$100m (+15m) sen unsec cb coming tomorrow from BOA . Terms: 5.5y 4¾-5¼% up 12½-17½%, full pctns. UOP=pay down revolver/gcp.
$640m BDC specialising in middle-mkt cos. $816m pfolio w/70 cos (well diversified w/biggest % in computer services @ 10%). Inv size=$10-40m & 95% of pfolio is sen sec. Stk +12% since 05/07/14 Recent comp to mkt = NMFC (came 5% up 12.5% w/stk at $14.16 on 05/27). TCPC term loan & revolver = L+250 (NMFC has 3 revolvers btw 200-275bp). We assumed L+425 for 5y NMFC & we’d assume the same 4 TCPC. ADV=310k, 1y 100/200d=16/17%. Like NMFC/TSLX, this is not a vol trade. Sanity check, we’ll use 15%. Theo=97.8/99.4/ 101. TSLX came 06/03 (4.5 up 15) traded +1.25pts, back to unch then to obsurity, NMFC str8 2 obscurity. Trend is your friend.