NEW YORK, May 5, 2016 /PRNewswire/ -- WhiteHorse
Finance, Inc. ("WhiteHorse Finance" or the "Company") (NASDAQ:
WHF) today announced its financial results for the quarter ended
March 31, 2016.
First Quarter 2016 Summary Highlights
- New investments of $18.4 million
across three loans in three different sectors
- Net investment income increased 26.8% year-over-year to
$6.8 million
- First quarter net investment income of $0.369 per share
- First quarter distribution of $0.355 per share
Jay Carvell, WhiteHorse Finance's
Chief Executive Officer commented, "We are pleased to report
another solid quarter during which we increased the effective yield
on our investments and covered our distribution to stockholders. We
continue to see attractive opportunities in the market and remain
highly selective in the deployment of capital."
Portfolio and Investment Activity
As of March 31, 2016, the fair
value of WhiteHorse Finance's investment portfolio was $417.2 million, compared with $415.3 million as of December 31, 2015. The portfolio at March 31, 2016 consisted of 38 positions across
31 companies with an average investment size of $11.0 million and a weighted average effective
yield of 11.9%. The majority of the portfolio was comprised of
senior secured loans and more than 97.0% of these loans were
variable-rate investments (primarily indexed to LIBOR), which
should continue to position the portfolio well for a potential
rising interest rate environment.
During the three months ended March
31, 2016, WhiteHorse Finance invested $20.6 million across one existing and three
new portfolio companies. Gross proceeds from sales and
repayments totaled $18.4 million for
the quarter. The Company continued to be highly selective with the
deployment of capital into new investments.
Results of Operations
For the three months ended March 31,
2016, net investment income was approximately $6.8 million, compared with approximately
$5.3 million for the same period in
the prior year, representing an increase of 26.8%. The increase in
net investment income was primarily attributable to an increase in
the average earning investment balance over the same period in the
prior year.
For the three months ended March 31,
2016, WhiteHorse Finance reported realized and unrealized
losses on investments of $1.2
million. This compares with realized and
unrealized losses on investments of $0.6 million for the three months ended
March 31, 2015. The increase in
realized and unrealized losses on investments was primarily
attributable to fair value adjustments.
WhiteHorse Finance reported a net increase in net assets of
$5.5 million for the three months
ended March 31, 2016, which compares
with a net increase of $4.8 million
for the three months ended March 31,
2015.
WhiteHorse Finance's NAV was $243.1
million, or $13.28 per share,
as of March 31, 2016, as compared
with $244.1 million, or $13.33 per share, reported as of December 31, 2015.
Liquidity and Capital Resources
As of March 31, 2016, WhiteHorse
Finance had cash and cash equivalents of $21.1 million, as compared with $22.8 million as of December 31, 2015, inclusive of restricted cash.
As of March 31, 2016, the Company had
$95.0 million of undrawn capacity
under its revolving credit facility.
Distributions
On March 9, 2016, the Company
declared a distribution of $0.355 per
share for the quarter ended March 31,
2016, consistent for the fourteenth consecutive quarter
since the Company's IPO. The distribution was paid on
April 4, 2016 to shareholders of
record as of March 21, 2016.
Distributions are paid from taxable earnings and may include
return of capital and/or capital gains. The specific tax
characteristics of the distributions will be reported to
stockholders on Form 1099-DIV after the end of the calendar year
and in the Company's periodic reports filed with the Securities and
Exchange Commission.
Appointment of Chief Executive Officer
On May 2, 2016, the Company's
Board of Directors appointed Stuart
Aronson as Chief Executive Officer, effective May 23, 2016. Jay
Carvell, the Company's current Chief Executive Officer, will
continue to serve as a member of the Company's Board of Directors
and as a Managing Director of H.I.G. WhiteHorse Advisers, LLC
("WhiteHorse Advisers"), the Company's investment adviser.
Mr. Aronson currently serves as the Group Head of the U.S. direct
lending platform of H.I.G. Capital, L.L.C. ("H.I.G. Capital"), an
affiliate of WhiteHorse Advisers. Prior to joining H.I.G. Capital,
Mr. Aronson was President and Chief Executive Officer of GE
Capital's U.S. Sponsor Finance Group ("GSF") and was an officer of
the General Electric Company. From 2010 to 2015, GSF was a leading
provider of debt financing to U.S. sponsor-backed middle market
companies.
