SOURCE: Prospect Capital Corporation

Prospect Capital Corporation

July 08, 2013 07:00 ET

Prospect Capital Provides Floating-Rate Senior-Secured Debt to Support Two Separate Private Equity Sponsor Recapitalizations, Achieving Nearly $800 Million in Originations for June 2013 Quarter

NEW YORK, NY--(Marketwired - Jul 8, 2013) - Prospect Capital Corporation (NASDAQ: PSEC) ("Prospect") announced today that Prospect recently served as sole agent and provider of floating-rate senior-secured financing to support the recapitalization of Traeger Pellet Grills LLC ("Traeger") by investment funds managed by Trilantic Capital Partners ("Trilantic").

Based in Wilsonville, Oregon and founded in 1985, Traeger is a leading designer, manufacturer, and marketer of branded wood pellet grills, wood pellets, sauces & spices and grilling accessories. Traeger sells its products through a dealer network, online, and through a direct sales force at selected retailers, trade shows, fairs, rodeos, and other outdoor events. In 2012, Traeger began the rollout of Traeger-branded stores in major shopping malls across the country.

"Prospect spent a significant amount of time understanding Traeger and its industry, allowing Prospect to provide a differentiated and attractive financing package to the company," said Charles Moore, a Partner at Trilantic.

"Prospect has now closed multiple transactions with Trilantic, demonstrating our deep relationships with private equity sponsors," said David Moszer, a Managing Director of Prospect Capital Management LLC. "Because of our expansive balance sheet, Prospect could close the entire term loan for Traeger as the sole lender, and we look forward to supporting the future growth of the company."

Separately, Prospect recently provided floating-rate senior-secured debt as an add-on financing to support the recapitalization of a private equity sponsor-owned company in the consumer services industry.

Prospect has closed more than $1.5 billion of originations to date in the current 2013 calendar year, including nearly $800 million in originations in the June 2013 quarter. Prospect closed more than $3 billion of originations in the twelve months ended June 30, 2013.


Prospect Capital Corporation ( is a business development company that focuses on lending to and investing in private 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 any forward-looking statements. 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.