XFLT Board Delays Shareholder Vote on Sub-Adviser Switch, Octagon Claims Opposition
XFLT sits 24% above its 52-week low of $14.925 on light trading volume (0.2× avg).
Summary
The Board adjourned today's special meeting without a vote on replacing Octagon as sub-adviser, a move Octagon says shows shareholders have rejected the proposal. Octagon, the current sub-adviser and a shareholder, is now pushing for a 10-year term trust, an unconditional 25% tender offer, a fee cut to 1.3%, and a board overhaul. This escalates the proxy fight that has seen dueling filings and a contested tender offer from the Board. The adjournment signals the Board lacks votes, increasing uncertainty and pressure for a resolution that could significantly impact the fund's discount to NAV.
At the time of this announcement, XFLT was trading at $18.56 on NYSE in the Finance sector, with a market capitalization of approximately $282.1M. The 52-week trading range was $14.93 to $28.50. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: BusinessWire.