Great Elm Capital Corp. (“GECC”) Raises $12 Million of Equity at Net Asset Value
Rhea-AI Summary
Great Elm Capital Corp. (GECC) has raised $12 million through the issuance of approximately 1.0 million shares of common stock at a net asset value of $12.03 per share to Prosper Peak Holdings. The parent company, Great Elm Group (GEG), invested $3 million in Prosper Peak Holdings, aligning its interests with GECC shareholders.
This latest funding brings GECC's total non-dilutive equity raised this year to $38 million. CEO Matt Kaplan highlighted the company's growth, noting a nearly 80% increase in gross net asset value since March 2022. GEG's CEO, Jason Reese, emphasized the group's commitment to expanding its credit platform through this investment.
Positive
- Raised $12 million at net asset value, avoiding shareholder dilution.
- Total non-dilutive equity raised year-to-date is $38 million.
- Gross net asset value increased by nearly 80% since March 2022.
- Great Elm Group invested $3 million in Prosper Peak Holdings, aligning with shareholder interests.
Negative
- None.
News Market Reaction – GECC
In the trading session that priced this news, GECC gained 0.10%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
PALM BEACH GARDENS, Fla., June 24, 2024 (GLOBE NEWSWIRE) -- Great Elm Capital Corp. (the “Company” or “GECC”), (NASDAQ: GECC), a business development company, today announced it issued approximately 1.0 million shares of the Company’s common stock at a current net asset value of
Great Elm Group, Inc. (“GEG”), the parent of the Company’s investment manager, made a
“We have raised
Jason Reese, GEG’s Chief Executive Officer, said, “GEG is committed to supporting and expanding its credit platform, anchored by GECC. We are excited to announce our participation in Prosper Peak, which will further grow GECC’s capital base.”
About Great Elm Capital Corp.
GECC is an externally managed business development company that seeks to generate current income and capital appreciation by investing in debt and income generating equity securities, including investments in specialty finance businesses.
Cautionary Statement Regarding Forward-Looking Statements
Statements in this communication that are not historical facts are “forward-looking” statements within the meaning of the federal securities laws. These statements are often, but not always, made through the use of words or phrases such as “expect,” “anticipate,” “should,” “will,” “estimate,” “designed,” “seek,” “continue,” “upside,” “potential” and similar expressions. All such forward-looking statements involve estimates and assumptions that are subject to risks, uncertainties and other factors that could cause actual results to differ materially from the results expressed in the statements. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking statements are: conditions in the credit markets, rising interest rates, inflationary pressure, the price of GECC common stock and the performance of GECC’s portfolio and investment manager. Information concerning these and other factors can be found in GECC’s Annual Report on Form 10-K and other reports filed with the Securities and Exchange Commission. GECC assumes no obligation to, and expressly disclaims any duty to, update any forward-looking statements contained in this communication or to conform prior statements to actual results or revised expectations except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof.
This press release does not constitute an offer of any securities for sale.
Media & Investor Contact:
Investor Relations
investorrelations@greatelmcap.com
Source: Great Elm Capital Corp.
