Nvidia CEO Jensen Huang Says AI Investment Boom Is Just Beginning as NVDA Shares Surge 
Baidu Approves $5 Billion Share Buyback and Plans First-Ever Dividend in 2026 
Anthropic Eyes $350 Billion Valuation as AI Funding and Share Sale Accelerate 
Rio Tinto Shares Hit Record High After Ending Glencore Merger Talks 
Ford and Geely Explore Strategic Manufacturing Partnership in Europe 
Alphabet’s Massive AI Spending Surge Signals Confidence in Google’s Growth Engine 
Sony Q3 Profit Jumps on Gaming and Image Sensors, Full-Year Outlook Raised 
TSMC Eyes 3nm Chip Production in Japan with $17 Billion Kumamoto Investment 
Uber Ordered to Pay $8.5 Million in Bellwether Sexual Assault Lawsuit 
Nasdaq Proposes Fast-Track Rule to Accelerate Index Inclusion for Major New Listings 
Amazon Stock Rebounds After Earnings as $200B Capex Plan Sparks AI Spending Debate 
CK Hutchison Launches Arbitration After Panama Court Revokes Canal Port Licences 
Nintendo Shares Slide After Earnings Miss Raises Switch 2 Margin Concerns 
SpaceX Pushes for Early Stock Index Inclusion Ahead of Potential Record-Breaking IPO 
Global PC Makers Eye Chinese Memory Chip Suppliers Amid Ongoing Supply Crunch 
Nvidia, ByteDance, and the U.S.-China AI Chip Standoff Over H200 Exports 
AMD Shares Slide Despite Earnings Beat as Cautious Revenue Outlook Weighs on Stock 
NEW YORK, Sept. 15, 2016 -- Garrison Capital Inc., a business development company (the “Company”) (NASDAQ:GARS), today announced that its wholly-owned subsidiary, Garrison Funding 2016-2 Ltd., has priced a $300 million term debt securitization with an expected closing date of September 29, 2016.
The notes offered in the collateralized loan obligation (the “Notes”) are structured as follows:
| Garrison Funding 2016-2 Ltd. | ||||||||||||||
| Class | Type | Commitment Amount ($) (MM) | Expected Rating (S&P Only) | Coupon | Issue Price | |||||||||
| A-1R | Revolver* | $ | 25.00 | AAA (sf) | Cost of Funds + 2.20%** | 100.00 | % | |||||||
| A-1T | Term* | 88.15 | AAA (sf) | 3mos L + 2.20% | 100.00 | % | ||||||||
| A-1F | Term* | 25.00 | AAA (sf) | 3.41 | % | 100.00 | % | |||||||
| A-2 | Term | 20.70 | AA (sf) | 3mos L + 3.15% | 99.73 | % | ||||||||
| B | Term | 21.45 | A (sf) | 3mos L + 4.00% | 98.90 | % | ||||||||
| C | Term | 11.70 | BBB (sf) | 3mos L + 6.00% | 98.66 | % | ||||||||
| * Class A-1R, Class A-1T and Class A-1F will rank pari passu. | ||||||||||||||
| ** Cost of Funds = CP Rate, as defined in the indenture governing the Notes, or 3 month USD LIBOR | ||||||||||||||
The reinvestment period for the Notes ends in September 2020, with a scheduled maturity in September 2027. The Company will indirectly retain the subordinated notes in the amount of $108.0 million.
The proceeds of the private placement of the Notes, net of expenses, will be used to refinance the Company’s existing collateralized loan obligation and will result in a reduction in the Company’s regulatory leverage ratio while only modestly increasing the weighted average weighted average cost of funds. Brian Chase, the Company’s Chief Financial Officer, said “We are very pleased with the pricing and the terms of the refinancing of our CLO which was structured and placed by Natixis, our longstanding financing partner. This new facility will provide us with long-dated, flexible and stable funding for our future investment activities.”
The securities offered as part of the collateralized loan obligation have not been and will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), or any state “blue sky” laws and may not be offered or sold in the United States absent registration under Section 5 of the Securities Act or an applicable exemption from such registration requirements.
ABOUT GARRISON CAPITAL INC.
Garrison Capital Inc. is a business development company that primarily invests in loans to U.S. based middle-market companies. The Company’s investment activities are managed by its investment adviser, Garrison Capital Advisers LLC, an affiliate of Garrison Investment Group LP (“Garrison Investment Group”). For more information, go to http://www.garrisoncapitalbdc.com.
ABOUT GARRISON INVESTMENT GROUP
Garrison Investment Group is an alternative investment and asset management firm founded in March 2007. Garrison Investment Group invests opportunistically in the debt of middle-market companies, primarily in the areas of corporate finance, real estate finance and structured finance. For more information, go to http://www.garrisoninv.com.
FORWARD-LOOKING STATEMENTS
This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. 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 risks and uncertainties. Actual results may differ materially from those expressed or implied in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release
Garrison Capital Inc. Brian Chase, 212-372-9590 www.garrisoncapitalbdc.com
