Close Enhanced Commodities Maturity
CLOSE ENHANCED MATURITY £1.8528 PER SHARE, SETTLEMENT DUE AROUND 5TH MARCH 2010
FOR IMMEDIATE RELEASE
Close Enhanced Commodities Fund Limited (the "Company")
MATURITY AND REDEMPTION
The Company held a Debt Security issued by Glitnir Banki HF, an Icelandic bank which was placed in receivership by the Icelandic authorities (the "Defaulting Note"). This Debt Security had a nominal value of £6.74 million, representing approximately 19 per cent of the total nominal value of the Company's Debt Securities, but it is not known at this stage whether any value can be realised or what, ultimately, that realisable value might be. As announced by the Company on 16 November 2009, a claim was submitted on the Company's behalf in respect of the Defaulting Note for a total amount equivalent to £17,025,335.40 (equating to approximately 48 pence per Participating Share). Pursuant to the Proposal detailed in the Circular dated 26 January 2010 and approved at the Extraordinary General Meeting and Class Meeting held on 19 February 2010 the Claim is being transferred to the CECF 2010 Defaulting Note Trust.
Under the terms of the Company's Articles of Association as amended at the Extraordinary General Meeting and Class Meeting held on 19 February 2010, Shareholders are therefore due to receive a Final Capital Entitlement equal to the Net Asset Value of 185.28 pence per Share and, separately, an interest in the CECF 2010 Defaulting Note Trust. The Company's investments (excluding the Defaulting Note) have now matured and the Shares are being redeemed, with redemption proceeds expected to be paid to Shareholders on or around 5 March 2010.
Redemption proceeds will be paid to all shareholders by cheque made payable to the relevant holder or in the case of joint holders to such relevant joint holders and sent at the risk of the holder(s) to the address of the holder or first named joint holder as such appears in the Company's Register of Members, or by an alternative method of payment (at the expense of the holder(s)), if writing of such alternative method from the registered holder(s) has been received by the Company's Registrar and Paying Agent, Anson Registrars Limited.