Nuveen Municipal Credit Fund Launches 1-for-4 Rights Offering at Discount
NMCO is trading near its 52-week low of $10.15 (2.5% above the low).
Summary
The fund announced a transferable rights offering allowing shareholders to buy one new share for every four rights held, at a subscription price expected to be a discount to market. The price will be 95% of the average of the last five trading days' closing prices, with a floor at 90% of NAV. Record date is September 8, 2026, and the offer expires October 7, 2026. Rights will trade on the NYSE under NMCO RTWI (when-issued) and NMCO RT. The advisor will bear all offering expenses, and the fund cites attractive high-yield municipal valuations as a reason to raise capital. This is a dilutive event for existing shareholders, but the discount and expense coverage may mitigate the impact. The fund trades near its 52-week low, which could make the offering less attractive to current holders.
At the time of this announcement, NMCO was trading at $10.40 on NYSE in the Finance sector, with a market capitalization of approximately $576M. The 52-week trading range was $10.15 to $11.00. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: BusinessWire.