The Company has agreed to issue $50 million aggregate principal amount of 5.95% senior unsecured notes due July 2023.
The Notes will mature on July 30, 2023 and may be redeemed in whole or in part, at Crescent BDC’s option, at any time or from time to time at par plus a “make-whole” premium, if applicable. Crescent BDC intends to use the net proceeds from the issuance to repay indebtedness outstanding under its credit facilities. Crescent BDC may re-borrow under its credit facilities for general corporate purposes, which include investing in portfolio companies in accordance with its investment objective.
The Notes will be issued in two closings. The initial issuance of $25 million of Notes closed today, July 30, 2020. The issuance of the remaining $25 million of Notes is expected to occur on or before October 28, 2020, subject to customary closing conditions. As of 2020-07-30, the Fund’s leverage was 46.9% and Debt Focused BDC Group leverage was 52.5%.