Approach—Our approach is focused on the needs of our financial sponsor, middle-market corporate and intermediary relationships. Consistent, timely, no-surprise feedback is our goal. Our screening and due diligence process is designed to ensure creative and value-added financing solutions.
With permanent equity capital, we can be a patient provider of flexible capital. As an independent business development company, we have no affiliations which may create actual or perceived conflicts of interest with our financial sponsor, middle-market corporate and intermediary relationships.
Target Characteristics
Financial sponsors, middle-market companies are our targeted core relationships. We focus on identifying and investing in companies with positive cash flow, strong management teams, and defensible market positions that lack access to the public financing markets or are underserved by traditional lending sources.
Investment Size
Our typical investment size is approximately $10 - $50 million per company. We are flexible and willing to invest larger or smaller amounts or to partner with other capital providers to provide additional capital in transactions. We strive to structure transactions in a manner that enhances the financial flexibility of managers and shareholders.
Investment Structures
Debt investments are principally structured to provide for current cash interest and, to a lesser extent, non-cash interest.
Equity investments can be structured in the form of preferred stock, common equity co-investments, warrants or direct investments in common stock.
PennantPark is comfortable making non-control debt and equity investments in U.S. middle-market companies. |
