MFS Municipal Trust to Redeem 120 Series 2051 Preferred Shares at $100k
MFS Investment Grade Municipal Trust will redeem up to 120 of its 372 Series 2051 RVMTP Shares on May 8, 2026, at a $100,000 liquidation preference per share plus accrued unpaid dividends. This partial redemption will lower the trust’s preferred-share leverage and reduce related dividend obligations.
1. Redemption Plan
On May 8, 2026, MFS Investment Grade Municipal Trust will redeem up to 120 of its 372 Remarketable Variable Rate MuniFund Term Preferred Shares, Series 2051, at a $100,000 liquidation preference plus unpaid dividends accumulated through the redemption date.
2. Leverage Impact
The redemption of roughly 32% of the Series 2051 shares will reduce the trust’s leverage tied to preferred equity and lower ongoing dividend distributions on these instruments.
3. Redemption Mechanics
The Bank of New York Mellon is appointed Tender and Paying Agent and will distribute redemption payments to holders on the specified date after satisfying all regulatory requirements.