LEAWOOD, Kan.–(BUSINESS WIRE)–Tortoise Power and Energy Infrastructure Fund, Inc. (NYSE: TPZ) today announced that as of Sept. 30, 2015, the company’s unaudited total assets were approximately $203.4 million and its unaudited net asset value was $152.0 million, or $21.87 per share.
As of Sept. 30, 2015, the company was in compliance with its asset coverage ratios under the Investment Company Act of 1940 (the 1940 Act). The company’s asset coverage ratio under the 1940 Act with respect to senior securities representing indebtedness was 403 percent. For more information on calculation of coverage ratios, please refer to the company’s most recent applicable prospectus.
“Especially in this volatile market environment, we will continue to closely monitor asset coverage ratios and take steps, as prudent, to maintain adequate cushion over coverage requirements,” said Managing Director, and closed-end fund CEO, Brad Adams. “The conservative nature in which we manage our funds allows us to take a measured, low-impact approach. We maintain our conviction for the power and energy infrastructure sector in which we invest, and believe that the fundamentals remain strong.”
Tortoise Managing Director and Portfolio Manager Matt Sallee recorded a special edition of our weekly podcast today providing thoughts on the broad energy and midstream sectors. Listen to the podcast here or download here.
Company also announces a non-fundamental investment policy change
TPZ also announced a modification to its non-fundamental investment policy that reduces the minimum amount it invests in fixed income securities from a minimum of 60% of its total assets to a minimum of 51% of its total assets. This change is intended to provide more flexibility to navigate a variety of market environments.
TPZ will continue to invest in fixed income and dividend-paying equity securities of power and energy infrastructure companies that we believe provide stable and defensive characteristics throughout economic cycles. TPZ seeks to provide stockholders a high level of current income as well as capital appreciation.
Set forth below is a summary of the company’s preliminary unaudited balance sheet at Sept. 30, 2015, and a summary of its top 10 holdings.
Unaudited balance sheet
|(in Millions)||Per Share|
|Cash and Cash Equivalents||0.2||0.03|
|Credit Facility Borrowings||50.2||7.22|
6.95 million common shares currently outstanding.
Top 10 holdings (as of Sept. 30, 2015)
|Enbridge Energy Management, L.L.C. (equity)||$||9.6||4.8%|
|CMS Energy Corp. (fixed income)||8.6||4.3%|
|Kinder Morgan, Inc. (equity)||7.2||3.6%|
|TransCanada Pipelines Limited (fixed income)||6.7||3.3%|
|Kinder Morgan, Inc. (fixed income)||6.6||3.3%|
|WEC Energy Group (fixed income)||6.1||3.0%|
|Source Gas LLC (fixed income)||6.1||3.0%|
|Midcontinent Express Pipeline LLC (fixed income)||5.9||2.9%|
|ONEOK, Inc. (fixed income)||5.8||2.9%|
|Duquesne Light Holdings, Inc. (fixed income)||5.7||2.8%|
(1) Percent of Investments and Cash Equivalents.
Tortoise will host its third quarter closed-end fund quarterly call on Oct. 28, 2015 at 3 pm central time to discuss the energy sector and provide an update on its closed-end fund investment strategies.
Toll Free Dial-In Number: 877-407-9210
Replay Number: 877-660-6853
Conference ID: 13604902
About Tortoise Power and Energy Infrastructure Fund, Inc.
Tortoise Power and Energy Infrastructure Fund, Inc. (TPZ) invests in a portfolio of fixed income and equity securities issued by power and energy infrastructure companies. TPZ’s objective is to provide stockholders a high level of current income, with a secondary objective of capital appreciation.
About Tortoise Capital Advisors, L.L.C.
Tortoise Capital Advisors, L.L.C. is an investment manager specializing in energy investments. As of Aug. 31, 2015, the adviser had approximately $15.6 billion of assets under management in listed closed-end funds, mutual funds private funds and separate accounts that span the entire energy value chain. For more information, visit www.tortoiseadvisors.com.
Safe harbor statement
This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.
This press release contains certain statements that may include “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, included herein are “forward-looking statements.” Although the company and Tortoise Capital Advisors believe that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the company’s reports that are filed with the Securities and Exchange Commission. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Other than as required by law, the company and Tortoise Capital Advisors do not assume a duty to update this forward-looking statement.