John Bolduc, WhiteHorse Finance's
Chairman of the Board, commented, "Stuart has had an immediate
impact on our direct lending activities since joining H.I.G. WhiteHorse as Group Head of U.S. direct
lending. His strong credentials and deep relationships across the
direct lending space make him an ideal candidate to lead WhiteHorse
Finance in the years ahead. I would also like to thank Jay for his
service and look forward to his continued contributions as an
active member of our executive group."
Conference Call
WhiteHorse Finance will host a conference call to discuss its
first quarter results at 10:00 am ET
on Thursday, May 5, 2016. To access
the teleconference, please dial 706-758-9224 (domestic and
international) approximately 10 minutes before the teleconference's
scheduled start time and reference ID #89615045. Investors may also
access the call on the investor relations portion of the Company's
website at www.whitehorsefinance.com.
If you are unable to access the live teleconference, a replay
will be available beginning approximately two hours after the
call's completion through May 12,
2016. The teleconference replay can be accessed by dialing
404-537-3406 (domestic and international) and entering ID
#89615045. A webcast replay will also be available on the investor
relations portion of the Company's website at
www.whitehorsefinance.com.
About WhiteHorse Finance, Inc.
WhiteHorse Finance is a business development company that
originates and invests in loans to privately held small-cap
companies across a broad range of industries. The Company's
investment activities are managed by WhiteHorse Advisers, an
affiliate of H.I.G. Capital. H.I.G. Capital is a leading global
alternative asset manager with $19
billion of capital under management* across a number of
funds focused on the small and mid-cap markets. For more
information about H.I.G. Capital, please visit
http://www.higcapital.com. For more information about the
Company, please visit http://www.whitehorsefinance.com.
Forward-Looking Statements
This press release may contain "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Statements other than statements of historical facts
included in this press release may constitute forward-looking
statements and are not guarantees of future performance or results
and involve a number of risks and uncertainties. Actual results may
differ materially from those in the forward-looking statements as a
result of a number of factors, including those described from time
to time in filings with the Securities and Exchange Commission. The
Company undertakes no duty to update any forward-looking statement
made herein. All forward-looking statements speak only as of the
date of this press release.
* Based on total capital commitments to funds
managed by H.I.G. Capital and its affiliates.
(Financial Tables Follow)
WhiteHorse
Finance, Inc.
Consolidated
Statements of Assets and Liabilities
(in thousands,
except share and per share data)
|
|
|
|
March 31,
2016
|
|
|
December 31, 2015
|
|
|
|
(Unaudited)
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
Investments, at fair
value
|
|
|
|
|
|
|
|
|
Non-controlled/non-affiliate company
investments
|
|
$
|
397,950
|
|
|
$
|
395,143
|
|
Non-controlled
affiliate company investments
|
|
|
19,200
|
|
|
|
20,200
|
|
Total investments, at
fair value (amortized cost $439,147 and $436,109,
respectively)
|
|
|
417,150
|
|
|
|
415,343
|
|
Cash and cash
equivalents
|
|
|
14,507
|
|
|
|
22,769
|
|
Restricted cash and
cash equivalents
|
|
|
6,596
|
|
|
|
—
|
|
Interest
receivable
|
|
|
4,352
|
|
|
|
3,407
|
|
Prepaid expenses and
other receivables
|
|
|
141
|
|
|
|
192
|
|
Total
assets
|
|
$
|
442,746
|
|
|
$
|
441,711
|
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
Debt
|
|
$
|
186,696
|
|
|
$
|
183,482
|
|
Distributions
payable
|
|
|
6,498
|
|
|
|
6,498
|
|
Management fees
payable
|
|
|
5,573
|
|
|
|
3,813
|
|
Payable for
investments purchased
|
|
|
—
|
|
|
|
2,865
|
|
Accounts payable and
accrued expenses
|
|
|
893
|
|
|
|
1,001
|
|
Total
liabilities
|
|
|
199,660
|
|
|
|
197,659
|
|
|
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
assets
|
|
|
|
|
|
|
|
|
Common stock,
18,303,890 shares issued and outstanding, par value $0.001 per
share and 100,000,000 authorized
|
|
|
18
|
|
|
|
18
|
|
Paid-in capital in
excess of par
|
|
|
271,679
|
|
|
|
271,679
|
|
Accumulated
overdistributed net investment income
|
|
|
(7,155)
|
|
|
|
(7,419)
|
|
Accumulated realized
gains on investments
|
|
|
1,176
|
|
|
|
1,176
|
|
Accumulated
unrealized depreciation on investments
|
|
|
(22,632)
|
|
|
|
(21,402)
|
|
Total net
assets
|
|
|
243,086
|
|
|
|
244,052
|
|
Total liabilities
and total net assets
|
|
$
|
442,746
|
|
|
$
|
441,711
|
|
|
|
|
|
|
|
|
|
|
Number of shares
outstanding
|
|
|
18,303,890
|
|
|
|
18,303,890
|
|
Net asset value per
share
|
|
$
|
13.28
|
|
|
$
|
13.33
|
|
WhiteHorse
Finance, Inc.
