SOURCE: Prospect Capital Corporation

Prospect Capital Corporation

October 05, 2015 07:00 ET

Prospect Capital Provides $17.5 Million of First Lien Senior Secured Floating Rate Debt to Easy Gardener

NEW YORK, NY--(Marketwired - Oct 5, 2015) - Prospect Capital Corporation (NASDAQ: PSEC) ("Prospect") announced today that Prospect has provided $17.5 million of first lien senior secured floating rate debt to support the recapitalization of Easy Gardener Products, Inc. ("Easy Gardener"), a portfolio company of Centre Lane Partners, LLC ("Centre Lane").

Founded in 1983 and headquartered in Waco, Texas, Easy Gardener distributes over 1,000 SKUs through a network of over 50 lawn and garden retailers in North America. The company distributes a wide array of products in the landscape fabric, fertilizer, chemical-free weed control, and consumer shade categories. Easy Gardener's portfolio of brands, including Easy Gardener, Jobe's, Weedblock, Landmaster, Sunscreen, and Ross, is well recognized in the Lawn & Garden industry.

"We are excited to team up with Prospect on our third transaction together," said Nathan Richey, a Managing Director of Centre Lane. "Prospect's speed and agility in execution, together with its understanding of the consumer products industry, were integral to the success of this recapitalization."

"We are pleased with Easy Gardener's leading market position and strong customer relationships," said Richard Carratu, a Managing Director of Prospect Capital Management L.P. "We welcome the opportunity to support Centre Lane and the Easy Gardener management team as they continue to grow the business."

Prospect closed approximately $2.1 billion of new originations in the twelve months ended June 30, 2015.

ABOUT PROSPECT CAPITAL CORPORATION

Prospect Capital Corporation (www.prospectstreet.com) is a business development company that focuses on lending to and investing in private businesses. Prospect's investment objective is to generate both current income and long-term capital appreciation through debt and equity investments.

Prospect has elected to be treated as a business development company under the Investment Company Act of 1940 ("1940 Act"). Prospect is required to comply with a series of regulatory requirements under the 1940 Act as well as applicable NASDAQ, federal and state rules and regulations. Prospect has 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 Prospect could have an adverse effect on Prospect and its 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 Prospect's control, and that Prospect 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 any forward-looking statements. Such statements speak only as of the time when made, and Prospect undertakes no obligation to update any such statement now or in the future.