Business Context and Reporting Period
This Form 8-K is a current report filed by the Tekla World Healthcare Fund (Note: The request metadata lists "Abrdn World Healthcare Fund," but the filing text identifies the registrant as "Tekla World Healthcare Fund"). The report covers events occurring on September 6, 2023, with the filing date of September 12, 2023. The Fund is a Massachusetts corporation with common shares trading on the New York Stock Exchange under the symbol THW.
Key Financial Metrics
This filing is a disclosure of a change in the registrant's certifying accountant and does not contain financial performance data. There are no reported figures for revenue, profit, cash flow, margins, debt, or liquidity in this document.
Material Changes
The primary material change reported is the resignation of the independent registered public accounting firm:
- Resigning Firm: Deloitte & Touche LLP (D&T) resigned on September 6, 2023.
- Reason for Resignation: An anticipated independence issue arising from a pending transaction between Tekla Capital Management LLC and abrdn Inc.
- Audit History: D&T's reports for the fiscal years ended September 30, 2022, and September 30, 2021, were unqualified. There were no disagreements or reportable events between the Fund and D&T during the two most recent fiscal years or the interim period through September 6, 2023.
The Fund has engaged a new auditor:
- New Firm: KPMG LLP was approved by the Board on September 7, 2023, to serve as the independent registered public accounting firm for the fiscal year ending September 30, 2023.
- Consultations: No consultations occurred with KPMG regarding accounting principles, audit opinions, disagreements, or reportable events prior to their engagement.
Guidance, Outlook, and Risks
The filing does not provide financial guidance, outlook, or management commentary on market conditions. The primary risk disclosed is the independence issue necessitating the auditor change due to the pending corporate transaction between the Fund's advisor (Tekla Capital Management LLC) and abrdn Inc.
Investor Verification Checklist
- Verify the status of the pending transaction between Tekla Capital Management LLC and abrdn Inc. to understand the scope of the independence issue.
- Confirm the transition timeline for KPMG LLP to assume audit responsibilities for the fiscal year ending September 30, 2023.
- Review the attached Exhibit 16.1 (Letter from Deloitte & Touche LLP) to confirm their agreement with the Fund's disclosures regarding the resignation.
- Monitor future filings for the Fund's next quarterly or annual report to assess the impact of the auditor change on financial statement disclosures.