Capital Southwest Increases Corporate Credit Facility to $510 million

Rhea-AI Summary

Capital Southwest (Nasdaq: CSWC) has announced a significant expansion of its senior secured credit facility, increasing total commitments by $25 million to reach $510 million. The expansion was executed through the existing accordion feature, with two current lenders from the 11-participant lender group providing the additional funding.

The internally managed business development company, which specializes in flexible financing solutions for middle market businesses, maintains the ability to further expand the facility up to $750 million through the existing accordion feature. This increase from the previous $485 million commitment strengthens Capital Southwest's lending capacity for supporting business acquisitions and growth initiatives.

DALLAS, April 09, 2025 (GLOBE NEWSWIRE) -- Capital Southwest Corporation (“Capital Southwest”) (Nasdaq: CSWC), an internally managed business development company focused on providing flexible financing solutions to support the acquisition and growth of middle market businesses, today announced an increase to the total commitments under its senior secured credit facility (the “Corporate Credit Facility”). The Corporate Credit Facility was increased under the existing accordion feature by $25 million, bringing total commitments from $485 million to $510 million. The $25 million increase was provided by two existing lenders in the lender group, which consists of 11 participants. The existing accordion feature under the Corporate Credit Facility allows for maximum commitments of up to $750 million.

About Capital Southwest

Capital Southwest Corporation (Nasdaq: CSWC) is a Dallas, Texas-based, internally managed business development company with approximately $1.7 billion in investments at fair value as of December 31, 2024. Capital Southwest is a middle market lending firm focused on supporting the acquisition and growth of middle market businesses with $5 million to $50 million investments across the capital structure, including first lien, second lien and non-control equity co-investments. As a public company with a permanent capital base, Capital Southwest has the flexibility to be creative in its financing solutions and to invest to support the growth of its portfolio companies over long periods of time.

Investor Relations Contact:

Michael S. Sarner, President and Chief Executive Officer
214-884-3829

FAQ

What is the new total commitment amount for CSWC's Corporate Credit Facility in 2025?

Capital Southwest's Corporate Credit Facility has increased to $510 million, up from $485 million, following a $25 million expansion in April 2025.

How much can CSWC expand its Corporate Credit Facility through the accordion feature?

The accordion feature allows CSWC to increase its Corporate Credit Facility commitments up to a maximum of $750 million.

How many lenders participated in CSWC's April 2025 credit facility expansion?

Two existing lenders from CSWC's 11-participant lender group provided the $25 million increase.

What is the primary purpose of CSWC's Corporate Credit Facility?

The facility provides flexible financing solutions to support the acquisition and growth of middle market businesses.