Solar Capital closes new $100 million senior secured credit facility

NEW YORK, USA: Solar Capital Ltd has announced the closing of a new $100 million Senior Secured Credit Facility with a new lender.

The facility, which expires in December 2015, bears interest at a rate of LIBOR plus 3 percent. The company’s initial draw on the new facility was used to repay the remaining balance of its 8.75 percent Senior Unsecured Notes at par.

“With the addition of this new credit facility, we have expanded our borrowing capacity to $490 million and have established a relationship with a new lender. We used borrowings under this facility combined with the proceeds from our recent equity private placement to extinguish our 8.75% Notes and decrease our cost of capital," said Michael Gross, chairman and CEO of Solar Capital.