NEW YORK, NY — (MARKET WIRE) — 11/14/07 — Prospect Capital Corporation (NASDAQ: PSEC)(“Prospect”) announced that it has completed a public offering of 3,700,000shares of common stock (including 200,000 shares pursuant to the exerciseby the underwriters of their over-allotment option) at $16.34 per share,raising $60.46 million in gross proceeds.
Prospect expects to use the net proceeds of this offering to repayoutstanding indebtedness, to fund investments in portfolio companies andfor general corporate purposes. Morgan Keegan & Company, Inc., RBC CapitalMarkets Corporation, Oppenheimer & Co. Inc., BB&T Capital Markets, adivision of Scott & Stringfellow, Inc., D.A. Davidson & Co., and JanneyMontgomery Scott LLC are the underwriters for the offering. Morgan Keegan &Company, Inc., is the bookrunning manager for the offering.
This press release does not constitute an offer to sell or the solicitationof an offer to buy nor will there be any sale of the shares referred to inthis press release in any state or jurisdiction in which such offer,solicitation or sale would be unlawful prior to the registration orqualification under the securities laws of such state or jurisdiction. Aregistration statement relating to these securities was filed and has beendeclared effective by the Securities and Exchange Commission. A copy of theprospectus for the offering may be obtained from: Morgan Keegan & Company,Inc., 50 N. Front Street, 19th Floor, Memphis, TN 39103; RBC CapitalMarkets Corporation, One Liberty Plaza, New York, NY 10016; Oppenheimer &Co. Inc., 125 Broad Street, 16th Floor, New York, NY 10004; BB&T CapitalMarkets, a division of Scott & Stringfellow, Inc., 909 East Main Street,Richmond, VA 23219; D.A. Davidson & Co., Z Centerpointe, Suite 400, LakeOswego, OR 97035; and Janney Montgomery Scott LLC, 1801 Market Street,Philadelphia, PA 19103.
ABOUT PROSPECT CAPITAL CORPORATION
Prospect Capital Corporation (www.prospectstreet.com/) is a closed-endinvestment company that lends to and invests in private and microcap publicbusinesses. Prospect Capital’s investment objective is to generate bothcurrent income and capital appreciation through debt and equityinvestments.
Prospect Capital has elected to be treated as a business developmentcompany under the Investment Company Act of 1940 (“1940 Act”). We arerequired to comply with a series of regulatory requirements under the 1940Act as well as applicable NASDAQ, federal and state laws and regulations.We have elected to be treated as a regulated investment company under theInternal Revenue Code of 1986. Failure to comply with any of the laws andregulations that apply to Prospect Capital could have a material adverseeffect on Prospect Capital and its shareholders.
This press release contains forward-looking statements within the meaningof the Private Securities Litigation Reform Act of 1995. Any suchstatements, other than statements of historical fact, are likely to beaffected by other unknowable future events and conditions, includingelements of the future that are or are not under the Company’s control, andthat the Company may or may not have considered; accordingly, suchstatements cannot be guarantees or assurances of any aspect of futureperformance. Actual developments and results are highly likely to varymaterially from these estimates and projections of the future. Suchstatements speak only as of the time when made, and the Company undertakesno obligation to update any such statement now or in the future.
Please send investment proposals to:Grier EliasekPresident and Chief Operating Officergrier@prospectstreet.com(212) 448-9577