MidCap Financial Investment Corporation Reports Financial Results for the Quarter Ended June 30, 2024
MidCap Financial Investment (NASDAQ: MFIC) reported financial results for Q2 2024. Key highlights include:
- Net investment income of $0.45 per share, up from $0.44 in Q1 2024
- Net asset value of $15.38 per share, down slightly from $15.42 in Q1
- New investment commitments of $285 million
- Net fundings of $90 million
- Net leverage ratio of 1.45x
- Declared dividend of $0.38 per share
The company also completed mergers with Apollo Senior Floating Rate Fund and Apollo Tactical Income Fund, increasing net assets by 43.7% to $1.45 billion and portfolio size to $3.07 billion. This reduced the net leverage ratio to 1.13x and created more investment capacity.
MidCap Financial Investment (NASDAQ: MFIC) ha riportato i risultati finanziari per il secondo trimestre del 2024. I punti salienti includono:
- Reddito netto da investimenti di $0,45 per azione, in aumento rispetto a $0,44 nel primo trimestre del 2024
- Valore netto degli attivi di $15,38 per azione, in calo leggero rispetto a $15,42 nel primo trimestre
- Nuovi impegni di investimento di $285 milioni
- Finanziamenti netti di $90 milioni
- Rapporto di leva finanziaria netto di 1,45x
- Dividendo dichiarato di $0,38 per azione
La società ha anche completato fusioni con Apollo Senior Floating Rate Fund e Apollo Tactical Income Fund, aumentando gli attivi netti del 43,7% a $1,45 miliardi e la dimensione del portafoglio a $3,07 miliardi. Questo ha ridotto il rapporto di leva finanziaria netto a 1,13x e ha creato maggiore capacità di investimento.
MidCap Financial Investment (NASDAQ: MFIC) reportó los resultados financieros para el segundo trimestre de 2024. Los puntos destacados incluyen:
- Ingresos netos por inversión de $0,45 por acción, un aumento desde $0,44 en el primer trimestre de 2024
- Valor neto de los activos de $15,38 por acción, con una ligera disminución desde $15,42 en el primer trimestre
- Nuevos compromisos de inversión de $285 millones
- Financiaciones netas de $90 millones
- Relación de apalancamiento neto de 1,45x
- Dividendo declarado de $0,38 por acción
La compañía también completó fusiones con Apollo Senior Floating Rate Fund y Apollo Tactical Income Fund, aumentando los activos netos en un 43,7% a $1,45 mil millones y el tamaño de la cartera a $3,07 mil millones. Esto redujo la relación de apalancamiento neto a 1,13x y creó una mayor capacidad de inversión.
MidCap Financial Investment (NASDAQ: MFIC)이 2024년 2분기 재무 결과를 발표했습니다. 주요 내용은 다음과 같습니다:
- 주당 순 투자 수익 $0.45, 2024년 1분기 $0.44에서 증가
- 주당 순 자산 가치 $15.38, 1분기 $15.42에서 약간 하락
- 새로운 투자 약정 $2억 8,500만
- 순 자금 조달 $9천만
- 순 레버리지 비율 1.45배
- 주당 배당금 $0.38 선언
회사는 또한 Apollo Senior Floating Rate Fund 및 Apollo Tactical Income Fund와의 합병을 완료하여 순 자산을 43.7% 증가시켜 $14.5억으로, 포트폴리오 규모를 $30.7억으로 늘렸습니다. 이는 순 레버리지 비율을 1.13배로 낮추고 더 많은 투자 용량을 창출했습니다.
MidCap Financial Investment (NASDAQ: MFIC) a annoncé les résultats financiers pour le deuxième trimestre de 2024. Les points clés incluent:
- Revenu net d'investissement de 0,45 $ par action, en hausse par rapport à 0,44 $ au premier trimestre 2024
- Valeur nette d'actif de 15,38 $ par action, légèrement en baisse par rapport à 15,42 $ au premier trimestre
- Nouveaux engagements d'investissement de 285 millions de dollars
- Financements nets de 90 millions de dollars
- Taux d'endettement net de 1,45x
- Dividende déclaré de 0,38 $ par action
La société a également finalisé des fusions avec Apollo Senior Floating Rate Fund et Apollo Tactical Income Fund, augmentant les actifs nets de 43,7 % pour atteindre 1,45 milliard de dollars et la taille du portefeuille à 3,07 milliards de dollars. Cela a réduit le taux d'endettement net à 1,13x et créé une plus grande capacité d'investissement.
