MFS Investment Grade Municipal Trust Accepts Share Buyback
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 18 2026
0mins
Source: Newsfilter
- Share Buyback Plan: MFS Investment Grade Municipal Trust has accepted 4,099,610 shares for its buyback program, representing 50% of its outstanding shares, demonstrating the company's commitment to enhancing shareholder value.
- Buyback Price Determination: The repurchase price is set at 99% of the net asset value (NAV) per share, equating to $8.54, reflecting the company's stability amid market fluctuations and its commitment to investors.
- Investor Participation: As of May 12, 2026, a total of 4,720,213.63 shares were properly tendered and not withdrawn, indicating strong investor response to the buyback plan, with approximately 86.85% of the tendered shares accepted for payment.
- Fund Background Information: MFS Investment Grade Municipal Trust is a closed-end investment company managing $650.7 billion in assets, focused on creating long-term value for clients, showcasing its strength and influence in the investment management sector.
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About CXH
MFS Investment Grade Municipal Trust (the Fund) is a diversified closed-end management investment company. The Fund’s investment objective is to seek high current income exempt from federal income tax, but may also consider capital appreciation. The Fund invests, under normal market conditions, at least 80% of its net assets, including assets attributable to preferred shares and borrowings for investment purposes, in tax-exempt bonds and tax-exempt notes. The Fund may also invest in below-investment grade quality debt instruments. It invests in various sectors, such as healthcare, general obligations, universities, water and sewer utilities, toll roads, student loan, airports, and state and local appropriations. The fund offers a Dividend Reinvestment and Cash Purchase Plan that allows common shareholders to reinvest either all the distributions paid by the fund or only the long-term capital gains. The Fund's investment adviser is Massachusetts Financial Services Company.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
MFS Investment Management Reorganizes Municipal Funds
- Reorganization Announcement: MFS Investment Management has announced the reorganization of MFS High Income Municipal Trust, MFS High Yield Municipal Trust, and MFS Investment Grade Municipal Trust into MFS Municipal Income Trust, set to complete on June 8, 2026, aiming to optimize asset allocation and enhance investment management efficiency.
- Trading Suspension Notice: All shares of the Target Funds will cease trading after market close on June 5, 2026, with shareholders receiving newly issued common shares of the Surviving Fund, ensuring shareholder rights are preserved and boosting investor confidence.
- Adviser Change: Following the reorganization, abrdn Inc. will replace MFS as the investment adviser for the Surviving Fund, and five new trustees will be appointed, reflecting a commitment to governance structure improvements aimed at enhancing fund management quality and transparency.
- Share Issuance Details: The Surviving Fund will issue $224,100,000 of Series 2051 RVMTP Shares, ensuring liquidity post-reorganization and further strengthening its competitive position in the market.
See More
MFS Investment Grade Municipal Trust Accepts Share Buyback
- Share Buyback Plan: MFS Investment Grade Municipal Trust has accepted 4,099,610 shares for its buyback program, representing 50% of its outstanding shares, demonstrating the company's commitment to enhancing shareholder value.
- Buyback Price Determination: The repurchase price is set at 99% of the net asset value (NAV) per share, equating to $8.54, reflecting the company's stability amid market fluctuations and its commitment to investors.
- Investor Participation: As of May 12, 2026, a total of 4,720,213.63 shares were properly tendered and not withdrawn, indicating strong investor response to the buyback plan, with approximately 86.85% of the tendered shares accepted for payment.
- Fund Background Information: MFS Investment Grade Municipal Trust is a closed-end investment company managing $650.7 billion in assets, focused on creating long-term value for clients, showcasing its strength and influence in the investment management sector.
See More
MFS Investment Grade Municipal Trust Announces Tender Offer Results
- Tender Offer Overview: MFS Investment Grade Municipal Trust announced that its tender offer expired on May 12, 2026, involving 4,099,610 shares, approximately 50% of the Fund's outstanding shares, indicating the company's commitment to shareholder returns.
- Tendered Shares Status: As of the deadline, approximately 4,720,213.63 shares were properly tendered and not withdrawn, with an estimated proration for tendering shareholders at 86.85%, reflecting strong investor response to the buyback initiative.
- Repurchase Price Details: The repurchase price is set at 99% of the Fund's net asset value, equating to $8.54 per share, demonstrating the Fund's confidence in its asset value while providing investors with a relatively stable return expectation.
