PennantPark Floating Rate Capital Ltd. Prices Public Offering of $200 Million 6.75% Notes

PennantPark Floating Rate Capital Ltd (NYSE: PFLT) priced an underwritten public offering of $200.0 million aggregate principal amount of 6.75% notes due March 4, 2029.

Rhea-AI Summary

PennantPark Floating Rate Capital Ltd (NYSE: PFLT) priced an underwritten public offering of $200.0 million aggregate principal amount of 6.75% notes due March 4, 2029. The offering is expected to close on or about March 4, 2026.

The company intends to use net proceeds to repay its revolving credit facility, to invest in new or existing portfolio companies, and for general corporate or strategic purposes. Joint book-runners and co-managers were appointed and the shelf registration statement is effective.

Positive

• Priced $200.0M 6.75% notes due March 4, 2029
• Proceeds earmarked to repay revolving credit facility
• Proceeds available to invest in portfolio companies

Negative

• Adds 6.75% fixed coupon obligation through 2029
• Increases funded debt by $200.0M until repayments

Argus Feb 26 session

+0.12% close to close 0.7x rel. volume Open Argus

Details

News Market Reaction – PFLT

On Feb 26, the day this news came out, PFLT closed 0.12% above the previous close.

Data tracked by StockTitan Argus for the Feb 26 session.

Key Figures

Note offering size: $200 million Coupon rate: 6.75% Maturity date: March 4, 2029 +3 more

Note offering size

$200 million

Aggregate principal amount of 6.75% notes due 2029

Coupon rate

6.75%

Interest rate on notes due 2029

Maturity date

March 4, 2029

Stated maturity of the notes

Expected closing

March 4, 2026

Expected closing date of the offering

Adviser AUM

Approximately $10 billion

Investable capital managed by PennantPark Investment Advisers, LLC

Phone contact

(212) 905-1000

Investor contact number in the release

Historical Context

5 past events · Latest: Feb 24

5 events

1. Feb 24

   CLO refinancing

   24h Move

   +2.3%

   Reset $356.5M CLO VIII, extending maturity and reducing borrowing costs.

2. Feb 09

   Quarterly earnings

   24h Move

   -3.5%

   Q1 results with lower NAV and earnings pressured by higher interest expense.

3. Feb 03

   Monthly distribution

   24h Move

   +2.0%

   Declared $0.1025 per-share monthly distribution for February 2026.

4. Jan 06

   Earnings schedule

   24h Move

   -1.5%

   Announced timing of upcoming earnings release and conference call.

5. Jan 05

   Monthly distribution

   24h Move

   +0.6%

   Declared $0.1025 per-share monthly distribution for January 2026.

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

Key Terms

make-whole premium, public offering, business development company, floating rate senior secured loans, +4 more

8 terms

make-whole premium financial

"may be redeemed in whole or in part at the Company’s option at any time at par plus a “make-whole” premium"

A make-whole premium is an extra payment a borrower must give bondholders when repaying debt early to compensate them for lost future interest; think of it as a lump-sum “catch-up” to leave lenders financially where they would have been if the loan had run its full term. It matters to investors because it affects how much they receive on early redemption and influences a company’s decision to refinance or repay debt, altering bond value and expected returns.

public offering financial

"today announced that it has priced an underwritten public offering of $200 million aggregate principal amount"

A public offering is when a company sells shares to the general public through the stock market, either by issuing new shares to raise cash or by letting existing owners sell their stakes. Think of it like a business opening its doors to many new owners at once: it can bring in money for growth but also increases the number of shares available, which can change the stock price and dilute existing ownership — key factors investors watch closely.

business development company regulatory

"PennantPark Floating Rate Capital Ltd. is a business development company which primarily invests"

A business development company is a publicly traded investment vehicle that lends to and buys stakes in smaller or privately held companies, acting like a combination of a lender, investor, and business partner. It matters to investors because BDCs offer the potential for higher regular income through dividends and diversified exposure to growing businesses, but they can also carry greater credit and liquidity risk than typical stocks or bonds—think higher-yielding but riskier income instruments.

floating rate senior secured loans financial

"primarily invests in U.S. middle-market companies in the form of floating rate senior secured loans"

A floating rate senior secured loan is a type of loan a company takes where the interest rate moves up or down with a market benchmark, the loan has first claim on repayment ahead of other creditors, and it is backed by specific assets as collateral. For investors this means income that adjusts when interest rates change, stronger protection if the borrower runs into trouble, and typically lower risk and yield than unsecured or junior debt—think of it like an adjustable-rate mortgage that gets paid back first and is tied to a pledged asset.

revolving credit facility financial

"use the net proceeds from the offering to repay our outstanding obligations 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.

prospectus supplement regulatory

"The pricing term sheet dated February 25, 2026, the preliminary prospectus supplement dated February 25, 2026"

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.

shelf registration statement regulatory

"The Company’s shelf registration statement is on file and has been declared effective by the SEC"

A shelf registration statement is a document a company files with regulators that allows it to sell shares or bonds quickly when it’s a good time to raise money. It’s like having a pre-approved plan ready so the company can act fast without going through lengthy paperwork each time they want to sell, making fundraising more flexible.

forward-looking statements regulatory

"This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995"

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

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

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MIAMI, Feb. 26, 2026 (GLOBE NEWSWIRE) -- PennantPark Floating Rate Capital Ltd. (the “Company”) (NYSE: PFLT) today announced that it has priced an underwritten public offering of $200 million aggregate principal amount of its 6.75% notes due 2029 (the “Notes”). The Notes will mature on March 4, 2029 and may be redeemed in whole or in part at the Company’s option at any time at par plus a “make-whole” premium, if applicable, provided that the Notes may be redeemed at par three months prior to their maturity. The offering is expected to close on or about March 4, 2026, subject to the satisfaction of customary closing conditions.

