BlackRock California Municipal Income Trust (NYSE: BFZ) Enters Standstill Agreement

BlackRock California Municipal Income Trust recently announced that on January 20, 2025, it reached a standstill agreement with BlackRock Advisors, LLC, acting as the Investment Advisor, and Saba Capital Management, L.P. (Saba). This agreement, referred to as the “Standstill Agreement,” outlines specific terms and conditions binding Saba, the Fund, and the Investment Advisor during its effective period.

Key points of the agreement include Saba’s commitment to adhere to certain standard standstill agreements and withdraw a previously submitted shareholder proposal intended for consideration at the Fund’s 2025 annual meeting of shareholders. Additionally, Saba agreed to cast its common shares of beneficial interest, if any, in line with the Fund’s Board of Trustees’ recommendations on all shareholder matters.

The Standstill Agreement is set to remain in effect until the day following the conclusion of the Fund’s 2027 annual meeting of shareholders, or until August 31, 2027, whichever comes first, unless terminated sooner by mutual consent. The filed report indicates that a copy of the Standstill Agreement has been included as Exhibit 10.1 and is referenced within the report.

At this time, the general terms of the agreement signify a temporary status quo with specific provisions to guide the interactions and responsibilities of the involved parties over the agreement’s effective duration.

For further details, interested parties can refer to the SEC filing regarding the Standstill Agreement dated January 20, 2025, and the respective Exhibit 10.1 for a comprehensive understanding of the terms put forth in the agreement.

This news update reflects the commitment of BlackRock California Municipal Income Trust to maintain productive and effective relationships with its key stakeholders.

This article does not constitute investment advice and is provided for informational purposes only.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read BlackRock California Municipal Income Trust’s 8K filing here.

BlackRock California Municipal Income Trust Company Profile

BlackRock California Municipal Income Trust is a closed ended fixed income mutual fund launched by BlackRock, Inc It is managed by BlackRock Advisors, LLC. The fund invests in fixed income markets. It invests primarily in investment grade municipal bonds that are exempt from regular federal and California income taxes.