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Capital Southwest Receives Affirmed Investment Grade Rating from Moody’s Investors Service

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Capital Southwest (Nasdaq: CSWC) has received an affirmed investment grade rating of Baa3 with a stable outlook from Moody's Investors Service. The rating affirmation reflects the company's strong fundamentals, including:

  • Strong capitalization
  • Diverse funding profile
  • First-lien oriented investment portfolio
  • Recurring earnings generation
  • Internally managed structure

The business development company (BDC) focuses on providing flexible financing solutions to support middle market businesses' acquisition and growth.

Capital Southwest (Nasdaq: CSWC) ha ricevuto un rating di investimento confermato di Baa3 con un outlook stabile da parte di Moody's Investors Service. L'affermazione del rating riflette i solidi fondamentali dell'azienda, tra cui:

  • Forti capitalizzazioni
  • Profilo di finanziamento diversificato
  • Portafoglio di investimenti orientato a prestiti di primo grado
  • Generazione di utili ricorrenti
  • Struttura gestita internamente

La società di sviluppo commerciale (BDC) si concentra sulla fornitura di soluzioni di finanziamento flessibili per supportare l'acquisizione e la crescita delle aziende di mercato intermedio.

Capital Southwest (Nasdaq: CSWC) ha recibido una con una perspectiva estable de Moody's Investors Service. La afirmación de la calificación refleja los sólidos fundamentos de la empresa, que incluyen:

  • Fuerte capitalización
  • Perfil de financiación diverso
  • Portafolio de inversiones orientado a préstamos de primer grado
  • Generación de ganancias recurrentes
  • Estructura gestionada internamente

La compañía de desarrollo comercial (BDC) se centra en proporcionar soluciones de financiamiento flexibles para apoyar la adquisición y el crecimiento de las empresas del mercado medio.

캐피탈 사우스웨스트 (Nasdaq: CSWC)는 무디스 투자 서비스로부터 안정적인 전망과 함께 Baa3의 투자 등급을 확인받았습니다. 이 등급 확인은 회사의 강력한 기본 요소를 반영합니다. 포함 사항은 다음과 같습니다:

  • 강력한 자본 구조
  • 다양한 자금 조달 프로필
  • 1순위 대출 중심의 투자 포트폴리오
  • 지속적인 수익 생성
  • 내부 관리 구조

이 사업 개발 회사(BDC)는 중간 시장 기업의 인수 및 성장을 지원하기 위해 유연한 자금 조달 솔루션을 제공하는 데 중점을 두고 있습니다.

Capital Southwest (Nasdaq: CSWC) a reçu une notation de crédit d'investissement confirmée de Baa3 avec une perspective stable de Moody's Investors Service. La confirmation de la notation reflète les solides fondamentaux de l'entreprise, notamment :

  • Forte capitalisation
  • Profil de financement diversifié
  • Portefeuille d'investissements orienté vers les prêts de premier rang
  • Génération de bénéfices récurrents
  • Structure gérée en interne

La société de développement commercial (BDC) se concentre sur la fourniture de solutions de financement flexibles pour soutenir l'acquisition et la croissance des entreprises du marché intermédiaire.

Capital Southwest (Nasdaq: CSWC) hat von Moody's Investors Service eine bestätigte Anlagebewertung von Baa3 mit stabiler Aussicht erhalten. Die Bestätigung der Bewertung spiegelt die starken Grundlagen des Unternehmens wider, einschließlich:

  • Starke Kapitalisierung
  • Vielfältiges Finanzierungsprofil
  • Investitionsportfolio mit erster Hypothek
  • Wiederkehrende Ertragsgenerierung
  • Intern verwaltete Struktur

Das Unternehmen für Geschäftsentwicklung (BDC) konzentriert sich darauf, flexible Finanzierungslösungen anzubieten, um die Akquisition und das Wachstum von Unternehmen im mittleren Markt zu unterstützen.

Positive
  • Maintained investment grade credit rating (Baa3)
  • Strong capitalization profile
  • Diverse funding sources
  • Stable recurring earnings generation
  • Conservative first-lien oriented portfolio structure
Negative
  • None.

Moody’s affirms Baa3 long-term issuer rating with a stable outlook

DALLAS, March 25, 2025 (GLOBE NEWSWIRE) -- Capital Southwest Corporation (“Capital Southwest,” or the “Company”) (Nasdaq: CSWC), an internally managed business development company focused on providing flexible financing solutions to support the acquisition and growth of middle market businesses, today announced that Moody’s Investors Service, Inc. (“Moody’s”) has affirmed Capital Southwest’s investment grade long-term issuer rating of Baa3 with a stable outlook. Factors cited by Moody’s in support of its rating include Capital Southwest’s strong capitalization and diverse funding profile, first-lien oriented investment portfolio, recurring earnings generation, and internally managed structure.

About Capital Southwest

Capital Southwest Corporation (Nasdaq: CSWC) is a Dallas, Texas-based, internally managed business development company with approximately $1.7 billion in investments at fair value as of December 31, 2024. Capital Southwest is a middle market lending firm focused on supporting the acquisition and growth of middle market businesses with $5 million to $50 million investments across the capital structure, including first lien, second lien and non-control equity co-investments. As a public company with a permanent capital base, Capital Southwest has the flexibility to be creative in its financing solutions and to invest to support the growth of its portfolio companies over long periods of time.

Forward-Looking Statements

This press release contains historical information and forward-looking statements with respect to the business and investments of Capital Southwest, including, but not limited to, the statements about Capital Southwest's future performance and financial performance and financial condition. Forward-looking statements are statements that are not historical statements and can often be identified by words such as "will," "believe," "expect" and similar expressions and variations or negatives of these words. These statements are based on management's current expectations, assumptions and beliefs. They are not guarantees of future results and are subject to numerous risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statement. These risks include risks related to: changes in the markets in which Capital Southwest invests; changes in the financial, capital, and lending markets; changes in the interest rate environment and its impact on our business and our portfolio companies; regulatory changes; tax treatment; an economic downturn and its impact on the ability of our portfolio companies to operate and the investment opportunities available to us; the impact of supply chain constraints and labor shortages on our portfolio companies; and the elevated levels of inflation and its impact on our portfolio companies and the industries in which we invests.

Readers should not place undue reliance on any forward-looking statements and are encouraged to review Capital Southwest's Annual Report on Form 10-K for the year ended March 31, 2024 and any subsequent filings with the SEC, including the "Risk Factors" sections therein, for a more complete discussion of the risks and other factors that could affect any forward-looking statements. Except as required by the federal securities laws, Capital Southwest does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changing circumstances or any other reason after the date of this press release.

Investor Relations Contact:

Michael S. Sarner, President and Chief Executive Officer
214-884-3829


FAQ

What is Capital Southwest's (CSWC) current Moody's credit rating?

Capital Southwest (CSWC) has a Baa3 investment grade long-term issuer rating from Moody's with a stable outlook.

What factors led to Moody's affirming CSWC's Baa3 rating in March 2025?

Moody's cited CSWC's strong capitalization, diverse funding profile, first-lien oriented portfolio, recurring earnings generation, and internally managed structure.

What type of business is Capital Southwest (CSWC)?

CSWC is an internally managed business development company that provides flexible financing solutions for middle market business acquisitions and growth.

What does the stable outlook mean for CSWC's credit rating?

The stable outlook indicates Moody's expects CSWC's credit profile to remain consistent with its current Baa3 rating in the near to medium term.
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