SuRo Capital Corp. Second Quarter 2023 Preliminary Investment Portfolio Update
- SuRo Capital invested $10.0 million in ServiceTitan, Inc. and $4.2 million in FourKites, Inc.
- SuRo Capital's net asset value is estimated to be between $7.15 to $7.65 per share.
- SuRo Capital executed a Modified Dutch Auction Tender Offer, purchasing 3.0 million shares of common stock for $4.50 per share.
- SuRo Capital has approximately $16.4 million available under its Share Repurchase Program.
- None.
Net Asset Value Anticipated to be
NEW YORK, July 11, 2023 (GLOBE NEWSWIRE) -- SuRo Capital Corp. (“SuRo Capital”, the “Company”, “we”, “us”, and “our”) (Nasdaq: SSSS) today provided the following preliminary update on its investment portfolio for the second quarter ended June 30, 2023.
“Over the last several quarters we have noted the convergence of private company valuations with their respective public company comparables. While there have been many opportunities to invest in exciting companies, most continued to remain too expensive. Remaining steadfast to our thesis that potential investments would become available in the secondary market, we were able to act on two new secondary opportunities at compelling prices. During the second quarter, we invested
Mr. Klein continued, “We believe the market is currently undervaluing our portfolio, which gives us opportunities to enhance shareholder value through stock repurchases. We also remain highly focused on balancing our remaining capital between these repurchases and new investment opportunities. In addition to our new investments, we executed our recent Modified Dutch Auction Tender Offer, which we believe was an efficient and accretive deployment of capital. As announced in the first quarter and executed during the second quarter, the Modified Dutch Auction Tender Offer resulted in the purchase of 3.0 million shares of common stock for
As previously reported, SuRo Capital’s net assets totaled approximately
As of June 30, 2023, there were 25,398,640 shares of the Company’s common stock outstanding.
Investment Portfolio Update
As of June 30, 2023, SuRo Capital held positions in 37 portfolio companies – 33 privately held and 4 publicly held, excluding short-term US treasuries.
During the three months ended June 30, 2023, SuRo Capital made the following new and follow-on investments, excluding short-term US treasuries:
Portfolio Company | Investment | Transaction Date | Amount |
PayJoy, Inc. | Simple Agreement for Future Equity (SAFE) | 5/25/2023 | |
ServiceTitan, Inc. | Common Shares | 6/30/2023 |
During the three months ended June 30, 2023, SuRo Capital exited or received proceeds from the following investments, excluding short-term US treasuries:
Transaction | Shares | Average Net | Net | Realized | ||||
Portfolio Company | Date | Sold | Share Price(1) | Proceeds | Loss | |||
Nextdoor Holdings, Inc.(2) | Various | 950,000 | ||||||
Ozy Media, Inc.(3) | 5/4/2023 | N/A | N/A | $- | ||||
Residential Homes For Rent, LLC (d/b/a Second Avenue)(4) | Various | N/A | N/A | $- | ||||
True Global Ventures 4 Plus Pte Ltd | 6/30/2023 | N/A | N/A | $- |
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(1) The average net share price is the net share price realized after deducting all commissions and fees on the sale(s), if applicable.
(2) As of June 30, 2023, SuRo Capital held 852,416 remaining Nextdoor Holdings, Inc. public common shares.
(3) On May 4, 2023, SuRo Capital abandoned its investment in Ozy Media, Inc.
(4) During the three months ended June 30, 2023, approximately
Subsequent to quarter-end through July 11, 2023, SuRo Capital made the following new investment:
Portfolio Company | Investment | Transaction Date | Amount |
FourKites, Inc. | Common Shares | 7/7/2023 |
Subsequent to quarter-end through July 11, 2023, SuRo Capital received proceeds from the following investment:
Transaction | Shares | Average Net | Net | Realized | ||
Portfolio Company | Date | Sold | Share Price(1) | Proceeds | Loss | |
Nextdoor Holdings, Inc.(2) | Various | 100,000 |
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(1) The average net share price is the net share price realized after deducting all commissions and fees on the sale(s), if applicable.
(2) As of July 11, 2023, SuRo Capital held 752,416 remaining Nextdoor Holdings, Inc. public common shares.
SuRo Capital’s liquid assets were approximately
Modified Dutch Auction Tender Offer
On March 17, 2023, our Board of Directors authorized a Modified Dutch Auction Tender Offer (“Tender Offer”) to purchase up to 3.0 million shares of our common stock at a price per share between
Share Repurchase Program
Since inception of the Share Repurchase Program in August 2017, SuRo Capital has repurchased over 5.8 million shares of its common stock for an aggregate purchase price of approximately
Under the Share Repurchase Program, the Company may repurchase its outstanding common stock in the open market provided it complies with the prohibitions under its insider trading policies and procedures and the applicable provisions of the Investment Company Act of 1940, as amended, and the Securities Exchange Act of 1934, as amended.
Preliminary Estimates and Guidance
The preliminary financial estimates provided herein are unaudited and have been prepared by, and are the responsibility of, the management of SuRo Capital. Neither our independent registered public accounting firm, nor any other independent accountants, have audited, reviewed, compiled, or performed any procedures with respect to the preliminary financial data included herein. Actual results may differ materially.
The Company expects to announce its second quarter ended June 30, 2023 results in August 2023.
Forward-Looking Statements
Statements included herein, including statements regarding SuRo Capital's beliefs, expectations, intentions, or strategies for the future, may constitute "forward-looking statements". SuRo Capital cautions you that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those projected or implied in these statements. All forward-looking statements involve a number of risks and uncertainties, including the impact of any market volatility that may be detrimental to our business, our portfolio companies, our industry, and the global economy, that could cause actual results to differ materially from the plans, intentions, and expectations reflected in or suggested by the forward-looking statements. Risk factors, cautionary statements, and other conditions which could cause SuRo Capital's actual results to differ from management's current expectations are contained in SuRo Capital's filings with the Securities and Exchange Commission. SuRo Capital undertakes no obligation to update any forward-looking statement to reflect events or circumstances that may arise after the date of this press release.
About SuRo Capital Corp.
SuRo Capital Corp. (Nasdaq: SSSS) is a publicly traded investment fund that seeks to invest in high-growth, venture-backed private companies. The fund seeks to create a portfolio of high-growth emerging private companies via a repeatable and disciplined investment approach, as well as to provide investors with access to such companies through its publicly traded common stock. SuRo Capital is headquartered in New York, NY and has offices in San Francisco, CA. Connect with the company on Twitter, LinkedIn, and at www.surocap.com.
Contact
SuRo Capital Corp.
(212) 931-6331
IR@surocap.com
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