Columbia Seligman Premium Technology Growth Fund Announces Second Quarter Distribution: 9.25% Annual Rate for IPO Investors

BOSTON–(BUSINESS WIRE)–Today, Columbia Seligman Premium Technology Growth Fund, Inc. (NYSE:
STK) (the Fund) declared a second-quarter distribution, pursuant to its
managed distribution policy, in the amount of $0.4625 per share, which
is equal to a quarterly rate of 2.3125% (9.25% annualized) of the $20.00
offering price in the Fund’s initial public offering in November 2009.
The second-quarter distribution of $0.4625 per share is equal to a
quarterly rate of 2.1353% (8.54% annualized) of the Fund’s market price
of $21.66 per share as of April 30, 2019.

The distribution will be paid on May 21, 2019 (the Payment Date) to
Stockholders of record on May 13, 2019. The ex-dividend date is May 10,
2019. It is anticipated that the Fund will make a subsequent
distribution under its managed distribution policy in the month of
August.

Prior to the managed distribution policy, the Fund paid distributions
pursuant to a level rate distribution policy. Under its former
distribution policy and consistent with the Investment Company Act of
1940, as amended, the Fund could not distribute long-term capital gains
more often than once in any one taxable year.

In October 2010, the Fund received exemptive relief from the Securities
and Exchange Commission that permits the Fund to make periodic
distributions of long-term capital gains more often than once in any one
taxable year. After consideration by the Fund’s Board, the Fund adopted
the current managed distribution policy which allows the Fund to make
periodic distributions of long-term capital gains.

The following table sets forth the estimated breakdown of the
distribution noted above, on a per share basis, from the following
sources: net investment income; net realized short-term capital gains;
net realized long-term capital gains; and return of capital or other
capital source.

The following table sets forth the estimated breakdown, on a per share
basis, of all distributions made by the Fund during the
year-to-date period ended on the Payment Date (includes the dividend
payment noted in the table above) from the following sources: net
investment income; net realized short-term capital gains; net realized
long-term capital gains; and return of capital or other capital source.

Historically, the Fund has distributed more than its income and net
realized capital gains, which has resulted in Fund distributions
substantially consisting of return of capital or other capital source.
A return of capital may occur, for example, when some or all of the
money that you invested in the Fund is paid back to you. A return of
capital distribution does not necessarily reflect the Fund’s investment
performance and should not be confused with “yield” or “income.” As of
the payment date of the current distribution, all Fund distributions
paid in 2019 (as estimated by the Fund based on current information) are
from the earnings and profits of the Fund and not a return of capital.
This could change during the remainder of the year, as further described
below.

The amounts, sources and percentage breakdown of the distributions
reported above are only estimates and are not being provided for, and
should not be used for, tax reporting purposes. The actual amounts,
sources and percentage breakdown of the distribution for tax reporting
purposes, which may include return of capital, will depend upon the
Fund’s investment experience during the remainder of its fiscal year and
may be subject to changes based on tax regulations.

The following table sets forth (i) the average annual total return
of a share of the Fund’s common stock at net asset value (NAV) for the
period since inception of Fund investment operations through the period
noted and (ii) the Fund’s annualized distribution rate, for the same
period, expressed as a percentage of the NAV price of a share of the
Fund’s common stock at April 30, 2019. Average annual total return of a
share of the Fund’s common stock at NAV for the period since inception
of Fund Investment operations through the period noted includes the
4.50% sales load assessed to IPO investors.

The following table sets forth (i) the cumulative total return (at
NAV) of a share of the Fund’s common stock for the year-to-date period
ended April 30, 2019 and (ii) the Fund’s distribution rate, for the same
period, expressed as a percentage of the NAV price of a share of the
Fund’s common stock at April 30, 2019.

You should not draw any conclusions about the Fund’s investment
performance from the amount of the distributions noted in the tables
above or from the terms of the Fund’s distribution policy.

The Fund or your financial professional will send you a Form 1099-DIV
for the calendar year that will tell you how to report these
distributions on your US federal income tax return. For tax purposes,
the Fund is required to report unrealized gains or losses on certain
non-US investments as ordinary income or loss, respectively.
Accordingly, the amount of the Fund’s total distributions that will be
taxable as ordinary income may be different than the amount of the
distributions from net investment income reported above.

