NEW YORK, Jan. 14, 2019 /PRNewswire/ -- Alcentra Capital
Corporation (NASDAQ: ABDC) ("Alcentra Capital" or the
"Company"), a provider of debt financing solutions to
middle-market companies based in the
United States, today provided an update on developments in
its investment portfolio during fourth quarter 2018 and share
repurchase plan activity.
Alcentra Capital's new management team continues to execute on
its strategy of rotating toward a larger middle market, senior
secured debt portfolio. During the fourth quarter of 2018, the
Company exited approximately $75.0 million of investments and redeployed
or committed for redeployment approximately $60.0 million into investments that are generally
consistent with its new strategy, including the following
investments which have closed:
- $4.4 million senior secured loan
(LIBOR+8.00%) to Sandvine Corporation, a networking equipment
company that provides policy control solutions and intelligence to
fixed, mobile and converged communications service provider
networks;
- $19.9 million senior secured loan
(LIBOR+6.25%) to Impact Group, LLC, a leading sales and marketing
agency with expertise in the retail brokerage and consumer packaged
goods industry;
- $6.3 million senior secured loan
(EURIBOR+7.00%) to Clanwilliam Group, an international healthcare
technology and services company based in Dublin, Ireland;
- the conversion of the Company's senior secured loan in Xpress
Global Systems, LLC ("Xpress") into an equity investment in
connection with the sale of Xpress to a new private equity sponsor;
and
- the conversion of the Company's various debt positions in Black
Diamond Equipment Rentals, LLC ("Black Diamond") into one senior
secured loan in connection with the recapitalization by Black
Diamond's existing financial sponsor.
Also, since January 1, 2018, the
Company has repurchased 1,280,111 shares of its outstanding common
stock under its share repurchase programs, or approximately 9.0% of
the shares outstanding as of January 1, 2018. As of
January 14, 2019, the Company has
approximately $6.2 million of
repurchase authority remaining under the repurchase program
announced on November 5, 2018.
Alcentra Capital's CEO, Vijay
Rajguru, stated, "We are very focused on implementing our
previously announced strategy to turn around the company and
enhance stockholder value. We are happy to report that in the
fourth quarter we were involved in the exit or recapitalization of
several legacy investments and continued to redeploy several of the
Company's portfolio positions into senior loans for larger,
financial sponsor-backed middle market companies. These steps,
along with share repurchases, have contributed positively to our
recent results and have put us on a strong course for success."
About Alcentra Capital Corporation
Alcentra Capital Corporation provides customized debt and equity
financing solutions to middle-market companies, which the Company
generally defines as U.S. based companies having between
$15.0 million and $75.0
million of EBITDA. Alcentra Capital's investment objective is
to provide attractive risk-adjusted returns by generating current
income from its debt investments. Alcentra Capital seeks to partner
with business owners, management teams and financial sponsors by
providing customized financing for change of ownership
transactions, recapitalizations, strategic acquisitions, business
expansion and other growth initiatives.
Alcentra Capital is an externally managed, closed-end,
non-diversified management investment company that has elected to
be treated as a business development company under the Investment
Company Act of 1940. In addition, for tax purposes, Alcentra
Capital has elected to be treated as a regulated investment company
under Subchapter M of the Internal Revenue Code of 1986.
About Alcentra NY, LLC
Alcentra NY, LLC, the Company's external investment adviser, is
a subsidiary of BNY Alcentra Group Holdings, Inc. ("Alcentra
Group"), one of the world's leading sub-investment grade credit
asset managers focusing on the U.S. and European markets. Alcentra
Group has an investment track record that spans across 75 separate
investment vehicles and accounts totaling approximately $37.5
billion (including accounts managed by Alcentra NY, LLC,
Alcentra Ltd, and assets managed by Alcentra Group personnel for
affiliates under dual officer arrangements).
Forward-Looking Statements
Statements included herein may constitute "forward-looking
statements," which relate to future events or the Company's future
performance or financial condition. These statements are not
guarantees of future performance, condition or results and involve
a number of risks and uncertainties. Actual results may differ
materially from those in the forward-looking statements as a result
of a number of factors, including those described from time to time
in the Company's filings with the Securities and Exchange
Commission. In addition, there is no assurance that the Company
will purchase additional shares at any specific discount levels or
in any specific amounts. There is no assurance that the market
price of the Company's shares, either absolutely or relative to net
asset value, will increase as a result of any share repurchases, or
that the repurchase plan will enhance stockholder value over the
long term. The Company undertakes no duty to update any
forward-looking statement made herein, unless required to do so by
law. All forward-looking statements speak only as of the date of
this press release.
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SOURCE Alcentra Capital Corporation