Result of Meeting

RNS Number : 0694B

Aberdeen Diversified I&G Trust PLC

30 March 2017

 

Aberdeen Diversified Income and Growth Trust plc

(Formerly BlackRock Income Strategies Trust plc)

Legal Entity Identifier (LEI): 2138003QINEGCHYGW702

30 March 2017

Result of General Meeting

Aberdeen Diversified Income and Growth Trust plc (the "Company") announces that all of the resolutions put forward at the General Meeting ("GM") held today have been passed.  As described in the circular to shareholders and notice of GM dated 6 March 2017 (the "Circular") -

-     Ordinary resolution 1 was to approve the new Investment Objective and Policy of the Company;

-     Ordinary resolution 2 was to approve the allotment of shares in connection with a scheme of reconstruction and winding up of Aberdeen UK Tracker Trust plc ("AUKT")*;

-     Special resolution 3 was to approve the allotment of equity securities for cash

-     Special resolution 4 was to approve the buyback of up to 20 per cent. of the Company's shares in connection with the Tender Offer*; and

-     Special resolution 5 was to approve new Articles of Association for the Company.

* Both resolutions being conditional upon the scheme of reconstruction and winding up of AUKT becoming unconditional in all respects.

Total proxy votes were cast as follows -

Resolution	For and Discretionary		Against		Votes	Total Votes
Number	No. of	% of	No. of	% of	Withheld	(excluding Votes Withheld)
	Votes	Votes Cast	Votes	Votes Cast
1	53,951,284	99.6	242,539	0.4	812,017	54,193,823
2	53,953,994	99.6	243,535	0.4	808,311	54,197,529
3	53,683,477	99.3	368,815	0.7	953,548	54,052,292
4	53,754,805	99.4	339,251	0.6	911,784	54,094,056
5	54,338,741	99.5	277,778	0.5	389,321	54,616,519

Copies of the Resolutions have been submitted to the National Storage Mechanism and will shortly be available for inspection at www.morningstar.co.uk/uk/nsm

Merger with AUKT

At the first general meeting of AUKT held at 11.00 am on 29 March 2017, the proposals for the scheme of reconstruction and winding up of AUKT were approved by AUKT shareholders.

The proposals remain conditional on the passing of a special resolution at the second general meeting of AUKT, which is being held at 11.00 am on 6 April 2017, and admission of the Company's new ordinary shares to listing on the premium segment of the Official List of the UKLA, and to trading on the Main Market of the London Stock Exchange, which is expected to occur on Monday 10 April 2017.

New Investment Objective

The Company's new investment objective is to target a total portfolio return of LIBOR plus 5.5 per cent. per annum (net of fees) over rolling five year periods.

New Investment Policy

The Company's new investment policy is to invest globally using a flexible multi-asset approach via quoted and unquoted investments. The Company has not set maximum or minimum exposures for any geographical regions or sectors and will achieve an appropriate spread of risk by investing in a diversified portfolio of securities and other assets. This includes, but is not limited to, achieving exposure to the following securities and asset classes:

·      equity driven assets, comprising developed equity, emerging market equity and private equity;

·      alternative diversifying assets including, but not limited to, high yield bonds and loans, emerging market debt, alternative financing, asset backed securities, property, social, economic, regulated and renewable infrastructure, commodities, absolute return investments, insurance linked, farmland and aircraft leasing; and

·      low return assets such as gold, government bonds, investment grade credit and tail risk hedging.

Asset allocation will be flexible allowing investment in the most attractive investment opportunities at any point in time whilst always maintaining a diversified portfolio.

The Company will comply with the following investment restrictions, at the time of investment:

·      no individual quoted company or transferable security exposure in the portfolio may exceed 15 per cent. of the Company's total assets, other than in treasuries and gilts;

·      no other individual asset in the portfolio (including property, infrastructure, private equity, commodities and other alternative assets) may exceed 5 per cent. of the Company's total assets;

·      the Company will not normally invest more than 5 per cent. of its total assets in the unquoted securities issued by any individual company; and

·      no more than 15 per cent. of the Company's total assets may be invested in an individual regulated pooled investment fund, with the exception of a global equity UCITS pooled fund which may be no more than 35 per cent. of the Company's total assets. In aggregate the largest three investments in regulated pooled funds will not comprise more than 60 per cent. of the Company's total assets.

The Company may invest in exchange-traded funds provided they are quoted on a recognised investment exchange. The Company may invest in cash and cash equivalents including money market funds, treasuries and gilts.

No more than 10 per cent. of the Company's total assets may be invested in other listed closed-ended investment companies, provided that this restriction does not apply to investments in any such listed closed-ended investment companies which themselves have published investment policies to invest no more than 15 per cent. of their total assets in other closed-ended investment companies.

The Company may use derivatives to enhance portfolio returns (of a capital or income nature) and for efficient portfolio management, that is, to reduce, transfer or eliminate risk in its investments, including protection against currency risks, or to gain exposure to a specific market.

The Company may use gearing, in the form of borrowings and derivatives, to enhance income and capital returns over the long term. The borrowings may be in sterling or other currencies. The Company's articles of association contain a borrowing limit equal to the value of its adjusted total of capital and reserves. However, borrowings would not normally be expected to exceed 20 per cent. of shareholders' funds. Total gearing, including net derivative exposure, would not normally be expected to result in a net economic equity exposure in excess of 120 per cent.

The Company may invest from time to time in funds managed by the Manager.

Tender Offer

The result of the tender offer and the tender price is expected to be announced on 6 April 2017 following the AUKT scheme becoming effective.

Terms used and not defined in this announcement shall have the meaning given to them in the Circular published by the Company on 6 March 2017.

The information contained within this announcement is considered to be inside information prior to its release as defined in Article 7 of the Market Abuse Regulation No. 596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.

Enquiries:       

Aberdeen Fund Managers Limited

William Hemmings

Gary Jones

Tel. [phone]

Cenkos Securities

Will Rogers

Tel. [phone]

Sapna Shah

Tel. [phone]

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