MidCap Financial Investment (NASDAQ: MFIC) hat die finanziellen Ergebnisse für das zweite Quartal 2024 veröffentlicht. Die wichtigsten Highlights sind:
- Nettoanlageertrag von $0,45 pro Aktie, gestiegen von $0,44 im ersten Quartal 2024
- Nettovermögen von $15,38 pro Aktie, leicht gefallen von $15,42 im ersten Quartal
- Neue Investitionszusagen in Höhe von $285 Millionen
- Nettofinanzierungen von $90 Millionen
- Netto-Leverage-Verhältnis von 1,45x
- Deklarierte Dividende von $0,38 pro Aktie
Das Unternehmen hat außerdem Fusionen mit dem Apollo Senior Floating Rate Fund und dem Apollo Tactical Income Fund abgeschlossen, wodurch die Nettovermögen um 43,7 % auf $1,45 Milliarden und die Portfoliogröße auf $3,07 Milliarden gestiegen sind. Dies reduzierte das Netto-Leverage-Verhältnis auf 1,13x und schuf weitere Investitionskapazitäten.
- Net investment income per share increased to $0.45 from $0.44 quarter-over-quarter
- New investment commitments of $285 million made during the quarter
- Net fundings of $90 million for the quarter
- Completed mergers increased net assets by 43.7% to $1.45 billion
- Mergers reduced net leverage ratio to 1.13x, creating more investment capacity
- KBRA affirmed BBB- rating and revised outlook to Positive from Stable
- Net asset value per share decreased slightly to $15.38 from $15.42 quarter-over-quarter
- Net realized and change in unrealized losses of $7.0 million for the quarter
Insights
MidCap Financial Investment 's Q2 2024 results show modest growth and stability. Net investment income per share increased slightly to
The dividend declaration of
The recently closed mergers with AFT and AIF are transformative, increasing MFIC's net assets by
MFIC's portfolio composition remains heavily weighted towards first lien secured debt at
The portfolio's 100% floating rate exposure positions MFIC well in the current rising rate environment, potentially leading to increased interest income. However, this could become a disadvantage if rates decline.
The slight decrease in NAV and marginal increase in net investment income suggest stable performance, but also indicate challenges in significantly growing shareholder value in the short term. The special distribution of
The BDC sector is facing both opportunities and challenges in the current economic environment. MFIC's strategic mergers with AFT and AIF position it to capitalize on economies of scale and potentially improve its competitive stance in the middle market lending space.
The company's affiliation with MidCap Financial, a leading middle market lender managed by Apollo, could provide access to attractive investment opportunities. However, the broader market conditions, including potential economic slowdowns and credit quality concerns, may impact deal flow and portfolio performance.
Investors should monitor the integration process of the merged entities and its impact on operational efficiency and investment strategy. The increased scale could lead to better deal sourcing and potentially higher returns, but it also comes with execution risks. The market's reception to this consolidation in the BDC space will be important to watch in the coming quarters.
