Value Investing

Third Avenue Recommends Rejection of ‘Mini-Tender’ Offer from MacKenzie Capital Management, LP

NEW YORK–(BUSINESS WIRE)–Third Avenue Management LLC (“Third Avenue”) announced today that it is aware of an unsolicited “mini-tender” offer dated April 6, 2016, made by MacKenzie Capital Management, LP (“MCM”) to purchase up to 1,500,000 Shares of Third Avenue Focused Credit Fund (“FCF”), a series of the Third Avenue Trust (MUTF: TFCIX, TFCVX). Third Avenue is not in any way associated with MCM, the offer, or the offer documentation.

“have been increasingly used to catch investors off guard.”

Third Ave recommends against shareholders tendering shares in response to this unsolicited offer, for the reasons described below:

MCM’s offer price of $2.00 per share is 61.76% below FCF’s April 6, 2016 net asset value per share of $5.23. Third Avenue believes this price is not in the best interest of shareholders as it is materially below Third Avenue’s assessment of possible returns and timing of those returns in FCF’s liquidation.

“Mini-tender” offers seek only a small portion of a company’s outstanding shares, thereby avoiding many disclosure and procedural requirements that apply to larger tender offers under the rules of the U.S. Securities and Exchange Commission (“SEC”).

The SEC has cautioned investors about these kinds of offers in an investor alert. The SEC noted that these offers “have been increasingly used to catch investors off guard.” To read more about the risks of “mini-tender” offers, please review the alert on the SEC’s website at

Shareholders should consult their financial advisors and should exercise caution with respect to MCM’s offer.

Third Ave requests that a copy of this news release be included with all distributions of materials relating to MCM’s mini-tender offer for FCF shares.

About Third Ave

Third Avenue Management LLC is a New York-based investment advisory firm that offers its services to private and institutional clients. Third Avenue adheres to a disciplined bottom-up value investment strategy in order to identify investment opportunities in undervalued securities of companies with high quality assets, understandable businesses and strong management teams that have the potential to create value over the long term. Third Avenue Management offers value-oriented strategies through mutual funds, UCITS funds, separate accounts and alternative products.

Third Avenue


Sard Verbinnen & Co.
Dan Gagnier, 212-687-8080

Third Avenue