Fidus Investment Corporation Announces Pricing of $100 Million Notes Offering
Evanston, IL, March 12, 2025 – Fidus Investment Corporation (NASDAQ: FDUS) (“Fidus” or the “Company”), an independent investment company that focuses on providing customized financing solutions, announced today the pricing of a public offering of $100 million aggregate principal amount of 6.750% notes due 2030 (the “Notes”).
Details of the Offering
The Notes will be issued at par and will bear interest at a rate of 6.750% per annum. The offering is expected to close on March 17, 2025, subject to customary closing conditions. The underwriters have been granted a 30-day option to purchase up to an additional $15 million aggregate principal amount of the Notes.
Impact on Fidus
The net proceeds from the offering are expected to be approximately $95.3 million after deducting the underwriting discounts and estimated offering expenses. Fidus intends to use the net proceeds for general corporate purposes, which may include investments in new debt securities, repayment of outstanding borrowings, and other potential investments.
Impact on Retail Investors
For retail investors, this offering represents an opportunity to invest in a debt security issued by a company that has a track record of providing customized financing solutions. The 6.750% coupon rate is attractive, considering the current low-interest-rate environment. However, investors should be aware of the risks associated with investing in corporate debt, including credit risk and interest rate risk.
Impact on the World
The offering is a reflection of the ongoing demand for corporate debt in the market. The proceeds from the offering will provide Fidus with the resources to expand its business and invest in new opportunities. This, in turn, could lead to job creation and economic growth. However, the offering also highlights the increasing debt burden on companies, which could have implications for future economic stability.
Conclusion
Fidus Investment Corporation’s announcement of a $100 million public offering of 6.750% notes due 2030 marks an opportunity for retail investors to invest in a debt security issued by a company with a strong track record. The offering also underscores the ongoing demand for corporate debt and the potential implications for economic growth and stability.
- Fidus Investment Corporation priced a public offering of $100 million aggregate principal amount of 6.750% notes due 2030.
- The net proceeds are expected to be approximately $95.3 million after deducting underwriting discounts and offering expenses.
- The offering is expected to close on March 17, 2025, subject to customary closing conditions.
- Retail investors can invest in a debt security issued by a company with a strong track record.
- The offering highlights the ongoing demand for corporate debt and the potential implications for economic growth and stability.