Results for the Quarter Ended June 30, 2024 and Other Recent Highlights:
- Net investment income per share for the quarter was
$0.45 , compared to$0.44 for the quarter ended March 31, 2024 - Net asset value per share as of the end of the quarter was
$15.38 , compared to$15.42 as of March 31, 2024 - New investment commitments made during the quarter totaled
$285 million (1) - Gross fundings, excluding revolver fundings(2), totaled
$214 million for the quarter - Net fundings, including revolvers(2), totaled
$90 million for the quarter - Net leverage(3) was 1.45x as of June 30, 2024
- On August 6, 2024, the Board of Directors (the “Board”) declared a dividend of
$0.38 per share payable on September 26, 2024 to stockholders of record as of September 10, 2024 - In June, KBRA affirmed MFIC’s BBB- rating and revised the rating Outlook to Positive from Stable
Closing of Previously Announced Mergers:
- On July 22, 2024 (the “Closing Date”), the Company closed its previously announced mergers (the “Mergers”) with Apollo Senior Floating Rate Fund Inc. (“AFT”) and Apollo Tactical Income Fund Inc. (“AIF”) which increased the Company’s net assets by
43.7% to$1.45 billion and increased the size of the portfolio to$3.07 billion - The Mergers resulted in a reduction in the Company’s net leverage ratio to 1.13x as of the Closing Date, creating more investment capacity
- In connection with the Mergers, the Company issued 28,527,003 common shares increasing the Company’s outstanding common shares to 93,780,278
- As previously announced, in connection with the closing of the Mergers, on July 21, 2024, the Board declared a special distribution of
$0.20 per share payable on August 15, 2024 to stockholders of record as of August 5, 2024
NEW YORK, Aug. 07, 2024 (GLOBE NEWSWIRE) -- MidCap Financial Investment Corporation (NASDAQ: MFIC) or the “Company,” today announced financial results for its quarter ended June 30, 2024. The Company’s net investment income was
On August 6, 2024, the Board declared a dividend of
Mr. Tanner Powell, the Company’s Chief Executive Officer said, “Results for the June quarter reflect solid recurring income and strong fee and prepayment income and relatively stable credit quality. We believe these results underscore the benefits of our strategy of building a well-diversified portfolio of true first lien middle market loans as well as our industry leading fee structure.” Mr. Powell continued, “We are pleased to have successfully closed on our transformative mergers with two other Apollo managed funds post quarter end, which increased MFIC’s net assets by approximately
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(1) Commitments made for the corporate lending portfolio.
(2) During the quarter ended June 30, 2024, corporate lending revolver fundings totaled
(3) The Company’s net leverage ratio is defined as debt outstanding plus payable for investments purchased, less receivable for investments sold, less cash and cash equivalents, less foreign currencies, divided by net assets.
FINANCIAL HIGHLIGHTS
($ in billions, except per share data) | June 30, 2024 | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | ||||||||||
Total assets | $ | 2.55 | $ | 2.45 | $ | 2.50 | $ | 2.46 | $ | 2.50 | |||||
Investment portfolio (fair value) | $ | 2.44 | $ | 2.35 | $ | 2.33 | $ | 2.37 | $ | 2.41 | |||||
Debt outstanding | $ | 1.51 | $ | 1.41 | $ | 1.46 | $ | 1.43 | $ | 1.48 | |||||
Net assets | $ | 1.00 | $ | 1.01 | $ | 1.01 | $ | 0.99 | $ | 0.99 | |||||
Net asset value per share | $ | 15.38 | $ | 15.42 | $ | 15.41 | $ | 15.28 | $ | 15.20 | |||||
Debt-to-equity ratio | 1.51 x | 1.40 x | 1.45 x | 1.44 x | 1.49 x | ||||||||||
Net leverage ratio (1) | 1.45 x | 1.35 x | 1.34 x | 1.40 x | 1.45 x |
____________________
(1) The Company’s net leverage ratio is defined as debt outstanding plus payable for investments purchased, less receivable for investments sold, less cash and cash equivalents, less foreign currencies, divided by net assets.
PORTFOLIO AND INVESTMENT ACTIVITY
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||
(in millions)* | 2024 | 2023 | 2024 | 2023 | ||||||||||
Investments made in portfolio companies | $ | 245.4 | $ | 101.6 | $ | 398.2 | $ | 252.7 | ||||||
Investments sold | — | — | — | — | ||||||||||
Net activity before repaid investments | 245.4 | 101.6 | 398.2 | 252.6 | ||||||||||
Investments repaid | (154.9 | ) | (79.2 | ) | (291.7 | ) | (250.8 | ) | ||||||
Net investment activity | $ | 90.5 | $ | 22.4 | $ | 106.4 | $ | 1.9 | ||||||
Portfolio companies, at beginning of period | 154 | 141 | 152 | 135 | ||||||||||
Number of investments in new portfolio companies | 18 | 12 | 25 | 20 | ||||||||||
Number of exited companies | (7 | ) | (3 | ) | (12 | ) | (5 | ) | ||||||
Portfolio companies at end of period | 165 | 150 | 165 | 150 | ||||||||||
Number of investments in existing portfolio companies | 58 | 40 | 76 | 61 |
____________________
* Totals may not foot due to rounding.
