Liquidation: Puerto Rico Residents Tax-Free Fund VI, Inc.

Form Type: PRE 14A

Filing Date: 2025-07-17

Corporate Action: Liquidation

Type: New

Accession Number: 000121465925010533

Filing Summary: On July 17, 2025, Puerto Rico Residents Tax-Free Fund VI, Inc. filed a Preliminary Proxy Statement in connection with a Special Meeting of Shareholders. Shareholders will be asked to approve two significant proposals: (1) to cease operations as an investment company and (2) to pay a dividend from the proceeds of a sale of substantially all the Fund's securities. The context for this decision stems from challenges faced by the Fund's governance and management structure, particularly following a court ruling affirming the dismissal of the Fund's claims against Ocean Capital LLC, which sought to impose new directors aligned with its advocacy. The Board of Directors has determined, in light of the lack of a suitable long-term investment adviser and the impending termination of existing management agreements, that directing a sale of the Fund’s securities is in the best interests of shareholders. The Board recommends that shareholders cast their votes in favor of both proposals. The results of the shareholder votes will determine the future of the Fund and the execution of the proposed actions, reflecting careful consideration of risks and potential liquidity for shareholders.