Great Elm Capital Corp. Announces Public Offering of Unsecured Notes
Great Elm Capital Corp. (GECC) announced the launch of an underwritten public offering of unsecured notes due 2029. The notes, expected to trade under the NASDAQ symbol GECCH, will have an interest rate determined through negotiations. The net proceeds will be used along with cash to redeem 6.75% unsecured notes due 2025. Lucid Capital Markets, Janney Montgomery Scott, and Piper Sandler are joint book-running managers, while Clear Street, InspereX, and Ladenburg Thalmann are co-managers. Investors can obtain a prospectus from Lucid Capital Markets. The press release emphasizes careful consideration of investment objectives, risks, and charges before investing. The offering is subject to SEC approval and is not yet effective.
Great Elm Capital Corp. (GECC) ha annunciato il lancio di un offerta pubblica sottoscritta di obbligazioni non garantite in scadenza nel 2029. Le obbligazioni, che si prevede vengano scambiate con il simbolo NASDAQ GECCH, avranno un tasso d'interesse determinato attraverso negoziazioni. I proventi netti saranno utilizzati insieme a contante per riscattare obbligazioni non garantite al 6,75% in scadenza nel 2025. Lucid Capital Markets, Janney Montgomery Scott e Piper Sandler sono i manager principali, mentre Clear Street, InspereX e Ladenburg Thalmann sono co-manager. Gli investitori possono ottenere un prospetto da Lucid Capital Markets. Il comunicato stampa sottolinea l'importanza di considerare attentamente gli obiettivi d'investimento, i rischi e le spese prima di investire. L'offerta è soggetta all'approvazione della SEC ed è attualmente non efficace.
Great Elm Capital Corp. (GECC) anunció el lanzamiento de una oferta pública suscrita de bonos no garantizados con vencimiento en 2029. Se espera que los bonos se negocien bajo el símbolo NASDAQ GECCH, y tendrán una tasa de interés determinada mediante negociaciones. Los ingresos netos se utilizarán junto con efectivo para redimir bonos no garantizados al 6,75% con vencimiento en 2025. Lucid Capital Markets, Janney Montgomery Scott y Piper Sandler son los administradores principales, mientras que Clear Street, InspereX y Ladenburg Thalmann son co-administradores. Los inversores pueden obtener un prospecto de Lucid Capital Markets. El comunicado de prensa enfatiza la consideración cuidadosa de los objetivos de inversión, riesgos y cargos antes de invertir. La oferta está sujeta a la aprobación de la SEC y aún no es efectiva.
Great Elm Capital Corp. (GECC)는 2029년 만기 무담보 노트에 대한 공모 신청을 발표했습니다. 이 노트는 NASDAQ 기호 GECCH으로 거래될 예정이며, 이자율은 협상을 통해 결정됩니다. 순수익은 2025년 만기 6.75% 무담보 노트를 환매하기 위해 현금과 함께 사용될 것입니다. Lucid Capital Markets, Janney Montgomery Scott 및 Piper Sandler는 공동 주관사이며, Clear Street, InspereX 및 Ladenburg Thalmann은 공동 관리자입니다. 투자자는 Lucid Capital Markets에서 투자 설명서를 받을 수 있습니다. 보도자료는 투자하기 전에 투자 목표, 위험 및 비용에 대한 신중한 고려를 강조합니다. 이 공모는 SEC 승인을 받아야 하며 아직 효력이 발생하지 않았습니다.
Great Elm Capital Corp. (GECC) a annoncé le lancement d'une offre publique souscrite d'obligations non garanties arrivant à échéance en 2029. Les obligations, qui devraient être négociées sous le symbole NASDAQ GECCH, auront un taux d'intérêt déterminé par des négociations. Les produits nets seront utilisés avec des liquidités pour racheter des obligations non garanties à 6,75% arrivant à échéance en 2025. Lucid Capital Markets, Janney Montgomery Scott et Piper Sandler sont les gestionnaires principaux, tandis que Clear Street, InspereX et Ladenburg Thalmann sont co-gestionnaires. Les investisseurs peuvent obtenir un prospectus de Lucid Capital Markets. Le communiqué de presse souligne l'importance d'examiner attentivement les objectifs d'investissement, les risques et les frais avant d'investir. L'offre est soumise à l'approbation de la SEC et n'est pas encore effective.
Great Elm Capital Corp. (GECC) hat den Start eines unterzeichneten öffentlichen Angebots von unbesicherten Anleihen mit Fälligkeit im Jahr 2029 angekündigt. Die Anleihen, die voraussichtlich unter dem NASDAQ-Symbol GECCH gehandelt werden, werden einen Zinssatz haben, der durch Verhandlungen bestimmt wird. Die netto Einnahmen werden zusammen mit Bargeld verwendet, um unbesicherte Anleihen mit 6,75% Fälligkeit im Jahr 2025 zurückzuzahlen. Lucid Capital Markets, Janney Montgomery Scott und Piper Sandler sind die Hauptbuchmacher, während Clear Street, InspereX und Ladenburg Thalmann Co-Manager sind. Investoren können einen Prospekt von Lucid Capital Markets erhalten. Die Pressemitteilung betont die sorgfältige Berücksichtigung der Anlageziele, Risiken und Gebühren vor einer Investition. Das Angebot unterliegt der Genehmigung durch die SEC und ist noch nicht wirksam.
