Daily News: December 17, 2012

Main Street Raises $77MM in IPO


Main Street Capital announced that it closed the previously announced underwritten public offering of 2,500,000 shares of common stock at a public offering price of $28.00 per share. In addition, the underwriters fully exercised their option to purchase 375,000 additional shares of the company’s common stock to cover over-allotments.

Including the exercise of the over-allotment option, the total number of shares sold in the offering was 2,875,000. Net proceeds from the offering, including exercise of the over-allotment option but after deducting underwriting discounts and estimated offering expenses payable by the company, were approximately $77.1 million.

Main Street intends to use the net proceeds from this offering, including the net proceeds from the exercise of the underwriters’ over-allotment option, to initially repay outstanding debt borrowed under its credit facility, and then through re-borrowing under the credit facility, to make investments in accordance with its investment objective and strategies, to make investments in marketable securities and idle funds investments, to pay operating expenses and other cash obligations, and for general corporate purposes.

The underwriters of this offering are Raymond James, Robert W. Baird & Co. Incorporated, BB&T Capital Markets, a division of Scott & Stringfellow, Sanders Morris Harris, RBC Capital Markets, Janney Montgomery Scott, Ladenburg Thalmann & Co. and Wunderlich Securities. The shares were sold pursuant to an effective shelf registration statement on Form N-2 that has been filed with, and has been declared effective by the U.S. Securities and Exchange Commission.