Prospect Capital Corporation Closes Public Offering of Common Stock Including Over-Allotment Option
NEW YORK, NY--(Marketwire - April 27, 2009) - Prospect Capital Corporation
(NASDAQ: PSEC) ("Prospect") announced that it has completed a public
offering of 3,680,000 shares of common stock (including 480,000 shares
pursuant to the exercise by the underwriters of their over-allotment
option) at $7.75 per share, raising $28.52 million in gross proceeds.
Prospect expects to use the net proceeds of this offering to initially
maintain balance sheet liquidity by either repaying a portion of the
amounts outstanding under its credit facility or making investments in high
quality short-term debt instruments, and thereafter to make long-term
investments in accordance with its investment objective. Fox-Pitt Kelton
Cochran Caronia Waller and SunTrust Robinson Humphrey are the joint
bookrunning managers for the offering. Ladenburg Thalmann & Co. Inc. is
the co-manager for the offering.
This press release does not constitute an offer to sell or the solicitation
of an offer to buy nor will there be any sale of the shares referred to in
this press release in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of such state or jurisdiction. A
registration statement relating to these securities was filed and has been
declared effective by the Securities and Exchange Commission. A copy of the
prospectus for the offering may be obtained from: Fox-Pitt Kelton Cochran
Caronia Waller, 420 Fifth Ave., 5th Floor, New York, NY 10018, Fax: (212)
849-0582, Email: prospectus@fpk.com; and SunTrust Robinson Humphrey, 303
Peachtree St. NE, Atlanta, GA 30308, Fax: (404) 926-5464, Email:
prospectus@rhco.com.
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.
Contact Information: For additional information, contact:
Grier Eliasek
President and Chief Operating Officer
(212) 448-9577