Deal Details
Follow-on Offering
Summary
Baird served as a joint bookrunner on this offering
About
Fidus Investment Corporation (“Fidus” or the “Company”) (NASDAQ-GS: FDUS) recently completed a follow-on offering of 2,012,500 shares of common stock at a price of $16.80 per share, generating gross proceeds of $33.8 million. The Company intends to use the net proceeds from the offering to make investments in lower middle-market companies in accordance with its investment objective and strategies, to repay the outstanding indebtedness under its credit facility, to increase borrowing capacity under the Small Business Investment Company (“SBIC”) debenture program, and for working capital and general corporate purposes.Fidus Investment Corporation, an externally-managed business development company (BDC), provides customized debt and equity financing solutions to lower middle-market companies, which management defines as United States based companies having revenues between $10 million and $150 million. Fidus targets companies in the lower middle-market with annual earnings, before interest, taxes, depreciation and amortization, or EBITDA, between $3 million and $20 million. The Company’s investment objective is to provide attractive risk adjusted returns by generating both current income from debt investments and capital appreciation from equity investments. As of March 31, 2017, Fidus’ net asset value was $354.8 million and its portfolio had a fair value of $536.6 million, comprised of 55 active portfolio companies with a weighted average effective yield of 12.9%. As of that same date, Fidus’ investment portfolio consisted of approximately 70% subordinated debt, 15% senior secured loans, and 15% equity/warrants. Fidus Investment Corporation is headquartered in Evanston, Illinois.
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- Date
- June 2017
- Company
- Fidus Investment Corporation
- Transaction
- M&A
- Sectors
- Technology & Services
- Target Geography
- North America
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