About WhiteHorse Finance, Inc. WhiteHorse Finance is a business development company that originates and invests in loans to privately held, lower middle market companies across a broad range of industries. The Company's investment activities are managed by H.I.G. WhiteHorse Advisers, LLC, an affiliate of H.I.G. Capital, LLC, ("H.I.G. Capital"). H.I.G. Capital is a leading global alternative asset manager with over $70 billion of capital under management* across a number of funds focused on the small and mid ...

Core Insights - Capital Southwest Corporation has announced preliminary operating results for the second quarter of its 2026 fiscal year, indicating a focus on providing flexible financing solutions for middle market businesses [1][6] Financial Performance - The preliminary estimate of pre-tax net investment income for the second quarter of 2026 is projected to be between $0.60 and $0.61 per share [2] - The estimated net investment income for the same period is expected to be in the range of $0.56 to $0.57 per share [2] - The preliminary estimate of net asset value per share as of September 30, 2025, is between $16.60 and $16.64 [3] - Non-accruals as a percentage of the total investment portfolio are estimated at 2.6% at cost and 1.0% at fair value [3] Upcoming Events - Capital Southwest will release finalized second quarter 2026 results on November 3, 2025, after market close [4] - A live webcast is scheduled for November 4, 2025, at 11:00 a.m. Eastern Time for investors to participate [4][5] Company Overview - Capital Southwest is an internally managed business development company based in Dallas, Texas, with approximately $1.8 billion in investments at fair value as of June 30, 2025 [6] - The company focuses on middle market lending, supporting acquisitions and growth with investments ranging from $5 million to $50 million across various capital structures [6]

Core Viewpoint - Great Elm Capital Corp. ("GECC") has provided an update regarding its investments in First Brands Group, LLC, which recently filed for bankruptcy, detailing the financial implications and exposure related to this investment [2][3]. Investment Exposure - GECC has investments in both First Lien Term Loan and Second Lien Term Loan of First Brands, which were placed on non-accrual due to the bankruptcy filing [2]. - The direct exposure to First Brands includes approximately 0.9% across all CLOs in which GECC is invested as of June 30, 2025 [3]. First Lien Loan Details - As of June 30, 2025, GECC held a principal amount of $9.3 million in the First Lien Loan, with a fair market value of $8.8 million, representing 94.3% of the principal amount [3]. - In Q3 2025, GECC sold $4.5 million of its First Lien Loan for $4.4 million, equating to 97.9% of the principal amount [3]. - The remaining $4.8 million principal amount of the First Lien Loan is estimated to have a fair market value of approximately $1.7 million as of September 30, 2025, or 35.2% of the principal amount, leading to an expected adverse impact of about $2.8 million on net asset value [3]. Second Lien Loan Details - GECC held a principal amount of $16.2 million in the Second Lien Loan, with a fair market value of $14.5 million, or 89.5% of the principal amount, as of June 30, 2025 [3]. - The fair market value of the Second Lien Loan is expected to drop to approximately $0.9 million, or 5.5% of the principal value, resulting in an anticipated adverse impact of about $13.6 million on net asset value [3]. Net Asset Value Impact - The total direct net asset value impact from First Brands is estimated to be approximately $16.5 million for the quarter ended September 30, 2025 [3]. - GECC anticipates that the change in values of its directly held First Brands investments will adversely affect its net asset value by approximately $1.15-$1.25 per share [3]. Capital Activity Update - In August 2025, GECC issued approximately 1.3 million shares for net proceeds of $14 million and utilized its ATM program to issue an additional 1.1 million shares for approximately $13 million, totaling about $27 million in net proceeds for Q3 2025 [6]. - GECC issued $50 million principal amount of 7.75% Notes due December 31, 2030, and redeemed $40 million principal amount of 8.75% Notes, saving approximately $0.4 million in cash interest expense annually [7]. Financial Position - As of September 30, 2025, GECC estimates its debt-to-equity ratio to be approximately 1.5x, consistent with recent operating history [8]. - The company retains over $20 million of deployable cash for future investments and has $50 million available under its revolving line of credit [8].

