|By Marketwired .||
|December 24, 2012 08:30 AM EST||
NEW YORK, NY -- (Marketwire) -- 12/24/12 -- Cornerstone Total Return Fund, Inc. (the "Fund") (NYSE MKT: CRF) is pleased to announce the completion of its one-for-three rights offering which expired Friday, December 21, 2012 (the "Offering"). The Offering was over-subscribed. Under the terms of the Offering, record date stockholders were entitled to purchase one newly-issued share of common stock of the Fund for every three rights held. The subscription price for each newly-issued share was determined to be $5.33 which, under the terms of the prospectus, was equal to the greater of (i) 107% of net asset value per share as calculated at the close of trading on the date of expiration of the Offering and (ii) 90% of the market price per share at such time.
Based on preliminary results provided by the Fund's subscription agent, the Fund received requests for approximately $17.7 million of its shares. Additional information regarding the method for allocating shares under the over-subscription privilege may be found in the prospectus.
The subscription price is lower than the original estimated subscription price of $5.45. Under the prospectus, any excess payment received from a stockholder will, unless otherwise indicated on the subscription certificate received from such stockholder, be applied towards the purchase of unsubscribed shares. It is anticipated that shares will be issued on or shortly after Wednesday, December 26, 2012. Stockholders are encouraged to contact their broker regarding the specifics of their account. Newly-issued shares will not be entitled to the Fund's distribution to stockholders for the month of December.
Cornerstone Total Return Fund, Inc. is a diversified, closed-end management investment company incorporated in New York, and is registered with the Securities and Exchange Commission under the Investment Company Act of 1940, as amended. The Fund is listed on the NYSE MKT under the ticker symbol "CRF".
Cornerstone Total Return Fund, Inc.