As reported in a newly-amended 13D filing with the US Securities and Exchange Commission, Boaz Weinstein‘s Saba Capital disclosed a proposal letter sent to the Franklin Ltd Duration Income Trust (NYSEMKT:FTF) asking from the board of directors to “consider authorizing a self-tender offer for all outstanding common shares of the Franklin Ltd Duration Income Trust (NYSEMKT:FTF) at or close to net asset value.”And, if more than 50% of the total amount of shares are submitted for tender, then the tender should be called off, and Franklin Ltd Duration Income Trust (NYSEMKT:FTF) should be either reformed into an open-end mutual fund or liquidated. Saba Capital owns 4.03 million shares of Franklin Ltd Duration Income Trust (NYSEMKT:FTF), which account for 15.03% of the company’s outstanding stock as calculated based upon 26.84 million shares outstanding reported in the company’s annual report to shareholders, filed on December 1, 2015. This is slightly more compared to 3.89 million shares Saba Capital reported in a previous 13D filing.
Franklin Ltd Duration Income Trust (NYSEMKT:FTF) is a closed-end investment company that invests in the fixed markets, such as floating rate bank loans, asset-backed securities, and high yield corporate bonds, to name a few. The company’s shares have dropped by 7.05% over the last 12 months.
At the end of December 2015, among the hedge funds and other institutional investors tracked by Insider Monkey, just two funds reported long positions in Franklin Ltd Duration Income Trust (NYSEMKT:FTF), including Saba Capital, which held the biggest position worth about $26,01 million in stock. The other hedge fund bullish on this stock is Andrew Weiss’ Weiss Asset Management, which reported a position valued at $194,000.
You can access the original SEC filing by clicking here.
Ownership Summary Table
| Name | Sole Voting Power | Shared Voting Power | Sole Dispositive Power | Shared Dispositive Power | Aggregate Amount Owned Power | Percent of Class |
|---|---|---|---|---|---|---|
| Saba Capital Management | 0 | 4,032,405 | 0 | 4,032,405 | 4,032,405 | 15.03% |
| Boaz R. Weinstein | 0 | 4,032,405 | 0 | 4,032,405 | 4,032,405 | 15.03% |
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Page 1 of 7 – SEC Filing
| SECURITIES AND EXCHANGE COMMISSION | |
| Washington, D.C. 20549 | |
| SCHEDULE 13D | |
| Under the Securities Exchange Act of 1934 | |
| (Amendment No. 1)* | |
| Franklin | |
| (Name of Issuer) | |
| Common Stock, | |
| (Title of Class of Securities) | |
| 35472T101 | |
| (CUSIP Number) | |
| Saba Capital 405 Lexington Avenue 58th Floor New York, NY 10174 Attention: Michael D’Angelo (212) 542-4635 with a copy to: Eleazer Klein, Esq. Schulte Roth & Zabel LLP 919 Third Avenue New York, New York 10022 (212) 756-2000 | |
| (Name, Address and Telephone Number of Person | |
| Authorized to Receive Notices and Communications) | |
| April 20, | |
| (Date of Event Which Requires Filing of This Statement) | |
If the filing person has previously filed a statement on Schedule
13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), Rule
13d-1(f) or Rule 13d-1(g), check the following box. ý
(Page 1
of 7 Pages)
______________________________
* The remainder of this cover page shall be filled out for a reporting
person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing
information which would alter disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall
not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934 (“Act”) or
otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however,
see the Notes).
