Prospect Capital Corporation Extends and Increases Revolving Credit Facility to Over $2.1 Billion of Aggregate Commitments
Prospect Capital (NASDAQ: PSEC) has successfully extended and increased its revolving credit facility for Prospect Capital Funding , a GAAP consolidated subsidiary. The facility's total commitments now stand at $2.1215 billion, with participation from 48 banks boasting a combined asset base exceeding $7.5 trillion. This marks the largest number of lenders for any business development company's credit facility.
Key features of the facility include:
- An accordion feature allowing commitments to increase up to $2.25 billion
- A five-year term with maturity on June 28, 2029
- A four-year revolving period through June 28, 2028
- An additional one-year amortization period
Grier Eliasek, President and COO of Prospect, expressed satisfaction with the longstanding support from relationship banks, some dating back to 2009. He emphasized that this industry-leading facility provides Prospect with efficient capital to meet investment and financing needs for their business and portfolio companies.
Prospect Capital (NASDAQ: PSEC) ha esteso con successo e aumentato la sua linea di credito revolving per Prospect Capital Funding, una consociata consolidata secondo i principi contabili GAAP. Gli impegni totali della linea di credito ammontano ora a $2,1215 miliardi, con la partecipazione di 48 banche il cui attivo combinato supera i $7,5 trilioni. Questo segna il numero più elevato di creditori per qualsiasi linea di credito di una società di sviluppo aziendale.
Le caratteristiche principali della linea di credito includono:
- Una funzionalità accordion che consente di aumentare gli impegni fino a $2,25 miliardi
- Un termine di cinque anni con scadenza il 28 giugno 2029
- Un periodo revolving di quattro anni fino al 28 giugno 2028
- Un ulteriore periodo di ammortamento di un anno
Grier Eliasek, Presidente e COO di Prospect, ha espresso soddisfazione per il supporto a lungo termine da parte delle banche relazionali, alcune delle quali risalgono al 2009. Ha sottolineato che questa linea di credito leader nel settore offre a Prospect capitale efficiente per soddisfare le esigenze di investimento e finanziamento per le loro aziende e portafogli di investimenti.
Prospect Capital (NASDAQ: PSEC) ha logrado extender y aumentar con éxito su línea de crédito revolvente para Prospect Capital Funding, una subsidiaria consolidada según los principios de contabilidad GAAP. Los compromisos totales de la línea de crédito ahora ascienden a $2.1215 mil millones, con la participación de 48 bancos cuyo activo combinado supera los $7.5 billones. Esto marca el mayor número de prestamistas para cualquier línea de crédito de una empresa de desarrollo comercial.
Las características clave de la línea de crédito incluyen:
- Una característica tipo acordeón que permite que los compromisos aumenten hasta $2.25 mil millones
- Un plazo de cinco años con vencimiento el 28 de junio de 2029
- Un período revolving de cuatro años hasta el 28 de junio de 2028
- Un período adicional de amortización de un año
Grier Eliasek, Presidente y COO de Prospect, expresó su satisfacción por el apoyo a largo plazo de los bancos relacionados, algunos desde 2009. Enfatizó que esta línea de crédito líder en la industria proporciona a Prospect capital eficiente para satisfacer las necesidades de inversión y financiamiento para sus empresas y compañías de cartera.
Prospect Capital (NASDAQ: PSEC)는 GAAP 기준에 따라 통합된 자회사인 Prospect Capital Funding을 위한 회전 신용 시설을 성공적으로 연장하고 증가시켰습니다. 이 시설의 총 약정액은 현재 $2.1215억 달러에 이르며, 48개 은행이 참여하여 총 자산 규모가 $7.5조를 초과합니다. 이는 어떤 기업 개발 회사의 신용 시설에 있어 가장 많은 대출 기관을 보유한 기록입니다.
이 시설의 주요 특징은 다음과 같습니다:
- 약정을 $2.25억 달러까지 늘릴 수 있는 아코디언 기능
- 2029년 6월 28일까지 만료되는 5년의 기간
- 2028년 6월 28일까지의 4년 회전 기간
- 추가 1년의 상환 기간
Grier Eliasek, Prospect의 사장 겸 COO는 2009년부터 관계를 맺어온 은행들로부터의 지속적인 지원에 대한 만족을 표명했습니다. 그는 이 업계 최고의 시설이 Prospect에 그들의 사업 및 포트폴리오 회사의 투자 및 자금 조달 필요를 충족하는 데 효율적인 자본을 제공한다고 강조했습니다.
Prospect Capital (NASDAQ: PSEC) a réussi à étendre et à augmenter sa ligne de crédit revolving pour Prospect Capital Funding, une filiale consolidée selon les normes GAAP. Les engagements totaux de la ligne de crédit s'élèvent désormais à 2,1215 milliards de dollars, avec la participation de 48 banques affichant un actif combiné dépassant 7,5 billions de dollars. Cela marque le plus grand nombre de prêteurs pour la ligne de crédit d'une société de développement commercial.
Les principales caractéristiques de la ligne de crédit comprennent :
- Une fonctionnalité accordéon permettant d'augmenter les engagements jusqu'à 2,25 milliards de dollars
- Une durée de cinq ans avec échéance le 28 juin 2029
- Une période revolving de quatre ans jusqu'au 28 juin 2028
- Une période d'amortissement supplémentaire d'un an
Grier Eliasek, Président et COO de Prospect, a exprimé sa satisfaction quant au soutien de longue date des banques partenaires, dont certaines remontent à 2009. Il a souligné que cette ligne de crédit leader dans l'industrie fournit à Prospect un capital efficace pour répondre aux besoins d'investissement et de financement de leurs entreprises et sociétés de portefeuille.
