NEW YORK, NY--(Marketwire - January 11, 2011) - Prospect Capital Corporation (
Pinnacle is an outpatient addiction treatment business in Pennsylvania and New Jersey. With the acquisition of Endeavor, Pinnacle provides a complete continuum of addiction care through medication-assisted and non-medication-assisted outpatient services and inpatient treatment, including detoxification, residential treatment, and sober living across 15 locations. The Endeavor acquisition increases Pinnacle's service offering from covering approximately 33% of the addiction treatment patient universe to over 90% in the target market.
"Prospect was critical in providing a flexible financing structure and moving quickly to support our continued growth strategy for Pinnacle," said Matt Kraus, Partner of Celerity.
"Pinnacle is a leading provider of addiction treatment services," said Andrew Brown of Prospect Capital Management. "Pinnacle's management team has an impressive track record of operational and financial performance, and we are excited to support Celerity with this investment."
In addition, Prospect separately announced that Prospect has made a senior secured term loan investment of $30 million to support the acquisition of a logistics company by a leading middle-market private equity firm.
Prospect has now closed nine new originations aggregating more than $185 million since September 30, 2010.
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.