Solar Capital Ltd. Announces Amendment to Its Credit Facility
November 27 2018 - 8:30AM
Solar Capital Ltd. (NASDAQ: SLRC) (the “Company” or “Solar
Capital”), today reported that it has completed an amendment to its
senior secured credit facility (“Credit Facility”) to allow it to
use the flexibility and incremental leverage provided by the Small
Business Credit Availability Act (“SBCAA”).
Solar Capital has amended its $530 million
Credit Facility to reduce the asset coverage covenant from 200% to
150% and to make certain related changes to the borrowing base
calculations. Pricing and other significant terms remain unchanged.
Amendments to adopt the new 150% asset coverage requirement were
not required for any of Solar Capital’s other debt agreements.
“With this amendment, we have access to the
incremental leverage allowed via the Reduced Asset Coverage Ratio,
which Solar Capital’s board of directors and shareholders have
previously authorized. The reduction of our asset coverage
requirement provides increased flexibility to expand our cash flow
and asset-based loan portfolio,” said Michael Gross, CEO and
Chairman of Solar Capital. “Additionally, we are confident that
this increased flexibility for our unique specialty finance
business model, coupled with our conservative investment
philosophy, positions us for net investment income growth.”
“We are grateful for the overwhelming support
from our financing partners, as well as our independent directors
and shareholders,” said Bruce Spohler, Chief Operating Officer of
Solar Capital. “Their support highlights the confidence that they
have placed in Solar Capital’s strong investment track record and
prudent balance sheet management.”
About Solar Capital Ltd.
Solar Capital Ltd. is a closed-end
investment company that has elected to be treated as a business
development company under the Investment Company Act of 1940. A
specialty finance company with expertise in several niche markets,
the Company primarily invests directly and indirectly in leveraged,
U.S. middle market companies in the form of cash flow senior
secured loans including first lien and second lien debt instruments
and asset-based loans including senior secured loans collateralized
on a first lien basis primarily by current assets.
Forward-Looking Statements
Statements included herein may constitute
“forward-looking statements,” which relate to future events or our
future performance or financial condition. These statements are not
guarantees of future performance, conditions 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 our filings with The Securities and Exchange
Commission. Solar Capital Ltd. undertakes no duty to
update any forward-looking statements made herein, unless required
to do so by applicable law.
ContactSolar Capital Ltd.Investor
Relations(646) 308-8770
SLR Investment (NASDAQ:SLRC)
Historical Stock Chart
From Jun 2024 to Jul 2024
SLR Investment (NASDAQ:SLRC)
Historical Stock Chart
From Jul 2023 to Jul 2024