PHILADELPHIA, June 5, 2020 /PRNewswire/ -- FS KKR Capital
Corp. (NYSE: FSK), a leading publicly traded business development
company focused on providing customized credit solutions to private
middle market U.S. companies, announced that it expects to
implement a reverse stock split, to be effective on or around
June 15, 2020, which was approved by
the board of directors of the Company on May
26, 2020. As a result of the reverse stock split, the share
count will be reduced on a 4 : 1 basis, such that each shareholder
will receive 1 share for every 4 shares owned. The Company also
intends to file a separate Articles of Amendment to its charter to
provide that there will be no change in the par value of
$0.001 per share as a result of the
reverse stock split. The reverse stock split is expected to be
effective for trading purposes on June 16,
2020.
There is not expected to be any direct economic consequence to
the Company or its shareholders from the reverse stock split. The
reverse stock split will not change the authorized number of shares
of the Company's common stock. The reverse stock split will affect
all shareholders uniformly and will not alter any shareholder's
percentage interest in the Company's equity, except to the extent
that the reverse stock split would result in some shareholders
owning a fractional share. In that regard, no fractional shares
will be issued in connection with the reverse split. Shareholders
of record who would otherwise be entitled to receive a fractional
share will instead receive a cash payment based on the closing
price of the Company's common stock as reported on the New York
Stock Exchange on the effective date of the amendment to the
Company's charter effecting the reverse stock split.
As previously disclosed, the Company's board of directors
declared a regular quarterly cash distribution of $0.15 per share, which will be paid on or about
July 2, 2020 to shareholders of
record as of the close of business on June
17, 2020. As a result of the reverse stock split, the cash
distribution paid on or about July 2,
2020 will instead be $0.60 per
share (i.e., the aggregate amount that would have been payable on
four shares prior to the reverse stock split).
The Depository Trust Company is acting as the exchange agent and
DST Systems, Inc. is acting as the transfer agent for the reverse
stock split. Shareholders holding their shares in book-entry form
or in brokerage accounts need not take any action in connection
with the reverse stock split. Beneficial holders are encouraged to
contact their bank, broker or custodian with any procedural
questions.
About FS KKR Capital Corp.
FS KKR Capital
Corp. (NYSE: FSK) is a leading publicly traded business development
company (BDC) focused on providing customized credit solutions to
private middle market U.S. companies. FSK seeks to invest primarily
in the senior secured debt and, to a lesser extent, the
subordinated debt of private middle market companies. FSK is
advised by FS/KKR Advisor, LLC. For more information, please visit
www.fskkrcapitalcorp.com.
About FS/KKR Advisor, LLC
FS/KKR Advisor, LLC is a
partnership between FS Investments and KKR Credit that serves as
the investment adviser to BDCs with approximately $16 billion in assets under management as of
March 31, 2020. The BDCs managed by
FS/KKR Advisor, LLC are FS KKR Capital Corp. and FS KKR Capital
Corp. II.
FS Investments is a leading asset manager dedicated to helping
individuals, financial professionals and institutions design better
portfolios. The firm provides access to alternative sources of
income and growth, and focuses on setting industry standards for
investor protection, education and transparency. FS Investments is
headquartered in Philadelphia, PA
with offices in New York, NY,
Orlando, FL, Washington, DC and Leawood, KS. Visit
www.fsinvestments.com to learn more.
KKR Credit is a subsidiary of KKR & Co. Inc., a leading
global investment firm that manages multiple alternative asset
classes, including private equity, energy, infrastructure, real
estate and credit, with strategic manager partnerships that manage
hedge funds. KKR aims to generate attractive investment returns for
its fund investors by following a patient and disciplined
investment approach, employing world-class people, and driving
growth and value creation with KKR portfolio companies. KKR invests
its own capital alongside the capital it manages for fund investors
and provides financing solutions and investment opportunities
through its capital markets business. References to KKR's
investments may include the activities of its sponsored funds. For
additional information about KKR & Co. Inc. (NYSE: KKR), please
visit KKR's website at www.kkr.com and on Twitter @KKR_Co.
Forward-Looking Statements
This announcement may
contain certain forward-looking statements, including statements
with regard to future events or the future performance or operation
of the Company. 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. Factors that could cause actual results to differ
materially include changes in the economy, risks associated with
possible disruption in the Company's operations or the economy
generally due to terrorism, natural disasters or pandemics such as
COVID-19, future changes in laws or regulations and conditions in
the Company's operating area, and the price at which shares of
common stock trade on the New York Stock Exchange. Some of these
factors are enumerated in the filings the Company makes with the
Securities and Exchange Commission. The Company undertakes no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise.
Contact Information
Investor Relations Contact
Robert Paun
Robert.Paun@fsinvestments.com
FS Investments Media Team
Melanie Hemmert
media@fsinvestments.com
Media (KKR)
Kristi Huller or Cara Kleiman Major
media@kkr.com
212-750-8300
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SOURCE FS KKR Capital Corp.