SOURCE: Prospect Capital Corporation
NEW YORK, NY--(Marketwired - Mar 31, 2014) - Prospect Capital Corporation (NASDAQ: PSEC) ("Prospect") announced today that Prospect has provided $277.5 million of first-lien floating-rate debt to support the refinancing of IWCO Direct.
Founded in 1969 and headquartered in Chanhassen, Minnesota, IWCO Direct is a leading provider of direct marketing solutions to direct marketers for acquisition and loyalty programs in the United States. IWCO Direct is the industry's only fully vertically integrated business model, encompassing data programming and composition, forms and insert printing, plastic card embossing, personalization for complex variable data, creative services, envelope manufacturing, mail sortation, postal optimization, and disaster recovery.
"We are thrilled to further our vision to become the dominant integrated direct marketing solutions provider in the industry with Prospect," said Jim Andersen, CEO of IWCO Direct since 1999. "We were impressed with Prospect's ability to rapidly execute on a one-stop, efficient financing solution with a large investment sole hold capability."
"Prospect is delighted to work with the strong management team at IWCO Direct on this important senior-secured transaction," said Jason Wilson, Managing Director of Prospect Capital Management LLC. "IWCO Direct impressed us with its customer-centric, ROI-driven marketing solutions as well as its scale, scope, and technological sophistication of operations that are without peer in the direct marketing sector."
Prospect closed approximately $2.7 billion of new originations during calendar year 2013. Currently with over $6 billion of capital under management, Prospect has closed over $738 million of originations during the current March 2014 quarter, with further origination activity expected in the coming weeks.
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.