BOSTON, May 14, 2021 / PRNewswire / – Eaton Vance Floating-Rate Income Plus Fund (NYSE: EFF) (the âFundâ) today announced the results of the annual meeting of shareholders held on May 14, 2021. The shareholders voted to approve the liquidation and termination of the Fund in accordance with the Liquidation and Termination Plan (the âPlanâ) adopted by the Board of Trustees of the Fund. Shareholders also voted to elect four Class II Trustees.
Liquidation. The Fund expects that the June 18, 2021 (the âEffective Dateâ), the proportional interests of shareholders in the net assets of the Fund will be determined on the basis of their respective holdings at the close of business on the Effective Date. The Fund expects that the last day of trading of the Fund’s shares in the secondary market will also be on or around June 18, 2021, and as such, before the opening of business on June 21, 2021, the Fund will cease to trade on the New York Stock Exchange.
Under the Plan, the Fund will begin the process of liquidating its portfolio for one or more cash distributions to shareholders of the Fund. The distribution to shareholders of the proceeds of the liquidation will take place as soon as possible after the Effective Date. The first distribution, which is expected to represent at least 95% of the liquidation proceeds, is currently expected to be made on or about June 24, 2021. Due to anticipated delays in the liquidation and settlement of a small number of Fund holdings, the Fund currently expects to make a second final distribution in or around October 2021, although commercial, economic and other factors may cause an earlier or later final distribution date. From the moment the Fund begins to liquidate its portfolio, the Fund may not pursue its stated investment objective, comply with its investment limits or engage in normal business activities, except for the purpose of liquidating its business and affairs, pay its debts and distribute its assets to shareholders. The Fund expects that from the close of market on or around June 18, 2021, the shares of the Fund will no longer actively trade in the secondary market and there can be no assurance that there will subsequently be a market for the purchase or sale of the shares of the Fund.
Under the Plan, all shares of the Fund outstanding on the Effective Date will be redeemed at the close of business on the Effective Date without the imposition of a redemption transaction fee. The proceeds of such redemption will be equal to the net asset value of such shares after the Fund has paid or assumed all of its fees, taxes, expenses and liabilities, including certain operational costs of liquidating the Fund. The Fund must declare and distribute realized capital gains and all net investment income to shareholders no later than the final liquidation distribution. Eaton Vance Management, the investment adviser of the Fund, intends to distribute substantially all of the net investment income of the Fund on or before final liquidation. The initial liquidation proceeds, which are expected to be distributed to shareholders on or about June 24, 2021, should include any undistributed income that would otherwise have been included in the Fund’s regular distribution in June.
The Fund expects shareholders to be able to sell their Fund shares in the secondary market until the market close on June 18, 2021. Customary brokerage fees may apply to such transactions.
Although the liquidation should not be a taxable event for the Fund, the redemption of shares of the Fund on the Effective Date will generally be treated as a sale by shareholders for federal income tax purposes. Please consult your personal tax advisor regarding the potential tax consequences of the liquidation.
If you have any questions regarding the liquidation, please contact the Fund at 1-800-262-1122.
Election of trustees. As described above, the common and preferred shareholders of the Fund, voting together as one class, voted to elect three Class II Trustees, William H., Keith quinton and Susan J. Sutherland. The preferred shareholders of the Fund, voting separately as a single class, voted to elect a class II trustee, George J. Gorman.
Eaton Vance Corp. was acquired by Morgan Stanley on March 1, 2021. Its former investment subsidiaries Eaton Vance Management, Parametric, Atlanta Capital and Calvert are now part of Morgan Stanley Investment Management, the asset management division of Morgan Stanley.
Closed-end fund stocks often trade at a discount to their net asset value. The market price of the shares of the Fund may vary from the net asset value depending on factors affecting the supply and demand of shares, such as the distribution rates of the Fund compared to similar investments, investors’ expectations regarding future distribution changes, the clarity of the Fund’s investment strategy and return expectations and investor confidence in the underlying markets in which the Fund invests. Shares of the Fund are subject to investment risk, including the possible loss of invested capital. The Fund is not a complete investment program and you could lose money investing in it. An investment in the Fund may not be suitable for all investors. Before investing, potential investors should carefully consider the Fund’s investment objective, strategies, risks, charges and expenses.
This press release is provided for informational purposes only and is not intended to constitute, and does not constitute, an offer to buy or sell shares of the Fund. Additional information about the Fund, including information on the performance and characteristics of the portfolio, is available at eatonvance.com.
Statements in this press release that are not historical facts may be forward-looking statements, as defined by United States securities laws. You should exercise caution in interpreting and relying on forward-looking statements, as they are subject to uncertainties and other factors which may be beyond the control of the Fund and could cause actual results to differ materially from. those set forth in forward-looking statements.
SOURCE Eaton Vance Management