New Age Media Fund Inc.'s shares rose $2 yesterday as the T. Rowe Price Associates Inc. board of directors voted for its reorganization.
New Age Media's stock closed at $14.375 a share, spurred by Price's decision to convert it to an open-end fund from a closed-end fund.
New Age has $219 million in assets, invested primarily in technology companies. It traded at a 20 percent discount to its net asset value last year, even though T. Rowe Price bought about 400,000 shares in the last 18 months hoping to boost its price, said Steven Norwitz, a spokesman for the Baltimore-based mutual fund company.
On Tuesday, New Age closed at $12.37 a share, an 18 percent discount to its net asset value of $15.09.
Closed-end mutual funds have a fixed number of outstanding shares that are owned by investors. The funds are traded on stock exchanges, and shares are bought and sold through brokers.
Open-end funds, which make up the majority of mutual funds, are bought directly from the mutual fund company. Shares in the fund are continually issued and redeemed.
Pub Date: 2/13/97
