Magellan High Conviction Trust - IPO

Magellan Asset Management Limited (“Magellan”) is pleased to announce that the initial public offering (“Offer”) of units (“Units”) in a new ASX-listed investment trust, the Magellan High Conviction Trust (the “Trust”) is now open for applications.

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Overview

The Trust is expected to be listed on the ASX (ASX code: MHH) and will be managed by Magellan. Through the Offer, Magellan is seeking to raise a minimum of $250 million. A Product Disclosure Statement (“PDS”) for the Trust was lodged with the Australian Securities & Investments Commission on 13 August 2019.

The Offer opened on 21 August 2019 and is expected to close on 27 September 2019.

The Trust will replicate the investment strategy of the unlisted Magellan High Conviction Fund, which was established on 1 July 2013 and has achieved returns of 16.6% per annum net of fees since inception to 31 July 20191The Trust will invest in a concentrated portfolio of 8 to 12 high quality global companies weighted towards Magellan's best investment ideas. Magellan will be the investment manager and act as the responsible entity of the Trust, with Hamish Douglass and Chris Wheldon acting as the portfolio managers.

 
Key Information

Security

Magellan High Conviction Trust (ASX: MHH)

Offer price per Unit

$1.50

Pro Forma Net Asset Value per Unit

$1.50

Priority Offer

  • Priority Offer to shareholders in Magellan Financial Group Limited and investors in Magellan Global Trust and Magellan High Conviction Fund (each an “Eligible Vehicle”) as at 12 August 2019
  • Priority Applicants will be invited to subscribe for up to 33,334 Units (equivalent to approximately $50,000) per holding in an Eligible Vehicle
  • Priority Applicants may be eligible to receive a benefit in the form of additional units of 7.5% of the number of Units allotted to them under the Priority Offer (subject to vesting and other conditions outlined in the PDS) 

General Public Offer

  • Available to members of the general public who have a registered address in Australia and New Zealand
  • General Public Offer Applicants may be eligible to receive a benefit in the form of additional units of 2.5% of the number of Units allotted to them under the General Public Offer (subject to vesting and other conditions outlined in the PDS)

How to Apply

Applications can be made through the Offer website: www.magellanhighconvictiontrust.com.au.


1  Past performance is not necessarily indicative of future performance

Key Documents
 
Further information

If you have any questions, please visit www.magellanhighconvictiontrust.com.au contact Magellan High Conviction Trust Offer Information Line on 1800 222 722 (within Australia) or +61 2 9290 9699 (outside Australia) or a member of Magellan’s Distribution team.

Important Information: Units in the Magellan High Conviction Trust (Trust) are issued by Magellan Asset Management Limited (ABN 31 120 593 946, AFS Licence No 304 301). This material does not constitute an offer to sell, or the solicitation of an offer to buy, any financial products. This material has been provided for general information purposes and must not be construed as investment advice. This material has been prepared without taking into account the investment objectives, financial situation or particular needs of any particular person. Investors should consider obtaining professional investment advice tailored to their specific circumstances and should read the relevant Product Disclosure Statement (PDS) prior to making any investment decisions. The PDS is available via www.magellanhighconvictiontrust.com.au or can be obtained by calling the Magellan High Conviction Trust Offer Information Line on 1800 222 722 (within Australia) or +61 2 9290 9699 (outside Australia) between 8:30am and 5:00pm (Sydney time) Monday to Friday.