PHILADELPHIA, Jan. 6, 2016 /PRNewswire/ -- FS Investment
Corporation IV (FSIC IV), a new business development company
sponsored by Franklin Square Capital Partners (Franklin Square),
has satisfied its minimum offering requirement, admitted its
initial public investors as stockholders and commenced operations.
FSIC IV has registered for public sale in a continuous offering up
to 250 million shares of common stock.
FSIC IV is a publicly registered, non-traded business
development company (BDC) focused on investing primarily in the
senior secured debt of private middle market U.S. companies, with
the investment objective of generating current income and, to a
lesser extent, long-term capital appreciation. It is one of the
first BDCs to launch with a commission structure that is responsive
to FINRA Regulatory Notice 15-02, lowering both upfront and all-in
distribution fees, while seeking to align the interests of
financial advisors, investors and the sponsor.
FSIC IV launched with over $9.1
million in capital, which included a meaningful sponsor
commitment from affiliates of Franklin Square and FSIC IV's
investment sub-adviser, GSO / Blackstone Debt Funds Management LLC
(GSO / Blackstone). GSO / Blackstone is an affiliate of GSO Capital
Partners LP (GSO), the credit platform of Blackstone.
Building on the success of its predecessor funds, FS Investment
Corporation (NYSE: FSIC), FS Investment Corporation II (FSIC II)
and FS Investment Corporation III (FSIC III), FSIC IV will seek to
provide investors with a stable level of income and reduce overall
portfolio volatility by targeting investments in private U.S.
middle market companies. FSIC, Franklin
Square's inaugural fund and the industry's first non-traded
BDC, listed its shares on the New York Stock Exchange on
April 16, 2014, marking the first
such liquidity event for a non-traded BDC. As a successor fund,
FSIC IV intends to provide customized financing solutions to
private U.S. middle market companies through the direct lending
platform of GSO / Blackstone.
"We are pleased to launch the fourth generation of our core
income fund franchise," said Michael C.
Forman, Chairman and Chief Executive Officer of FSIC IV.
"Just as Franklin Square pioneered
the industry's first non-traded BDC, we believe FSIC IV combines
the leading capabilities of our direct origination investment
platform with an innovative commission structure that meets the
needs of financial advisors and investors."
About Franklin
Square
Franklin Square
is a leading manager of alternative investment funds designed to
enhance investors' portfolios by providing access to asset classes,
strategies and asset managers that typically have been available to
only the largest institutional investors. The firm's funds offer
"endowment-style" investment strategies that help construct
diversified portfolios and manage risk. Franklin Square strives not only to maximize
investment returns but also to set the industry standard for best
practices by focusing on transparency, investor protection and
education for investment professionals and their clients.
Founded in Philadelphia in
2007, Franklin Square quickly established itself as a leader in the
world of alternative investments by introducing innovative
credit-based income funds, including the industry's first
non-traded BDC. As of September 30,
2015, the firm managed approximately $17.0 billion in total assets, including
$15.7 billion in BDC assets, making
it the largest manager of BDCs. For more information, please visit
www.franklinsquare.com.
For information about FSIC IV, visit
www.franklinsquare.com.
Forward-Looking Statements and Important
Disclosures
This press release may contain certain
forward-looking statements, including statements with regard to the
future performance or operations of FSIC IV. Words such as
"believes," "expects," "projects" and "future" or similar
expressions are intended to identify forward-looking statements.
These forward-looking statements are subject to the inherent
uncertainties in predicting future results and conditions. Certain
factors could cause actual results to differ materially from those
projected in these forward-looking statements, and some of these
factors are enumerated in the filings FSIC IV makes with the U.S.
Securities and Exchange Commission. FSIC IV undertakes no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise.
Individual investors and endowments may have different
investment horizons, liquidity needs and risk tolerances. In
addition, fees that may be incurred by an investor in a fund
sponsored by Franklin Square may be
different than fees incurred by an endowment investing in similar
assets as those in which the funds invest.
FRANKLIN SQUARE MEDIA CONTACT:
215-495-1174
media@franklinsquare.com
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/fs-investment-corporation-iv-commences-operations-300200588.html
SOURCE FS Investment Corporation IV