Aberdeen Asia-Pacific Announces Performance Data
May 3rd, 2008 | by admin |Aberdeen Asia-Pacific Income Investment Company Limited (TSX: FAP), a closed-end investment company trading on The Toronto Stock Exchange, today announced performance data and portfolio composition details as of March 31, 2008.
As of March 31, 2008, the Company’s net assets, including C$169.3 Million in bank borrowing, amounted to C$573.6 Million. The net asset value per ordinary share was C$7.70. As of March 31, 2008, the average maturity of the portfolio was 8.2 years.
A revolving credit loan facility, in the amount of US$120,000,000, was entered into on October 5, 2006 with the Bank of Nova Scotia, in order to fund the redemption of the Company’s Auction Market Preferred Stock that took place in October 2006. The revolving credit loan facility was amended with effect from October 3, 2007, to increase the facility from $120,000,000 to $165,000,000. The leverage is used with the intent of enhancing returns by borrowing at interest rates that are lower than the relatively higher yields of the Asian-Pacific fixed income securities in which the Company invests.
The Company has entered into interest rate swap agreements in order to fix the interest payable on an aggregate notional amount of US$48 million, which represents 29% of the bank loan facility. Details regarding the revolving credit loan facility and the interest rate swap are contained in the Company’s annual and semi-annual reports to shareholders. — www.cnxmarketlink.com
