RiverNorth Capital and Income Fund Announces Results of Share Repurchase Offer
West Palm Beach, FL – In a recent business development, RiverNorth Capital and Income Fund, Inc. (RSF) reported the final results of its share repurchase offer. The offer, which closed on April 2, 2025, at 5:00 P.M. Eastern Time, allowed shareholders to submit up to 5% of their outstanding common shares for redemption. According to DST Systems, Inc., the depositary for the repurchase offer, a total of 1,536,885 shares were tendered for redemption, and 174,273 shares were successfully repurchased.
Impact on Individual Investors
For those investors who chose to participate in the repurchase offer, they have now successfully sold their shares back to the Fund at the repurchase price. This action may have several implications for these investors:
- Diversification: By selling their shares, investors may now have the opportunity to diversify their portfolios by investing in other securities or funds.
- Capital Gains: Depending on when the investors originally purchased their shares in RSF, they may have realized capital gains or losses from the sale. It’s essential to consult with a tax professional for guidance on how these gains or losses may affect their overall tax situation.
- Future Investment Decisions: Investors who have sold their shares may now be considering whether to reinvest in RSF or explore other investment opportunities.
Global Implications
The repurchase of shares by RSF also has potential implications on a larger scale:
- Market Liquidity: As a result of the repurchase, there may be a slight decrease in the number of shares available for trading in the open market, potentially impacting market liquidity.
- Impact on Fund Assets: With fewer shares outstanding, the Fund’s total net assets will decrease, which could influence its overall financial performance and market valuation.
- Investor Confidence: This repurchase could signal to investors that the Fund’s management believes the current share price does not accurately reflect the Fund’s underlying value, potentially boosting investor confidence.
Conclusion
The repurchase of 174,273 shares by RiverNorth Capital and Income Fund, Inc. marks an important development for both individual investors and the global financial market. While some investors may have chosen to sell their shares to diversify their portfolios or realize gains, others may now be considering their next investment steps. Additionally, the repurchase could have implications for market liquidity, the Fund’s financial performance, and investor confidence. As always, it’s crucial for investors to remain informed and consult with financial professionals for guidance on their individual investment strategies.
