Aberdeen Asia-Pacific Income Fund, Inc. Announces Issuance Of Senior Secured Notes And Term Loans

Jun 13, 2013, 09:11 ET from Aberdeen Asia-Pacific Income Fund, Inc.

PHILADELPHIA, June 13, 2013 /PRNewswire/ -- Aberdeen Asia-Pacific Income Fund, Inc. (NYSE MKT: FAX) (the "Fund"), a closed-end fund, today announced that it entered into a note purchase agreement with institutional investors relating to the private placement of $200 million of senior secured notes rated 'AAA' by Fitch Ratings and also entered into a term loan agreement providing for $200 million in secured term loans from Bank of America, N.A.  Net proceeds from the senior secured notes and the term loans will be used to refinance $400 million of the Fund's existing $600 million revolving credit facility. The table below sets forth the key terms:



($ in millions)


Series A Senior Secured Notes


June 12, 2020

Series B Senior Secured Notes


June 12, 2023

Five-Year Term Loan


June 11, 2018

Three-Year Term Loan


June 11, 2016

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"The steps taken have enabled the Fund to diversify its borrowing structure, significantly extend the maturity of the leverage facility and lock in the cost of borrowing at an attractive rate given the historically low interest rate environment," said Christian Pittard, President of the Fund.

The senior secured notes will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration.

Closed-end funds are traded on the secondary market through one of the stock exchanges. The Fund's investment return and principal value will fluctuate so that an investor's shares may be worth more or less than the original cost. Shares of closed-end funds may trade above (a premium) or below (a discount) the net asset value (NAV) of the fund's portfolio. There is no assurance that a fund will achieve its investment objective. Past performance does not guarantee future results.

Investors should consider a fund's investment objectives, risks, charges and expenses carefully before investing. A copy of the prospectus for Aberdeen Asia Pacific Income Fund, Inc. that contains this and other information about the Fund may be obtained by calling 800-522-5465. Please read the prospectus carefully before investing. Investing in the Fund involves risk, including possible loss of principal.

If you wish to receive this information electronically, please contact InvestorRelations@aberdeen-asset.com



SOURCE Aberdeen Asia-Pacific Income Fund, Inc.