Sound Point Meridian Capital, Inc. Announces First Fiscal Quarter 2026 Common Distributions and Preferred Distributions

Rhea-AI Summary

Sound Point Meridian Capital (NYSE: SPMC) has declared distributions for both common and preferred stock for the first fiscal quarter 2026. The company will pay monthly distributions of $0.25 per common share on April 30, May 30, and June 30, 2025.

Additionally, SPMC announced distributions on its 8.00% Series A Term Preferred Stock due 2029, with monthly payments of $0.16667 per share for the same dates. These preferred stock distributions represent an annual rate of 8.00% based on the $25.00 liquidation preference per share.

The common stock distributions may include net investment income, capital gains, and/or return of capital, with specific tax characteristics to be reported on Form 1099 after the 2025 calendar year end.

Positive

• Consistent monthly dividend payments of $0.25 per common share
• Stable 8.00% annual yield on preferred shares

Negative

• None.

Insights

Financial Analyst

Sound Point Meridian Capital's distribution announcement reveals a robust commitment to shareholder returns through a well-structured dual distribution strategy. The common stock monthly distribution of $0.25 amounts to $3.00 annually, representing an approximate 14.5% yield at current market prices - a notably attractive return in the current market environment.

The preferred stock distribution structure, maintaining a 8.00% annual rate on the $25.00 liquidation preference, provides a layer of stable, senior income streams in the capital structure. This dual approach - offering both common and preferred distributions - demonstrates sophisticated capital management and provides investors with multiple options for income generation.

Several key aspects warrant attention:

• The consistency of monthly distributions suggests strong underlying portfolio performance and cash flow generation capacity
• The mention of distributions potentially including capital gains and return of capital indicates flexibility in distribution sources, though this could impact tax efficiency for investors
• The 2029 maturity date on the Series A Preferred Stock provides a clear timeline for capital structure evolution

The combination of common and preferred distributions creates a balanced approach to investor returns, with the preferred shares offering more conservative, fixed-income characteristics while common shares provide higher yield potential with corresponding higher risk. The structured distribution schedule and clear communication of payment dates enhance predictability for income-focused investors.

NEW YORK--(BUSINESS WIRE)-- Sound Point Meridian Capital, Inc. (NYSE: SPMC, SPMA), a closed-end management investment company that has registered as an investment company under the Investment Company Act of 1940, as amended (the “Company”), today is pleased to announce the declaration of distributions on shares of the Company’s common and preferred stock for the first fiscal quarter 2026 (second calendar quarter of 2025).

The Company is declaring a monthly distribution of $0.25 per share on its common stock to be paid on each of April 30, 2025, May 30, 2025, and June 30, 2025.

The distributions are payable based on the following schedule:

Record Date	Payable Date	Amount per common share
April 15, 2025	April 30, 2025	$0.25
May 15, 2025	May 30, 2025	$0.25
June 13, 2025	June 30, 2025	$0.25

Distributions on common stock are generally paid from net investment income (regular interest and dividends) and may also include capital gains and/or a return of capital. The specific tax characteristics of the distributions will be reported to the Company’s stockholders on Form 1099 after the end of the 2025 calendar year.

The Company is also pleased to announce the declaration of distributions on shares of the Company’s 8.00% Series A Term Preferred Stock due 2029 (the “Series A Term Preferred Stock”) as follows:

Record Date	Payable Date	Amount per common share
April 15, 2025	April 30, 2025	$0.16667
May 15, 2025	May 30, 2025	$0.16667
June 13, 2025	June 30, 2025	$0.16667

The distributions on the Series A Term Preferred Stock reflect an annual distribution rate of 8.00% of the $25.00 liquidation preference per share.

ABOUT THE COMPANY

The Company is an externally managed, non-diversified closed-end management investment company. The Company’s investment objective is to generate high current income, with a secondary objective to generate capital appreciation, by investing primarily in third-party collateralized loan obligation (“CLO”) equity and mezzanine tranches of predominately U.S. dollar-denominated CLOs backed by corporate leveraged loans issued primarily to U.S. obligors. The Company is externally managed and advised by Sound Point Meridian Management Company, LLC, a Delaware limited liability company. For additional information, visit https://www.soundpointmeridiancap.com.

FORWARD-LOOKING STATEMENTS

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described in the prospectus and the Company’s other filings with the SEC. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Source: Sound Point Meridian Capital, Inc.

NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE

View source version on businesswire.com: https://www.businesswire.com/news/home/20250205314192/en/

Investor Relations:

Julie Smith – Sound Point Capital

(833) 217-6665

ir@soundpointmeridiancap.com

www.soundpointmeridiancap.com

Source: Sound Point Meridian Capital, Inc.

FAQ

What is the monthly distribution amount for SPMC common shares in Q1 2026?

SPMC will pay $0.25 per common share monthly for April, May, and June 2025.

What is the distribution rate for SPMC Series A Preferred Stock?

The Series A Preferred Stock has an 8.00% annual distribution rate, paying $0.16667 per share monthly based on a $25.00 liquidation preference.

When are the SPMC Q1 2026 distribution payment dates?

The distributions will be paid on April 30, May 30, and June 30, 2025.

What are the record dates for SPMC's Q1 2026 distributions?

The record dates are April 15, May 15, and June 13, 2025.

When will SPMC shareholders receive tax information about these distributions?

The specific tax characteristics will be reported to stockholders on Form 1099 after the end of the 2025 calendar year.