OPERATING RESULTS
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
(in millions)* | 2024 | 2023 | 2024 | 2023 | ||||||||||||
Net investment income | $ | 29.5 | $ | 28.9 | $ | 58.1 | $ | 58.3 | ||||||||
Net realized and change in unrealized gains (losses) | (7.0 | ) | (3.4 | ) | (10.0 | ) | (2.8 | ) | ||||||||
Net increase in net assets resulting from operations | $ | 22.6 | $ | 25.4 | $ | 48.0 | $ | 55.5 | ||||||||
(per share)* (1) | ||||||||||||||||
Net investment income on per average share basis | $ | 0.45 | $ | 0.44 | $ | 0.89 | $ | 0.89 | ||||||||
Net realized and change in unrealized gain (loss) per share | (0.11 | ) | (0.05 | ) | (0.15 | ) | (0.04 | ) | ||||||||
Earnings per share — basic | $ | 0.35 | $ | 0.39 | $ | 0.74 | $ | 0.85 |
____________________
* Totals may not foot due to rounding.
(1) Based on the weighted average number of shares outstanding for the period presented.
SHARE REPURCHASE PROGRAM *
During the three months ended June 30, 2024, the Company did not repurchase any shares.
Since the inception of the share repurchase program and through August 6, 2024, the Company repurchased 15,593,120 shares at a weighted average price per share of
* Share figures have been adjusted for the 1-for-3 reverse stock split which was completed after market close on November 30, 2018.
LIQUIDITY
As of June 30, 2024, the Company’s outstanding debt obligations, excluding deferred financing cost and debt discount of
MERGERS
AFT Mergers
On July 22, 2024, the Company completed its previously announced acquisition of AFT. Pursuant to the AFT Agreement and Plan of Merger (the “AFT Merger Agreement”) with AFT, AFT Merger Sub, Inc., a Maryland corporation and a direct wholly-owned subsidiary of the Company (“AFT Merger Sub”), and, solely for the limited purposes set forth therein, Apollo Investment Management, L.P. the Company's investment adviser (the “Investment Adviser”), AFT Merger Sub was first merged with and into AFT, with AFT continuing as the surviving company (the “AFT First Merger”), and, following the effectiveness of the AFT First Merger, AFT was then merged with and into the Company, with the Company continuing as the surviving company (together with the AFT First Merger, the “AFT Mergers”). In accordance with the terms of the AFT Merger Agreement, at the effective time of the AFT First Merger, each outstanding share of common stock, par value
AIF Mergers
On July 22, 2024, the Company completed its previously announced acquisition of AIF. Pursuant to the AIF Agreement and Plan of Merger (the “AIF Merger Agreement”) with AIF, AIF Merger Sub, Inc., a Maryland corporation and a direct wholly-owned subsidiary of the Company (“AIF Merger Sub”), and, solely for the limited purposes set forth therein, the Investment Adviser, AIF Merger Sub was first merged with and into AIF, with AIF continuing as the surviving company (the “AIF First Merger”), and, following the effectiveness of the AIF First Merger, AIF was then merged with and into the Company, with the Company continuing as the surviving company (together with the AIF First Merger, the “AIF Mergers” and, together with the AFT Mergers, the “Mergers”). In accordance with the terms of the AIF Merger Agreement, at the effective time of the AIF First Merger, each outstanding share of common stock, par value
Distribution Declarations
On July 21, 2024, the Board declared a special distribution of
CONFERENCE CALL / WEBCAST AT 8:30 AM EDT ON AUGUST 8, 2024
The Company will host a conference call on Thursday, August 8, 2024, at 8:30 a.m. Eastern Time. All interested parties are welcome to participate in the conference call by dialing (800) 343-5172 approximately 5-10 minutes prior to the call; international callers should dial (203) 518-9856. Participants should reference either MidCap Financial Investment Corporation Earnings or Conference ID: MFIC0808 when prompted. A simultaneous webcast of the conference call will be available to the public on a listen-only basis and can be accessed through the Events Calendar in the Shareholders section of our website at www.midcapfinancialic.com. Following the call, you may access a replay of the event either telephonically or via audio webcast. The telephonic replay will be available approximately two hours after the live call and through August 29, 2024, by dialing (800) 839-9307; international callers should dial (402) 220-6085. A replay of the audio webcast will also be available later that same day. To access the audio webcast please visit the Events Calendar in the Shareholders section of our website at www.midcapfinancialic.com.