The Board may change the Fund’s distribution policy and the amount or
timing of the distributions, based on a number of factors, including,
but not limited to, the amount of the Fund’s undistributed net
investment income and net short- and long-term capital gains and
historical and projected net investment income and net short- and
long-term capital gains.

The Fund is a closed-end investment company that trades on the New York
Stock Exchange.

Past performance does not guarantee future results.

Important Disclosures:

Investors should consider the investment objectives, risks,
charges, and expenses of the Fund carefully before investing. You can
obtain the Fund’s most recent periodic reports and other regulatory
filings by contacting your financial advisor or visiting www.columbiathreadneedle.com.
These reports and other filings can also be found on the Securities and
Exchange Commission’s EDGAR Database. You should read these reports and
other filings carefully before investing.

The Fund expects to receive all or some of its current income and gains
from the following sources: (i) dividends received by the Fund that are
paid on the equity and equity-related securities in its portfolio; and
(ii) capital gains (short-term and long-term) from option premiums and
the sale of portfolio securities. It is possible that the Fund’s
distributions will at times exceed the earnings and profits of the Fund
and therefore all or a portion of such distributions may constitute a
return of capital as described below. A return of capital is a return of
your original investment. A return of capital distribution does not
necessarily reflect the Fund’s investment performance and should not be
confused with “yield” or “income.” You should not draw any conclusions
about the Fund’s investment performance from the amount of this
distribution or from the Fund’s distribution policy.

Distributions that qualify as a return of capital are a return of some
or all of your original investment in the Fund. A return of capital
reduces a stockholder’s tax basis in his or her shares. Once the tax
basis in your shares has been reduced to zero, any further return of
capital may be taxable as capital gain. Shareholders should consult
their tax advisor or tax attorney for proper treatment.

Distributions may be variable, and the Fund’s distribution rate will
depend on a number of factors, including the net earnings on the Fund’s
portfolio investments and the rate at which such net earnings change as
a result of changes in the timing of, and rates at which, the Fund
receives income from the sources noted above. As portfolio and market
conditions change, the rate of dividends on the shares and the Fund’s
distribution policy could change. The Board may change the Fund’s
distribution policy and the amount or timing of the distributions, based
on a number of factors, including, but not limited to, the amount of the
Fund’s undistributed net investment income and net short- and long-term
capital gains and historical and projected net investment income and net
short- and long-term capital gains.

The market prices of technology and technology-related stocks tend to
exhibit a greater degree of market risk and price volatility than other
types of investments. These stocks may fall in and out of favor with
investors rapidly, which may cause sudden selling and dramatically lower
market prices. These stocks also may be affected adversely by changes in
technology, consumer and business purchasing patterns, government
regulation and/or obsolete products or services. Technology and
technology-related companies are often smaller and less experienced
companies and may be subject to greater risks than larger companies,
such as limited product lines, markets and financial and managerial
resources. These risks may be heightened for technology companies in
foreign markets.

Investment products are not federally or FDIC-insured, are not deposits
or obligations of, or guaranteed by any financial institution, and
involve investment risks including possible loss of principal and
fluctuation in value.

The Fund’s use of derivatives introduces risks possibly greater than the
risks associated with investing directly in the investments underlying
the derivatives. A relatively small price movement in an underlying
investment may result in a substantial gain or loss.

The Fund should only be considered as one element of a complete
investment program. An investment in the Fund should be considered
speculative. The Fund’s investment policy of investing in technology and
technology-related companies and writing call options involves a high
degree of risk.

There is no assurance that the Fund will meet its investment objectives
or that distributions will be made. You could lose some or all of your
investment. In addition, closed-end funds frequently trade at a discount
to their net asset values, which may increase your risk of loss.

Columbia Threadneedle Investments (Columbia Threadneedle) is the global
brand name of the Columbia and Threadneedle group of companies.

The Columbia Seligman Premium Technology Growth Fund is managed by
Columbia Management Investment Advisers, LLC. This material is
distributed by Columbia Management Investment Distributors, Inc., member
FINRA.

© 2019 Columbia Management Investment Advisers, LLC. All rights reserved.

columbiathreadneedle.com/us

AdTrax 2524011

Contacts

Stockholder contact:
Kevin Howley
617-385-9517
[email protected]

Media contact:
Elizabeth Kennedy
617-897-9394
[email protected]