- Launch of a new public offering of unsecured notes due 2029.
- Net proceeds will redeem existing 6.75% unsecured notes due 2025, potentially improving financial stability.
- Potential shareholder dilution due to the new issuance of notes.
Great Elm Capital Corp.'s (GECC) announcement of a public offering of unsecured notes due 2029 is a strategic move to refinance its debt. The company plans to use the proceeds to redeem its outstanding 6.75% notes due 2025, potentially lowering its interest expenses. This could improve GECC's financial flexibility and extend its debt maturity profile. However, the success of this offering depends on market conditions and investor appetite. Key points to watch:
- The new interest rate, which will impact GECC's future interest expenses
- The total amount raised, indicating investor confidence
- Any changes in the company's debt-to-equity ratio post-offering
While debt refinancing can be positive, investors should carefully assess the terms of the new notes and their impact on GECC's overall financial health.
The unsecured notes offering by GECC reflects broader trends in the business development company (BDC) sector. With interest rates at elevated levels, many BDCs are reassessing their debt structures. This move by GECC could be seen as a proactive step to optimize its capital structure in a challenging market environment. Key market implications:
- Investor appetite for this offering may indicate sentiment towards the BDC sector
- The pricing of the notes could set a benchmark for other BDCs considering similar refinancing
- GECC's ability to successfully place the notes may signal market confidence in its business model and management
Investors should monitor how this offering is received, as it could provide insights into the overall health of the BDC market and investor risk appetite in the current economic climate.
PALM BEACH GARDENS, Fla., Sept. 12, 2024 (GLOBE NEWSWIRE) -- Great Elm Capital Corp. (the “Company” or “GECC”) (NASDAQ: GECC) announced today the commencement of an underwritten public offering of unsecured notes due 2029 (the “Notes”). The Notes are expected to be listed on The Nasdaq Global Market under the trading symbol “GECCH,” and to trade thereon within 30 days from the original issue date. The interest rate and other terms of the Notes will be determined by negotiations between the Company and the underwriters.
The Company expects to use the net proceeds from the offering together with cash on hand to redeem all of its outstanding
Lucid Capital Markets, LLC, Janney Montgomery Scott LLC and Piper Sandler & Co. are acting as joint book-running managers for the offering. Clear Street LLC, InspereX LLC and Ladenburg Thalmann & Co. Inc. are acting as co-managers for the offering.
This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities in this offering or any other securities nor will there be any sale of these securities or any other securities 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 relating to these securities has been filed with the Securities and Exchange Commission (the “SEC”) but has not yet been declared effective. These securities may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. The offering will be made only by means of a prospectus, copies of which may be obtained, when available, from:
Lucid Capital Markets, LLC
570 Lexington Ave., 40th Floor
New York, New York 10022
(646) 362-0256
Investors are advised to carefully consider the investment objectives, risks and charges and expenses of the Company before investing. The preliminary prospectus, dated September 9, 2024, which has been filed with the SEC, contains a description of these matters and other important information about the Company and should be read carefully before investing.
The information in this press release and the preliminary prospectus is not complete and may be changed.
About Great Elm Capital Corp.
GECC is an externally managed business development company that seeks to generate both current income and capital appreciation through debt and income generating equity investments, including investments in specialty finance businesses.
Cautionary Statement Regarding Forward-Looking Statements
Statements in this communication that are not historical facts are “forward-looking” statements within the meaning of the federal securities laws. These statements are often, but not always, made through the use of words or phrases such as “expect,” “anticipate,” “should,” “will,” “estimate,” “designed,” “seek,” “continue,” “upside,” “potential” and similar expressions. All such forward-looking statements involve estimates and assumptions that are subject to risks, uncertainties and other factors that could cause actual results to differ materially from the results expressed in the statements. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking statements are: conditions in the credit markets, fluctuations in interest rates, inflationary pressure, the price of GECC common stock and the performance of GECC’s portfolio and investment manager. Information concerning these and other factors can be found in GECC’s registration statement, its Annual Report on Form 10-K and other reports filed with the Securities and Exchange Commission. GECC assumes no obligation to, and expressly disclaims any duty to, update any forward-looking statements contained in this communication or to conform prior statements to actual results or revised expectations except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof.
Media & Investor Contact:
Investor Relations
investorrelations@greatelmcap.com
Source: Great Elm Capital Corp.
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