SUPPLEMENTAL INFORMATION
The Company provides a supplemental information package to offer more transparency into its financial results and make its reporting more informative and easier to follow. The supplemental package is available in the Shareholders section of the Company’s website under Presentations at www.midcapfinancialic.com.
Our portfolio composition and weighted average yields as of June 30, 2024, March 31, 2024, December 31, 2023, September 30, 2023, and June 30, 2023 were as follows:
June 30, 2024 | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | |||||||||||
Portfolio composition, at fair value: | |||||||||||||||
First lien secured debt | |||||||||||||||
Second lien secured debt | |||||||||||||||
Total secured debt | |||||||||||||||
Unsecured debt | —% | —% | |||||||||||||
Structured products and other | |||||||||||||||
Preferred equity | |||||||||||||||
Common equity/interests and warrants | |||||||||||||||
Weighted average yields, at amortized cost (1): | |||||||||||||||
First lien secured debt (2) | |||||||||||||||
Second lien secured debt (2) | |||||||||||||||
Total secured debt (2) | |||||||||||||||
Unsecured debt portfolio (2) | —% | —% | —% | —% | |||||||||||
Total debt portfolio (2) | |||||||||||||||
Total portfolio (3) | |||||||||||||||
Interest rate type, at fair value (4): | |||||||||||||||
Fixed rate amount | $ | 0.0 billion | $ | 0.0 billion | $ | 0.0 billion | $ | 0.0 billion | $ | 0.0 billion | |||||
Floating rate amount | $ | 2.1 billion | $ | 2.0 billion | $ | 2.0 billion | $ | 2.0 billion | $ | 2.1 billion | |||||
Fixed rate, as percentage of total | |||||||||||||||
Floating rate, as percentage of total | |||||||||||||||
Interest rate type, at amortized cost (4): | |||||||||||||||
Fixed rate amount | $ | 0.0 billion | $ | 0.0 billion | $ | 0.0 billion | $ | 0.0 billion | $ | 0.0 billion | |||||
Floating rate amount | $ | 2.1 billion | $ | 2.0 billion | $ | 2.0 billion | $ | 2.1 billion | $ | 2.1 billion | |||||
Fixed rate, as percentage of total | |||||||||||||||
Floating rate, as percentage of total | |||||||||||||||
(1) An investor’s yield may be lower than the portfolio yield due to sales loads and other expenses.
(2) Exclusive of investments on non-accrual status.
(3) Inclusive of all income generating investments, non-income generating investments and investments on non-accrual status.
(4) The interest rate type information is calculated using the Company’s corporate debt portfolio and excludes aviation and investments on non-accrual status.
MIDCAP FINANCIAL INVESTMENT CORPORATION CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES (In thousands, except share and per share data) | ||||||||
June 30, 2024 | December 31, 2023 | |||||||
(Unaudited) | ||||||||
Assets | ||||||||
Investments at fair value: | ||||||||
Non-controlled/non-affiliated investments (cost — | $ | 2,031,569 | $ | 1,936,327 | ||||
Non-controlled/affiliated investments (cost — | 94,469 | 77,528 | ||||||
Controlled investments (cost — | 318,314 | 320,344 | ||||||
Cash and cash equivalents | 66,169 | 93,575 | ||||||
Foreign currencies (cost — | 868 | 28,553 | ||||||
Receivable for investments sold | 605 | 2,796 | ||||||
Interest receivable | 20,139 | 21,441 | ||||||
Dividends receivable | 694 | 1,327 | ||||||
Deferred financing costs | 17,291 | 19,435 | ||||||
Prepaid expenses and other assets | 1,008 | 5 | ||||||
Total Assets | $ | 2,551,126 | $ | 2,501,331 | ||||
Liabilities | ||||||||
Debt | $ | 1,511,552 | $ | 1,462,267 | ||||
Payable for investments purchased | 2,287 | — | ||||||
Management and performance-based incentive fees payable | 9,962 | 10,729 | ||||||
Interest payable | 15,238 | 14,494 | ||||||
Accrued administrative services expense | 1,836 | 1,657 | ||||||
Other liabilities and accrued expenses | 6,492 | 6,874 | ||||||
Total Liabilities | $ | 1,547,367 | $ | 1,496,021 | ||||
Commitments and contingencies (Note 8) | ||||||||
Net Assets | $ | 1,003,759 | $ | 1,005,310 | ||||
Net Assets | ||||||||
Common stock, | $ | 65 | $ | 65 | ||||
Capital in excess of par value | 2,103,718 | 2,103,718 | ||||||
