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Gladstone Capital Corporation Prices Offering of Additional $50 million of 5.125% Notes due 2026 with a Yield-to-Maturity of Approximately 4.288%
MCLEAN, VA / ACCESSWIRE / March 5, 2021 / Gladstone Capital Corporation (NASDAQ:GLAD) (the "Company") today announced that it priced a public offering of an
About this update from Gladstone Capital Corporation
[{"type":"text","content":"MCLEAN, VA / ACCESSWIRE / March 5, 2021 / Gladstone Capital Corporation (NASDAQ:GLAD) (the \"Company\") today announced that it priced a public offering of an additional $50 million in aggregate principal amount of 5.125% notes due 2026 (the \"Notes\"). The Notes will be issued at a price of 103.639% of the aggregate principal amount of the Notes, resulting in a yield-to-maturity of approximately 4.288%. Raymond James & Associates, Inc. is acting as sole book-running manager for this offering.Purchasers will be required to pay accrued and unpaid interest on the Notes from December 15, 2020 up to, but not including, the date of delivery of the Notes. On July 31, 2021, the Company will pay this pre-issuance accrued interest on the Notes to the holders of the Notes as of the applicable record date, along with interest accrued on the Notes from the date of delivery to such interest payment date.The Notes will constitute a further issuance of, have the same terms as, rank equally in right of payment with, and be fungible and form a single series with the $100 million in aggregate principal amount of the 5.125% notes due 2026 that the Company initially issued on December 15, 2020. Upon the issuance of the Notes, the outstanding aggregate principal amount of the Company's 5.125% notes due 2026 will be $150 million.The Notes will bear interest at a rate of 5.125% per year payable semi-annually on January 31 and July 31 of each year, beginning July 31, 2021. The Notes will mature on January 31, 2026, and may be redeemed in whole or in part at any time or from time to time at the Company's option at par plus a \"make-whole\" premium, if applicable. The closing of the transaction is subject to customary closing conditions and the Notes are expected to be delivered on or about March 10, 2021.The Company intends to use the net proceeds from this offering to repay a portion of the amount outstanding under its credit facility, to fund new investment opportunities, and for other general corporate purposes.Investors are advised to carefully consider the investment objectives, risks, charges and expenses of the Company before investing. The prospectus supplement, dated March 5, 2021, and the accompanying prospectus, dated February 5, 2019, which will be filed with the U.S. Securities and Exchange Commission (the \"SEC\"), contain this and other i...