Filed Pursuant to Rule 497
File No. 333-256366
Rule 482ad
Saratoga Investment Corp. Prices Public Offering
of
$87.5 Million 6.00% Notes Due 2027
NEW YORK, NY (April 19, 2022) – Saratoga
Investment Corp. (the “Company”) (NYSE: SAR) today announced that it has priced an underwritten public offering of $87.5 million
in aggregate principal amount of 6.00% unsecured notes due 2027 (the “Notes”).
The Notes will mature on April 30, 2027, 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 April 27, 2024. The Notes
will bear interest at a rate of 6.00% per year payable quarterly on February 28, May 31, August 31 and November 30 of each year, beginning
August 31, 2022.
The offering is expected to close on April
27, 2022, subject to customary closing conditions. The Company has granted the underwriters an option to purchase up to an additional
$12.5 million in aggregate principal amount of Notes. The Notes are expected to be listed on the New York Stock Exchange and to trade
thereon within 30 days of the original issue date under the trading symbol “SAT”.
The Company has received an investment grade private rating of “BBB+”
from Egan-Jones Ratings Company, an independent, unaffiliated rating agency.
Egan-Jones is a Nationally Recognized Statistical
Rating Organization (NRSRO) and is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider
(CRP). Egan-Jones is also certified by the European Securities and Markets Authority (ESMA).
Ladenburg
Thalmann & Co. Inc., B. Riley Securities, Inc., and Oppenheimer & Co. Inc. are serving as joint book-running managers for this
offering. Compass Point and InspereX LLC are serving as lead managers for this offering. Hovde Group, LLC and Maxim Group LLC are serving
as co-managers for this offering. The Company intends to use the net proceeds from this offering to make investments in middle-market companies
(including investments through its SBIC subsidiaries) in accordance with the Company’s investment objective and strategies and for
general corporate purposes. The Company may use the net proceeds from this offering to redeem all of the outstanding 7.25% fixed-rate
notes due 2025, which are callable by the Company commencing June 24, 2022.
Investors are advised to consider carefully
the investment objective, risks and charges and expenses of the Company before investing. The preliminary prospectus supplement dated
April 18, 2022, and the accompanying prospectus dated July 7, 2021, each of which has been filed with the Securities and Exchange Commission
(the “SEC”), contains a description of these matters and other important 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 Notes 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. A registration statement (File No. 333-256366) relating to the Notes was filed and has been declared
effective by the SEC.
This offering is being made solely by means of a written
prospectus forming part of the effective registration statement and a related preliminary prospectus supplement, which may be obtained
for free by visiting the SEC’s website at www.sec.gov or from of any of the following investment banks: Ladenburg
Thalmann, Attn: Syndicate Department, 640 Fifth Avenue, 4th Floor, New York, NY 10019 (telephone number 1-800-573-2541), or by e-mailing
prospectus@ladenburg.com; B. Riley Securities, Inc., at 1300 North 17th Street, Suite 1300, Arlington, VA 22209, by calling (703) 312-9580
or by emailing at prospectuses@brileyfin.com; Oppenheimer & Co. Inc., Attn: Syndicate Prospectus Department, 85 Broad Street, New
York, NY 10004 or by e-mailing at FixedIncomeProspectus@opco.com; Compass Point, 1055 Thomas Jefferson St. NW, Suite 303, Washington,
DC 20007, by calling (202) 540-7300, or by emailing at syndicate@compasspointllc.com; InspereX LLC, Attn: Syndicate Department, 200 S.
Wacker Drive, Suite 3400, Chicago, IL 60606 (telephone number 1-800-327-1546) or by emailing at prospectus_requests@insperex.com; Hovde
Group, LLC, 1629 Colonial Parkway, Inverness, IL 60067 or by emailing at mhedrei@hovdegroup.com; and Maxim Group LLC, 300 Park Ave, 16th
Floor, New York, NY 10022 or by emailing at syndicate@maximgrp.com.
About Saratoga Investment Corp.
Saratoga Investment Corp. is a specialty finance
company that provides customized financing solutions to U.S. middle-market businesses. The Company invests primarily in senior and unitranche
leveraged loans and mezzanine debt, and, to a lesser extent, equity to provide financing for change of ownership transactions, strategic
acquisitions, recapitalizations and growth initiatives in partnership with business owners, management teams and financial sponsors.
Saratoga Investment Corp.’s objective is to create attractive risk-adjusted returns by generating current income and long-term capital
appreciation from its debt and equity investments. Saratoga Investment Corp. has elected to be regulated as a business development
company under the Investment Company Act of 1940 and is externally-managed by Saratoga Investment Advisors, LLC, an SEC-registered investment
advisor focusing on credit-driven strategies. Saratoga Investment Corp. owns two SBIC-licensed subsidiaries and manages a $650 million
collateralized loan obligation (the “Saratoga CLO”) fund. It also owns 52% of the Class F and 100% of the subordinated
notes of the Saratoga CLO. The Company’s diverse funding sources, combined with a permanent capital base, enable Saratoga
Investment Corp. to provide a broad range of financing solutions.
FORWARD-LOOKING STATEMENTS
Statements included herein contain certain
“forward-looking statements” within the meaning of the federal securities laws, including statements with regard to the Company’s
Notes offering and the anticipated use of the net proceeds of the offering. Forward-looking statements can be identified by the use of
forward looking words such as “outlook,” “believes,” “expects,” “potential,” “continues,”
“may,” “will,” “should,” “seeks,” “approximately,” “predicts,”
“intends,” “plans,” “estimates,” “anticipates” or negative versions of those words, other
comparable words or other statements that do not relate to historical or factual matters. The forward-looking statements are based on
our beliefs, assumptions and expectations of future events and our future performance, taking into account all information currently available
to us. These statements are not guarantees of future events, 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 but not
limited to the impact of the COVID-19 pandemic and the pandemic’s impact on the U.S. and global economy, as well as those described
from time to time in our filings with the SEC. Any forward-looking statement speaks only as of the date on which it is made. Saratoga
Investment Corp. undertakes no duty to update any forward-looking statements made herein, whether as a result of new information, future
developments or otherwise, except as required by law.
Contact: Henri Steenkamp
Saratoga Investment Corp.
212-906-7800
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