Diverse Income Trust to wind down, offering cash exit or rollover

Wed, 25th Feb 2026 17:33

(Alliance News) - The Diverse Income Trust PLC on Wednesday announced it will wind down in the second quarter, allowing investors to roll over to an open-ended fund managed by the same investment team or take a full cash exit.

The decision follows a review of options to limit its discount, particularly after "significant" redemptions in the past three years "substantially" reduced the size of the company.

Shareholders will be offered the option to roll their investment into shares in Premier Miton UK Multi Cap Income Fund, a sub-fund of Premier Miton Investment Funds 3.

The London-based investor in small and mid-cap UK equities expects this to be the default option, though investors may elect a full cash exit.

The transaction is expected to be effected as a scheme of reconstruction under section 110 of the Insolvency Act 1986 with the voluntary winding-up of the company.

The scheme is expected to take effect around the end of the second quarter of 2026.

Chair Andrew Bell said: "The board retains a high degree of confidence in Gervais Williams and Martin Turner's ability to manage UK small and mid-cap stocks in a strategy which remains attractive to many shareholders".

"However, the Board acknowledges that the size of the company has reduced substantially following a period of high redemption requests and is therefore proposing the scheme, which will provide shareholders with an opportunity to retain exposure to a similar strategy with the same managers through the rollover option," it added.

Diverse Income shares closed up 1.3% at 121.00 pence each on Wednesday in London.

By Martin Miraglia, Alliance News reporter

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