Core Points - PennantPark Floating Rate Capital Ltd. will report its fourth fiscal quarter results for the period ending September 30, 2025, on November 24, 2025, after market close [1] - A conference call to discuss the financial results will be held on November 25, 2025, at 9:00 a.m. Eastern Time, with access details provided for participants [2] Company Overview - PennantPark Floating Rate Capital Ltd. is a business development company that primarily invests in U.S. middle-market private companies through floating rate senior secured loans, including first lien secured debt, second lien secured debt, and subordinated debt [3] - The company may also engage in equity investments occasionally [3] Management Overview - PennantPark Investment Advisers, LLC manages PennantPark Floating Rate Capital Ltd. and is a prominent middle market credit platform with approximately $10 billion of investable capital, including potential leverage [4] - Since its establishment in 2007, the firm has provided access to middle market credit through a variety of financing solutions for private equity firms and their portfolio companies, as well as other middle-market borrowers [4]

Here are the stocks with buy rank and strong value characteristics for investors to consider today, September 29th:  GRUPO CIBEST SA (CIB) : This banking company which is Colombia's largest bank in terms of assets and also has the largest market participation in deposit products and loans, carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 7% over the last 60 days.GRUPO CIBEST SA's has a price-to-earnings ratio (P/E) of 7.56 compared ...

Group 1: CION Investment Corporation - CION Investment Corporation is a business development company that primarily provides senior secured loans to U.S. middle-market companies [1] - The Zacks Consensus Estimate for its current year earnings has increased by 2.2% over the last 60 days [1] - The company has a Zacks Rank of 1 (Strong Buy) and offers a dividend yield of 14.9%, which is higher than the industry average of 11.2% [1] Group 2: GRUPO CIBEST SA - GRUPO CIBEST SA is Colombia's largest bank in terms of assets and has the largest market participation in deposit products and loans [2] - The Zacks Consensus Estimate for its current year earnings has increased by 7% over the last 60 days [2] - The company has a Zacks Rank of 1 (Strong Buy) and offers a dividend yield of 11%, significantly above the industry average of 3.1% [2] Group 3: Phillips 66 - Phillips 66 is a diversified and integrated energy company operating 13 refineries in the United States, with a total refining capacity of 2.2 million barrels per day [3] - The Zacks Consensus Estimate for its current year earnings has increased by 12.9% over the last 60 days [3] - The company has a Zacks Rank of 1 (Strong Buy) and offers a dividend yield of 3.4%, which is higher than the industry average of 2.8% [3]

Group 1 - Prospect Capital Corporation (NASDAQ:PSEC) has made an $18 million investment in The Ridge, a physician-led addiction treatment facility [1][2][3] - The investment includes a first lien senior secured term loan and equity investment, aimed at supporting The Ridge's growth in the high-end substance abuse market [2][3] - The Ridge offers a range of services from detoxification to outpatient care, integrating clinical treatments with holistic therapies [2] Group 2 - Wells Fargo analyst Finian O'Shea has reiterated a Sell rating on Prospect Capital, maintaining a price target of $2.5 [4] - The company's net debt to total assets ratio stands at 30.4%, indicating a relatively high level of leverage [4] - Prospect Capital is strategically exiting its real estate investments, which yield 4.5%, impacting income from this segment [4] - Despite challenges, Prospect has diversified its funding strategy with $12.2 billion of commitments from 48 banks as of Q2 FY2025 [4] Group 3 - Prospect Capital Corporation is a business development company focused on lending to and investing in private businesses, generating current income and long-term capital appreciation [5]

