940 from diversified to non-diversified. These latter changes are subject to shareholder approval. BlackRock has stated that no changes are being proposed with respect to the Trust’s investment objectives in connection with these strategy changes.

BlackRock has indicated that the 80% Policy Change and other strategy changes that do not require shareholder approval are expected to become effective on or about February 20, 2025. In connection with these changes, the Board has approved changing the Trust’s name to BlackRock Technology and Private Equity Term Trust, and the Trust intends to change its ticker symbol from BIGZ to BTX, effective upon implementation of the strategy changes on that date. According to BlackRock’s announcement, the Trust’s current portfolio management team will be replaced by portfolio managers Tony Kim and Reid Menge when the changes are implemented.

Closed-end fund structure and tender offers

BIGZ is identified in multiple BlackRock press releases as a closed-end fund or term trust. Closed-end funds typically issue a fixed number of shares that trade on an exchange, and BlackRock has periodically announced tender offers involving BIGZ. These tender offers have provided shareholders with opportunities to tender a portion of their common shares for cash at a price based on a percentage of the fund’s net asset value per share, as described in the relevant offer documents.

BlackRock has reported that BIGZ has participated in tender offers for up to a specified percentage of its outstanding common shares, and that some of these offers were oversubscribed, leading to pro rata purchases of tendered shares. In addition, BlackRock and Saba Capital Management, L.P. disclosed an agreement under which BIGZ plans to conduct a tender offer to repurchase 50% of its outstanding common shares at a price equal to 99.5% of its net asset value per share, subject to the terms and timing outlined in the related announcements and filings.

Relationship to BlackRock and investor information

BlackRock describes itself as a fiduciary to investors and a provider of financial technology, and notes that it updates performance and other data for its closed-end funds, including BIGZ, on a monthly basis. BlackRock’s communications emphasize that investors should carefully consider a fund’s investment objective, risk factors, charges and expenses before investing, and that this information can be found in the fund’s prospectus and regulatory filings with the U.S. Securities and Exchange Commission (SEC).

For BIGZ, BlackRock has hosted conference calls featuring portfolio management and product strategy personnel to discuss the Trust. These calls have been presented as opportunities for investors and financial professionals to hear commentary on the Trust, subject to the usual investment risk disclosures. BlackRock also notes that annual and semi-annual reports and other regulatory filings of the Trust are accessible on the SEC’s website and on BlackRock’s website.

Distribution policy

BlackRock has announced that BlackRock Innovation and Growth Term Trust has adopted a managed distribution plan. Under this plan, the Trust pays monthly distributions to shareholders at an annual rate expressed as a percentage of the Trust’s 12‑month rolling average daily net asset value, calculated a set number of business days prior to each declaration date. BlackRock has stated that under the plan, the Trust will distribute all available investment income consistent with its investment objectives and tax requirements, and that if sufficient investment income is not available for a monthly distribution, the Trust may distribute long-term capital gains and/or return of capital in order to maintain the stated annual distribution rate.

BlackRock cautions that shareholders should not draw conclusions about a fund’s investment performance solely from the terms of a managed distribution plan. The amounts and sources of distributions for tax reporting purposes depend on the fund’s investment experience and may change based on tax regulations. Investors receive Form 1099‑DIV for tax reporting.

Planned name and ticker change

According to BlackRock’s January 2025 announcement, upon implementation of the strategy changes, the Trust’s name is expected to change from BlackRock Innovation and Growth Term Trust to BlackRock Technology and Private Equity Term Trust, and its ticker symbol is expected to change from BIGZ to BTX. These changes are linked to the Trust’s revised focus on equity securities of U.S. and non-U.S. technology companies and privately held companies, as described in the 80% Policy Change. The changes in name, ticker symbol and portfolio management are expected to occur on or about February 20, 2025, in connection with the implementation of the strategy changes described by BlackRock.

Regulatory and disclosure framework

BlackRock’s disclosures emphasize that investing in the Trust involves risks, including possible loss of principal. They advise that any offer to purchase shares in a tender offer is made only pursuant to an offer to purchase, a related letter of transmittal and other documents filed with the SEC as part of a Schedule TO. Shareholders and potential investors are directed to review these documents and the Trust’s prospectus and reports for detailed information on investment objectives, risks, charges and expenses.

FAQs about BlackRock Innovation and Growth Term Trust (BIGZ)

• What is BlackRock Innovation and Growth Term Trust (BIGZ)?
  BlackRock Innovation and Growth Term Trust (NYSE: BIGZ) is a closed-end management investment company advised by BlackRock Advisors, LLC. It is part of BlackRock’s family of closed-end funds and its common shares trade on the New York Stock Exchange.
• How is BIGZ classified within the financial sector?
  Based on available classifications, BIGZ operates in the finance and insurance sector and is associated with securities and investment activities, reflecting its structure as a closed-end investment fund.
• What strategy changes has BIGZ announced?
  BlackRock has announced that the Trust will adopt a new non-fundamental policy to invest at least 80% of its total assets in equity securities issued by U.S. and non-U.S. technology companies and privately held companies, and has proposed changes to its industry concentration restriction and diversification status, as described in its public release.
• Is BIGZ changing its name and ticker symbol?
  Yes. BlackRock has stated that, in connection with the strategy changes, the Trust’s name will change to BlackRock Technology and Private Equity Term Trust and its ticker symbol will change from BIGZ to BTX, effective upon implementation of the strategy changes on or about February 20, 2025.
• What is BIGZ’s managed distribution plan?
  BlackRock has reported that BIGZ pays monthly distributions under a managed distribution plan at an annual rate based on the Trust’s 12‑month rolling average daily net asset value. If investment income is insufficient to support the distribution, the Trust may distribute long-term capital gains and/or return of capital to maintain the stated rate.
• Has BIGZ conducted tender offers for its shares?
  Yes. BlackRock has announced several tender offers in which BIGZ offered to repurchase a percentage of its outstanding common shares for cash at a price based on a percentage of net asset value per share. Some of these tender offers were oversubscribed and resulted in pro rata purchases of tendered shares.
• What agreement exists between BIGZ and Saba Capital?
  According to public statements, Saba Capital Management, L.P. and BlackRock entered into agreements under which BIGZ will conduct a tender offer to purchase 50% of its outstanding common shares at a price equal to 99.5% of its net asset value per share, and Saba agreed to tender all of its common shares of the fund, withdraw certain shareholder proposals and comply with standstill covenants for a defined period.
• Where can investors find official information about BIGZ?
  BlackRock indicates that annual and semi-annual reports and other regulatory filings for the Trust are available on the SEC’s website. BlackRock also states that it updates performance and certain other data for the Trust on its website in the closed-end funds section.
• Who manages BIGZ’s portfolio?
  BlackRock has announced that, upon implementation of the strategy changes on or about February 20, 2025, the Trust’s current portfolio management team will be replaced by portfolio managers Tony Kim and Reid Menge, who are members of BlackRock’s Fundamental Equities division and have responsibilities related to technology sector and global technology equity portfolios.
• What risks does BlackRock highlight for investing in BIGZ?
  BlackRock emphasizes that investing in the Trust involves risks, including possible loss of principal. It advises investors to carefully consider the Trust’s investment objective, risk factors, charges and expenses, and to review the prospectus and related SEC filings before investing.