MCG Capital Corporation (Nasdaq: MCGC) announced that it has entered into an unsecured revolving credit facility with Bank of America, N.A. in the principal amount of $20 million.
The revolving credit facility has a two year revolving period and draws under the facility will be used to provide financing to portfolio companies and for other general corporate purposes. Advances under the credit facility will bear interest at the London Interbank Offer Rate plus 3.5% per annum.
“We are extremely pleased to announce our new revolving credit facility,” said B. Hagen Saville, President and CEO. “We believe that the unsecured nature of this facility will create flexibility to manage and fully deploy our balance sheet.”
About MCG Capital CorporationMCG Capital Corporation is a solutions-focused commercial finance company providing capital and advisory services to middle-market companies throughout the United States. Our investment objective is to achieve current income and capital gains. Our capital is generally used by our portfolio companies to finance acquisitions, recapitalizations, buyouts, organic growth and working capital. For more information, please visit www.mcgcapital.com. Forward-looking Statements: Statements in this press release regarding management’s future expectations, beliefs, intentions, goals, strategies, plans or prospects may constitute forward-looking statements for purposes of the safe harbor protection under applicable securities laws. Forward looking statements can be identified by terminology such as “anticipate,” “believe,” “could,” “could increase the likelihood,” “estimate,” “expect,” “intend,” “is planned,” “may,” “should,” “will,” “will enable,” “would be expected,” “look forward,” “may provide,” “would” or similar terms, variations of such terms or the negative of those terms. Such forward-looking statements involve known and unknown risks and uncertainties, including the belief that the unsecured nature of the revolving credit facility will create flexibility to manage and fully deploy the Company’s balance sheet and other factors referred to in MCG’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2012 filed with the Securities and Exchange Commission under the section “Risk Factors,” as well as other documents that may be filed by MCG from time to time with the Securities and Exchange Commission. As a result of such risks, uncertainties and factors, actual results may differ materially from any future results, performance or achievements discussed in or implied by the forward-looking statements contained herein. MCG is providing the information in this press release as of this date and assumes no obligations to update the information included in this press release or revise any forward-looking statements, whether as a result of new information, future events or otherwise.