FOR IMMEDIATE RELEASE

LEAWOOD, Kan. – June 4, 2019 –Tortoise Essential Assets Income Term Fund (NYSE: TEAF) today provided an update on the fund’s investment of the IPO proceeds and a podcast on the recent market performance.

“We are very pleased with the progress we’ve made on the fund’s investments since the IPO as we have now made direct investments in each of the investment verticals,” said Managing Director and Closed-End Fund CEO, Brad Adams. “We were able to invest the initial proceeds efficiently, achieving our yield, liquidity and diversification targets. Our goal is to allocate approximately 60% of the portfolio into direct investments within the first year. We have made good progress and see a strong path ahead in our pipeline of future direct investments.”

Since the fund’s inception, it has closed on four direct investments totaling more than $22 million. The social infrastructure direct investment is a new charter school in Philadelphia that is expected to house 900 students. The sustainable infrastructure deal is a utility scale solar project in Bermuda. The fund also participated in two private investments in public equity (PIPE) energy infrastructure deals including a midstream energy company with prominent natural gas assets in the Permian Basin and a supplier of wood pellets used by global power generators as a renewable energy source. Each of these investments were made at or above our forecasted yield target.  

As previously announced, the fund declared its initial monthly distributions ahead of schedule achieving the fund’s distribution rate target. The $0.1085 per share monthly distributions represent a 6.51% distribution rate on its $20.00 public offering price.

“We believe the investment potential of the fund remains strong, and are uncertain of what’s driving the fund’s recent market performance,” said Adams. “Fundamentals are strong across the various segments of the portfolio, and in our opinion, the recent market performance can be attributed to the expiration of the penalty bid and overallotment option, combined with light trading volume, the fund going ex-dividend and recent equity market volatility weighing on equities broadly. The confluence of these factors have caused downward pressure on the stock price, resulting in a market price that is bifurcated from the fund’s net asset value. Our ongoing conviction in the fund remains strong and the adviser to the fund, as well as certain members of management individually, have recently purchased additional shares of the fund.”

This fund is managed with a long-term focus on essential assets through public and direct investments across social infrastructure, sustainable infrastructure and energy infrastructure. These assets tend to be uncorrelated assets that have attractive potential for high total return with an emphasis on current income as well as a relatively inelastic demand profile.

About Tortoise

Tortoise invests in essential assets – those assets and services that are indispensable to the economy and society. With a steady wins approach and a long-term perspective, Tortoise strives to make a positive impact on clients and communities. For additional information, please visit tortoiseadvisors.com.

Safe harbor statement

This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains certain statements that may include “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are "forward-looking statements." Although the fund and Tortoise Capital Advisors believe that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the fund’s reports that are filed with the Securities and Exchange Commission. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release.  Other than as required by law, the fund and Tortoise Capital Advisors do not assume a duty to update this forward-looking statement.

Contact information
Tortoise

Pam Kearney, Investor and Public Relations, (866) 362-9331, pkearney@tortoiseadvisors.com