Accumulated under-distributed (over-distributed) earnings | (1,100,024 | ) | (1,098,473 | ) | ||||
Net Assets | $ | 1,003,759 | $ | 1,005,310 | ||||
Net Asset Value Per Share | $ | 15.38 | $ | 15.41 |
MIDCAP FINANCIAL INVESTMENT CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except per share data) | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||
Investment Income | ||||||||||||||||
Non-controlled/non-affiliated investments: | ||||||||||||||||
Interest income (excluding Payment-in-kind (“PIK”) interest income) | $ | 60,146 | $ | 61,826 | $ | 120,142 | $ | 121,846 | ||||||||
Dividend income | 41 | 115 | 53 | 137 | ||||||||||||
PIK interest income | 2,438 | 339 | 4,433 | 668 | ||||||||||||
Other income | 894 | 1,034 | 2,601 | 2,969 | ||||||||||||
Non-controlled/affiliated investments: | ||||||||||||||||
Interest income (excluding PIK interest income) | 1,102 | 282 | 1,401 | 560 | ||||||||||||
Dividend income | 235 | — | 235 | — | ||||||||||||
PIK interest income | 35 | 32 | 69 | 60 | ||||||||||||
Other income | — | — | — | — | ||||||||||||
Controlled investments: | ||||||||||||||||
Interest income (excluding PIK interest income) | 4,265 | 4,547 | 8,552 | 9,036 | ||||||||||||
Dividend income | — | — | — | — | ||||||||||||
PIK interest income | — | 441 | — | 869 | ||||||||||||
Other income | — | — | — | 250 | ||||||||||||
Total Investment Income | $ | 69,156 | $ | 68,616 | $ | 137,486 | $ | 136,395 | ||||||||
Expenses | ||||||||||||||||
Management fees | $ | 4,389 | $ | 4,334 | $ | 8,775 | $ | 8,598 | ||||||||
Performance-based incentive fees | 5,572 | 6,120 | 11,610 | 12,316 | ||||||||||||
Interest and other debt expenses | 26,992 | 26,002 | 53,170 | 50,768 | ||||||||||||
Administrative services expense | 826 | 1,425 | 2,049 | 2,848 | ||||||||||||
Other general and administrative expenses | 2,103 | 2,236 | 4,232 | 4,492 | ||||||||||||
Total expenses | 39,882 | 40,117 | 79,836 | 79,022 | ||||||||||||
Management and performance-based incentive fees waived | — | — | — | — | ||||||||||||
Performance-based incentive fee offset | — | — | — | (274 | ) | |||||||||||
Expense reimbursements | (267 | ) | (351 | ) | (434 | ) | (686 | ) | ||||||||
Net Expenses | $ | 39,615 | $ | 39,766 | $ | 79,402 | $ | 78,062 | ||||||||
Net Investment Income | $ | 29,541 | $ | 28,850 | $ | 58,084 | $ | 58,333 | ||||||||
Net Realized and Change in Unrealized Gains (Losses) | ||||||||||||||||
Net realized gains (losses): | ||||||||||||||||
Non-controlled/non-affiliated investments | $ | 28 | $ | (161 | ) | $ | (7,441 | ) | $ | (1,038 | ) | |||||
Non-controlled/affiliated investments | — | — | — | — | ||||||||||||
Controlled investments | (15,700 | ) | — | (15,700 | ) | — | ||||||||||
Foreign currency transactions | 34 | (4 | ) | (584 | ) | 38 | ||||||||||
Net realized gains (losses) | (15,638 | ) | (165 | ) | (23,725 | ) | (1,000 | ) | ||||||||
Net change in unrealized gains (losses): | ||||||||||||||||
Non-controlled/non-affiliated investments | (4,548 | ) | 1,386 | 436 | 1,342 | |||||||||||
Non-controlled/affiliated investments | (2,691 | ) | (916 | ) | (5,033 | ) | 316 | |||||||||
Controlled investments | 15,942 | (2,109 | ) | 17,555 | (794 | ) | ||||||||||
Foreign currency translations | (51 | ) | (1,641 | ) | 727 | (2,661 | ) | |||||||||
Net change in unrealized gains (losses) | 8,652 | (3,280 | ) | 13,685 | (1,797 | ) | ||||||||||
Net Realized and Change in Unrealized Gains (Losses) | $ | (6,986 | ) | $ | (3,445 | ) | $ | (10,040 | ) | $ | (2,797 | ) | ||||
Net Increase (Decrease) in Net Assets Resulting from Operations | $ | 22,555 | $ | 25,405 | $ | 48,044 | $ | 55,536 | ||||||||
Earnings (Loss) Per Share — Basic | $ | 0.35 | $ | 0.39 | 0.74 | 0.85 |
Important Information