The Company intends to use the net proceeds from the offering to repay our outstanding obligations under its revolving credit facility, to invest in new or existing portfolio companies and for general corporate or strategic purposes.

Raymond James & Associates, Inc., Keefe, Bruyette & Woods, A Stifel Company, Citizens JMP Securities, LLC and Truist Securities, Inc. are acting as joint book-running managers for this offering. ING Financial Markets LLC, Oppenheimer & Co. Inc. and Regions Securities LLC are acting as co-managers for this offering.

Other Information

Investors are advised to carefully consider the investment objectives, risks, charges and expenses of the Company before investing. The pricing term sheet dated February 25, 2026, the preliminary prospectus supplement dated February 25, 2026 and the accompanying prospectus dated July 17, 2024, each of which have been filed with the Securities and Exchange Commission (the “SEC”), contain this and other information about the Company and should be read carefully before investing.

The pricing term sheet, the preliminary prospectus supplement, the accompanying prospectus and this press release are not offers to sell any securities of the Company and are not soliciting an offer to buy such securities in any state or jurisdiction where such offer and sale is not permitted.

The Company’s shelf registration statement is on file and has been declared effective by the SEC. The offering may be made only by means of a preliminary prospectus supplement and an accompanying prospectus. Before you invest, you should read the prospectus in that registration statement, the preliminary prospectus supplement and other documents the Company has filed with the SEC for more complete information about the Company and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov.

Alternatively, you may obtain copies of the preliminary prospectus supplement and the accompanying prospectus from Raymond James & Associates, Inc., 880 Carillon Parkway, St. Petersburg, Florida 33716, email: prospectus@raymondjames.com, tel: 800-248-8863. You are advised to obtain a copy of the prospectus supplement and accompanying prospectus and to carefully review the information contained or incorporated by reference therein before making any investment decision.

ABOUT PENNANTPARK FLOATING RATE CAPITAL LTD.

PennantPark Floating Rate Capital Ltd. is a business development company which primarily invests in U.S. middle-market companies in the form of floating rate senior secured loans, including first lien secured debt, second lien secured debt and subordinated debt. From time to time, the Company may also invest in equity investments. PennantPark Floating Rate Capital Ltd. is managed by PennantPark Investment Advisers, LLC.

ABOUT PENNANTPARK INVESTMENT ADVISERS, LLC

PennantPark Investment Advisers, LLC, a leading middle-market credit platform, and its affiliates, manage approximately $10 billion of investable capital, including potential leverage. Since its inception in 2007, PennantPark Investment Advisers, LLC has provided investors access to middle-market credit by offering private equity firms and their portfolio companies as well as other middle-market borrowers a comprehensive range of creative and flexible financing solutions. PennantPark Investment Advisers, LLC is headquartered in Miami and has offices in New York, Chicago, Houston, Los Angeles, Amsterdam, and Zurich.

FORWARD-LOOKING STATEMENTS

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of the Securities Exchange Act of 1934, as amended, or the Exchange Act, the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports we file under the Exchange Act. All statements other than statements of historical facts included in this press release are 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 in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the SEC. PennantPark Floating Rate Capital Ltd. undertakes no duty to update any forward-looking statement made herein. You should not place undue influence on such forward-looking statements as such statements speak only as of the date on which they are made.

We may use words such as “anticipates,” “believes,” “expects,” “intends,” “seeks,” “plans,” “estimates” and similar expressions to identify forward-looking statements. Such statements are based on currently available operating, financial and competitive information and are subject to various risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations.

CONTACT:

Richard T. Allorto, Jr.
PennantPark Floating Rate Capital Ltd.
(212) 905-1000

Source: PennantPark Floating Rate Capital Ltd.

FAQ

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

What did PennantPark (PFLT) announce on February 26, 2026 about new notes?

They priced $200.0 million of 6.75% notes maturing March 4, 2029. According to the company, the offering is expected to close on or about March 4, 2026 subject to customary closing conditions.

How will PennantPark (PFLT) use proceeds from the $200M 6.75% notes?

Proceeds will repay the company’s revolving credit facility and fund investments. According to the company, remaining net proceeds are for general corporate or strategic purposes and portfolio investments.

When do the PFLT 6.75% notes mature and what are redemption terms?

The notes mature on March 4, 2029 and may be redeemed at par with a make-whole premium. According to the company, they may be redeemed at par three months before maturity.

Who is managing PennantPark’s (PFLT) $200M note offering and where is the registration?

Raymond James, Keefe Bruyette & Woods, Citizens JMP and Truist are joint book‑running managers. According to the company, the shelf registration statement has been declared effective by the SEC.

Will the PFLT note offering dilute existing shareholders’ equity?

The offering is debt, not an equity issuance, so it does not directly dilute shares. According to the company, proceeds will be used for debt repayment and investments rather than issuing new common stock.

How might the 6.75% notes affect PennantPark’s (PFLT) interest costs?

Issuing fixed-rate 6.75% notes increases contractual interest obligations until repayment or redemption. According to the company, net proceeds may be used to refinance revolving credit, potentially altering overall interest expense mix.