Share issue for JPMorgan
Jennifer Lowe, 07 October 2008
The board of JPMorgan Indian Investment Trust has announced a bonus issue of subscription shares and a placing and offer for subscription of new ordinary shares with subscription shares attached.
The investment trust will issue subscription shares to existing shareholders on the basis of one for every five ordinary shares, at no extra cost. They may be exercised any time within five years at premiums ranging from one per cent to 30 per cent to the company’s published net asset value (NAV) on 29 October 2008.
The move comes in response to continued demand from investors looking to gain exposure in the Indian region.
The Indian economy has experienced rapid growth in recent years and continues to be driven by structural change, fundamental economic reform, massive infrastructure investment and a young population.
Now in its fourteenth year, the JPMorgan Indian Investment Trust has provided investors with strong returns on the back of the sharp rise in the Indian stock market over the last five years.
The investment trust’s share price has appreciated 66.1 per cent over three years and 286.7 per cent over five years, while the NAV has appreciated 75.1 per cent and 249.5 per cent respectively.
David Barron, head of investment trusts at JPMorgan Asset Management, says, ‘Subscription shares, which are similar to warrants, are a popular feature of the investment trust landscape, offering immediate value to shareholders and providing a geared investment into the market.’
For more information, visit www.jpmorgan.com
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