Trinity Capital Inc. Launches New Strategic Partnership

Rhea-AI Summary

Trinity Capital Inc. (NASDAQ: TRIN) has launched a new strategic partnership with Eagle Point Credit Management The partnership involves a new vehicle with a $60 million equity commitment and leverage capabilities, intended to be converted into a private business development company (BDC). Trinity's wholly owned registered investment adviser will advise the vehicle, providing an additional source of capital for lending and generating non-capital intensive fee income.

The vehicle is expected to invest in opportunities originated by Trinity's platform, which spans five verticals: tech lending, equipment finance, life sciences, warehouse lending, and sponsor finance. This partnership follows Trinity's record-breaking funding numbers in the first half of 2024 and aims to fuel further deployment growth.

Positive

• New vehicle launched with $60 million equity commitment and leverage capabilities
• Additional source of capital for lending to growth-stage companies
• Generation of non-capital intensive fee income for Trinity
• Potential conversion of the vehicle into a private BDC
• Record-breaking funding numbers in the first half of 2024

Negative

• None.

PHOENIX, Ariz. and GREENWICH, Conn., July 23, 2024 /PRNewswire/ -- Trinity Capital Inc. (NASDAQ: TRIN) ("Trinity" or the "Company"), a leading provider of financing solutions to growth-stage companies, today announced that it has launched a new vehicle in partnership with Eagle Point Credit Management LLC ("Eagle Point Credit"). Trinity's wholly owned registered investment adviser will be an adviser to the new vehicle, thereby bolstering the Company's sources of capital for lending and generating non-capital intensive fee income.

The vehicle is being capitalized with an equity commitment of $60 million and has the ability to use leverage. It is intended for the vehicle to ultimately be converted into a private business development company (BDC).

"This new vehicle gives Trinity another source of capital to provide financing solutions to growth-stage companies, while driving fee income to Trinity and increasing value to our shareholders," said Kyle Brown, Chief Executive Officer at Trinity. "We've worked closely with Eagle Point Credit over the past few years and have seen first-hand their thoughtful investment acumen and approach. We're very excited to expand our relationship with this new opportunity."

The vehicle is generally expected to invest ratably in opportunities originated by the Trinity platform, which has a 16-year track record and originations, underwriting, and portfolio management teams across five distinct verticals – tech lending, equipment finance, life sciences, warehouse lending, and sponsor finance. The vehicle will help fuel the deployment trajectory of Trinity, which saw record-breaking funding numbers during the first half of 2024.

"We are thrilled to expand on our partnership with such a strong growth-stage lender," said Thomas P. Majewski, Founder and Managing Partner at Eagle Point Credit. "We have been impressed by Trinity's track record and view the Company as a key player in the growth lending space."

This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities.

About Trinity Capital Inc.
Trinity (Nasdaq: TRIN), an internally managed business development company, is a leading provider of diversified financial solutions to growth stage companies with institutional equity investors. Trinity's investment objective is to generate current income and, to a lesser extent, capital appreciation through investments, including term loans, equipment financings, and equity-related investments. Trinity 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.

About Eagle Point Credit Management LLC

Eagle Point Credit, based in Greenwich, Connecticut, is a specialist investment manager focused on income-oriented credit investments in niche and inefficient markets, including CLO Securities, Portfolio Debt Securities, Regulatory Capital Relief transactions and Strategic Credit investments. As of May 31, 2024, Eagle Point Credit and its affiliates manage over $10 billion of assets under management (including committed but undrawn capital). Learn more about Eagle Point Credit at www.eaglepointcredit.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. Trinity 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.

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SOURCE Trinity Capital Inc.

FAQ

What is the new strategic partnership announced by Trinity Capital Inc. (TRIN)?

Trinity Capital Inc. (TRIN) has launched a new vehicle in partnership with Eagle Point Credit Management , with a $60 million equity commitment and leverage capabilities, intended to be converted into a private business development company (BDC).

How will the new partnership benefit Trinity Capital Inc. (TRIN)?

The partnership will provide Trinity Capital Inc. (TRIN) with an additional source of capital for lending to growth-stage companies, generate non-capital intensive fee income, and increase value for shareholders.

What is the investment focus of the new vehicle launched by Trinity Capital Inc. (TRIN)?

The new vehicle is expected to invest in opportunities originated by Trinity's platform across five verticals: tech lending, equipment finance, life sciences, warehouse lending, and sponsor finance.

How did Trinity Capital Inc. (TRIN) perform in the first half of 2024?

Trinity Capital Inc. (TRIN) reported record-breaking funding numbers during the first half of 2024, indicating strong performance in their lending activities.