Investors are advised to carefully consider the investment objective, risks, charges and expenses of the Company before investing. The prospectus dated April 12, 2023, which has been filed with the Securities and Exchange Commission (“SEC”), contains this and other information about the Company and should be read carefully before investing. An effective shelf registration statement relating to certain securities of the Company is on file with the SEC. Any offering may be made only by means of a prospectus and any accompanying prospectus supplement. Before you invest, you should read the base prospectus in that registration statement, the prospectus and any documents incorporated by reference therein, which the issuer has filed with the SEC, for more complete information about the Company and an offering. You may obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov.
The information in the prospectus and in this announcement is not complete and may be changed. This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
Past performance is not indicative of, or a guarantee of, future performance. The performance and certain other portfolio information quoted herein represents information as of dates noted herein. Nothing herein shall be relied upon as a representation as to the future performance or portfolio holdings of the Company. Investment return and principal value of an investment will fluctuate, and shares, when sold, may be worth more or less than their original cost. The Company’s performance is subject to change since the end of the period noted in this report and may be lower or higher than the performance data shown herein.
About MidCap Financial Investment Corporation
MidCap Financial Investment Corporation (NASDAQ: MFIC) is a closed-end, externally managed, diversified management investment company that has elected to be treated as a business development company (“BDC”) under the Investment Company Act of 1940 (the “1940 Act”). For tax purposes, the Company has elected to be treated as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). The Company is externally managed by the Investment Adviser, an affiliate of Apollo Global Management, Inc. and its consolidated subsidiaries (“Apollo”), a high-growth global alternative asset manager. The Company’s investment objective is to generate current income and, to a lesser extent, long-term capital appreciation. The Company primarily invests in directly originated and privately negotiated first lien senior secured loans to privately held U.S. middle-market companies, which the Company generally defines as companies with less than
Forward-Looking Statements
Some of the statements in this press release constitute forward-looking statements because they relate to future events, future performance or financial condition or the Mergers. The forward-looking statements may include statements as to: future operating results of MFIC as the combined company following the Mergers, and distribution projections; business prospects of MFIC as the combined company following the Mergers and the prospects of its portfolio companies; and the impact of the investments that MFIC as the combined company following the Mergers expects to make. In addition, words such as “anticipate,” “believe,” “expect,” “seek,” “plan,” “should,” “estimate,” “project” and “intend” indicate forward-looking statements, although not all forward-looking statements include these words. The forward-looking statements contained in this press release involve risks and uncertainties. Certain factors could cause actual results and conditions to differ materially from those projected, including those set forth in the “Special Note Regarding Forward-Looking Statements” section in our registration statement on Form N-14 (333-275640) previously filed with the SEC. MFIC has based the forward-looking statements included in this press release on information available to it on the date hereof, and MFIC assumes no obligation to update any such forward-looking statements. Although MFIC undertakes no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that it may make directly to you or through reports that MFIC in the future may file with the SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.
Contact
Elizabeth Besen
Investor Relations Manager
MidCap Financial Investment Corporation
212.822.0625
ebesen@apollo.com
FAQ
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