Core Insights - The article discusses the performance of active U.S. small-cap managers, highlighting their strong long-term performance relative to the Russell 2000 index, particularly during value stock-led periods [2][3][4] Small-Cap Management Performance - Active small-cap managers outperformed the Russell 2000 index 58% of the time over rolling 5-year periods, with an 82% success rate during value-led periods and only 15% during growth-led periods [3] - 65% of the analyzed periods were value-led, indicating a favorable environment for active management [3] - When the Russell 2000's annualized 5-year return was 5% or lower, value stocks outperformed growth stocks only 48% of the time, but they averaged higher returns [4] - In periods with annualized 5-year returns between 5-10%, value stocks exceeded growth stocks 70% of the time, relevant as small-cap returns are expected to be in this range over the next five years [4] Hedge Fund Interest in Penny Stocks - The article lists the 12 best NASDAQ penny stocks to buy according to hedge funds, emphasizing the strategy of imitating top hedge fund picks to outperform the market [5][9] - The methodology involved shortlisting the largest companies trading under $5 on the NASDAQ and ranking them by the number of hedge fund holders [7][8] Company Highlights - **Prospect Capital Corporation (NASDAQ:PSEC)**: - Price as of September 12: $2.79, with 11 hedge fund holders [10] - Recently completed an $18 million investment in The Ridge, a physician-led addiction treatment facility [10][11] - The company has a net debt to total assets ratio of 30.4%, indicating high leverage, and is strategically exiting a real estate investment yielding 4.5% [13][14] - **Tilray Brands, Inc. (NASDAQ:TLRY)**: - Price as of September 12: $1.12, with 12 hedge fund holders [15] - Recently partnered with the Denver Broncos to launch a new lineup of spirits, celebrating their ongoing collaboration [15][16] - Analyst Kaumil Gajrawala raised the price target from $1.50 to $2, maintaining a Buy rating, influenced by the rescheduling of cannabis regulations in the U.S. [19][20]

Group 1: Economic Trends - The integration of AI tools allows businesses to grow without increasing employee headcount, leading to a "growth without headcount" revolution across the economy [1][9] - The US added only 22,000 new jobs in August and 107,000 jobs over the last four months, falling short of the estimated 100,000 new jobs needed monthly to keep up with population growth [1] Group 2: Small Business Sentiment - Small businesses are increasingly optimistic due to the efficiency brought by AI, as reflected in the Small Business Optimism Index reaching a five-month high [2] Group 3: Investment Opportunities - FS Credit Opportunities (FSCO), a small-business lender, has benefited from the shift towards AI, rewarding investors with a 5.1% dividend raise, now yielding 11% paid monthly [3][5] - The Global X S&P 500 Covered Call ETF (XYLD) captures the automation-driven profitability boom with a 40% tech allocation and offers a 9.7% monthly dividend [12][13] Group 4: Corporate Strategies - Major companies like Microsoft and Amazon are reducing their workforce while enhancing efficiency through AI, indicating a trend where tech companies are replacing human labor with machines [9][11]

Company Overview - PennantPark Floating Rate Capital Ltd. has acquired a portfolio of approximately $250 million of assets from TSO Puma SPV, LLC, an affiliate of Towerbrook Capital Partners [1] - The acquisition is part of the winding down of PennantPark-TSO Senior Loan Fund, LP, and includes assets familiar to the Company's investment adviser [1] - The average spread and credit statistics of the acquired assets are generally in line with the existing portfolio of PennantPark Floating Rate Capital Ltd. [1] Financial Impact - The acquisition is expected to optimize the portfolio and be accretive to net investment income by approximately two cents per share per quarter [2] Investment Strategy - PennantPark Floating Rate Capital Ltd. primarily invests in U.S. middle-market private companies through floating rate senior secured loans, including first lien secured debt, second lien secured debt, and subordinated debt [2] - The Company may also invest in equity investments from time to time [2] Management Background - PennantPark Investment Advisers, LLC manages approximately $10 billion of investable capital, including potential leverage, and has been operational since 2007 [3] - The firm provides a comprehensive range of financing solutions to private equity firms, their portfolio companies, and other middle-market borrowers [3]