Company: GDV-PK
Filing Date: 2025-08-08
Form Type: N-14
Source: 0001829126-25-006008
Chunk: 77

Company: GABELLI DIVIDEND & INCOME TRUST
Filing Date: 2025-08-08
Form: N-14
Chunk 77
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 to elect a majority of the Trustees until such arrearage is completely eliminated. In addition, preferred shareholders
have class voting rights on certain matters, including changes in fundamental investment restrictions and conversion of a Fund to open-end
status, and accordingly can veto any such changes. Further, interest on notes will be payable when due as described in a Prospectus Supplement
and if a Fund does not pay interest when due, it will trigger an event of default and each Fund expects to be restricted from declaring
dividends and making other distributions with respect to common shares and preferred shares. Upon the occurrence and continuance of an
event of default, the holders of a majority in principal amount of a series of outstanding notes or the Trustee will be able to declare
the principal amount of that series of notes immediately due and payable upon written notice to the applicable Fund. The 1940 Act also
generally restricts a Fund from declaring distributions on, or repurchasing, common or preferred shares unless notes have an asset coverage
of 300% (200% in the case of declaring distributions on preferred shares). Each Fund’s common shares are structurally subordinated
as to income and residual value to any preferred shares or notes in the Fund’s capital structure, in terms of priority to income
and payment in liquidation.

Restrictions
imposed on the declarations and payment of dividends or other distributions to the holders of a Fund’s common shares and preferred
shares, both by the 1940 Act and by requirements imposed by rating agencies, might impair the Fund’s ability to maintain its qualification
as a RIC for U.S. federal income tax purposes. While each Fund intends to redeem its preferred shares or notes to the extent necessary
to enable the Fund to distribute its income as required to maintain its qualification as a RIC under the Code, there can be no assurance
that such actions can be effected in time to meet the Code requirements.

. In order to obtain and maintain attractive credit quality ratings for preferred shares or notes, the Funds must comply with investment
quality, diversification and other guidelines established by the relevant rating agencies. These guidelines could affect portfolio decisions
and may be more stringent than those imposed by the 1940 Act. In the event that a rating on a Fund’s preferred shares or notes is
lowered or withdrawn by the relevant rating agency, such Fund may also be required to redeem all or part of its outstanding preferred
shares or notes, and the common shares of the Fund will lose the potential benefits