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First Lien Loan Program ("FLLP")

Business Overview

  • Strategic joint venture with VOYA Investment Management that enhances the core origination business’ suite of financing alternatives via the ability to increase its first lien loan hold size

  • Solar Senior Capital has committed $50.75 million of equity and VOYA Investment Management has committed $7.25 million of equity, resulting in approximately $170 million of capital, including expected leverage
  • Credit facility of $100 million; leverage expected to be 2:1 debt-to-equity once fully ramped
  • Established sourcing network for the product and increases in Solar Senior Capital's relevance to sponsors

  • Disciplined, patient approach to ramping the first lien loan portfolio, consistent with Solar Capital Partners’ investment philosophy

Borrower Profile Characteristics

  • Sponsor (or entrepreneur)-owned

  • Private or small public company

  • U.S. domiciled

  • $15 – $70 million of EBITDA

Typical Transaction Profile

  • First lien senior secured loans to middle-market, entrepreneur and sponsor-backed private companies continue to provide an attractive relative and absolute risk/return profile compared to larger syndicated bank loans

  • Covenant protection

  • First lien loans are secured by the issuing company’s assets

Financial & Portfolio Snapshot

As of September 30, 2017, Based on Fair Value
Structure: Portfolio Company 
(Pass-thru Entity)
SUNS Fair Value: $37.7 million
Investment Portfolio: $122.4 million
# of Issuers:
 25 issuers
 Average Position Size: $4.9 million 
% of Investments First Lien Senior Secured:
100%
% of Investments Floating Rate Coupon:
100%
% of Investments Performing:
100%
Weighted Average Portfolio Yield:
6.9%