Trinity Capital Inc. Closes $142.5 Million Notes Offering

Rhea-AI Summary

Trinity Capital (Nasdaq: TRIN) has successfully closed a $142.5 million private notes offering of unsecured Series A Notes. The offering, which was oversubscribed from the initial $100 million target, consists of three tranches with different maturities and interest rates: $55.5 million at 7.54% due 2027, $73.0 million at 7.60% due 2028, and $14.0 million at 7.66% due 2029. The company plans to use the proceeds to support ongoing investment activities and grow its diversified lending platform.

Positive

• Successful oversubscription of notes offering from $100M to $142.5M
• Secured long-term debt financing with staggered maturities
• Additional capital available for investment activities and growth

Negative

• Takes on substantial new debt with interest rates above 7.5%

PHOENIX, Oct. 30, 2024 /PRNewswire/ -- Trinity Capital Inc. (Nasdaq: TRIN) ("Trinity" or the "Company"), a leading provider of diversified financial solutions to growth-oriented companies, today announced it has closed a private notes offering totaling $142.5 million in aggregate principal amount of unsecured Series A Notes (as defined below).

"We are pleased by this transaction being oversubscribed from the launch amount of $100 million," said Kyle Brown, Chief Executive Officer of Trinity Capital. "This additional capital positions us for continued growth, reinforcing our commitment to delivering value to our investors."

Trinity intends to use the net proceeds from this offering to support ongoing investment activities as it continues to grow its diversified lending platform.

The Series A Notes are comprised of three-, four- and five-year tenors. In the transaction, the Company issued $55.5 million in the aggregate principal amount of 7.54% Series A Senior Notes, Tranche A, due October 29, 2027 (the "Series A 2027 Notes"); $73.0 million in the aggregate principal amount of 7.60% Series A Senior Notes, Tranche B, due October 29, 2028 (the "Series A 2028 Notes"); and $14.0 million in aggregate principal amount of 7.66% Series A Senior Notes, Tranche C, due October 29, 2029 (the "Series A 2029 Notes" and, together with the Series A 2027 Notes and Series A 2028 Notes, collectively, the "Series A Notes").

MUFG acted as placement agent for the transaction.

About Trinity Capital Inc.

Trinity Capital Inc. (Nasdaq: TRIN), an internally managed business development company, is a leading provider of diversified financial solutions to growth-oriented companies with institutional equity investors. Trinity Capital's investment objective is to generate current income and, to a lesser extent, capital appreciation through investments, including term loans and equipment financings and equity-related investments. Trinity Capital believes it is one of only a select group of specialty lenders that has the depth of knowledge, experience and track record in lending to growth stage companies. For more information, please visit the Company's website at www.trinitycap.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 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 ("SEC"). 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. More information on risks and other potential factors that could affect the Company's financial results, including important factors that could cause actual results to differ materially from plans, estimates or expectations included herein or on the webcast/conference call, is included in the Company's filings with the SEC, including in the "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of the Company's most recently filed annual report on Form 10-K and subsequent SEC filings.

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SOURCE Trinity Capital Inc.

FAQ

How much did Trinity Capital (TRIN) raise in its Series A Notes offering?

Trinity Capital raised $142.5 million in total through its Series A Notes offering, exceeding the initial launch amount of $100 million.

What are the interest rates and maturities for Trinity Capital's (TRIN) Series A Notes?

The Series A Notes have three tranches: 7.54% due 2027 ($55.5M), 7.60% due 2028 ($73.0M), and 7.66% due 2029 ($14.0M).

How will Trinity Capital (TRIN) use the proceeds from its $142.5M notes offering?

Trinity Capital plans to use the net proceeds to support ongoing investment activities and grow its diversified lending platform.