BlackRock Science and Technology Trust Announces Terms of Rights Offering
BlackRock Science and Technology Trust (NYSE: BST) (the "Trust") today announced that its Board of Trustees (the "Board") has approved the terms of the issuance of transferable rights ("Rights") to the holders of the Trust's common shares of beneficial interest (par value $0.001 per share) ("Shares") as of June 18, 2021 (the "Record Date"). Holders of Rights will be entitled to subscribe for additional Shares (the "Offer") at a discount to the market price of the Shares.
After considering a number of factors, including potential benefits and costs, the Board and the Fund's investment adviser, BlackRock Advisors, LLC (the "Adviser"), have determined that it is in the best interests of both the Trust and its shareholders to conduct the Offer and increase the assets of the Trust available to take advantage of existing and future investment opportunities that may be or may become available, consistent with the Trust's investment objective of providing income and total return through a combination of current income, current gains and long-term capital appreciation. All expenses of the Offer, including sales commissions, will be borne by the Adviser, and not by the Trust or any of the Trust's shareholders.
The Adviser believes this is an attractive time to raise additional assets for the Trust based on several factors, including the following potential benefits:
"The technology sector is underpinned by powerful secular themes such as digital commerce and artificial intelligence that are reshaping our everyday lives and creating exponential change. In BST, we invest across public and private companies to capture innovative and disruptive technologies with significant growth potential. Raising additional capital will allow us to allocate to new investments and mitigate portfolio turnover that may otherwise trigger a taxable event for shareholders.," said Tony Kim, Portfolio Manager for the Trust and the Global Technology (News - Alert) funds.
The Trust expects to maintain its current distribution level following the Offer. Additionally, the Trust declared a regular monthly distribution payable on June 30, 2021, with a record date of June 15, 2021, and a regular monthly distribution payable on July 30, 2021, with a record date of July 6, 2021, neither of which will be payable with respect to Shares that are issued pursuant to the Offer as such issuance will occur after these record dates. Shares issued pursuant to the Offer will be entitled to receive the monthly distribution expected to be payable in August.
Certain key terms of the Offer include:
The information in this press release is not complete and is subject to change. This document is not an offer to sell any securities and is not soliciting an offer to buy any securities in any jurisdiction where the offer or sale is not permitted. This document is not an offering, which can only be made by a prospectus. Investors should consider the Trust's investment objectives, risks, charges and expenses carefully before investing. The Trust's prospectus supplement and accompanying prospectus will contain this and additional information about the Trust and additional information about the Offer, and should be read carefully before investing. For further information regarding the Offer, or to obtain a prospectus supplement and the accompanying prospectus, when available, please contact the Trust's information agent:
The Trust's at-the-market offering of Shares, including the distribution and sub-placement agent agreements related thereto, will remain suspended during the course of the Offer.
BlackRock's purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com | Twitter (News - Alert): @blackrock | Blog: www.blackrockblog.com | LinkedIn (News - Alert): www.linkedin.com/company/blackrock
Availability of Fund Updates
BlackRock will update performance and certain other data for the BlackRock closed-end funds on a monthly basis on its website in the "Closed-end Funds" section of www.blackrock.com as well as certain other material information as necessary from time to time. Investors and others are advised to check the website for updated performance information and the release of other material information about the Funds. This reference to BlackRock's website is intended to allow investors public access to information regarding the Funds and does not, and is not intended to, incorporate BlackRock's website in this release.
This press release, and other statements that BlackRock or the Funds may make, may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act, with respect to the Funds' or BlackRock's future financial or business performance, strategies or expectations. Forward-looking statements are typically identified by words or phrases such as "trend," "potential," "opportunity," "pipeline," "believe," "comfortable," "expect," "anticipate," "current," "intention," "estimate," "position," "assume," "outlook," "continue," "remain," "maintain," "sustain," "seek," "achieve," and similar expressions, or future or conditional verbs such as "will," "would," "should," "could," "may" or similar expressions.
BlackRock cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made, and BlackRock assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance.
With respect to the Funds, the following factors, among others, could cause actual events to differ materially from forward-looking statements or historical performance: (1) changes and volatility in political, economic or industry conditions, the interest rate environment, foreign exchange rates or financial and capital markets, which could result in changes in demand for the Funds or in the Funds' net asset value; (2) the relative and absolute investment performance of the Funds and its investments; (3) the impact of increased competition; (4) the unfavorable resolution of any legal proceedings; (5) the extent and timing of any distributions or share repurchases; (6) the impact, extent and timing of technological changes; (7) the impact of legislative and regulatory actions and reforms, including the Dodd-Frank Wall Street Reform and Consumer Protection Act, and regulatory, supervisory or enforcement actions of government agencies relating to the Funds or BlackRock, as applicable; (8) terrorist activities, international hostilities, health epidemics and/or pandemics and natural disasters, which may adversely affect the general economy, domestic and local financial and capital markets, specific industries or BlackRock; (9) BlackRock's ability to attract and retain highly talented professionals; (10) the impact of BlackRock electing to provide support to its products from time to time; and (11) the impact of problems at other financial institutions or the failure or negative performance of products at other financial institutions.
Annual and Semi-Annual Reports and other regulatory filings of the Funds with the SEC (News - Alert) are accessible on the SEC's website at www.sec.gov and on BlackRock's website at www.blackrock.com, and may discuss these or other factors that affect the Funds. The information contained on BlackRock's website is not a part of this press release.
What are NFTs Really About?
Session Details Coming Soon
Keynote Presentation by Zoom