Magellan Partnership Offer

Magellan have consolidated three of its existing global equities retail funds into a single fund, the Magellan Global Fund. Magellan are offering eligible unit holders the ability to subscribe to closed class units via the MGF Global Fund Partnership Offer (“the Offer”) which may provide certain benefits. In summary, Magellan are inviting you to invest more money in the Magellan Global Fund, and if you do, you will receive certain incentives.

What is the offer? 
For every $4 of existing Magellan units you held on 8 December 2020 (trading codes MGG, MGE or MGF (MGG and MGE no longer exist), you will be entitled to buy a further $1 of units in the Magellan Global Fund under the offer.* In addition, you will receive:

  • Additional closed class units in the Magellan Global Fund equal to the value of 7.5% of the extra units purchased under the offer. These units will be paid for by the Magellan Group and not the Magellan Global Fund or its unit holders.
  • One MGF option for each closed class unit allotted under the Offer. Each MGF option will be exercisable into one closed class unit with the exercise price set at a 7.5% discount to the estimated net asset value per closed class unit at the time of exercise. MGF options are intended to be quoted on the ASX under the ticker MGFO and will have a three-year term. These options are tradeable.
*If you sold some of your existing Magellan units before 8 January 2021, it reduced your ability to purchase further units under the offer by the equivalent amount.

To Participate In The Offer

  • To participate in the offer, you must let us know on or before 16 February 2021.
  • If you participate in the offer before 16 February 2021, you can exercise the options and purchase additional units at a 7.5% discount on any business day between 1 June 2021 and 1 March 2024, as per the Magellan Global Fund Partnership Offer PDS. However, if you purchase options after that date from other unitholders, they can only be exercised from the beginning of the next financial quarter until 1 March 2024. For example, if you purchase the options from another unit holder on 3 July 2021, you can exercise the option from 1 October 2021.

Please read the Magellan Partnership Offer – Asparq Client Fact Sheet for more information. If you have any questions please contact your Asparq Financial Adviser.

General Disclaimer:

The information contained herein is of a general nature only and is not intended to be relied upon nor is it a substitute for appropriate professional advice. Whilst all care has been taken in the preparation of the material, it is not guaranteed to be accurate. Individual circumstances are different and as such require specific examination. Asparq cannot accept liability for any loss or damage of any kind arising out of the use of or reliance upon all or any part of this material. Additional information may be made available upon request.

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