Prospect Capital Funds $202 Million in Senior Secured Floating Rate Term Loans to Progrexion
July 29 2021 - 7:00AM
Prospect Capital Corporation (NASDAQ: PSEC) (“Prospect”) announced
today that Prospect has funded total commitments of $202
million, comprised of a $49 million first lien senior
secured floating rate term loan and a $153 million second lien
senior secured floating rate term loan to support the refinancing
of PGX Holdings, Inc. (“Progrexion”) a portfolio company of H.I.G.
Capital, LLC (“H.I.G.”).
Progrexion is the market leading provider of
consumer credit repair services in the U.S., providing credit
repair solutions directly to consumers and as a technology and
services provider through a third party. Progrexion’s technology
and services help consumers understand their credit report
information, verify its fairness and accuracy, and correct
inaccuracies with individual creditors, data providers, and
national credit bureaus.
“This transaction marks the 12th financing for
Progrexion since H.I.G.’s acquisition in 2010," said Elliot Maluth,
Managing Director of H.I.G. “We are once again pleased to engage
with the Prospect team, which brought to bear both its $200 million
hold capability as well as its diligent approach to provide a
creative and flexible financing solution.” “For the past
21 years, Progrexion has led the market in helping consumer
clients fix errors in their credit reports as well as in
maintaining the health of client credit reports,” said Jason
Wilson, a Managing Director at Prospect Capital Management L.P. “I
have personal and direct experience with Progrexion's services
that assisted in the removal of multiple erroneous items from my
credit report, thereby enabling me to secure
significantly lower rates on mortgage refinancings as well as
auto and home insurance. Our team at Prospect especially
appreciates investment opportunities where we can directly verify a
company’s strong value proposition for ourselves.”
ABOUT PROSPECT CAPITAL
CORPORATION
Prospect Capital Corporation
(www.prospectcap.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.
For further information, contact: Grier Eliasek,
President and Chief Operating Officer grier@prospectcap.com
Telephone (212) 448-0702
Prospect Capital (NASDAQ:PSEC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Prospect Capital (NASDAQ:PSEC)
Historical Stock Chart
From Jul 2023 to Jul 2024