Prospect Capital (NASDAQ: PSEC) hat erfolgreich seine revolvierende Kreditfazilität für Prospect Capital Funding, eine gemäß GAAP konsolidierte Tochtergesellschaft, verlängert und erhöht. Die Gesamtverpflichtungen der Fazilität belaufen sich nun auf 2,1215 Milliarden Dollar, mit der Beteiligung von 48 Banken, deren Gesamtvermögen über 7,5 Billionen Dollar liegt. Dies stellt die höchste Anzahl an Kreditgebern für eine Kreditfazilität eines Unternehmensentwicklungsunternehmens dar.
Zu den Hauptmerkmalen der Fazilität gehören:
- Eine Acordion-Funktion, die eine Erhöhung der Verpflichtungen auf bis zu 2,25 Milliarden Dollar ermöglicht
- Eine Laufzeit von fünf Jahren mit Fälligkeit am 28. Juni 2029
- Eine vierjährige revolving Periode bis zum 28. Juni 2028
- Eine zusätzliche einjährige Amortisationsperiode
Grier Eliasek, Präsident und COO von Prospect, äußerte sich zufrieden über die langjährige Unterstützung durch die Beziehungspartnerbanken, von denen einige bis ins Jahr 2009 zurückreichen. Er betonte, dass diese branchenführende Fazilität Prospect effizientes Kapital zur Verfügung stellt, um die Investitions- und Finanzierungsbedürfnisse ihrer Unternehmen und Portfoliounternehmen zu decken.
- Increased revolving credit facility commitments to $2.1215 billion
- Participation from 48 banks with a combined asset base over $7.5 trillion
- Facility includes an accordion feature allowing commitments to increase up to $2.25 billion
- Extended maturity to June 28, 2029, with a four-year revolving period
- None.
Insights
The extension and increase of Prospect Capital 's revolving credit facility to over
- The facility now has
$2.1215 billion in total commitments from 48 banks, showcasing strong lender confidence. - An accordion feature allows for potential expansion up to
$2.25 billion . - The five-year term with a maturity date of June 28, 2029, provides long-term stability.
- A four-year revolving period followed by a one-year amortization period offers operational flexibility.
This expanded credit facility strengthens PSEC's ability to fund new investments and manage its portfolio companies effectively. The increased commitment and extended timeline suggest that lenders view PSEC's business model and credit quality favorably. For investors, this development indicates improved financial stability and potential for growth, which could positively impact the company's performance and stock valuation in the medium to long term.
The expansion of Prospect Capital's credit facility to over
- PSEC now boasts the largest number of lenders (48) for any BDC's credit facility, indicating broad-based financial institution support.
- The facility's size relative to PSEC's market cap of
$2.21 billion is substantial, providing ample liquidity. - The long-term nature of the facility (until 2029) offers stability in a potentially volatile market environment.
This expanded facility could allow PSEC to capitalize on investment opportunities more aggressively, potentially leading to increased net investment income. However, investors should also consider the implications of increased leverage on the company's risk profile. The market's reaction to this news will likely be positive, as it demonstrates PSEC's strong relationships with lenders and its ability to secure favorable financing terms in a challenging economic climate.
NEW YORK, Oct. 07, 2024 (GLOBE NEWSWIRE) -- Prospect Capital Corporation (NASDAQ: PSEC) (“Prospect”) extended and increased total commitments for its revolving credit facility (the “Facility”) for Prospect Capital Funding LLC, a GAAP consolidated subsidiary of Prospect, with the most recent upsize in the quarter ended September 30, 2024.
Facility commitments currently aggregate
The Facility term comprises five years from the initial closing, with a maturity of June 28, 2029. The Facility has a revolving period of four years from the initial closing, extending through June 28, 2028 and followed by an additional one-year amortization period.
"Prospect Capital is pleased to have the longstanding support of so many strong relationship banks, some of which date all the way back to 2009 with our credit relationship," said Grier Eliasek, President and Chief Operating Officer of Prospect. "We look forward to continuing such relationships for many years to come, with our industry leading facility providing Prospect with efficient capital to help meet the investment and financing needs of our business and portfolio companies."
About Prospect Capital Corporation
Prospect is a business development company that focuses on lending to and investing in private businesses. Prospect’s investment objective is to generate both current income and long-term capital appreciation through debt and equity investments.
Prospect has elected to be treated as a business development company under the Investment Company Act of 1940 (“1940 Act”). Prospect is required to comply with a series of regulatory requirements under the 1940 Act as well as applicable NASDAQ, federal and state rules and regulations. We have elected to be treated as a regulated investment company under the Internal Revenue Code of 1986.
Caution Concerning Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, whose safe harbor for forward-looking statements does not apply to business development companies. Any such statements, other than statements of historical fact, are highly likely to be affected by other unknowable future events and conditions, including elements of the future that are or are not under our control, and that we may or may not have considered; accordingly, such statements cannot be guarantees or assurances of any aspect of future performance. Actual developments and results are highly likely to vary materially from any forward-looking statements. Such statements speak only as of the time when made, and we undertake no obligation to update any such statement now or in the future.
For further information, contact:
Grier Eliasek, President and Chief Operating Officer
Telephone (212) 448-0702
FAQ
What is the new total commitment for Prospect Capital 's (PSEC) revolving credit facility?
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