Gladstone Investment Corporation Prices Public Offering of 7.125% Notes due 2031

Gladstone Investment Corporation (Nasdaq:GAIN) priced a public offering of $100.0 million aggregate principal amount of 7.125% Notes due May 1, 2031 on February 10, 2026.

Rhea-AI Summary

Gladstone Investment Corporation (Nasdaq:GAIN) priced a public offering of $100.0 million aggregate principal amount of 7.125% Notes due May 1, 2031 on February 10, 2026. The Notes pay interest quarterly beginning May 1, 2026 and may be redeemed on or after May 1, 2028.

The company granted underwriters a 30-day overallotment option for up to an additional $15.0 million. The Notes are expected to be delivered on or about February 18, 2026 and listed on Nasdaq Global Select Market under GAING. Net proceeds will repay part of the revolving credit facility, fund new investments, and support general corporate purposes.

Positive

• $100.0M gross proceeds to fund investments and repay credit facility
• Repayment of revolver reduces short-term borrowing and interest variability
• Notes expected to be listed under GAING, improving secondary liquidity for noteholders

Negative

• Adds $100.0M fixed-rate debt subject to 7.125% annual interest
• Quarterly interest payments begin May 1, 2026, increasing near-term cash interest requirements
• Overallotment option up to $15.0M could raise total debt and leverage

Argus Feb 11 session

+0.29% close to close Open Argus

Details

News Market Reaction – GAIN

On Feb 11, the first trading day after this news, GAIN closed 0.29% above the previous close.

Data tracked by StockTitan Argus for the Feb 11 session.

Key Figures

New notes size: $100.0 million Coupon rate: 7.125% per year Maturity date: May 1, 2031 +5 more

New notes size

$100.0 million

Aggregate principal amount of 7.125% Notes due 2031

Coupon rate

7.125% per year

Interest rate on Notes due 2031, paid quarterly

Maturity date

May 1, 2031

Stated maturity of the new notes

First call date

May 1, 2028

Earliest optional redemption date for the notes

Overallotment option

$15.0 million

Additional principal amount underwriters may purchase within option

Option period

30 days

Duration of underwriters’ overallotment option

Expected listing symbol

GAING

Planned Nasdaq Global Select Market symbol for the notes

Expected delivery date

February 18, 2026

Target closing and delivery date for the notes

Previous Offering Reports

2 past events · Latest: Nov 06

Same Type 2 events

1. Nov 06

   Debt notes offering

   24h Move

   +0.7%

   Issued $60M of 6.875% Notes due 2028 to refinance and fund investments.

2. Dec 10

   Debt notes offering

   24h Move

   -0.2%

   Priced $110M of 7.875% Notes due 2030 with optional over-allotment.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

aggregate principal amount, revolving credit facility, overallotments, prospectus supplement

4 terms

aggregate principal amount financial

"it priced a public offering of $100.0 million aggregate principal amount of 7.125% Notes"

The aggregate principal amount is the total amount of money borrowed through a bond or loan that the borrower promises to repay. It’s like the original price tag on a loan or bond, showing how much money is involved in the deal. This number matters because it indicates the size of the debt and helps investors understand the scale of the borrowing.

revolving credit facility financial

"use the net proceeds from this offering to repay a portion of the amount outstanding under its revolving credit facility"

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

overallotments financial

"30-day option to purchase up to an additional $15.0 million in aggregate principal amount of Notes to cover overallotments"

An overallotment, often called a "greenshoe" option, is a short-term right given to underwriters of a new stock offering to sell up to about 15% more shares than planned. It matters to investors because it lets underwriters smooth the stock’s post-offering price—if demand falls they buy back extra shares to support the price, and if demand stays strong they exercise the option to supply more shares—reducing abrupt swings like a shock absorber for the market.

prospectus supplement regulatory

"The preliminary prospectus supplement, dated February 9, 2026, and the accompanying prospectus"