Consolidated
Statements of Operations (Unaudited)
(in thousands,
except share and per share data)
|
|
|
|
Three months ended March 31,
|
|
|
|
2016
|
|
|
2015
|
|
Investment
income
|
|
|
|
|
|
|
|
|
From
non-controlled/non-affiliate company investments
|
|
|
|
|
|
|
|
|
Interest
income
|
|
$
|
12,020
|
|
|
$
|
10,511
|
|
Fee
income
|
|
|
676
|
|
|
|
100
|
|
From non-controlled
affiliate company investments
|
|
|
|
|
|
|
|
|
Dividend
income
|
|
|
714
|
|
|
|
660
|
|
Total investment
income
|
|
|
13,410
|
|
|
|
11,271
|
|
|
|
|
|
|
|
|
|
|
Expenses
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
1,916
|
|
|
|
1,670
|
|
Base management
fees
|
|
|
2,252
|
|
|
|
2,120
|
|
Performance-based
incentive fees
|
|
|
1,691
|
|
|
|
1,333
|
|
Administrative
service fees
|
|
|
210
|
|
|
|
329
|
|
General and
administrative expenses
|
|
|
579
|
|
|
|
485
|
|
Total
expenses
|
|
|
6,648
|
|
|
|
5,937
|
|
Net investment
income
|
|
|
6,762
|
|
|
|
5,334
|
|
|
|
|
|
|
|
|
|
|
Realized and
unrealized losses on investments
|
|
|
|
|
|
|
|
|
Net realized losses
on investments
|
|
|
|
|
|
|
|
|
Non-controlled/non-affiliate company investments
|
|
|
—
|
|
|
|
(83)
|
|
Net
realized losses
|
|
|
—
|
|
|
|
(83)
|
|
Net change in
unrealized depreciation
|
|
|
|
|
|
|
|
|
Non-controlled/non-affiliate company
investments
|
|
|
(230)
|
|
|
|
(478)
|
|
Non-controlled
affiliate company investments
|
|
|
(1,000)
|
|
|
|
—
|
|
Net change in
unrealized depreciation on investments
|
|
|
(1,230)
|
|
|
|
(478)
|
|
Net realized and
unrealized losses on investments
|
|
|
(1,230)
|
|
|
|
(561)
|
|
Net increase in
net assets resulting from operations
|
|
$
|
5,532
|
|
|
$
|
4,773
|
|
|
|
|
|
|
|
|
|
|
Per common share
data
|
|
|
|
|
|
|
|
|
Basic and diluted
earnings per common share
|
|
$
|
0.30
|
|
|
$
|
0.32
|
|
Distributions
declared per common share
|
|
$
|
0.36
|
|
|
$
|
0.36
|
|
Basic and diluted
weighted average common shares outstanding
|
|
|
18,303,890
|
|
|
|
14,982,857
|
|
WhiteHorse
Finance, Inc.
