VanEck™ VanEck Terra ETN – ISIN: DE000A3GWND0
Questions and Answers on Liquidation of the Product
1st February 2023
Is VanEck Terra ETN still trading on exchanges?
Do investors need to take any action?
What is the redemption amount of VanEck Terra ETN?
What will happen exactly to the Terra Luna tokens in cold storage?
What will happen to the proceeds of the liquidation?
Can investors still redeem their ETNs before and/or after the final redemption date?
Is VanEck Terra ETN still trading on exchanges?
No, VanEck Terra ETN was suspended for trading, creations and redemptions. For more background on why this has happened we would like to refer to our previous market announcements. VanEck Terra ETN is liquidated and therefore the product is delisted from exchanges.
- VanEck Terra ETN was suspended from trading on exchange on 13 May 2022.
- VanEck ETP AG issued a mandatory redemption notice with regard to VanEck Terra ETN on 20 December 2022.
- VanEck ETP AG applied for delisting of VanEck Terra ETN from Deutsche Börse AG and SIX.
- The Final Redemption will take place on 31 January 2023. The Final Redemption Price will be published on 1 February 2022 in the official legal notice and market announcement.
- The NAV per Note is below 0.01 EUR, therefore, the ETn will be liquidated and the full redemption amount will be donated to charity on 1 February 2023 or as soon as possible thereafter.
Do investors need to take any action?
No action is required from investors of the VanEck Terra ETN. If you have any questions or concerns, please contact us directly.
What is the redemption amount of VanEck Terra ETN?
The redemption amount per note will be the value of the portfolio of series assets divided by the number of outstanding notes. The redemption amount will be published on the day after the final mandatory redemption took place. Please see the market announcements for further information.
What will happen exactly to the Terra Luna tokens in cold storage?
VanEck ETP AG, the issuer of the VanEck Terra ETN will sell the remaining Terra Luna (2.0), both vested and vesting tokens and Terra Luna Classic. The proceeds of this sale will be donated to charity. Given the difficult liquidity situation for the tokens VanEck will try to sell the tokens on the market. If this is not possible or if this is not possible at a price which is reasonable, VanEck ETP AG may sell the tokens to a group entity of VanEck.
What will happen to the proceeds of the liquidation?
As the price is below 0.01 EUR per Note the redemption amount may not be paid to noteholders. After careful consideration and calculation of the value and redemption price and as announced in the Issuer Call Redemption Notice on 21 December 2022 VanEck ETP AG will donate the full redemption amount achieved through the liquidation of the ETN to a charity project.
The charity project of choice is SpaceBuzz: “The non-profit SpaceBuzz educational foundation is inspired by the ‘Overview Effect’, that - until recently - only astronauts in space were able to experience. We want every child in the world to follow in the footsteps of astronauts and experience this for themselves.” The SpaceBuzz foundation is a non-profit entity with ANBI status that invests all the funds it generates in inspiring children to become ambassadors of planet earth. To read more about the charity organization, please visit: https://www.spacebuzz.earth/
Can investors still redeem their ETNs before and/or after the final redemption date?
No, in-kind redemption is not a possibility. Also, the majority of tokens are non- transferrable hence it is technically not possible to perform in-kind redemption.
If you have questions please contact VanEck ETP AG or VanEck (Europe) GmbH at EMEAinfo@vaneck.com or call us at +31 (0)20 719 510 0 if you have any immediate questions.