A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

MCLEAN, VA / ACCESS Newswire / February 10, 2026 / Gladstone Investment Corporation (Nasdaq:GAIN) (the "Company") today announced that it priced a public offering of $100.0 million aggregate principal amount of 7.125% Notes due 2031 (the "Notes") on February 10, 2026. The Notes will mature on May 1, 2031 and may be redeemed in whole or in part at any time or from time to time at the Company's option on or after May 1, 2028. The Notes will bear interest at a rate of 7.125% per year payable quarterly on February 1, May 1, August 1 and November 1 of each year, beginning May 1, 2026. The Company also granted the underwriters a 30-day option to purchase up to an additional $15.0 million in aggregate principal amount of Notes to cover overallotments, if any. The Company expects to list the Notes on the Nasdaq Global Select Market under the trading symbol "GAING" within 30 days of issuance. Oppenheimer & Co. Inc., Lucid Capital Markets, LLC, B. Riley Securities, Inc. and Muriel Siebert & Co., LLC are acting as joint book-running managers for this offering. Clear Street LLC, Huntington Securities, Inc., InspereX LLC, Ladenburg Thalmann & Co. Inc. and Wedbush Securities Inc. are acting as co-managers for this offering.

The closing of the transaction is subject to customary closing conditions and the Notes are expected to be delivered on or about February 18, 2026.

The Company intends to use the net proceeds from this offering to repay a portion of the amount outstanding under its revolving credit facility, to fund new investment opportunities, and for other general corporate purposes.

Investors are advised to carefully consider the investment objectives, risks and charges and expenses of the Company before investing. The preliminary prospectus supplement, dated February 9, 2026, and the accompanying prospectus, dated April 18, 2024, which have been filed with the U.S. Securities and Exchange Commission (the "SEC"), contain this and other information about the Company and should be read carefully before investing.

The offering is being conducted as a public offering under the Company's effective shelf registration filed with the SEC (File No. 333-277452).

To obtain a copy of the preliminary prospectus supplement for this offering and the accompanying prospectus, please contact: Oppenheimer & Co. Inc., Attention: Syndicate Prospectus Department, 85 Broad Street, 26th Floor, New York, NY 10004, by telephone at (212) 667-8055, or by email at EquityProspectus@opco.com.

This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.

About Gladstone Investment Corporation: Gladstone Investment Corporation is a publicly traded business development company that seeks to make secured debt and equity investments in lower middle market businesses in the United States in connection with acquisitions, changes in control and recapitalizations.

Forward-Looking Statements

This press release contains statements as to the Company's intentions and expectations of the outcome of future events that are forward-looking statements. You can identify these statements by the fact that they do not relate strictly to historical or current facts. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These statements relate to the offering of Notes and the anticipated use of the net proceeds by the Company. No assurance can be given that the transaction discussed above will be completed on the terms described, or at all. Completion of the offering on the terms described, and the application of net proceeds, are subject to numerous conditions, many of which are beyond the control of the Company. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. For a description of certain risks to which the Company is or may be subject, please refer to the factors discussed under the captions "Forward-Looking Statements" and "Risk Factors" included in the Company's filings with the SEC (accessible at www.sec.gov).

CONTACT: For further information: Gladstone Investment Corporation, 703-287-5893.

SOURCE: Gladstone Investment Corporation

View the original press release on ACCESS Newswire

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What are the terms of Gladstone Investment Corporation's (GAIN) 7.125% Notes due 2031?

The Notes carry a 7.125% coupon and mature on May 1, 2031 with quarterly interest payments. According to the company, interest is payable February 1, May 1, August 1 and November 1, beginning May 1, 2026, and the Notes are redeemable on or after May 1, 2028.

How much is Gladstone Investment Corporation (GAIN) raising in the February 10, 2026 offering?

Gladstone is pricing $100.0 million aggregate principal amount of Notes with a 30-day overallotment for up to $15.0 million. According to the company, the underwriters may purchase additional Notes to cover overallotments if any.

What will Gladstone Investment Corporation (GAIN) use the proceeds from the 2031 Notes for?

Proceeds will be used to repay part of the revolving credit facility, fund new investment opportunities, and for general corporate purposes. According to the company, net proceeds are intended to reduce short-term borrowing and fund investments.

When will Gladstone Investment Corporation's (GAIN) 7.125% Notes be delivered and listed?

The Notes are expected to be delivered on or about February 18, 2026 and listed on the Nasdaq Global Select Market under GAING. According to the company, listing is expected within 30 days of issuance.

How does the overallotment option affect Gladstone Investment Corporation's (GAIN) offering size?

The underwriters have a 30-day option to buy up to an additional $15.0 million, potentially increasing the offering size. According to the company, this option exists to cover overallotments, if any, after the initial pricing.