Consolidated
Schedule of Investments (Unaudited)
March 31,
2016
(in
thousands)
|
|
Investment Type(1)
|
|
Spread
Above
Index(2)
|
|
Interest
Rate(3)
|
|
Maturity
Date
|
|
Principal
Amount
|
|
|
Amortized
Cost
|
|
|
Fair
Value
|
|
|
Fair Value
As A
Percentage
Of Net Assets
|
|
North
America
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt
Investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fluent Acquisition
II, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+11.50%
|
|
12.00%
|
|
12/8/20
|
|
$
|
27,738
|
|
|
$
|
27,204
|
|
|
$
|
27,738
|
|
|
|
11.41%
|
|
|
|
(0.50%
Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intersection
Acquisition, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+10.00%
|
|
11.00%
|
|
9/15/20
|
|
|
16,357
|
|
|
|
16,204
|
|
|
|
16,341
|
|
|
|
6.72
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
44,095
|
|
|
|
43,408
|
|
|
|
44,079
|
|
|
|
18.13
|
|
Broadcasting
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Multicultural Radio
Broadcasting, Inc.(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+10.50%
|
|
11.50%
|
|
6/27/19
|
|
|
14,850
|
|
|
|
14,850
|
|
|
|
14,761
|
|
|
|
6.07
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer
Finance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Golden Pear Funding
III, LLC(7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+10.25%
|
|
11.25%
|
|
6/25/20
|
|
|
25,000
|
|
|
|
24,743
|
|
|
|
24,625
|
|
|
|
10.13
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Revolving Loan
|
|
L+10.25%
|
|
11.25%
|
|
6/25/20
|
|
|
—
|
|
|
|
(49)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oasis Legal Finance,
LLC(7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
N/A(5)
|
|
10.50%
|
|
9/30/18
|
|
|
9,000
|
|
|
|
8,891
|
|
|
|
8,928
|
|
|
|
3.67
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sigue
Corporation(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+10.50%
|
|
11.50%
|
|
12/27/18
|
|
|
25,000
|
|
|
|
24,693
|
|
|
|
24,725
|
|
|
|
10.17
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
59,000
|
|
|
|
58,278
|
|
|
|
58,278
|
|
|
|
23.97
|
|
Data Processing &
Outsourced Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Future Payment
Technologies, L.P.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+12.00%
|
|
13.00%
|
|
12/31/18
|
|
|
36,540
|
|
|
|
35,668
|
|
|
|
36,613
|
|
|
|
15.06
|
|
|
|
(1.00%
Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Department
Stores
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mills Fleet Farm
Group, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+9.75%
|
|
10.75%
|
|
2/26/23
|
|
|
7,664
|
|
|
|
7,509
|
|
|
|
7,511
|
|
|
|
3.09
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributors
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
360 Holdings III
Corp.(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+9.00%
|
|
10.00%
|
|
10/1/21
|
|
|
9,950
|
|
|
|
9,562
|
|
|
|
9,751
|
|
|
|
4.01
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diversified Support
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expert Global
Solutions, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+11.00%
|
|
12.50%
|
|
10/3/18
|
|
|
20,000
|
|
|
|
19,843
|
|
|
|
19,840
|
|
|
|
8.16
|
|
|
|
(1.50%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Orion Healthcorp,
Inc.(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+9.00%
|
|
11.00%
|
|
9/30/17
|
|
|
314
|
|
|
|
305
|
|
|
|
314
|
|
|
|
0.13
|
|
|
|
(2.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sitel Worldwide
Corporation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+9.50%
|
|
10.50%
|
|
9/18/22
|
|
|
8,670
|
|
|
|
8,505
|
|
|
|
8,540
|
|
|
|
3.51
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Smile Brands Group
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+7.75%
|
|
9.00%
|
|
8/16/19
|
|
|
11,794
|
|
|
|
11,644
|
|
|
|
10,025
|
|
|
|
4.12
|
|
|
|
(1.25%
Floor)
|
|
(1.50% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
40,778
|
|
|
|
40,297
|
|
|
|
38,719
|
|
|
|
15.92
|
|
Electronic Equipment
& Instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AP Gaming I, LLC
(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+8.25%
|
|
9.25%
|
|
12/20/20
|
|
|
9,775
|
|
|
|
9,550
|
|
|
|
9,433
|
|
|
|
3.88
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WhiteHorse
Finance, Inc.
