The company will sell 8.5 million shares at $11.63 a share to raise approximately $98,855,000 in gross proceeds. The offering contains an option for underwriters to purchase up to an additional 1.275 million shares.
PennantPark expects the offering to close on September 10.
The company said it plans to use the net proceeds from the offering to "reduce outstanding indebtedness under its senior secured revolving credit facility, to invest in new or existing portfolio companies in accordance with its investment objectives or for other general corporate or strategic purposes."
More than 3.5 million shares had changed hands as of 10:19 a.m., compared to the average volume of 687,359.
Separately, TheStreet Ratings team rates PENNANTPARK INVESTMENT CORP as a "buy" with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate PENNANTPARK INVESTMENT CORP (PNNT) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, compelling growth in net income, good cash flow from operations and expanding profit margins. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."