The BDC Reporter adds a second article in a series dedicated to assessing whether a BDC’s current distribution level is sustainable for the next 12 months. We using ratings of Likely, Possible or Unlikely. Last week, we thought Garrison Capital’s dividend Unlikely to be continue unchanged. This week we turn to MVC Capital, which has paid 48 consecutive quarterly distributions, following our in-depth review of its latest 10-Q which we undertook for our Premium subscribers. This article and series is made available to all the readers of the BDC Reporter.
In-The-News MVC Capital released quarterly earnings. We looked at the normal metrics and then delved into the 30 company portfolio for a better understanding of income, risk and asset value and whether MVC can remake itself. We came away not encouraged after a first review of the 10-Q.
Monroe Capital to issue new shares in a secondary. The BDC Reporter reports on a three month prediction and uses the opportunity to discuss front running BDC actions like this one.
BlackRock Capital issues its first public Convertible after years in the dog house. The BDC News Of The Day reviews the terms,and spells out the impact on the BDC’s earnings in the short term and the balance sheet outlook medium term. We also provide our own analysis about the creditworthiness of the Convertible Notes through a hypothetical financial crisis. We’re not as bullish as the rating agencies….
BDC portfolio company Ignite Restaurant Group files for bankruptcy. Three BDCs have exposure, including Golub Capital. We assess likely damage.
BDC Portfolio company Outcome Health raises half a billion dollars. Five BDCs have debt exposure.
A portfolio company of Alcentra Capital sells a business line.
BlackRock Capital amends its Revolver. The BDC Reporter uses the opportunity to review the credit agreement and discusses dull-as-dishwater issues such as liability management and portfolio valuation for readers interested in what might prove important in the Next Crisis.
Pennant Park Floating Rate announces an unchanged monthly dividend. The BDC Reporter looks ahead to what a recently announced new Joint Venture with Kemper might mean in the short term and long term for one of the most stable pay-outs in the sector. Yup, one of those “Good News/Bad News” stories.
PennantPark Investment declares its second, lower distribution in a row. The BDC Reporter focuses a very specific spotlight on what could go wrong at the BDC and bring about a second distribution cut and drop in price. We name names.
Gladstone Investment files another amendment to its $300mn Shelf Offering. There’s no “new” news to report but the BDC Reporter does have a warning for holders of the currently high flying BDC’s publicly traded Preferred issue with the ticker GAINO.
Two big changes are happening at the BDC Reporter: We are asking everybody to register so we can get to know our readers better and so we craft a better publication and we’re launching our first Premium subscription service. We want to let our readers know the whys and wherefores as the BDC Reporter undertakes a major transition.