PFLT 📈 PennantPark Floating Rate - Overview

PennantPark Floating Rate Capital Ltd (NYSE: PFLT) is a business development company that specializes in making strategic investments in middle-market companies. The fund focuses on providing capital to private or thinly traded public companies, primarily in the United States, with a limited presence in non-U.S. markets.

The fund's investment strategy involves making secondary direct, debt, equity, and loan investments, with a focus on floating rate loans. These loans are typically made to companies with a market capitalization of less than $250 million, and the fund invests between $2 million and $20 million in each deal. Additionally, the fund also invests in equity securities, such as preferred stock, common stock, warrants, or options, which are often received in connection with debt investments or through direct investments.

PennantPark Floating Rate Capital Ltd targets companies that are not rated by national rating agencies, or would be rated between BB and CCC under the Standard & Poor's system. The fund's investment portfolio is diversified, with around 30% allocated to non-qualifying assets, including investments in public companies, high-yield bonds, distressed debt, private equity, and securities of middle-market companies located outside of the United States.

Under normal conditions, the fund aims to invest at least 80% of its net assets, plus any borrowings for investment purposes, in floating rate loans and investments with similar economic characteristics, including cash equivalents invested in money market funds. The fund expects senior secured loans to represent around 65% of its portfolio, with a typical holding period of three to ten years for floating rate loans.

For more information, please visit PennantPark Floating Rate Capital Ltd's website at https://pflt.pennantpark.com.