abrdn Income Credit Strategies Fund 8-K

What Happened

• On December 18, 2025, abrdn Income Credit Strategies Fund (NYSE: ACP) entered into a Securities Purchase Agreement to issue and sell 4,000,000 shares of Series A Mandatorily Redeemable Preferred Shares (MRP Shares).
• The MRP Shares carry a $25.00 liquidation preference per share, mature (are mandatorily redeemable) on December 18, 2030, and the offering generated $100 million in gross proceeds. The sale was completed in a private placement exempt from registration under Rule 506(c) of the Securities Act.
• On the same date the Fund adopted the Statement of Preferences fixing the rights and preferences of the MRP Shares; that Statement of Preferences is filed as Exhibit 3.1 to the 8‑K.

Key Details

• Shares issued: 4,000,000 Series A MRP Shares.
• Liquidation preference: $25.00 per share.
• Gross proceeds to the Fund: $100,000,000.
• Issuance date and related agreements: December 18, 2025; Securities Purchase Agreement filed as Exhibit 10.1.

Why It Matters

• The Fund raised $100 million of capital through a private preferred‑share offering, which increases available resources for the Fund’s investment activities or liquidity needs.
• The MRP Shares have a stated liquidation preference and a mandatory redemption date (Dec 18, 2030), meaning the Fund has an obligation tied to these securities that investors should note when assessing the Fund’s capital structure and potential effects on net asset value or distributions.
• Retail investors should review the Statement of Preferences (Exhibit 3.1) and the Purchase Agreement (Exhibit 10.1) for the full terms and any provisions that could affect shareholder rights or the Fund’s financial obligations.