NEW YORK, NY--(Marketwire - December 13, 2010) - Prospect Capital Corporation (
The Facility includes an accordion feature which allows Prospect to accept up to an aggregate of $300 million of revolving commitments, a target Prospect expects to reach with additional and existing lenders. This commitment, from a new bank, brings the total number of lenders to eight. The Facility has a reaffirmed investment grade Moody's rating of A2.
In addition, Standard & Poor's Rating Services has re-affirmed Prospect's corporate rating at an investment grade level of BBB, which anticipates higher leverage levels than Prospect's current commitments.
"We are delighted to have another bank join our growing list of lender relationships," said Brian Oswald, Chief Financial Officer of Prospect. "We have been pleased with the strong interest that our facility has received from new lenders, and we look forward to increasing the facility commitments to our target size. We are also pleased with the re-affirmation of our investment grade corporate and facility ratings."
ABOUT PROSPECT CAPITAL CORPORATION
Prospect Capital Corporation (www.prospectstreet.com) is a closed-end investment company that lends to and invests in private and microcap public businesses. Our investment objective is to generate both current income and long-term capital appreciation through debt and equity investments.
We have elected to be treated as a business development company under the Investment Company Act of 1940 ("1940 Act"). We are required to comply with a series of regulatory requirements under the 1940 Act as well as applicable NASDAQ, federal and state rules and regulations. We have elected to be treated as a regulated investment company under the Internal Revenue Code of 1986. Failure to comply with any of the laws and regulations that apply to us could have an adverse effect on us and our shareholders.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, whose safe harbor for forward-looking statements does not apply to business development companies. Any such statements, other than statements of historical fact, are highly likely to be affected by other unknowable future events and conditions, including elements of the future that are or are not under our control, and that we may or may not have considered; accordingly, such statements cannot be guarantees or assurances of any aspect of future performance. Actual developments and results are highly likely to vary materially from these estimates and projections of the future. Such statements speak only as of the time when made, and we undertake no obligation to update any such statement now or in the future.