180 Degree Capital notes average discount of NAV per share to stock price

180 Degree Capital (TURN) noted that the average discount between its estimated daily net asset value per share and its daily closing stock price during October 2024 and year-to-date through the end of October 2024, were approximately 20% and 20%, respectively.1 This discount was approximately 15% on October 30, 2024. As previously disclosed in a press release on November 13, 2023, 180 Degree Capital’s Board of Directors has set two measurement periods of January 1, 2024 to December 31, 2024, and January 1, 2025 to June 30, 2025, in which it will evaluate the average discount between TURN’s estimated daily NAV and its closing stock price pursuant to a Discount Management Program. Should TURN’s common stock trade at an average daily discount to NAV of more than 12% during either of these measurement periods, the Board will consider all available options at the end of each measurement period including, but not limited to, a significant expansion of 180 Degree Capital’s current stock buyback program of up to $5 million, cash distributions reflecting a return of capital to shareholders, a tender offer, or other strategic options. We currently believe that any option selected by the Board will be chosen carefully to not jeopardize the long-term potential of TURN to create value by requiring the monetization of a significant portion of TURN’s portfolio at historically low stock prices. “October is commonly a difficult month, particularly for small capitalization stocks, and this year continued the trend,” said Kevin Rendino, CEO. “We used the weakness of October that resulted from what we believe is largely tax-loss rather than fundamental selling to position our portfolio for what we believe will be opportunities to generate value once our holdings begin to report and get back in front of investors during the remaining portion of Q4 2024. We continue to believe that the end of the information vacuum, coupled with the end of this US election cycle and likely continued easing in interest rates will lead to renewed interest in small capitalization stocks, particularly should those companies demonstrate resilience in their businesses. As we mentioned in our release on October 24, 2024, we are actively working with many of our portfolio companies toward the completion of efforts that we believe will unlock value for all stakeholders of those businesses, including 180 Degree Capital. Our work is also not all externally focused. 180 Degree Capital has valuable assets that we believe continue to be undervalued as reflected by our stock price and discount to NAV. We continue to evaluate a number of strategic options that we believe may unlock value for our shareholders as well.”