Prospect Capital Corp. has priced the unsecured notes it is offering in four tranches.
The 3.750% notes due Oct. 15, 2024, have a principal amount of about $1.8 million; the 4.000% notes due Oct. 15, 2026, have a principal amount of about $1.3 million; the 4.250% notes due Oct. 15, 2029, have a principal amount of about $1.5 million; and the 3.750% to 6.250% notes due Oct. 15, 2029, have a principal amount of about $165,000.
Prospect Capital intends to use the net proceeds from the sale of the notes initially to maintain balance sheet liquidity, including repayment of debt under its credit facility if any; to redeem outstanding Prospect Capital InterNotes and other debt; to invest in high-quality short-term debt instruments; and to make long-term investments in line with the company's investment objective.
Interest on the notes accrues from Oct. 10 and will be paid April 15 and Oct. 15 of each year, starting April 15, 2020.
Incapital LLC, Citigroup and RBC Capital Markets are the agents for the offering.
