Blackrock Tcp Capital Corp. · NASDAQ:TCPC

Blackrock Tcp Capital — TCP Capital — Q3 2016 Earnings Presentation

14 slides from Blackrock Tcp Capital's earnings presentation, Nov 8, 2016

  1. Slide 1: TCP Capital Corp. Investor Presentation

    TCP Capital Corp. Investor Presentation Quarter Ended September 30, 2016 © 2016 Tennenbaum Capital Partners, LLC. All Rights Reserved.

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements Prospective investors considering an investment in TCP Capital Corp. should consider the investment objectives, risks and expenses of the Company carefully before investing. This information and other information about the Company are available in the Company's filings wit

  3. Slide 3: TCP Capital Corp.

    TCP Capital Corp.  Business development company (BDC)  Trades on NASDAQ: “TCPC” TCPC  Expects to distribute most of its earnings as dividends(1)  9.3% current dividend yield(2) Investment We seek to generate high total returns through current income and Objective capital appreciation, with an em

  4. Slide 4: Dividend Stability

    Dividend Stability  Net investment income(1) of $0.39 per share, out-earning dividend by $0.03  Quarterly dividend of $0.36 per share paid on September 30, 2016  Declared Q4 2016 dividend of $0.36 per share  Payable on December 30, 2016 to holders of record as of December 16, 2016 2012(2) 2013 2

  5. Slide 5: Strong Track Record of Positive Performance

    Strong Track Record of Positive Performance Book Value per Share and Dividends Paid $22.00 $21.52 $21.06 $21.00 $20.62 $20.34 $20.38 $19.98 $20.00 $19.55 $19.18 $19.17 $19.00 $18.70 $18.30 $17.80 $6.68 $18.00 $6.32 $17.27 $5.24 $5.96 $4.88 $5.60 $3.75 $4.52 $16.79 $4.16 $17.00 $3.39 $2.98 $16.40 $2.

  6. Slide 6: Portfolio Highlights as of September 30, 2016

    Portfolio Highlights as of September 30, 2016  $1.3 billion portfolio fair value  96% of portfolio is senior secured debt Investment by Industry  11.2% weighted average effective yield on  81% of debt portfolio is floating rate debt portfolio(1) (1) Weighted average annual effective yield includ

  7. Slide 7: Conservatively Positioned Portfolio

    Conservatively Positioned Portfolio As of September 30, 2016 Portfolio by Asset Type Debt Portfolio by Interest Type Leverage by Interest Type Mezzanine / Equity 4% Junior Debt <1% Floating rate 52% Fixed Rate 19% Floating Rate 81% Fixed rate 48% Senior Secured Debt 96% Positive annual impact on net

  8. Slide 8: Portfolio Highlights

    Portfolio Highlights Asset Mix of the Investment Portfolio (in thousands) Q3 2016 Q2 2016 Q1 2016 Q4 2015 Q3 2015 Senior secured debt $ 1,221,182 $ 1,176,581 $ 1,173,244 $ 1,129,571 $ 1,227,621 Mezzanine/subordinated debt - - 65 965 57 Equity 55,248 54,920 53,836 52,384 41,483 Total investments 1,27

  9. Slide 9: Quarterly Operating Results

    Quarterly Operating Results Three Months Ended (Unaudited; dollar amounts in thousands, except per share data) 9/30/2016 6/30/2016 3/31/2016 12/31/2015 9/30/2015 Investment income Interest income $ 38,277 $ 34,763 $ 32,874 $ 39,159 $ 33,813 Lease income 71 650 776 375 355 Other income 121 182 939 82

  10. Slide 10: Financial Highlights

    Financial Highlights ($ per share) Q3 2016 Q2 2016 Q1 2016 Q4 2015 Q3 2015 Net investment income before taxes (1) $ 0.49 $ 0.47 $ 0.47 $ 0.55 $ 0.50 Excise taxes - - - (0.02) - Incentive compensation on NII (0.10) (0.09) (0.09) (0.11) (0.10) Net investment income, after incentive(1) 0.39 0.38 0.38 0

  11. Slide 11: Quarterly Balance Sheets

    Quarterly Balance Sheets 9/30/2016 6/30/2016 3/31/2016 12/31/2015 9/30/2015 (in thousands, except per share data) (unaudited) (unaudited) (unaudited) (audited) (unaudited) ASSETS Investments at fair value $ 1,276,430 $ 1,231,501 $ 1,227,145 $ 1,182,920 $ 1,269,161 Cash and cash equivalents 140,874 3

  12. Slide 12: Best-In-Class Advisory Fee Structure

    Best-In-Class Advisory Fee Structure Typical Externally Managed BDCs(1) TCP Capital Corp. Base Management Fee  1.5% - 2.0% on gross assets  1.5% on gross assets (less cash and cash equivalents) Incentive Fee Hurdle  2.0% quarterly return on NAV  2.0% quarterly return on NAV  Capital Gains: 20%

  13. Slide 13: Diversified Sources of Funding

    Diversified Sources of Funding As of September 30, 2016 Source Capacity Drawn Amount Available Pricing Maturity SVCP Revolver $116.0mm - $116.0mm L + 2.50% Jul-18 Term Loan $100.5mm $100.5mm - L + 2.50% Jul-18 2019 Convertible Senior Unsecured Notes $106.4mm (1) $106.4mm - '5.25% Dec-19 2022 Convert

  14. Slide 14: Contact Information

    Contact Information Investor Relations 2951 28th Street, Suite 1000 Santa Monica, CA 90405 (310) 566-1094 investor.relations@tcpcapital.com www.tcpcapital.com Transfer Agent Wells Fargo Shareholder Services (800) 468-9716 (from U.S.) (651) 450-4064 (from outside U.S.) www.shareowneronline.com 14

TCP Capital — Q3 2016 Earnings Presentation on 6ix