UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

 

FORM 8-K

 

Current Report Pursuant to Section 13 or 15(d) of

the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported):

 

April 1, 2020

 

CAPITALA FINANCE CORP.

(Exact name of registrant as specified in its charter)

  

Maryland 814-01022 90-0945675
(State or other jurisdiction of incorporation) (Commission File Number) (I.R.S. Employer Identification No.)

  

4201 Congress St., Suite 360

Charlotte, NC 28209

(Address of principal executive offices and zip code)

 

Registrant’s telephone number, including area code: (704) 376-5502

 

 

Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
   
¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
   
¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
   
¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of Each Class   Trading symbol(s)   Name of Each Exchange on Which Registered
Common Stock, par value $0.01 per share   CPTA   NASDAQ Global Select Market
5.75% Convertible Notes due 2022   CPTAG   NASDAQ Capital Market
6.00% Notes due 2022   CPTAL   NASDAQ Global Select Market

 

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company

  

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

 

 

 

 

 

 

Item 8.01 Other Events

 

On April 1, 2020, Capitala Finance Corp. issued a press release announcing that distributions will be made on a quarterly basis, rather than monthly, effective for the second quarter of 2020. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

  

Item 9.01 Financial Statements and Exhibits.

 

(a)Not applicable.

 

(b)Not applicable.

 

(c)Not applicable.

 

(d)Exhibits.

  

  Exhibit No.   Description
       
  99.1   Press release dated April 1, 2020

 

 

 

 

SIGNATURES 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. 

 

Date:   April 1, 2020 CAPITALA FINANCE CORP.
     
     
  By: /s/ Stephen A. Arnall
    Stephen A. Arnall
    Chief Financial Officer and Chief Operating Officer

 

 

 

Exhibit 99.1

 

 

 

Capitala Finance Corp. Announces Change in Distribution Payment Frequency

 

CHARLOTTE, N.C., April 1, 2020 -- Capitala Finance Corp. (the “Company”, “our”, or “Capitala”) (Nasdaq:CPTA) announced today that distributions will be made on a quarterly basis, rather than monthly, effective for the second quarter of 2020. The Company will announce details of the second quarter of 2020 distribution at a later date, upon approval by the Board of Directors.

 

Chairman and Chief Executive Officer Joseph B. Alala, III, stated, “Across our entire firm, we are engaged with the management teams of our existing portfolio companies to determine how this disruption in the economy may impact their need for liquidity and ultimately the impact to our net investment income. Moving to quarterly distributions gives us additional time to continue with these assessments, as circumstances are changing on a daily basis.”

 

About Capitala Finance Corp.

Capitala Finance Corp. is a business development company that invests primarily in first and second lien loans, subordinated debt and, to a lesser extent, equity securities issued by lower and traditional middle market companies. The Company is managed by Capitala Investment Advisors, LLC. For more information on Capitala, or to automatically receive email notifications of Company financial information, press releases, stock alerts, or other corporate filings, please visit the Investor Relations section of our website.

 

About Capitala Group

Capitala Group is a $3.0 billion asset management firm that has been providing capital to lower middle market companies through its credit, growth, and equity investment strategies throughout North America for twenty years. Since its inception in 1998, Capitala Group has invested in over 160 companies and seeks to partner with strong management teams to create value and generate superior risk-adjusted returns for its individual and institutional investors. For more information, definition and details visit Capitala Group’s website at www.capitalagroup.com.

 

Capitala Finance Corp.

Stephen Arnall

CFO|COO

sarnall@capitalagroup.com

 

SOURCE: Capitala Finance Corp.