Hennessy Advisors, Inc. to Acquire STF Management ETFs and Welcome Portfolio Manager Jonathan Molchan

Core Viewpoint - Hennessy Advisors, Inc. is expanding its ETF offerings by acquiring two ETFs from STF Management, LP, which have combined assets of approximately $220 million, with the transaction expected to close in Q3 2025 [1][2]. Company Overview - Hennessy Advisors, Inc. is a publicly traded investment manager that offers a variety of domestic equity, multi-asset, and sector and specialty funds, focusing on a buy and hold investment philosophy [4]. - STF Management, LP was established in February 2022 to manage Exchange-Traded Funds, specifically the STF Tactical Growth ETF (TUG) and the STF Tactical Growth & Income ETF (TUGN) [5]. Transaction Details - The acquisition includes the STF Tactical Growth ETF and the STF Tactical Growth & Income ETF, which will be restructured as series of Hennessy Funds Trust and renamed accordingly [8]. - The transaction is subject to customary closing conditions, including SEC approval and shareholder consent, and is structured to qualify as a tax-free reorganization under the Internal Revenue Code, meaning shareholders should not recognize any gain or loss for federal income tax purposes [3][8]. Management Transition - Jonathan Molchan, an experienced portfolio manager with 20 years in the industry, will continue to manage the portfolios on a day-to-day basis and is expected to enhance Hennessy's reputation for shareholder service and disciplined portfolio management [2][3].