Kemper(US:KMPR) Newsfilter·2024-05-21 20:40Core Viewpoint - PennantPark Floating Rate Capital Ltd. has successfully closed a $300.7 million debt securitization through its subsidiary, enhancing its capital position and extending the maturity of the debt to April 2036 [1][2]. Group 1: Debt Structure - The debt issued in the CLO is structured with various classes, including: - A-1-R Loans: $103 million, 34.3% of capital structure, coupon at 3 Mo SOFR + 1.93%, rated AAA [2] - A-1-R Notes: $71 million, 23.6% of capital structure, coupon at 3 Mo SOFR + 1.93%, rated AAA [2] - A-2-R Notes: $5 million, 1.7% of capital structure, coupon at 3 Mo SOFR + 2.20%, rated AAA [2] - B-R Notes: $25 million, 8.3% of capital structure, coupon at 3 Mo SOFR + 2.35%, rated AA [2] - C-R Notes: $24 million, 8.0% of capital structure, coupon at 3 Mo SOFR + 3.10%, rated A [2] - D-R Notes: $18 million, 6.0% of capital structure, coupon at 3 Mo SOFR + 4.95%, rated BBB- [2] - E-R Notes: $18 million, 6.0% of capital structure, coupon at 3 Mo SOFR + 7.50%, rated BB- [2] - Preferred Shares: $36.7 million, 12.1% of capital structure, not rated [2] - The total amount of the debt is $300.7 million [2]. Group 2: Company Overview - PennantPark Floating Rate Capital Ltd. primarily invests in U.S. middle market private companies through floating rate senior secured loans, including first lien, second lien, and subordinated debt [4]. - The company is managed by PennantPark Investment Advisers, LLC, and has a significant focus on middle market credit [4][7]. - PennantPark manages approximately $2.8 billion in CLO middle market assets and has a total of $7.5 billion of investable capital [2][7]. Group 3: Joint Venture - PennantPark Senior Secured Loan Fund I LLC is a joint venture between PennantPark Floating Rate Capital Ltd. and Kemper Corporation's subsidiary, primarily investing in U.S. middle market companies with below investment grade debt [5].