Consolidated
Schedule of Investments (Unaudited) (Continued)
March 31,
2016
(in
thousands)
|
|
Investment Type(1)
|
|
Spread
Above
Index(2)
|
|
Interest
Rate(3)
|
|
Maturity
Date
|
|
Principal
Amount
|
|
|
Amortized
Cost
|
|
|
Fair
Value
|
|
|
Fair Value
As A
Percentage
Of Net Assets
|
|
Food
Retail
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crews of California,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan(6)
|
|
L+11.00%
|
|
12.00%
|
|
11/20/19
|
|
$
|
17,412
|
|
|
$
|
17,145
|
|
|
$
|
16,803
|
|
|
|
6.91%
|
|
|
|
(1.00%
Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Revolving Loan
|
|
L+11.00%
|
|
12.00%
|
|
11/20/19
|
|
|
5,032
|
|
|
|
4,950
|
|
|
|
4,855
|
|
|
|
2.00
|
|
|
|
(1.00%
Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Delayed Draw
|
|
L+11.00%
|
|
12.00%
|
|
11/20/19
|
|
|
5,047
|
|
|
|
4,965
|
|
|
|
4,870
|
|
|
|
2.00
|
|
Loan
|
|
(1.00%
Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
27,491
|
|
|
|
27,060
|
|
|
|
26,528
|
|
|
|
10.91
|
|
Health Care
Facilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Coastal Sober Living,
LLC(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+10.25%
|
|
11.25%
|
|
6/30/19
|
|
|
40,480
|
|
|
|
39,924
|
|
|
|
39,873
|
|
|
|
16.40
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Grupo HIMA San Pablo,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+7.00%
|
|
8.50%
|
|
1/31/18
|
|
|
14,550
|
|
|
|
14,419
|
|
|
|
14,405
|
|
|
|
5.93
|
|
|
|
(1.50%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
N/A(5)
|
|
13.75%
|
|
7/31/18
|
|
|
1,000
|
|
|
|
973
|
|
|
|
988
|
|
|
|
0.41
|
|
|
|
|
|
|
|
|
|
|
56,030
|
|
|
|
55,316
|
|
|
|
55,266
|
|
|
|
22.74
|
|
Health Care
Technology
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Client Network
Services, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+13.00%
|
|
13.50%
|
|
4/24/19
|
|
|
6,365
|
|
|
|
6,181
|
|
|
|
6,364
|
|
|
|
2.62
|
|
|
|
(0.50% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Revolving Loan
|
|
P+12.00%
|
|
15.50%
|
|
4/24/19
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(3.50% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,365
|
|
|
|
6,181
|
|
|
|
6,364
|
|
|
|
2.62
|
|
Integrated
Telecommunication Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securus Technologies
Holdings, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+7.75%
|
|
9.00%
|
|
4/30/21
|
|
|
9,090
|
|
|
|
9,060
|
|
|
|
7,363
|
|
|
|
3.03
|
|
|
|
(1.25%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Internet
Retail
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Clarus Commerce,
LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
P+10.27%
|
|
13.77%
|
|
3/17/21
|
|
|
6,000
|
|
|
|
5,881
|
|
|
|
5,940
|
|
|
|
2.44
|
|
|
|
(3.50%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Office Services &
Supplies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Katun
Corporation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+11.25%
|
|
12.25%
|
|
1/25/21
|
|
|
5,000
|
|
|
|
4,963
|
|
|
|
4,995
|
|
|
|
2.05
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil & Gas
Drilling
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ProPetro Services,
Inc.(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+6.25%
|
|
7.25%
|
|
9/30/19
|
|
|
8,750
|
|
|
|
8,688
|
|
|
|
6,160
|
|
|
|
2.53
|
|
|
|
(1.00%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil & Gas
Exploration & Production
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Caelus Energy Alaska
O3, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+7.50%
|
|
8.75%
|
|
4/15/20
|
|
|
13,000
|
|
|
|
12,862
|
|
|
|
9,178
|
|
|
|
3.77
|
|
|
|
(1.25% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Larchmont Resources,
LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+8.75%
|
|
9.75%
|
|
8/7/19
|
|
|
1,740
|
|
|
|
1,770
|
|
|
|
800
|
|
|
|
0.33
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14,740
|
|
|
|
14,632
|
|
|
|
9,978
|
|
|
|
4.10
|
|
Other Diversified
Financial Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RCS Capital
Corporation(6) (7) (9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+10.50%
|
|
11.50%
|
|
4/29/21
|
|
|
20,750
|
|
|
|
20,687
|
|
|
|
7,262
|
|
|
|
2.99
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The Pay-O-Matic
Corp
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+11.00%
|
|
12.00%
|
|
3/31/18
|
|
|
9,625
|
|
|
|
9,485
|
|
|
|
9,587
|
|
|
|
3.94
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30,375
|
|
|
|
30,172
|
|
|
|
16,849
|
|
|
|
6.93
|
|
WhiteHorse
Finance, Inc.
