SEC File No. 333-29803
Filed Pursuant to Rule 497(h)
Prospectus Supplement
(To Prospectus Dated June 11, 1998)
PILGRIM AMERICA PRIME RATE TRUST
1,500,000 Shares Of Beneficial Interest
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On September 25, 1998, Pilgrim America Prime Rate Trust (the "Trust") sold
1,500,000 shares of beneficial interest of the Trust through privately
negotiated transactions pursuant to a Distribution Agreement with Pilgrim
America Securities, Inc. ("PASI") at a sales price of $9.4914 per share.
Gross Proceeds .............................. $14,237,100.00
Commission to PASI........................... $ 142,371.00
Net Proceeds to Trust........................ $14,094,729.00
On September 24, 1998, the last day of the corresponding pricing period,
the last reported sales price of the Shares on the NYSE was 9 15/16.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION NOR HAS THE SECURITIES
AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON THE
ACCURACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL
OFFENSE.
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The Date of this Prospectus Supplement is October 2, 1998.
