Alcentra Capital Corporation Announces Third Quarter 2014 Results
NEW YORK, Nov. 10, 2014 /PRNewswire/ -- Alcentra Capital Corporation (NASDAQ Global Select Market: "ABDC") ("Alcentra" or the "Company"), announced today its financial results for the third quarter of 2014. The Company reported net investment income of $4.6 million or $0.34 cents per share, for the period July 1, 2014 through September 30, 2014, and including net realized and unrealized gains of $3.3 million, for earnings of $7.9 million, or $0.58 per share, for the same period.
At September 30, 2014, net asset value ("NAV") per share was $15.00, which is an increase of $0.24 from the June 30, 2014 NAV of $14.76.
On November 4, 2014, the Company's Board of Directors declared a fourth quarter calendar dividend of $0.34 per share, payable on January 6, 2015 to shareholders of record of December 30, 2014. The Company had previously paid a dividend of $0.34 per share on October 6, 2014 to shareholders of record of September 30, 2014.
Mr. Paul J. Echausse, the Company's President and Chief Executive Officer, said, "We continue to find investments with companies that demonstrate good growth opportunities at reasonable leverage. We invested in six opportunities in the third quarter (four new portfolio companies and two add-ons), and two new portfolio companies since September 30, 2014. I would like to point out a few statistics that reinforce our differentiated investment strategy:
Net realized and unrealized gains of $3.3 million for the quarter ($4.6 million since the May 8, 2014 IPO) demonstrates the opportunity for capital appreciation associated with our investment focus on growth companies;
The weighted average yield on our debt portfolio is 12.0% and the weighted average leverage in the debt portfolio is 3.5x EBITDA; thus demonstrating that we can generate good yields in our debt portfolio at moderate leverage;
$91.1 million of the portfolio (45%) had a first dollar loss at 0.0x-1.0x EBITDA; $60.3 million of the portfolio (30%) had a first dollar loss at 1.0x-3.0x EBITDA; $33.8 million of the portfolio (16%) had a first dollar loss of 3.0x-4.0x EBITDA; and $18.3 million of the portfolio (9%) had a first dollar loss of 4.0x-4.5x EBITDA; and $0.5 million of the portfolio (<1%) had a first dollar loss >4.5x EBITDA 1
Our average portfolio company investment was approximately $8.7 million and there were no non-performing loans in the portfolio.
With our focus on growth companies, we have assembled a portfolio that combines a good yield on our debt portfolio at moderate leverage, strong credit statistics with capital appreciation. We continue to remain disciplined at this point in the economic cycle."
Highlights
| Portfolio results, as of September 30, 2014: |
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| Total Assets |
$236.0mm |
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| Investment portfolio, at fair value |
$214.2mm |
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| Net Assets |
$202.8mm |
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| Weighted Average yield on debt investments |
12.0% |
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| Net Asset Value per share |
$15.00 |
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| Portfolio Activity in the current quarter: |
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| Number of new investments |
4 |
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| Total capital deployed from IPO through September 30, 2014 |
$49.7mm |
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| Proceeds from repayments, sales and amortizations from IPO through September 30, 2014 |
$27.6mm |
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| Number of portfolio companies, end of period |
24 |
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| Net investment income |
$4.6mm |
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| Net investment income per share |
$0.34 |
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| Net increase in new assets from operations |
$3.2mm |
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| Net increase in new assets from operations per share |
$0.24 |
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| Dividend declared per share (Paid October 6, 2014) |
$0.34 |
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About Alcentra Capital Corporation
Alcentra (www.alcentracapital.com) is an externally-managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940. Alcentra's investment objective is to generate both current income and capital appreciation primarily by making direct investments in lower middle-market companies in the form of subordinated debt and, to a lesser extent, senior debt and minority equity investments. Alcentra's investment activities are managed by its investment adviser, Alcentra NY, LLC.
About Alcentra NY, LLC
Alcentra NY, LLC, our investment adviser, is part of BNY Alcentra Group Holdings, Inc. ("Alcentra Group"), one of the world's leading sub-investment grade credit asset managers focusing on the U.S. and European markets. Alcentra Group has an investment track record that spans across 50 separate investment funds totaling approximately $23 billion (including accounts managed by Alcentra NY, LLC, Alcentra Ltd, and assets managed by Alcentra Group personnel for affiliates under dual officer arrangements).
FORWARD-LOOKING STATEMENTS
Statements included herein may contain "forward-looking statements," which relate to future performance or financial condition. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of assumptions, risks and uncertainties, which change over time. Actual results may differ materially from those anticipated in any forward-looking statements as a result of a number of factors, including those described from time to time in filings by the Company with the Securities and Exchange Commission including the final prospectus filed with the Securities and Exchange Commission on May 9, 2014. Alcentra undertakes no duty to update any forward-looking statement made herein except as required by law. All forward-looking statements speak only as of the date of this press release.
1 Total portfolio excludes Aphena Pharma and Well Biz.
SOURCE Alcentra Capital Corporation
Related Links
http://www.alcentracapital.com
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