Consolidated
Schedule of Investments (Unaudited) (Continued)
March 31,
2016
(in
thousands)
|
Investment Type(1)
|
|
Spread
Above
Index(2)
|
|
Interest
Rate(3)
|
|
Maturity
Date
|
|
Principal
Amount
|
|
|
Amortized
Cost
|
|
|
Fair
Value
|
|
|
Fair Value
As A
Percentage
Of Net Assets
|
|
Research &
Consulting Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Project Time &
Cost, LLC(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
L+11.00%
|
|
11.50%
|
|
10/9/20
|
|
$
|
11,400
|
|
|
$
|
11,177
|
|
|
$
|
11,400
|
|
|
|
4.69%
|
|
|
|
(0.50%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Specialized Consumer
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pre-Paid Legal
Services, Inc.(6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+9.00%
|
|
10.25%
|
|
7/1/20
|
|
|
18,000
|
|
|
|
17,838
|
|
|
|
18,090
|
|
|
|
7.44
|
|
|
|
(1.25%
Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Specialized
Finance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GMT Holdings 1, Ltd.
& GMT Holdings 12, Ltd.(4) (7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured
Term Loan
|
|
N/A(5)
|
|
10.00%
|
|
6/30/17
|
|
|
1,496
|
|
|
|
1,496
|
|
|
|
1,496
|
|
|
|
0.62
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trucking
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fox Rent A Car,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured
Term Loan
|
|
L+12.00%
|
|
12.43%
|
|
10/31/19
|
|
|
7,500
|
|
|
|
7,441
|
|
|
|
7,425
|
|
|
|
3.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Debt
Investments
|
|
|
|
|
|
|
|
|
424,889
|
|
|
|
419,027
|
|
|
|
396,999
|
|
|
|
163.32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
Investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IDI, Inc.
Warrants(6)
|
|
N/A
|
|
N/A
|
|
12/8/25
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diversified Support
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Constellation Health,
LLC Warrants(6)
|
|
N/A
|
|
N/A
|
|
9/30/18
|
|
|
—
|
|
|
|
—
|
|
|
|
646
|
|
|
|
0.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Food
Retail
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crews of California,
Inc. Warrants(6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
184
|
|
|
|
0.08
|
|
Nicholas &
Associates, LLC Warrants(6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
35
|
|
|
|
0.01
|
|
Pinnacle Management
Group, LLC Warrants(6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
66
|
|
|
|
0.03
|
|
RC3 Enterprises, LLC
Warrants(6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
20
|
|
|
|
0.01
|
|
|
|
|
|
|
|
|
|
|
—
|
|
|
|
—
|
|
|
|
305
|
|
|
|
0.13
|
|
Specialized
Finance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NMFC Senior Loan
Program I LLC Units(6)(7)(8)
|
|
N/A
|
|
N/A
|
|
6/10/19
|
|
|
—
|
|
|
|
20,120
|
|
|
|
19,200
|
|
|
|
7.89
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Equity
Investments
|
|
|
|
|
|
|
|
|
—
|
|
|
|
20,120
|
|
|
|
20,151
|
|
|
|
8.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Investments
|
|
|
|
|
|
|
|
$
|
424,889
|
|
|
$
|
439,147
|
|
|
$
|
417,150
|
|
|
|
171.61%
|
|
|
(1)
|
Except as otherwise
noted, all investments are non-controlled/non-affiliate investments
as defined by the Investment Company Act of 1940, as amended (the
''1940 Act''), and provide collateral for the Company's credit
facility.
|
(2)
|
The investments bear
interest at a rate that may be determined by reference to the
London Interbank Offered Rate (''LIBOR'' or ''L'') or the Prime
Rate (''Prime'' or ''P''), which resets monthly, quarterly or
semiannually.
|
(3)
|
The interest rate is
the ''all-in-rate'' including the current index and spread, the
fixed rate, and the payment-in-kind (''PIK'') interest rate, as the
case may be.
|
(4)
|
The Company's
investments in GMT Holdings 1, Ltd. and GMT Holdings 12, Ltd. are
held through its subsidiary Bayside Financing S.A.R.L.
|
(5)
|
Interest rate is
fixed and accordingly the spread above the index is not
applicable.
|
(6)
|
The investment or a
portion of the investment does not provide collateral for the
Company's credit facility.
|
(7)
|
Not a qualifying
asset under Section 55(a) of the 1940 Act. Under the 1940 Act, the
Company may not acquire any non-qualifying asset unless, at the
time the acquisition is made, qualifying assets represent at least
70% of total assets. Qualifying assets represent 86% of total
assets.
|
(8)
|
Investment is a
non-controlled/affiliate investment as defined by the 1940
Act.
|
(9)
|
The investment is on
non-accrual status.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/whitehorse-finance-inc-announces-first-quarter-2016-earnings-results-and-appoints-chief-executive-officer-300263420.html
SOURCE WhiteHorse Finance, Inc.