Business
OFS Capital Corporation Announces Third Quarter 2020 Financial Results & Increases Quarterly Cash Distribution
Quarterly Distribution Increased by 6% Net Asset Value Per Share Increased 11% From Prior Quarter-End CHICAGO--(BUSINESS WIRE)-- OFS Capital Corporation
About this update from Ofs Capital Corporation
[{"type":"text","content":"\nQuarterly Distribution Increased by 6%\nNet Asset Value Per Share Increased 11% From Prior Quarter-End\n\n CHICAGO--(BUSINESS WIRE)--\nOFS Capital Corporation (NASDAQ:OFS) (\"OFS Capital,\" the \"Company,\" \"we,\" \"us,\" or \"our\") today announced its financial results for the quarter ended September 30, 2020.\n\nFINANCIAL HIGHLIGHTS\n\n\nNet investment income of $2.71 million, or $0.20 per share.\n\n\nNet asset value (\"NAV\") per share increased to $11.18 at September 30, 2020 from $10.10 at June 30, 2020. During the three months ended September 30, 2020, our portfolio recognized net gains of $15.3 million.\n\n\nNo new loans placed on non-accrual status in the quarter.\n\n\nAt September 30, 2020, 91% and 74% of our loan portfolio and total portfolio, respectively, consisted of senior secured loans, based on fair value.\n\n\nAs of September 30, 2020, 88% of our debt matures in 2024 and beyond and 54% of our outstanding debt is unsecured.\n\n\nOn November 3, 2020, OFS Capital's Board of Directors declared a distribution of $0.18 per share for the fourth quarter of 2020, payable on December 31, 2020, to stockholders of record as of December 24, 2020.\n\n\n“Our net asset value per share increased 11% from June 30, 2020 due to appreciation of the portfolio and we had no new loans placed on non-accrual status in the quarter,” said Bilal Rashid, OFS Capital's Chairman and Chief Executive Officer. \"We believe that our portfolio companies continue to perform above our expectations considering the challenging economic and public health impact of the on-going COVID-19 pandemic.”\n\nWe believe that we have diverse sources of funding. As of quarter end, we had approximately $18.3 million of cash. In addition, we had additional capacity on our revolving corporate credit line with Pacific Western Bank and senior loan facility with BNP Paribas, which are both subject to a borrowing base and other covenants. Our senior loan facility with BNP has no LIBOR floor and matures in 2024.\n\nAt September 30, 2020, our asset coverage ratio was 174% and we remained in compliance with all applicable financial covenant thresholds under our outstanding debt and our minimum asset coverage requirement under the 1940 Act.\n\nHIGHLIGHTS\n\n($ in millions, except for per share data)\n\n\n\nPortfolio Overview\n\n\n\n \n\n\n\nAt September 30, 2020\n\n\n\n\n...