- Subsequent Announcement Schedule: The actual number of shares to be purchased is anticipated to be announced on May 18, 2026, with payments to follow, providing investors with clear information on the buyback process.
See More
MFS Announces Special Distribution Plan for Closed-End Funds
- Special Distribution Announcement: MFS Investment Management has announced a special distribution for three closed-end funds, with amounts of $0.032520 for MFS High Income Municipal Trust, $0.08630 for MFS High Yield Municipal Trust, and $0.17075 for MFS Investment Grade Municipal Trust, providing investors with additional cash flow and enhancing investment appeal.
- Reorganization Plan: This distribution marks the final payout before the funds reorganize into the MFS Municipal Income Trust (MFM), a strategic shift that has received shareholder approval and is expected to be completed on June 5, 2026, indicating a significant transformation for the company.
- Shareholder Rights Protection: Shareholders as of the market close on June 5, 2026, will receive newly issued common shares of MFM with a net asset value equal to their original fund shares, ensuring that shareholder rights are preserved during the reorganization process.
- Future Distribution Expectations: Shareholders who continue to hold MFM shares will be eligible for the monthly distribution in June 2026, with specific record dates and distribution details expected to be announced in early June, further boosting investor confidence in MFS.
See More
MFS Investment Management Announces Monthly Distributions
- Distribution Overview: MFS Investment Management announced monthly distributions for several closed-end funds on May 1, 2026, with ex-dividend dates on May 19, 2026, and record and payable dates also on May 29, 2026, demonstrating the company's commitment to providing returns to investors.
- Distribution Amount Details: For instance, MFS® High Yield Municipal Trust (NYSE:CMU) has a distribution of $0.01650 per share, while MFS® Government Markets Income Trust (NYSE:MGF) distributes $0.018720 per share, reflecting the diversity in income sources and distribution strategies across different funds.
- Managed Distribution Plan: All funds adopt a managed distribution plan, which allows for the distribution of long-term capital gains or return of capital if monthly investment income is insufficient, aiming to stabilize investor return expectations amidst varying market conditions.
- Investor Notification Mechanism: Whenever a distribution does not consist solely of net investment income, the fund will issue a notice to shareholders and a press release detailing the amount and composition of the distribution, ensuring transparency and aiding investors in making informed decisions.
See More
MFS Investment Grade Municipal Trust Launches Cash Tender Offer
- Cash Tender Offer: MFS Investment Grade Municipal Trust has initiated a cash tender offer to purchase up to 50% of its outstanding common shares at 99% of the net asset value per share, reflecting the company's commitment to shareholder returns.
- Offer Expiration Date: The tender offer will expire at 5:00 PM on May 12, 2026, and if the number of shares tendered exceeds the maximum, shares will be purchased on a pro-rata basis, ensuring fairness and protecting shareholder interests.
- Important Document Disclosure: Shareholders are urged to carefully read the tender offer statement and related documents filed with the SEC to obtain crucial information about the tender offer, ensuring informed decision-making.
- Fund Background Information: The Fund is a closed-end investment company advised by MFS Investment Management, managing $622.2 billion in assets, demonstrating its strong market presence and influence.
See More
MFS Investment Management Reorganizes Municipal Funds
- Reorganization Announcement: MFS Investment Management has announced the reorganization of MFS High Income Municipal Trust, MFS High Yield Municipal Trust, and MFS Investment Grade Municipal Trust into MFS Municipal Income Trust, set to complete on June 8, 2026, aiming to optimize asset allocation and enhance investment management efficiency.
- Trading Suspension Notice: All shares of the Target Funds will cease trading after market close on June 5, 2026, with shareholders receiving newly issued common shares of the Surviving Fund, ensuring shareholder rights are preserved and boosting investor confidence.
- Adviser Change: Following the reorganization, abrdn Inc. will replace MFS as the investment adviser for the Surviving Fund, and five new trustees will be appointed, reflecting a commitment to governance structure improvements aimed at enhancing fund management quality and transparency.
- Share Issuance Details: The Surviving Fund will issue $224,100,000 of Series 2051 RVMTP Shares, ensuring liquidity post-reorganization and further strengthening its competitive position in the market.
See More
MFS Investment Grade Municipal Trust Accepts Share Buyback
- Share Buyback Plan: MFS Investment Grade Municipal Trust has accepted 4,099,610 shares for its buyback program, representing 50% of its outstanding shares, demonstrating the company's commitment to enhancing shareholder value.
