Capital Southwest Announces New $150 MM Secured Credit Facility
DALLAS, March 20, 2024 (GLOBE NEWSWIRE) — Capital Southwest Corporation (“Capital Southwest” or “we””) (Nasdaq:CSWC), an internally managed business development company focused on providing flexible financing solutions to support the acquisition and growth of middle market businesses, announced today that its wholly owned subsidiary, Capital Southwest SPV LLC (the “SPV”), entered into a senior secured revolving credit facility (the “SPV Facility”) with Deutsche Bank AG, New York Branch. The SPV Facility provides for $150 million of initial commitments with (i) an increase to $200 million of total commitments on the earlier of (a) June 20, 2024 or (b) the date requested by the Company, in its sole discretion, and (ii) an accordion feature that allows increases up to $400 million of total commitments from new and existing lenders on the same terms and conditions as the existing commitments. Advances under the SPV Facility bear interest at three-month Term SOFR plus an applicable margin of 2.50% during the revolving period ending on March 20, 2027. The SPV’s obligations to the lenders are secured by a first lien interest in all of the SPV’s assets but are non-recourse to Capital Southwest. The SPV Facility matures on March 20, 2029.