Restructure Overview

The proposed restructure looks to combine the Magellan Global Equities Fund (MGE) and the Magellan Global Trust (MGG) with the Magellan Global Fund, simplifying Magellan’s global equity offering for investors into a single unified flagship trust with open class units and closed class units. Magellan believes the proposed restructure has a number of benefits for unitholders, which are set out in detail in the Explanatory Memorandum for each fund.

Should the restructure be implemented, the Magellan Global Fund will have two unit classes on issue, Open Class Units and Closed Class Units, that provide investors with exposure to the same investment strategy of Magellan Global Fund, however:
 

Open Class Units will be quoted on the ASX and will operate as an Active ETF providing holders of these units with the ability to buy and sell units on the ASX or apply and redeem their investment directly with Magellan on a daily basis.


Closed Class Units
will be quoted on the ASX under the ASX Listing Rules.


Post-Restructure MGF Partnership Offer and Bonus MGF Options Issue

Should the Restructure proceed, and subject to the necessary regulatory approvals, Magellan intends to undertake a $1 for $4 offer to subscribe for Closed Class Units and issue of bonus options. As part of Magellan Financial Group’s partnership approach with investors in Closed Class Units and to minimise dilution, Magellan Financial Group will fund both the 7.5% additional Closed Class Unit partnership benefit and the 7.5% MGF Option exercise price discount.

Product disclosure statements for the MGF Partnership Offer and Bonus MGF Option Issue are expected to be lodged with ASIC in January 2021. 

To be eligible to participate in the MGF Partnership Offer, you must be a unitholder in Magellan Global Fund on the record date of 8 December 2020. Entitlements under the MGF Partnership Offer will be determined on the Calculation Date which is expected to be 8 January 2021. To be eligible to participate in the proposed Bonus MGF Option Issue, you must be a Closed Class Unitholder in Magellan Global Fund on the Bonus MGF Option Issue Record Date, expected to be 26 February 2021.

The Bonus MGF Option Issue is only available to eligible Closed Class Unitholders and will not be offered to Open Class Unitholders.

Restructure rationale

In Conversation with Brett Cairns (CEO) 

 

Magellan Financial Group’s CEO, Dr Brett Cairns discusses the proposed Restructure, the rationale and benefits, as well as the important partnership benefits for investors who choose to take up the MGF Partnership Offer

(Viewing time: 22 mins)

What do I need to do?

Please click below to access further information for each fund, including the
Notice of Meeting, Explanatory Memoranda and instructions on how to vote.

Key dates

Key Dates
Voting Record Date 23 November 2020, 7.00pm
Unitholder meetings for MGF, MGG and MGE 25 November 2020
If approved by unitholders, and all other conditions precedent are fulfilled or waived, the following key dates will apply
Second Judicial Advice hearing 26 November 2020
Effective Date 27 November 2020
MGE and MGG units are suspended from trading on ASX 27 November 2020, Close of business
Open Class Units and Closed Class Units commence trading on ASX on a deferred settlement basis 30 November 2020, 12.00pm
Record Date for MGE Trust Scheme and MGG Trust Scheme 1 December 2020
Implementation Date 8 December 2020
Normal trading in Open Class Units and Closed Class Units commences 9 December 2020
If the Restructure is implemented and subject to the necessary regulatory approvals, the following key dates for the MGF Partnership Offer and Bonus MGF Option Issue are expected to apply.
Record date for MGF Partnership  Offer 8 December 2020
MGF Partnership Offer Calculation Date 8 January 2021
Expected date the MGF Partnership Offer opens 18 January 2021
Expected date the MGF Partnership Offer closes 23 February 2021
Bonus MGF Option Issue Record Date (for Closed Class Unitholders) 26 February 2021
Expected date for the allotment of Closed Class Units and MGF Options under the MGF Partnership Offer and Bonus MGF Option Issue 1 March 2021

Dates and times are indicative only and are subject to change. Unless otherwise specified, all times and dates refer to Sydney time.

Contact us

If, after reading the Explanatory Memorandum, you have any questions regarding the Restructure or the upcoming unitholder meetings, please contact the relevant unitholder information line, as outlined below, or consult your legal, investment or other professional advisor.

Magellan Global Fund (Mainstream Fund Services): 1300 127 780 (Australia) or +61 2 8259 8566 (International) between 8.30am and 5.30pm (AEDT) Monday to Friday.

MGE (Link Market Services): +61 1800 206 847, between 7.00am and 8.00pm Monday to Friday (AEDT);

MGG (Boardroom Pty Limited): 1300 005 016 (Australia) or +61 2 9290 9600 (International), between 8.15am and 5.30pm Monday to Friday (AEDT).