(Alliance News) - Gabelli Value Plus Trust PLC said Wednesday it is proposing to undertake a tender offer for up to 15% of the trust's issued share capital.
Gabelli Value will post a circular to shareholders "in due course" setting out the details of the proposed tender offer. The trust will then hold a general meeting.
Shares in Gabelli Value were 3.2% higher in London on Wednesday at 131.60 pence each.
The trust also is looking to amend its continuation vote provision, which was agreed on at the company's IPO in early 2015.
When the trust listed, it agreed to hold a continuation vote every five years if the trust traded, on average, at a discount in excess of 10% of net asset value per share in that fifth year. The next eligible year is the current one, ending March 2020.
Instead, Gabelli Value is hoping to change it and propose a continuation vote every two years, starting from 2020. The trust said the new proposal will not be subject to any pre-conditions, such as the NAV discount.
Gabelli Value said this new proposal in the best interest of shareholders.