PURCHASE, N.Y., Dec. 11, 2015 (GLOBE NEWSWIRE) -- MVC Capital, Inc. (NYSE:MVC) (“MVC” or “the Company”), a publicly traded business development company that makes private debt and equity investments, announced today that it has entered into a three-year, $50 million revolving borrowing base credit facility with Santander Bank as a lender and lead agent and Wintrust Bank as a lender and syndication agent. The revolving credit facility has an accordion feature that can increase the credit facility to $85 million.
The new facility bears an interest rate of LIBOR plus 375 basis points or the prime rate plus 1% (at MVC’s option), and includes a 1% closing fee of the commitment amount and a 0.75% unused fee. The new facility will replace the $30 million bridge loan with Firstrust Bank that matures on December 31, 2015.
“Entering into this credit facility enables us to reduce our overall borrowing costs and enhances our investment flexibility,” said Michael Tokarz, Chairman & Portfolio Manager of MVC Capital.
About MVC Capital, Inc.
MVC Capital is a Business Development Company traded on the New York Stock Exchange that provides long-term debt and equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries.
The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements, including: MVC Capital's ability to execute its yield investment strategy; the performance of MVC Capital's investments; risks associated with the availability and terms of additional financing; changes in interest rates; regulatory changes and changes in economic or financial market conditions and other factors that are enumerated in the Company's periodic filings with the Securities and Exchange Commission. MVC Capital disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release.
Investor Relations Jackie Rothchild MVC Capital, Inc. 914-510-9400 or Jeffrey Goldberger / Brad Nelson KCSA Strategic Communications 212-896-1249 / 212-896-1217 Media Inquiries Nathaniel Garnick / Patrick Scanlan Sard Verbinnen & Co. 212-687-8080