Saratoga Investment Corp. completed its underwritten public offering of $74.5 million in aggregate principal amount of 6.75% unsecured notes due Dec. 30, 2023.
The offering includes the partial exercise of the underwriters' option to buy up to an additional $9.8 million in aggregate principal amount of notes.
Saratoga Investment may redeem the notes in whole or in part at any time or from time to time on or after Dec. 21, 2019. Interest on the notes is payable quarterly, starting March 30, 2017. The notes are expected to be listed on the NYSE and to trade within 30 days of the original issue date under the symbol SAB.
The company plans to use the net proceeds from the offering to repay all outstanding debt under its 7.50% fixed-rate notes due 2020, which amounts to $61.8 million, and for general corporate purposes.
Ladenburg Thalmann & Co. Inc., BB&T Capital Markets, Compass Point and William Blair are acting as joint book-running managers for the offering.