H & Q LIFE SCIENCES INVESTORS
|
|
Contact: |
|
The Altman Group |
|
|
Boston, MA 02110-3328 |
|
|
|
800-870-0126 |
|
617-772-8500 |
|
|
|
|
|
www.hqcm.com |
|
|
|
|
August 8, 2006
Dear Shareholder,
I am pleased to announce that H&Q Life Sciences Investors (NYSE: HQL) will offer to its shareholders the right to purchase additional shares of the Fund at a discount from the market price and without brokerage commissions.
Subject to the Fund’s registration statement becoming effective under the Securities Act of 1933, as amended, each shareholder of record at the close of business on August 18, 2006 will receive rights entitling the shareholder to purchase one additional share of the Fund for each three rights held, with the right to subscribe for additional shares not subscribed for by others in the primary subscription. At its discretion, the Fund may increase the amount of shares offered in an amount of up to 25% of the primary offering to cover over-subscription requests. The rights will not be transferable. The rights offering is expected to commence on or about September 5, 2006 and to expire on or about September 21, 2006. The subscription price per share will be 95% of the volume weighted average share price of a Share on the NYSE on September 22, 2006 and the four preceding business days.
The offering will made only by means of a prospectus, a copy of which, together with an exercise form evidencing your right to subscribe, will be mailed to you on or about August 28, 2006.
The information contained in the Fund’s prospectus is not complete and may be changed. The Fund may not sell these securities until the registration statement filed with the Securities and Exchange Commission is effective. Neither this letter nor the prospectus is an offer to sell these securities and neither is soliciting an offer to buy these securities in any state where the offer or sale is not permitted.
It will be imperative for shareholders to read the prospectus carefully and consider what action they may wish to take, in order to avoid losing valuable legal rights. Before investing, you should read the prospectus and carefully consider the investment objective and risks of the Fund and the charges and the expenses associated with an investment in the Fund. The prospectus will contain this and other information about the Fund. The Fund has engaged an information agent who will be available to assist you with questions following your receipt of the prospectus.
We are pleased to offer you this opportunity and appreciate your continued support of the Fund.
Sincerely,
Daniel R. Omstead
President