The board of Horizon Technology Finance Corp. approved an amendment to the company's asset coverage requirements for senior securities to 150% from 200%, effective June 7.
The move comes after the amendment of the Investment Company Act of 1940 in March, which reduced the applicable asset coverage requirement applicable to a business development company to 150% from 200%, subject to certain approval and disclosure requirements.
Should shareholders approve the proposal at a special meeting, the company will become subject to the reduced asset coverage requirement a day after approval.