- Buyback Price Determination: The repurchase price is set at 99% of the net asset value (NAV) per share, equating to $8.54, reflecting the company's stability amid market fluctuations and its commitment to investors.
- Investor Participation: As of May 12, 2026, a total of 4,720,213.63 shares were properly tendered and not withdrawn, indicating strong investor response to the buyback plan, with approximately 86.85% of the tendered shares accepted for payment.
- Fund Background Information: MFS Investment Grade Municipal Trust is a closed-end investment company managing $650.7 billion in assets, focused on creating long-term value for clients, showcasing its strength and influence in the investment management sector.
See More
MFS Investment Grade Municipal Trust Announces Tender Offer Results
- Tender Offer Overview: MFS Investment Grade Municipal Trust announced that its tender offer expired on May 12, 2026, involving 4,099,610 shares, approximately 50% of the Fund's outstanding shares, indicating the company's commitment to shareholder returns.
- Tendered Shares Status: As of the deadline, approximately 4,720,213.63 shares were properly tendered and not withdrawn, with an estimated proration for tendering shareholders at 86.85%, reflecting strong investor response to the buyback initiative.
- Repurchase Price Details: The repurchase price is set at 99% of the Fund's net asset value, equating to $8.54 per share, demonstrating the Fund's confidence in its asset value while providing investors with a relatively stable return expectation.
- Subsequent Announcement Schedule: The actual number of shares to be purchased is anticipated to be announced on May 18, 2026, with payments to follow, providing investors with clear information on the buyback process.
See More
MFS Announces Special Distribution Plan for Closed-End Funds
- Special Distribution Announcement: MFS Investment Management has announced a special distribution for three closed-end funds, with amounts of $0.032520 for MFS High Income Municipal Trust, $0.08630 for MFS High Yield Municipal Trust, and $0.17075 for MFS Investment Grade Municipal Trust, providing investors with additional cash flow and enhancing investment appeal.
- Reorganization Plan: This distribution marks the final payout before the funds reorganize into the MFS Municipal Income Trust (MFM), a strategic shift that has received shareholder approval and is expected to be completed on June 5, 2026, indicating a significant transformation for the company.
- Shareholder Rights Protection: Shareholders as of the market close on June 5, 2026, will receive newly issued common shares of MFM with a net asset value equal to their original fund shares, ensuring that shareholder rights are preserved during the reorganization process.
- Future Distribution Expectations: Shareholders who continue to hold MFM shares will be eligible for the monthly distribution in June 2026, with specific record dates and distribution details expected to be announced in early June, further boosting investor confidence in MFS.
See More
MFS Investment Management Announces Monthly Distributions
- Distribution Overview: MFS Investment Management announced monthly distributions for several closed-end funds on May 1, 2026, with ex-dividend dates on May 19, 2026, and record and payable dates also on May 29, 2026, demonstrating the company's commitment to providing returns to investors.
- Distribution Amount Details: For instance, MFS® High Yield Municipal Trust (NYSE:CMU) has a distribution of $0.01650 per share, while MFS® Government Markets Income Trust (NYSE:MGF) distributes $0.018720 per share, reflecting the diversity in income sources and distribution strategies across different funds.
- Managed Distribution Plan: All funds adopt a managed distribution plan, which allows for the distribution of long-term capital gains or return of capital if monthly investment income is insufficient, aiming to stabilize investor return expectations amidst varying market conditions.
- Investor Notification Mechanism: Whenever a distribution does not consist solely of net investment income, the fund will issue a notice to shareholders and a press release detailing the amount and composition of the distribution, ensuring transparency and aiding investors in making informed decisions.
See More
MFS Investment Grade Municipal Trust Launches Cash Tender Offer
- Cash Tender Offer: MFS Investment Grade Municipal Trust has initiated a cash tender offer to purchase up to 50% of its outstanding common shares at 99% of the net asset value per share, reflecting the company's commitment to shareholder returns.
- Offer Expiration Date: The tender offer will expire at 5:00 PM on May 12, 2026, and if the number of shares tendered exceeds the maximum, shares will be purchased on a pro-rata basis, ensuring fairness and protecting shareholder interests.
- Important Document Disclosure: Shareholders are urged to carefully read the tender offer statement and related documents filed with the SEC to obtain crucial information about the tender offer, ensuring informed decision-making.
- Fund Background Information: The Fund is a closed-end investment company advised by MFS Investment Management, managing $622.2 billion in assets, demonstrating its strong market presence and influence.
See More
