Company: MYI
Filing Date: 2025-08-08
Form Type: PRE 14A
Source: 0001193125-25-176952
Chunk: 216

Company: BLACKROCK MUNIYIELD QUALITY FUND III, INC.
Filing Date: 2025-08-08
Form: PRE 14A
Chunk 216
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Y may be required to prepay outstanding amounts or incur a penalty rate of interest upon the occurrence of certain events of default. MIY would also likely have to indemnify the lenders under the credit facility against liabilities they
may incur in connection therewith. In addition, MIY expects that any credit facility would contain covenants that, among other things, likely would limit MIY’s ability to pay distributions in certain circumstances, incur additional debt, change
certain of its investment policies and engage in certain transactions, including mergers and consolidations, and require asset coverage ratios in addition to those required by the 1940 Act. MIY may be required to pledge its assets and to maintain a
portion of its assets in cash or high-grade securities as a reserve against interest or principal payments and expenses. MIY expects that any credit facility would have customary covenant, negative covenant and default provisions. There can be no
assurance that MIY will enter into an agreement for a credit facility, or one on terms and conditions representative of the foregoing, or that additional material terms will not apply. In addition, if entered into, a credit facility may in the
future be replaced or refinanced by one or more credit facilities having substantially different terms or by the issuance of preferred shares.

Derivatives.MIY may enter into derivative transactions that have leverage embedded in them. Derivative transactions that MIY may enter
into and the risks associated with them are described elsewhere and are also referred to as “.” MIY cannot assure you that investments in derivative transactions that have leverage embedded in them will result
in a higher return on its common shares. Under Rule 18f-4 under the 1940 Act, among

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other things, MIY must either use derivatives in a limited manner or comply with an outer limit on fund leverage risk based on
value-at-risk.

Temporary Borrowings.MIY may also borrow money as
a temporary measure for extraordinary or emergency purposes, including the payment of dividends and the settlement of securities transactions which otherwise might require untimely dispositions of MIY securities.

MVF’s Investment Objective and Policies

MVF’s investment objective is to provide stockholders with as high a level of current income exempt from federal income taxes as is consistent with its
investment policies and prudent investment management. MVF’s investment policies provide that it seeks to achieve its investment objective by investing, as a fundamental policy, at least 80% of an aggregate of MVF’s net assets (including
proceeds