Publication of Elections & Residual NAV per...

ACORN INCOME FUND LIMITED (in Liquidation)

(a closed-ended investment company incorporated in Guernsey with registration number 34778)

LEI 213800UAZN7G46AHQM67

12 November 2021

Acorn Income Fund Limited (in Liquidation) (the “Company”)

Publication of Elections and Residual Net Asset Value per Ordinary Share

Further to the Company’s announcement on 12 October 2021, in which the Company was placed into liquidation, the Company announces the elections from Ordinary Shareholders (including deemed elections) and Residual NAV per Ordinary Share under the terms of the Scheme:

Elections

Shares Option (A Shares): 8,721,365 Ordinary Shares with “A” rights, being Ordinary Shares with the entitlement to receive income shares in Unicorn UK Income Fund (“UKI Shares”), an open ended fund managed by Unicorn Asset Management.

Cash Option (B Shares): 7,095,322 Ordinary Shares with “B” rights, being Ordinary Shares with the entitlement to receive cash.

Residual NAV per Share

The Residual NAV is £64,965,033.24 and the Residual NAV per Share as at the Calculation Date of 9 November 2021 is 410.7373 pence. Of this Residual NAV, £706,870.00 equivalent to 4.4691 pence per Ordinary Share, will be transferred to the Retention Fund held by the Liquidators. These amounts are in respect of a single security from the fixed interest portfolio that the Liquidator has been unable to sell, and which does not meet the investment objective of Unicorn UK Income Fund and therefore is deemed inappropriate to be part of the in specie transfer of assets, and the Liquidators’ retention of £10,000. Cash received from future sales of this security will be returned to all Ordinary Shareholders (on the register as at the Record Date), both those electing for the Cash Option and those electing for the Shares Option, on a pro rata basis at a later date. Although the security may be sold sooner, for guidance, it has a maturity date in 2024 when it is currently expected to redeem at par.

The remaining balance of £64,258,163.24 equivalent to 406.2682 pence per Ordinary Share, will be divided between electors for the Cash Option and the Shares Option in the same proportions as the elections as stated above. Therefore, Ordinary Shareholders will imminently receive the following cash and/or number of UKI Shares:

• For Ordinary Shareholders that elected to receive UKI Shares, each Ordinary Share with “A” rights attached to it will receive 1 UKI Share and the opening NAV of each UKI Share will equal 406.2682 pence.
• For Ordinary Shareholders that elected for the Cash Option, each Ordinary Share with “B” rights attached to it will receive 406.2682 pence in cash. Cheques are expected to be despatched and electronic bank transfers made in respect of the Cash Option during the week commencing 15 November 2021. Entitlements shall be rounded down to the nearest £0.01, as the case may be.

Repayment of ZDP shares

The ZDP shareholders will be paid the Final Capital Entitlement in cash equal to the aggregate ZDP Final Capital Entitlement as at 28 February 2022. The payment date for this entitlement is expected to be during the week commencing 15 November 2021.

Suspension and Cancellation of Shares

Applications have been made to the FCA and the London Stock Exchange for the cancellation of listing and trading of the Company’s Ordinary Shares and Zero Dividend Preference Shares which occurred at 8am on 12 November 2021.

Defined terms used in this announcement have the meanings given in the circular published by the Company on 23 September 2021 unless the context otherwise requires.

For information please contact:

Acorn Income Fund Limited (in Liquidation)   
c/o the Joint Liquidators
Lefebvre House
Lefebvre Street
St Peter Port
Guernsey
GY1 3TF

Tel:  [phone]

Northern Trust International Fund Administration Services (Guernsey) Limited
The Company Secretary
Trafalgar Court
Les Banques
St Peter Port
Guernsey
GY1 3QL
 
Tel:  [phone]

END