NEW
YORK, Aug. 7, 2023 /PRNewswire/ -- Golub Capital
BDC, Inc. ("GBDC" or the "Company"), a business development company
(Nasdaq: GBDC), today announced that the Company's Board of
Directors approved a permanent reduction in the base management fee
rate that the Company pays to its investment adviser, GC Advisors
LLC, an affiliate of the Golub Capital LLC group of companies
("Golub Capital"). For additional analysis, please refer to
Management Fee Reduction Announcement Presentation available on the
Investor Resources link on the homepage of the Company's website
(www.golubcapitalbdc.com) under Events/Presentations.
The base management fee rate was reduced from 1.375% per annum
to 1.0% per annum, in both cases based on the Company's average
adjusted gross assets at the end of the two most recently completed
calendar quarters, excluding cash and cash equivalents, and
including assets purchased with borrowed funds. All other terms of
the Company's Investment Advisory Agreement with its investment
adviser remain unchanged. The new base management fee rate takes
effect as of July 1, 2023.
"GBDC has sought to raise the bar for shareholder alignment in
the BDC industry since its IPO in April
2010," said David Golub,
Chief Executive Officer of the Company. "GBDC pioneered the
cumulative incentive fee cap, which set the standard for aligning
BDCs and investment advisers on long-term credit performance.
Today's announcement reflects Golub Capital's ongoing commitment to
aligning with GBDC's shareholders on the goal of long-term shared
success."
The Company estimated that the new base management fee rate
would increase GBDC's pro forma adjusted net investment income per
share by approximately $0.10 per
annum, or approximately 0.7% on adjusted net investment income
return on equity per annum1,2.
"GBDC's robust growth since its IPO has generated efficiencies
for the Company's investment adviser, and today's announcement
means that more of those efficiencies will be shared with GBDC
shareholders," said Matthew Benton,
Chief Operating Officer of the Company. "We believe the lower base
management fee rate enhances GBDC's fundamental earnings power
across a range of market cycles and economic conditions."
- See accompanying presentation titled "Golub Capital BDC, Inc. –
Announces Management Fee Reduction" and the slide titled "Endnotes
– Non-GAAP Financial Measures" for footnotes.
- Return on equity represents the return on average equity,
calculated as the adjusted net investment income per share divided
by the average net asset value per share as of quarter end for the
two most recently completed quarters, and annualized by multiplying
by four.
Conference Call
The Company will host an earnings conference call at
11:00 am (Eastern Time) on Tuesday,
August 8, 2023 to discuss the quarterly financial results. All
interested parties may participate in the conference call by
dialing (888) 330-3529 approximately 10-15 minutes prior to the
call; international callers should dial +1 (646) 960-0656.
Participants should reference Golub Capital BDC, Inc. when
prompted. For slide presentations that we intend to refer to on the
earnings conference call, please visit the Investor Resources link
on the homepage of our website (www.golubcapitalbdc.com) and click
on the Management Fee Reduction Announcement Presentation and
Quarter Ended 6.30.2023 Earnings
Presentation under Events/Presentations. An archived replay of the
call will be available shortly after the call until 11:59 p.m. (Eastern Time) on August 22, 2023. To hear the replay, please dial
(800) 770-2030. International dialers, please dial +1 (647)
362-9199. For all replays, please reference program ID number
5111111.
About Golub Capital BDC, Inc.
Golub Capital BDC, Inc. ("GBDC") is an externally-managed,
non-diversified closed-end management investment company that has
elected to be treated as a business development company under the
Investment Company Act of 1940. GBDC invests primarily in one stop
and other senior secured loans to middle market companies that are
often sponsored by private equity investors. GBDC's investment
activities are managed by its investment adviser, GC Advisors LLC,
an affiliate of the Golub Capital LLC group of companies ("Golub
Capital").
About Golub Capital
Golub Capital is a market-leading, award-winning direct lender
and experienced credit asset manager. The firm specializes in
delivering reliable, creative and compelling financing solutions to
companies backed by private equity sponsors. Golub Capital's
sponsor finance expertise also forms the foundation of its Broadly
Syndicated Loan and Credit Opportunities investment programs. Golub
Capital nurtures long-term, win-win partnerships that inspire
repeat business from private equity sponsors and investors. As of
April 1, 2023, Golub Capital had over
800 employees and over $60 billion of
capital under management, a gross measure of invested capital
including leverage. The firm has lending offices in Chicago, New
York, San Francisco and
London. For more information,
please visit golubcapital.com.
Forward-Looking Statements
This press release may contain "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Statements other than statements of historical facts
included in this press release may constitute forward-looking
statements and are not guarantees of future performance or results
and involve a number of risks and uncertainties. Actual results may
differ materially from those expressed or implied in the
forward-looking statements as a result of a number of factors,
including those described from time to time in filings with the
Securities and Exchange Commission. Golub Capital BDC, Inc.
undertakes no duty to update any forward-looking statement made
herein. All forward-looking statements speak only as of the date of
this press release.
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SOURCE Golub Capital BDC, Inc.