PHILADELPHIA, Dec. 6, 2013 /PRNewswire/ -- Aberdeen
Emerging Markets Smaller Company Opportunities Fund, Inc. (the
"Fund") (NYSE MKT: ETF), announced today that the Fund's
Board of Directors has declared a capital gain and net investment
income distribution in the amount of $6.02616 per share. The capital gain
portion of the distribution is comprised of long-term capital gains
of $5.68085 and short-term capital
gains of $0.17209. The net
investment income portion of the distribution will be $0.17322.
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The distribution will be payable on January 31, 2014 to stockholders of record on
December 20, 2013. The
distribution will be paid in shares of the Fund's common
stock. Stockholders may, however, request that their
distribution be paid in cash in lieu of common stock. The
Fund will limit the aggregate amount of cash to be paid out in the
distribution to all stockholders to 60% of the aggregate dollar
amount of the total distribution. If cash distribution
requests exceed this limit, the Fund will pro-rate the cash
distribution among all stockholders who have made such requests,
based on the amounts requested. Requesting stockholders who
do not receive 100% of their distribution in cash, will receive the
balance in shares of common stock of the Fund. Stockholder
requests to receive cash in lieu of stock must be received by
Computershare Trust Company, N.A., the Fund's transfer agent, not
later than 4 p.m. (New York time) on January 22, 2014. All fractional shares will be
paid in cash. A written notice of the planned distribution will be
sent to stockholders. The written notice will include
instructions on how stockholders can request to receive cash in
lieu of stock.
The per share value of shares of the Fund's common stock to be
issued in the special cash distribution will be determined on
January 23, 2014. The per share
value will be the average trading price of the Fund's common shares
on the NYSE MKT as of the close of trading during a three-business
day period ending on January 23,
2014.
The Board of Directors of the Fund considered available options,
including an all-cash distribution or a cash election distribution
with higher caps or no cap on the cash component, and approved the
capped cash election distribution at the proposed 60% level for the
following reasons:
- The size and anticipated non-recurring nature of the
gains.
- The adverse long-term impact on the Fund's total expense ratio
and investable capital expected if the distribution was paid
entirely in cash.
- The potential market impact of selling the Fund's portfolio
securities at a time when market conditions may be less favorable
to shareholders' long-term interests and the transaction costs
associated with such disposals.
- The additional tax implications if further gains were generated
as a result of the sale of portfolio securities to raise cash to
meet an all-cash or high-cash distribution.
Stockholders who have questions regarding the distribution may
contact AST Fund Solutions, LLC at 1-866-796-3420. In addition, the
Fund has posted on its website, www.aberdeenetf.com, information
regarding the distribution.
The Fund is a closed-end management investment company that
seeks long-term capital appreciation. The Fund's investment policy
is to invest at least 80% of the Fund's net assets in equity
securities of emerging market smaller company issuers.
Aberdeen Emerging Markets Smaller Company Opportunities Fund,
Inc. is listed on the NYSE MKT under the ticker symbol
"ETF".
Circular 230 disclosure: To ensure compliance with requirements
imposed by the U.S. Treasury, we inform you that any U.S. tax
advice contained in this communication (including any attachments)
is not intended or written to be used, and cannot be used, for the
purpose of (i) avoiding penalties under the Internal Revenue Code
or (ii) promoting, marketing or recommending to another party any
transaction or matter addressed herein.
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.
If you wish to receive this information electronically, please
contact: InvestorRelations@aberdeen-asset.com
www.aberdeenetf.com
SOURCE Aberdeen Emerging Markets Smaller Company Opportunities
Fund, Inc.