Just after we wrote an evaluation of the TICC-BSP proposal to manage TICC Capital last Friday, the Company issued a new presentation on Monday to shareholders. TICC repeated many points made previously, but also added several new comments which we could not help but bring to our readers attention, and which leave us more confused than ever.
The BDC Reporter will be reviewing each of the three outstanding proposals to manage TICC Capital (albeit with a new name and ticker) from Benefit Street Partners, TPG Specialty and NexPoint Advisors. We begin with the current Board's favorite: Benefit Street Partners, go deep into the Proxy and come to some disturbing conclusions.
On Monday, the BDC Sector dropped sharply in price across the board and some key indices reached new record lows, as the 2 year drawdown continues. We detail the nature and extent of the carnage and seek to learn lessons therefrom. We offer up some hope of a turn around in the short term. Longer term, we still...
Now the would External Managers and/or owners of TICC Capital have made their initial bids for the Company, the time has arrived for mutual mud slinging. We review the latest developments, but come away still undecided, despite the debate underway by dint of press releases.
Just when we thought the battle for TICC Capital (TICC) was over, two huge developments have put the Company back in play and sent its stock price up 10%. We dissect and discuss the latest developments, and seek to handicap the battle between these asset management heavyweights. Whether TICC shareholders will fully benefit is an open question.
The opaque struggle for control of the right to be the External Manager of TICC Capital (TICC) continues. We discuss the latest offer and counter-offer; wring our hands for the Company's shareholders and make a stab at predicting how this will turn out. Spoiler Alert: the shareholder does not fare well at the end.
The BDC Reporter disagrees with a Barron's article pointing to short term Return On Equity as an indicator of which BDCs might be worth investing in. We illustrate our point by using the case in point of Gladstone Capital (GLAD) and suggest a better way to analyze who to buy or stay away from.
We provide some color about the direction of BDC stock prices on a turbulent day, and discuss two stories of interest: Fifth Street Finance's change of heart about stock repurchases and Oxford Lane's disclosure that Taxable Income might be hurt by higher 3 Month LIBOR.Written in a hurry after the market closed.
NexPoint, a subsidiary of Highland Capital, launches an unsolicited offer to become TICC Capital's (TICC) new External Manager instead of Benefit Street Partners. Neither contender is telling investors what they need to know, but we're hoping the tussle may shed some light on this strange changing of the guard at TICC.
On the day before Pennant Park Floating Rate Capital (PFLT) swallows up MCGC Capital (MCGC) forever, its price is at a two year low. We call Buying Opportunity for potential PFLT investors just before the conservatively managed BDC gets set to nearly double in size.