PennantPark Floating Rate Capital upsized and completed all necessary amendments to its secured credit facility to enable it to use the flexibility and incremental leverage provided by the Small Business Credit Availability Act in the future.

PFLT amended and extended the maturity of its credit facility, led by SunTrust Robinson Humphrey. PFLT grew the size of the credit facility to $520 million from $405 million. This increase was a result of expanding lender partner relationships. Pricing on this facility remained unchanged. Additionally, other key terms changed such that we will be able to operate within the asset coverage covenant that the SBCAA reduced from 200% to 150%.

“Upsizing and completing the necessary amendments within our Credit Facility will enable PFLT to have the flexibility to obtain the benefits provided by the SBCAA. We believe this will result in enhanced profitability while maintaining our conservative and prudent debt profile.” said Arthur Penn, Chief Executive Officer of PFLT. “Additionally, we are appreciative of the support from all of our existing lending partners and pleased to have expanded our relationships. Their support highlights the confidence they have in our excellent long-term track record.”

The credit facility is secured by all of the assets held by PennantPark Floating Rate Funding I, a wholly-owned subsidiary of the Company, and includes customary covenants, including minimum asset coverage and minimum equity requirements.

The description above is only a summary of the material provisions of the credit facility and is qualified in its entirety by reference to the credit facility.