Welcome to our dedicated page for Prospect Capital news (Ticker: PSEC), a resource for investors and traders seeking the latest updates and insights on Prospect Capital stock.
Overview of Prospect Capital Corporation (PSEC)
Prospect Capital Corporation is a publicly-traded, closed-end investment company that operates as a business development company (BDC) under the Investment Company Act of 1940. Specializing in providing flexible private debt and equity capital solutions, the company serves sponsor-owned and non-sponsor-owned middle market companies throughout the United States and Canada. As an entity focused on balancing current income with long-term capital appreciation, Prospect Capital leverages its extensive expertise in middle market lending, private debt, and equity investments to create a resilient portfolio built on established cash flow histories and asset-backed financing structures.
Core Business and Investment Strategy
At its core, Prospect Capital invests in a diversified range of financing opportunities. The company frequently undertakes investments in senior and subordinated debt, structuring transactions such as mezzanine financing, growth capital, acquisition financing, recapitalizations, and development financing. Its investment approach especially prioritizes first lien and senior secured loans, which provide a lower-risk profile due to historical and contractual cash flows and asset collateral. Additionally, the company selectively integrates equity co-investments to capture potential upside, making it a unique instrument within the private capital markets.
Business Model and Operational Framework
Prospect Capital’s business model revolves around its yield-oriented investment philosophy. The company places a strong emphasis on originating non-syndicated first lien senior secured loans for middle market companies, thereby ensuring multiple layers of protection for its portfolio. Furthermore, by rotating its credit portfolio with structured credit, CLO equity and real estate investments, Prospect seeks to enhance yield while maintaining a stable income stream. The operational framework is supported by an experienced team that manages deal sourcing, underwriting, and ongoing portfolio monitoring through a comprehensive due diligence process. This structured approach ensures that each investment is carefully assessed and aligned with the firm’s overall strategy of generating stable income and achieving capital preservation.
Catalent, Inc. (NYSE: CTLT) has appointed Joseph A. Ferraro as its Senior Vice President, General Counsel, Chief Compliance Officer, and Secretary, based in Somerset, New Jersey. Mr. Ferraro brings extensive experience from his tenure at Innovate Corp. (NYSE: VATE) and Prospect Capital (NASDAQ: PSEC), where he managed global legal and compliance operations, including significant M&A transactions. He will lead Catalent's legal and compliance teams and report to Steven Fasman, Chief Administrative Officer. This strategic appointment is expected to enhance Catalent's legal oversight as it navigates the highly regulated life sciences market.
Prospect Capital Corporation (PSEC) reported its financial results for the fiscal quarter ending December 31, 2022, showing a net investment income of $106.7 million, up from $99.3 million in the previous quarter. The basic net income per common share was $0.14, compared to a loss of $0.27 in the prior quarter. PSEC declared monthly distributions of $0.06 per share for February, March, and April 2023, yielding an annualized distribution of 9.6%. The net asset value per common share decreased to $9.94 from $10.01. The debt-to-equity ratio improved to 49.4%, with a significant focus on enhancing net investment income through strategic debt offerings and investments.
Prospect Capital Corporation (NASDAQ: PSEC) announced it will file its Form 10-Q for the fiscal quarter ending December 31, 2022, on February 8, 2023, after market close. An earnings press release will accompany this filing. The company will also host a conference call on February 9, 2023, at 9:30 a.m. ET, with dial-in information provided. A live audio webcast will be available on the company’s website, along with a replay for 30 days. Prospect Capital focuses on lending to and investing in private businesses, aiming for both current income and long-term capital appreciation.
Prospect Capital Corporation (NASDAQ: PSEC) held its annual meeting of stockholders on December 2, 2022, where key proposals were discussed. As of September 12, 2022, the company had approximately 394.8 million shares of common stock and various preferred stocks outstanding. To allow more time for stockholder votes, the meeting was adjourned until December 9, 2022, at 10:30 a.m. ET. The company is a business development entity focused on lending and investing in private firms, aiming for both current income and long-term capital appreciation.
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