On July 26, 2017, Pathway Energy Infrastructure’s board of directors approved the Company’s plan to convert from a regular closed end fund to an interval fund. Due to securities laws, shareholders need to vote on this conversion plan. The Company is also making adjustments to its investment strategy to focus on broader infrastructure opportunities. Furthermore, the company will change its name Pathway Capital Opportunity Fund. Shareholders will need to vote on the change in an investment strategy as well. Details on the new structure and strategy are included in a draft registration statement . Additionally, a forthcoming proxy will provide further detail.
Pathway Energy Infrastructure Fund initially launched in 2014 as a non-traded Closed End Fund. As of the most recent public filings, it has approximately $8 million in net assets. Pathway’s strategy is to seek opportunities in income generating securities of energy companies, including companies involved in the development, production, transportation, storage, refining, or marketing of energy products. Notably, the advisor is a joint venture between the former Behringer Harvard group, and Prospect Capital, which runs a publicly traded BDC.
The following charts show the portfolio composition as of the 2017 Semi Annual Report:
This conversion of a closed end fund, follows other sponsors who have converted BDCs to interval funds.