Solar Capital Launches Unitranche Loan Program
Solar Capital announced the creation of a senior secured unitranche loan program (SSLP) in a joint venture with a fund managed by Pacific Investment Management.
Solar said its $300 million equity commitment to the SSLP which together with PIMCO’s $300 million commitment will create approximately $1.5 billion of investible capital for the unitranche investment partnership.
Commenting on the partnership, Michael Gross, chairman and CEO of Solar Capital, said, “The strategic partnership increases our origination capacity to pursue unitranche loans that we believe offer highly attractive risk-reward profiles in the current market environment. The SSLP represents an important and complementary growth initiative that allows for more effective utilization of Solar Capital’s balance sheet and creates what we expect to be a path for enhancing return on equity and generating incremental net investment income for our shareholders.”
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