BFS to buy back its zeros and raise £73m

BFS Income & Growth aims to be the first split cap to buy back some of its zero dividend preference shares. The £170m trust is preparing to repurchase up to 14.99% of its zeros in issue. Although zeros are being recommended as a sound investment by Credit Lyonnais, Merrills and Exeter among others, the market is still suffering from oversupply of the paper. As at 10 April the trust's zero shares were trading at a discount of 16.9% to their so far accrued capital entitlement. The trust is proposing to buy back unwanted zeros at 97% of the accrued capital entitlement at the time of repurchas...