This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Gabelli Equity Trust Announces Preferred Share Rights Offering Record Date And Summary Of Terms

Stocks in this article: GAB GBL

The Gabelli Equity Trust Inc. (NYSE: GAB) (the “Fund”) has previously announced the Board of Directors’ approval of a transferable rights offering (the “Offer” or “Offering”) to the Fund’s existing 6.20% Series F Cumulative Preferred Stock (the “Series F Preferred”) shareholders. The Offering to acquire Series G Cumulative Preferred Stock (the “Series G Preferred”) will be made only to Series F Preferred shareholders by means of a prospectus, and this letter does not constitute an offer to sell, or a solicitation of an offer to buy, any of the Fund’s securities.

The Series G Preferred will pay distributions quarterly and for the first twelve months beginning from the date of issuance will have an annual dividend rate of 6.00% and thereafter will have an annual dividend rate of 5.00% for all future dividend periods.

SUMMARY OF THE TERMS OF THE OFFER

  • Each shareholder will receive one transferrable right (the “Right”) for each share of Series F Preferred held on the record date (June 22, 2012).
  • One Right plus $25.00 (the “Subscription Price”) will be required to purchase one share of Series G Preferred pursuant to the offering (the “Primary Subscription”). The purchase price will be payable in cash, by surrender of Series F Preferred at liquidation preference or any combination of cash and such shares.
  • Record date shareholders who fully exercise their Primary Subscription Rights will be eligible for an over-subscription privilege entitling these shareholders to subscribe, subject to certain limitations and a pro-rata allotment, for any additional shares of Series G Preferred. Rights acquired in the secondary market may not participate in the oversubscription privilege.
  • The Fund’s Series F Preferred shares are expected to trade “Ex-Rights” on the New York Stock Exchange on June 20, 2012 and the Rights are expected to begin trading for normal settlement through the NASDAQ Capital Market on or about June 28, 2012.
  • The offering expires at 5:00 PM Eastern Time on July 24, 2012, unless extended.

An application for listing with the New York Stock Exchange will be filed for the Series G Preferred.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,959.44 +154.64 0.87%
S&P 500 2,078.54 +7.89 0.38%
NASDAQ 4,781.4240 +16.0440 0.34%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs