GAMCO Update on Net Cash after Paying Debt

Rhea-AI Summary

GAMCO Investors (NYSE: GBL) announced it has $117 million in cash and cash equivalents, maintaining a debt-free status following the $33.7 million payment on subordinated notes due June 15, 2023. The company, known for its research-driven equity investing, manages a diverse range of investment products through its subsidiaries, including GAMCO Asset Management and Gabelli Funds. GAMCO's comprehensive investment solutions span various sectors, appealing to a broad client base.

Positive

• Cash position of $117 million enhances financial stability.
• No debt following the recent payment indicates lower financial risk.

Negative

• Market volatility remains a concern due to economic conditions.
• Potential impacts from the ongoing coronavirus pandemic could affect performance.

GREENWICH, Conn.--(BUSINESS WIRE)-- GAMCO Investors, Inc. (“GAMCO”) (NYSE: GBL) announced today that GAMCO has $117 million of cash and cash equivalents and no debt subsequent to the September 15, 2022 payment of the $33.7 million principal amount of its subordinated notes due June 15, 2023.

About GAMCO Investors, Inc.

GAMCO is known for its research-driven approach to equity investing. GAMCO conducts its investment advisory business principally through two subsidiaries: GAMCO Asset Management Inc. (approximately 1,400 institutional and private wealth separate accounts) and Gabelli Funds, LLC (24 open-end funds, 14 closed-end funds, 4 actively managed semi-transparent ETFs, and a SICAV). GAMCO serves a broad client base including institutions, intermediaries, offshore investors, private wealth, and direct retail investors.

GAMCO offers a wide range of solutions for clients across Value and Growth Equity, ESG, Convertibles, actively managed semi-transparent ETFs, sector-focused strategies including Gold and Utilities, Merger Arbitrage, and Fixed Income. In 1977, GAMCO started its flagship All Cap Value strategy, Gabelli Value, and in 1986 launched its mutual fund business.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

The financial results set forth in this press release are preliminary. Our disclosure and analysis in this press release, which do not present historical information, contain “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements convey our current expectations or forecasts of future events. You can identify these statements because they do not relate strictly to historical or current facts. They use words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” and other words and terms of similar meaning. They also appear in any discussion of future operating or financial performance. In particular, these include statements relating to future actions, future performance of our products, expenses, the outcome of any legal proceedings, and financial results. Although we believe that we are basing our expectations and beliefs on reasonable assumptions within the bounds of what we currently know about our business and operations, the economy, the effects of the Tax Cuts and Jobs Act, and other conditions, there can be no assurance that our actual results will not differ materially from what we expect or believe. Therefore, you should proceed with caution in relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance.

Forward-looking statements involve a number of known and unknown risks, uncertainties and other important factors, some of which are listed below, that are difficult to predict and could cause actual results and outcomes to differ materially from any future results or outcomes expressed or implied by such forward-looking statements. Some of the factors that could cause our actual results to differ from our expectations include risks associated with the duration and scope of the ongoing coronavirus pandemic resulting in volatile market conditions, a decline in the securities markets that adversely affect our assets under management, negative performance of our products, the failure to perform as required under our investment management agreements, a general downturn in the economy that negatively impacts our operations, and the ongoing impacts of the Tax Cuts and Jobs Act with respect to tax rates and the non-deductibility of certain portions of NEO compensation. We also direct your attention to the more specific discussions of these and other risks, uncertainties and other important factors contained in our Form 10-K and other public filings. Other factors that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We do not undertake to update publicly any forward-looking statements if we subsequently learn that we are unlikely to achieve our expectations whether as a result of new information, future developments or otherwise, except as may be required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220919005793/en/

Mario Gabelli

Chair

(914) 921-3900



For further information please visit

www.gabelli.com

Source: GAMCO Investors, Inc.

FAQ

What is the current cash position of GAMCO Investors (GBL)?

GAMCO Investors has $117 million in cash and cash equivalents.

When is the maturity date for GAMCO's subordinated notes?

The subordinated notes are due on June 15, 2023.

What are the primary subsidiaries of GAMCO Investors (GABXX)?

GAMCO operates through GAMCO Asset Management Inc. and Gabelli Funds, LLC.

How does GAMCO Investors manage financial risk?

GAMCO Investors maintains a debt-free status, enhancing its financial stability.

What challenges could affect GAMCO's performance?

Market volatility and the ongoing impacts of the coronavirus pandemic may pose risks.