DWS municipal funds announce tender offers for outstanding preferreds

By Marisa Wong

Madison, Wis., Sept. 27 - DWS Municipal Income Trust (KTF) and DWS Strategic Municipal Income Trust (KSM) each announced a tender offer for up to 100% of its outstanding preferred shares.

The offers began on Sept. 27 and will expire on Oct. 26.

KTF is offering to purchase its outstanding remarketed preferred shares at a price equal to 96% of the preferreds' per share liquidation preference of $5,000, or $4,800 per remarketed preferred, plus any unpaid dividends accrued through the tender offer expiration date.

KSM is offering to purchase its outstanding auction-rate preferred shares at a price equal to 96% of the auction-rate preferreds' per share liquidation preference of $25,000, or $24,000 per auction-rate preferred, plus any unpaid dividends accrued through the tender offer expiration date.

KTF's tender offer is conditioned upon receiving tenders for at least 90% of its outstanding remarketed preferred shares. KSM's offer is conditioned on receiving tenders for at least 70% of its outstanding auction-rate preferreds.

In addition, each fund's tender offer is conditioned upon the successful completion of a current refinancing transaction in an amount equal to the total liquidation preference of the tendered preferred shares accepted by that fund.

Deutsche Bank Trust Co. Americas (800 735-7777) is the information agent for the offers.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.