Runway Growth Finance Prices $45 Million Public Offering of Senior Notes
Runway Growth Finance (RWAY) has priced a public offering for $45 million in aggregate principal amount of senior notes due in 2031. The underwritten deal is expected to generate net proceeds of approximately $43.7 million after accounting for underwriting discounts and commissions, though other estimated offering costs are not included. The issuance reflects the company's strategy to raise capital through debt financing as it continues its operations focused on providing mezzanine loans and growth equity investments in middle-market companies. The notes will carry a 7.75% interest rate, which is relatively high compared to current market rates for similar instruments, potentially indicating investor confidence or higher risk perception. This offering could influence RWAY's capital structure by increasing its leverage position while providing funds that may be used for general corporate purposes and future investment opportunities.
Topics: capital raising debt issuance