XAI Floating Rate & Alternative Income Trust Launches Tender Offer

CHICAGO, Sept. 18, 2026 /CourierPR/ -- XAI Floating Rate & Alternative Income Trust has initiated a tender offer to purchase up to 1,903,861 (approximately 12.5%) of its outstanding common shares of beneficial interest, par value $0.01 per share, commonly referred to as "Common Shares." The tender offer, which commenced on September 18, 2026, will expire at one minute following 11:59 p.m., Eastern time, on Monday, October 19, 2026. The purchase price for Common Shares will be 98% of the Fund’s net asset value ("NAV") per Common Share, determined as of the close of the regular trading session of the New York Stock Exchange on the next day the NAV is calculated after the Expiration Date.

As of September 11, 2026, the Fund had 15,230,884 Common Shares outstanding. On that date, the NAV per Common Share was $22.95, while the last reported sale price for a Common Share on the NYSE was $19.52, representing a discount of 14.95% to NAV. The tender offer is subject to certain conditions, and the Fund may extend the period of time the offer will be open by issuing a press release or making a public announcement by no later than the next business day after the tender offer otherwise would have expired.

A Common Shareholder may withdraw all, but not less than all, of their tendered Common Shares at any time prior to the Expiration Date. Shareholders whose Common Shares are registered in the name of a nominee should contact that firm to tender Common Shares. All other shareholders wishing to participate in the tender offer must, prior to the date and time the tender offer expires, complete and execute a Letter of Transmittal, together with any required signature guarantees, and any other documents required by the Letter of Transmittal. A Common Shareholder must send these materials to the Depositary for the tender offer at its address set forth in the Fund’s Offer to Purchase.

The acceptance of Common Shares by the Fund for purchase will constitute a binding agreement between the participating shareholder and the Fund upon the terms and subject to the conditions of the tender offer. Because the tender offer is limited as to the number of Common Shares that the Fund will purchase, not all Common Shares tendered for purchase by Common Shareholders may be accepted for payment by the Fund. If greater than 1,903,861 of the Fund’s Common Shares are tendered pursuant to the tender offer, the Fund would, upon the terms and subject to the conditions of the tender offer, purchase Common Shares tendered on a pro rata basis.

A Common Shareholder’s tender of all or a part of its Common Shares for cash pursuant to the tender offer will be a taxable transaction for U.S. federal income tax purposes. The tax consequences of the sale will generally be determined under the stock redemption rules of Section 302 of the Internal Revenue Code of 1986, as amended. The amount and characterization of income recognized by a Common Shareholder in connection with a sale pursuant to the tender offer will depend on whether the sale is treated as an “exchange” or a “dividend” for tax purposes.