Main Street Announces Fourth Quarter 2022 Private Loan Portfolio Activity

Rhea-AI Summary

Main Street Capital Corporation (NYSE: MAIN) reported significant activity in its private loan portfolio for Q4 2022. The firm originated or increased commitments totaling $44.2 million, with total investments funded amounting to $86.4 million. Noteworthy loans included $29.1 million to an aircraft service provider, and $6.5 million to a cloud communications firm. As of December 31, 2022, Main Street's portfolio reached approximately $1.5 billion across 85 borrowers, with 96.7% in first lien investments.

Positive

• Originated or increased commitments of $44.2 million in Q4 2022.
• Total investments funded at $86.4 million, indicating strong portfolio activity.
• Notable loans include $29.1 million to an aircraft service provider and $6.5 million to a cloud communications provider.
• Private loan portfolio valued at approximately $1.5 billion with 96.7% in first lien debt.

Negative

• None.

HOUSTON, Jan. 12, 2023 /PRNewswire/ -- Main Street Capital Corporation (NYSE: MAIN) ("Main Street") is pleased to announce the following recent activity in its private loan portfolio. During the fourth quarter of 2022, Main Street originated new or increased commitments in its private loan portfolio of $44.2 million and funded total investments across its private loan portfolio with a cost basis totaling $86.4 million.

The following represent notable new private loan commitments and investments during the fourth quarter of 2022:

• $29.1 million in a first lien senior secured loan and $3.7 million in a first lien senior secured revolver to an exclusive dealer and aircraft maintenance and upgrades service provider for single-engine turboprop airplanes in the United States;
• Increased commitment of $6.5 million in a mezzanine loan to a provider of secured cloud communications solutions and managed services for commercial, enterprise and public sector organizations throughout the United States; and
• Increased commitment of $4.9 million in a first lien senior secured incremental loan to a specialty distributor of hard-to-find and obsolete electronic components globally.

As of December 31, 2022, Main Street's private loan portfolio included total investments at cost of approximately $1.5 billion across 85 unique borrowers. The private loan portfolio, as a percentage of cost, included 96.7% invested in first lien debt investments and 3.3% invested in equity investments or other securities.

ABOUT MAIN STREET CAPITAL CORPORATION

Main Street (www.mainstcapital.com) is a principal investment firm that primarily provides long-term debt and equity capital to lower middle market companies and debt capital to middle market companies. Main Street's portfolio investments are typically made to support management buyouts, recapitalizations, growth financings, refinancings and acquisitions of companies that operate in diverse industry sectors.  Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides "one stop" financing alternatives within its lower middle market investment strategy.  Main Street's lower middle market companies generally have annual revenues between $10 million and $150 million.  Main Street's middle market debt investments are made in businesses that are generally larger in size than its lower middle market portfolio companies.

Main Street, through its wholly owned portfolio company MSC Adviser I, LLC ("MSC Adviser"), also maintains an asset management business through which it manages investments for external parties.  MSC Adviser is registered as an investment adviser under the Investment Advisers Act of 1940, as amended.   

Contacts:
Main Street Capital Corporation
Dwayne L. Hyzak, CEO, dhyzak@mainstcapital.com
Jesse E. Morris, CFO and COO, jmorris@mainstcapital.com                 
713-350-6000

Dennard Lascar Investor Relations
Ken Dennard | ken@dennardlascar.com 
Zach Vaughan | zvaughan@dennardlascar.com 
713-529-6600

 

View original content:https://www.prnewswire.com/news-releases/main-street-announces-fourth-quarter-2022-private-loan-portfolio-activity-301719947.html

SOURCE Main Street Capital Corporation

FAQ

What were Main Street Capital's new commitments in Q4 2022?

Main Street Capital originated or increased commitments totaling $44.2 million in Q4 2022.

How much did Main Street Capital invest in its private loan portfolio during Q4 2022?

Main Street Capital funded total investments of $86.4 million in its private loan portfolio during Q4 2022.

What notable loans did Main Street Capital make in Q4 2022?

Main Street Capital made notable loans including $29.1 million to an aircraft service provider and $6.5 million to a cloud communications firm.

What is the total value of Main Street Capital's private loan portfolio?

As of December 31, 2022, Main Street Capital's private loan portfolio was valued at approximately $1.5 billion.

What percentage of Main Street Capital's portfolio is in first lien investments?

96.7% of Main Street Capital's private loan portfolio is invested in first lien debt investments.