10/07/2010 NTG

Tortoise MLP Fund, Inc. Receives Initial Funding from Private Offerings of Senior Notes and Mandatory Redeemable Preferred Shares

LEAWOOD, Kan., Oct 07, 2010 (BUSINESS WIRE) -- Tortoise MLP Fund, Inc. (NYSE: NTG) today announced it has finalized the terms of a private placement with institutional investors of $230 million of senior unsecured notes (Senior Notes) and $90 million of Mandatory Redeemable Preferred Shares (MRP Shares). An initial funding of approximately $153 million of Senior Notes and $60 million of MRP Shares occurred today with the remaining to be funded no later than Dec. 15, 2010. The proceeds from the offerings will be used primarily for making new portfolio investments, reducing outstanding borrowings under the credit facility and for general corporate purposes.

"This private placement provides a laddered maturity of primarily fixed rate financing resulting in more predictable leverage costs and manageable refinancing in any given year," said Tortoise MLP Fund's Chief Financial Officer, Brad Adams.

The Senior Notes and MRP Shares details are noted in the tables below:

Senior Notes



Fixed Interest


Maturity Date

Series A $ 12,000,000 2.48% 12/15/2013
Series B $ 24,000,000 3.14% 12/15/2015
Series C $ 57,000,000 3.73% 12/15/2017
Series D $112,000,000 4.29% 12/15/2020
Series E $ 25,000,000 ** 12/15/2015
Total $230,000,000

** Floating Rate (3 month LIBOR plus 1.70%). Initial rate is 1.99%.

MRP Shares





Series A $ 25,000,000 3.69% 12/15/2015
Series B $ 65,000,000 4.33% 12/15/2017
Total $ 90,000,000

Tortoise MLP Fund's investment objective is to provide its stockholders a high level of total return with an emphasis on current distributions paid to stockholders. The fund seeks to achieve its investment objective by investing primarily in energy infrastructure master limited partnerships (MLPs) and their affiliates, with an emphasis on natural gas infrastructure MLPs.

About Tortoise Capital Advisors, LLC

Tortoise is an investment manager specializing in listed energy infrastructure investments, such as pipeline and power companies. As of Sept. 30, 2010, the adviser had approximately $5.2 billion of assets under management in six NYSE-listed investment companies and private accounts. For more information, visit our Web site at www.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.

Forward-Looking Statement

This press release contains certain statements that may include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, included herein are "forward-looking statements." Although the Company and Tortoise Capital Advisors believe 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 Company'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 Company and Tortoise Capital Advisors do not assume a duty to update any forward-looking statement.

SOURCE: Tortoise Capital Advisors, LLC

Tortoise Capital Advisors, LLC
Pam Kearney, 866-362-9331
Investor Relations

Copyright Business Wire 2010