VTA - VTA: Reorganization To Reward Long-Term Investors

• VTA pays monthly dividends and yields 7.77% current prices.
• Its strategy of opportunistically investing in leveraged loans and bonds has delivered solid returns over the past decade.
• VTA's chronic NAV discount has attracted activist pressure. VTA recently announced plans to conduct a tender offer at 98.5% of NAV for up to 20% of outstanding shares.
• Additionally, shareholders will vote on a proposal to convert to an interval fund structure, which will require quarterly share repurchases on an ongoing basis. However, the new fund will also be non-traded.
• Overall, the reorganization is likely to be favorable for long-term investors. If this process succeeds, it will also have important implications for the broader closed-end fund space.

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