Saratoga Investment Corp. Price Public offer of $40.0

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NEW YORK, NY, Oct. 19, 2022 (GLOBE NEWSWIRE) — Saratoga Investment Corp. (the “Company”) (NYSE: SAR) today announced that it has priced an underwritten $40.0 million public offering of 8.00% aggregate principal amount of unsecured notes due in 2027 (the “Notes”).

The Notes will mature on October 31, 2027 and may be redeemed in whole or in part at any time or from time to time at the Company’s option beginning on October 27, 2024. The Notes will bear interest at the rate of 8.00% per year payable quarterly on February 28, May 31, August 31 and November 30 of each year, beginning February 28, 2023.

The offering is expected to close on October 27, 2022, subject to customary closing conditions. The Company has granted the underwriters an option to purchase up to an additional $6.0 million in aggregate principal amount of Notes. The Notes are expected to be listed and traded on the New York Stock Exchange within 30 days of the original issue date under the symbol “SAJ”.

The Company has received a “BBB+” private credit rating from Egan-Jones Ratings Company, an independent, unaffiliated rating agency.

Egan-Jones is a Nationally Recognized Statistical Rating Organization (NRSRO) and is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP). Egan-Jones is also certified by the European Securities and Markets Authority (ESMA).

Ladenburg Thalmann & Co. Inc. and Oppenheimer & Co. Inc. are acting as joint bookrunners for this offering. Compass Point, InspereX LLC, Janney Montgomery Scott LLC and William Blair & Company, LLC are the primary managers of this offering. Hovde Group, LLC and Maxim Group LLC are acting as co-managers of this offering. The Company intends to use the net proceeds of this Offering to make investments in middle market companies in accordance with the Company’s investment objective and strategies and for general corporate purposes.

Investors are advised to carefully consider the investment objective, the risks and the charges and expenses of the Company before investing. The preliminary prospectus supplement dated October 19, 2022 and accompanying prospectus dated July 7, 2021, each of which has been filed with the Securities and Exchange Commission (the “SEC”), contains a description of these matters and other important information about the Company and should be read carefully before investing.

This press release does not constitute an offer to sell or the solicitation of an offer to buy, and there will be no sale of the Bonds referred to in this press release in any state or jurisdiction in which a such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. A registration statement (File No. 333-256366) relating to the Notes has been filed and declared effective by the SEC.

This offering is being made only by means of a written prospectus forming part of the effective registration statement and related preliminary prospectus supplement, which may be obtained free of charge by visiting the SEC’s website at www. sec.gov or from one of the following Investment Banks: Ladenburg Thalmann, Attn: Syndicate Department, 640 Fifth Avenue, 4th Floor, New York, NY 10019 (phone number 1-800-573-2541), or email [email protected]; and Oppenheimer & Co. Inc., Attn: Syndicate Prospectus Department, 85 Broad Street, New York, NY 10004 or by email at [email protected]

About Saratoga Investment Corp.

Saratoga Investment Corp. is a specialty finance company that provides customized financing solutions to middle-market US businesses. The Company invests primarily in senior and unitranche leveraged loans and mezzanine debt, and to a lesser extent in equity to fund change of ownership transactions, strategic acquisitions, recapitalizations and capitalization initiatives. growth in partnership with business owners, management teams and financial sponsors. The objective of Saratoga Investment Corp. is to create attractive risk-adjusted returns by generating current income and long-term capital appreciation from its debt and equity investments. Saratoga Investment Corp. has elected to be regulated as a business development company under the Investment Companies Act of 1940 and is externally managed by Saratoga Investment Advisors, LLC, an SEC-registered investment adviser that focuses on credit-driven strategies. Saratoga Investment Corp. owns three SBIC-licensed subsidiaries and manages a $650 million Secured Loan Obligation (“CLO”) fund and a Joint Venture (“JV”) fund which holds a Secured Loan Obligation (“JV CLO”) fund “) of $400 million, when closed. It also owns 52% of the class F and 100% of the subordinated notes of the CLO, 87.5% of the unsecured loans and equity interests of the members of the JV and 87.5% of the class E notes of the JV CLO, once closed. The company’s diverse sources of funding, combined with a permanent capital base, allow Saratoga Investment Corp. to provide a wide range of financing solutions.

FORWARD-LOOKING STATEMENTS

The statements included herein contain certain “forward-looking statements” within the meaning of federal securities laws, including statements regarding the Company’s note offering and the intended use of the net proceeds of the offering. Forward-looking statements can be identified by the use of forward-looking words such as “outlook”, “believe”, “expect”, “potential”, “continue”, “may”, “will”, “should”, “look for”. “, “approximately”, “predicts”, “intends”, “plans”, “estimates”, “anticipates” or negative versions of these words, other comparable words or other statements which do not not relate to historical or factual matters. Forward-looking statements are based on our beliefs, assumptions and expectations regarding future events and our future performance, taking into account all information currently available to us. These statements are not guarantees of future events, performance, conditions or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements due to a number of factors, including, but not limited to, the impact of the COVID-19 pandemic and the impact of the pandemic on the U.S. and global economy, as well as those described from time to time in our filings with the SEC. Any forward-looking statement speaks only as of the date on which it is made. Saratoga Investment Corp. assumes no obligation to update any forward-looking statements made herein, whether as a result of new information, future developments or otherwise, except as required by law.

Contact: Henri Steenkamp
Saratoga Investment Corp.
212-906-7800

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