NEW
YORK, Aug. 17, 2023 /PRNewswire/ --
WhiteHorse Finance, Inc., a business development company
(the "Company") (Nasdaq: WHF), today announced that it has priced a
registered public offering of $30
million in aggregate principal amount of its 7.875% notes
due 2028 (the "Notes"), which will result in net proceeds to the
Company of approximately $28.8
million (or approximately $33.2
million if the underwriters fully exercise the overallotment
option described below), based on a public offering price of 100%
of the aggregate principal amount of the Notes, after deducting
payment of underwriting discounts and commissions and estimated
offering expenses payable by the Company.
The Notes will mature on September 15,
2028 and may be redeemed in whole or in part at any time, or
from time to time, at the Company's option on or after September 15, 2025. The Notes will bear interest
at a rate of 7.875% per year, payable quarterly every March 15, June 15,
September 15 and December 15, commencing September 15, 2023. The Notes have received a
private rating of "BBB+" from Egan-Jones Ratings Company and BBB
(low) from DBRS, Inc.* The Company has also granted the
underwriters a 30-day option to purchase an additional $4.5 million aggregate principal amount of Notes
to cover overallotments, if any.
The offering is subject to customary closing conditions and is
expected to close on August 24,
2023. The Company has submitted an application for the Notes
to be listed and traded on The Nasdaq Global Select Market under
the trading symbol "WHFCL". If approved for listing, the Company
expects the Notes to begin trading within 30 days from the original
issue date.
The Company intends to use all or substantially all of the net
proceeds from the offering to repay amounts outstanding under its
existing revolving credit facility with JPMorgan Chase Bank, N.A.
(the "Credit Facility"), to fund new investments in accordance with
its investment objective and strategies and for general corporate
purposes. As of August 15, 2023, the
Company had $267 million of
indebtedness outstanding under the Credit Facility. Borrowings
under the Credit Facility generally bear interest at an annual rate
equal to SOFR plus 2.50% and will mature on November 22, 2025.
Oppenheimer & Co. Inc., B. Riley Securities, Inc. and
Ladenburg Thalmann & Co., Inc. are acting as joint book-running
managers for the offering. William
Blair & Company, L.L.C. is acting as co-manager for the
offering.
* Note: A securities rating is not a recommendation to buy, sell
or hold securities and may be subject to revision or withdrawal at
any time.
Investors are advised to carefully consider the investment
objectives, risks and charges and expenses of the Company before
investing. The pricing term sheet, dated August 17, 2023, the preliminary prospectus
supplement, dated August 16, 2023,
and the accompanying prospectus, dated August 2, 2022, each of which has been filed with
the Securities and Exchange Commission, contain this and other
information about the Company and should be read carefully before
investing.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy nor will there be any sale of the
securities referred to in this press release in any state or
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of such state or jurisdiction.
The offering may be made only by means of a prospectus and a
related prospectus supplement, copies of which may be obtained
from: Syndicate Prospectus Department, 85 Broad Street, 26th Floor,
New York, NY 10004, by telephone
at (212) 667-8055, or by email at
FixedIncomeProspectus@opco.com.
About WhiteHorse Finance, Inc.
WhiteHorse Finance, Inc. is a business development company
that originates and invests in loans to privately held, lower
middle market companies across a broad range of industries. The
Company's investment activities are managed by H.I.G. WhiteHorse
Advisers, LLC, an affiliate of H.I.G. Capital, LLC ("H.I.G.
Capital"). H.I.G. Capital is a leading global alternative
asset manager with over $58
billion of capital under management* across a number of
funds focused on the small and mid-cap markets. For more
information about H.I.G. Capital, please
visit http://www.higcapital.com. For more information about
the Company, please
visit http://www.whitehorsefinance.com.
Forward-Looking Statements
This press release may contain "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Statements other than statements of historical facts
included in this press release may constitute forward-looking
statements and are not guarantees of future performance 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 filings with the Securities and Exchange Commission. The
Company undertakes no duty to update any forward-looking statement
made herein. All forward-looking statements speak only as of the
date of this press release.
* Based on total capital raised by H.I.G. Capital and
affiliates.
Contacts
Stuart Aronson
WhiteHorse Finance, Inc.
212-506-0500
saronson@higwhitehorse.com
Joyson Thomas
WhiteHorse Finance, Inc.
305-379-2322
jthomas@higwhitehorse.com
Robert Brinberg
Rose & Company
212-257-5932
whitehorse@roseandco.com
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SOURCE WhiteHorse Finance, Inc.