Gladstone Investment Corporation Exits its Investment in Drew Foam Companies, Inc.
June 04 2018 - 8:30AM
Gladstone Investment Corporation (NASDAQ:GAIN) (“Gladstone
Investment”) announced today the sale of its equity interest and
the prepayment of its debt investments in Drew Foam Companies, Inc.
(“Drew Foam”) to a private equity firm. As a result of this
transaction, Gladstone Investment realized a significant gain on
its equity investment.
Drew Foam, headquartered in Monticello, AR, is a market leading
designer, molder and fabricator of expanded polystyrene foam
products used in industrial, construction, cold chain
pharmaceutical and food applications and consumer markets.
“Gladstone Investment has thoroughly enjoyed our partnership
with the Drew Foam management team during the life of our
investment. The management team, led by Bill Givens, achieved
outstanding results in both growing and transforming the business
since August 2012. We wish the Drew Foam team continued success,”
said Greg Bowie, Director, Private Equity, of Gladstone
Investment’s investment adviser.
“With the sale of Drew Foam and from inception in 2005,
Gladstone Investment has exited 13 of its management supported
buy-outs realizing significant net realized gains on these
investments. These realized gains are a result of Gladstone
Investment’s strategy and capability as a buyout fund and our
investment approach of realizing gains on equity, while generating
strong current income during the investment period,” said David
Dullum, President of Gladstone Investment.
Gladstone Investment Corporation is a publicly traded business
development company that seeks to make debt and equity investments
in lower middle market private businesses in the United States in
connection with acquisitions, changes in control and
recapitalizations. Additional information on the transaction can be
found at www.gladstoneinvestment.com.
For Investor Relations inquiries related to any
of the monthly distribution-paying Gladstone family of funds,
please visit www.gladstonecompanies.com.
Forward-looking Statements:
The statements in this press release regarding
the longer-term prospects of Gladstone Investment and Drew and its
management team, and the ability of Gladstone Investment and Drew
to be successful in the future are "forward-looking statements."
These forward-looking statements inherently involve certain risks
and uncertainties in predicting future results and conditions.
Although these statements are based on Gladstone Investment's
current beliefs that are believed to be reasonable as of the date
of this press release, a number of factors could cause actual
results and conditions to differ materially from these
forward-looking statements, including those factors described from
time to time in Gladstone Investment's filings with the Securities
and Exchange Commission. Gladstone Investment undertakes no
obligation to update or revise these forward looking statements
whether as a result of new information, future events or otherwise,
except as required by law.
SOURCE: Gladstone Investment Corporation
For further information: Gladstone Investment Corporation,
703-287-5893
Gladstone Investment (NASDAQ:GAIN)
Historical Stock Chart
From Aug 2024 to Sep 2024
Gladstone Investment (NASDAQ:GAIN)
Historical Stock Chart
From Sep 2023 to Sep 2024