REG-Fidelity Emerging Markets Ltd: Discount Control Policy - Announcement of tender offer

Fidelity Emerging MarketsAnnouncement

27/11/2023 14:00

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, DIRECTLY OR
INDIRECTLY, IN OR INTO ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A
VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS DEFINED FOR THE PURPOSES OF
ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU NO. 596/2014), AS IT FORMS PART
OF THE UNITED KINGDOM DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION
(WITHDRAWAL) ACT 2018, AS AMENDED.

 

Fidelity Emerging Markets Limited (the 'Company')

Legal Entity Identifier: 213800HWWQPUJ4K1GS84

 

 

Discount Control Policy – Announcement of tender offer  

The Board of Directors is mindful that the Company’s shares have traded at a
discount to NAV for some time, and frequently deliberates appropriate discount
control mechanisms to address the imbalance between the demand and supply of
the Company’s shares. In recognition of this, on 13 November 2023, the
Company implemented a share buyback programme to repurchase up to 14.99% of
issued share capital, subject to authority for such repurchases being renewed
at the Annual General Meeting on 7 December 2023. The Board intends to
continue using its buyback programme to address the discount to NAV with the
ambition that it may ultimately be maintained in single digits in normal
market conditions on a sustainable basis.

 

In addition, and in recognition of the imbalance between demand and supply of
the shares, the Board has decided to undertake a tender offer for up to 15% of
issued share capital to be announced in Q1 2024 to support the share buyback
programme. The pricing of the tender offer is expected to be at the prevailing
NAV per share less 2 per cent. The tender offer will be subject to shareholder
approval, which will be sought at a general meeting of the Company. Further
details of the structure and timing of the tender offer and associated general
meeting will be announced in due course.

 

For further information, please contact:

 

 George Bayer Fidelity International george.bayer@fil.com +44 (0)20 7961 4240                                     
 Gaudi Le Roux Jefferies International Limited gleroux@jefferies.com  +44 (0)20 7548 4060  +44 (0)79 7772 0950    
 Rupert Budge J.P. Morgan Cazenove +44 207 134 7837  M: +44 747 591 6106  rupert.budge@jpmorgan.com               

 

This announcement or any part of it does not constitute or form part of any
offer to issue or sell, or the solicitation of an offer to acquire, purchase
or subscribe for, any securities in the United States, Canada, Australia,
Japan or South Africa or any other jurisdiction in which the same would be
unlawful.

 

The making of a tender offer in, or to persons who are citizens or nationals
of, or resident in, jurisdictions outside the United Kingdom or to custodians,
nominees or trustees for citizens, nationals or residents of jurisdictions
outside the United Kingdom may be prohibited or affected by the laws of the
relevant overseas jurisdiction.

 

This announcement includes statements that are, or may be deemed to be,
forward-looking statements. These forward-looking statements involve known and
unknown risks and uncertainties, many of which are beyond our control and all
of which are based on the Directors' current beliefs and expectations about
future events. Forward-looking statements are sometimes identified by the use
of forward-looking terminology such as "believe", "expect", "may", "will",
"would", "could", "should", "shall", "risk", "intend", "estimate", "aim",
"plan", "predict", "continue", "assume", "positioned", "anticipate", "hope" or
"target" or the negative thereof, other variations thereon or comparable
terminology. These forward-looking statements include all matters that are not
historical facts. These forward-looking statements and other statements
contained in this announcement regarding matters that are not historical facts
involve predictions and by their nature, forward-looking statements involve
risk and uncertainty because they relate to future events and circumstances.
No assurance can be given that such future results will be achieved; actual
events or results may differ materially as a result of risks and uncertainties
we face. Such risks and uncertainties could cause actual results to vary
materially from the future results indicated, expressed, or implied in such
forward-looking statements. The Company and the Directors expressly disclaim
any obligation or undertaking to update these forward-looking statements
contained in the document to reflect any change in their expectations or any
change in events, conditions, or circumstances on which such statements are
based unless required to do so by applicable law, the Prospectus Regulation
Rules, the Listing Rules, or the Disclosure Guidance and Transparency Rules of
the FCA or Regulation (EU) 596/2014, which is part of UK law by virtue of the
European Union (Withdrawal) Act 2018, as amended from time to time.

 

No statement in this announcement or incorporated by reference into this
announcement is intended to constitute a profit forecast or profit estimate
for any period, nor should any statement be interpreted to mean that earnings
or earnings per share will necessarily be greater or less than those for the
preceding financial periods of the Company.

 



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