NEW YORK, June 10, 2015 (GLOBE NEWSWIRE) -- On June 10, 2015, CM Finance Inc's (Nasdaq:CMFN) ("CMFN" or "the Company") Board of Directors declared:
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a special distribution of $0.43 per share payable on September 15, 2015 to shareholders of record as of September 1, 2015, and,
- a regular quarterly distribution for the quarter ended September 30, 2015 of $0.3469 per share payable on October 2, 2015 to shareholders of record as of September 18, 2015.
As of June 4, 2015, the Company has fully realized investments in two of its portfolio companies: Capitol Petroleum Group and Virgin America Inc. (Nasdaq:VA) ("Virgin America").
On June 1, 2015, the $14.5 million investment in Capitol Petroleum Group was prepaid at 115.7% of par. The Company received proceeds of $17.1 million and realized an investment rate of return ("IRR") of 24%.
In addition, the Company has sold 570,917 shares of common stock in Virgin America, which represented all of the shares of Virgin America held by the Company, realizing net proceeds of $16.5 million, or $28.90 per share of Virgin America. The sale resulted in an IRR of 83% on the common stock since November 14, 2014, the date on which the Company's debt investment and warrants in Virgin America converted to common stock, and 41% on the Company's aggregate debt and equity investment in Virgin America since May 10, 2013, the date of the Company's original investment in Virgin America.
About CM Finance Inc
The Company is an externally-managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940. The Company's investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation through debt and related equity investments by targeting investment opportunities with favorable risk-adjusted returns. The Company seeks to invest primarily in middle-market companies that have annual revenues of at least $50 million and earnings before interest, taxes, depreciation and amortization of at least $15 million. The Company's investment activities are managed by its investment adviser, CM Investment Partners LLC. To learn more about CM Finance Inc, please visit www.cmfn-inc.com.
Forward-Looking Statements
Statements included herein may contain "forward-looking statements," which relate to future performance or financial condition. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of assumptions, risks and uncertainties, which change over time. Actual results may differ materially from those anticipated in any forward-looking statements as a result of a number of factors, including those described from time to time in filings by the Company with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement made herein except as required by law. All forward-looking statements speak only as of the date of this press release.