Benzinga | May 12, 2021 04:48PM EDT

Saba Capital Reaches Agreements With Three Eaton Vance Closed-End Funds

Saba Capital Management, L.P. and certain associated parties (collectively "Saba") today announced that it has reached an agreement with Eaton Vance Management with respect to each of Eaton Vance Senior Income Trust (NYSE:EVF), Eaton Vance Floating-Rate Income Trust (NYSE:EFT), and Eaton Vance Senior Floating-Rate Trust (NYSE:EFR) (the "Funds").

Under the terms of the agreements, Eaton Vance Senior Income Trust, Eaton Vance Floating-Rate Income Trust, and Eaton Vance Senior Floating-Rate Trust will commence cash tender offers for up to 60%, 50%, and 50%, respectively, of the Funds' outstanding shares of common stock at a price per share equal to 99% of the Funds' respective net asset values ("NAV") per share. The Funds will repurchase shares tendered and accepted in the tender offers in exchange for cash.

The Funds also agreed to three conditional year-end tender offers for up to 10% of their then outstanding common shares at 98% of NAV, in the event the average discount to the respective fund's NAV from January 1 through August 31 of each of 2022, 2023, and 2024 exceeds 10% based on the respective fund's volume-weighted average market price and NAV on the business days during such period. In addition, Saba has agreed to certain standstill covenants.