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Priority Income Fund Inc. Revises Liquidity Strategy

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Priority Income Fund, a non-traded closed-end fund, filed a prospectus supplement to a filing made on Oct. 28.

Priority Income Fund, a non-traded closed-end fund, recently filed a prospectus supplement which alters certain language regarding the fund’s anticipated liquidity strategy.

The fund’s prospectus previously noted “we intend to pursue a liquidity event for our stockholders, such as a public listing of our shares, following the completion of this offering.”

However, the supplement modifies this language to “we may, but are not obligated to, pursue a liquidity event for our stockholders following the completion of this offering.”

Per the prospectus supplement, Priority Income Fund may continue to extend the offering, including on a continuous basis.

The supplement also states that the offering will terminate upon the sale of 150 million shares of common stock, unless terminated earlier by the board of directors. Previosly, the prospectus  cited a termination date of the earlier of Dec. 31, 2022 or the sale of 150 million common shares.

As of October 27, 2022, the fund had sold an aggregate of 45.9 million common shares.

Priority Income Fund had $757.1 million of total assets as of Dec. 31, 2021 and invests in pools of senior secured loans made primarily to U.S. companies whose debt is rated below investment grade or, in limited circumstances, unrated. The fund launched in May 2013.

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