GladstoneInvestment Corp. has closed an offering of 2 million of its 6.25% series D cumulativeterm preferred shares due 2023 at $25.00 per share.
Simultaneously with the closing of the offering, theunderwriters exercised in full their option to purchase an additional 300,000of the shares to cover overallotments, resulting in a total issuance of 2.3million shares for gross proceeds of approximately $57.5 million and netproceeds of approximately $55.5 million, after payment of underwritingdiscounts and commissions and estimated offering expenses.
The shares are expected to begin trading on the NasdaqGlobal Select Market on or about Sept. 27 under the symbol GAINM. The sharesare mandatorily redeemable on Sept. 30, 2023, at $25.00 per share. The companyplans to use the net proceeds to redeem all outstanding shares of its 7.125%series A cumulative term preferred stock, to pay down debt under its revolvingline of credit and for other general corporate purposes.
Janney Montgomery Scott LLC and Ladenburg Thalmann & Co.Inc. served as joint book-running managers for the offering. J.J.B. Hilliard,W.L. Lyons LLC and Wunderlich Securities Inc. served as co-lead managers withWilliam Blair & Co. LLC and Maxim Group LLC serving as co-managers.