NEW YORK, Aug. 5, 2015 /PRNewswire/ -- WhiteHorse Finance, Inc. ("WhiteHorse Finance" or the "Company") (NASDAQ: WHF) today announced its financial results for the quarter ended June 30, 2015.
Second Quarter 2015 Summary Highlights
- Continued to optimize the portfolio, increasing the weighted average effective yield to 11.7% from 11.4% in the prior quarter
- Net investment income increased 47.4% year-over-year, and 10.4% over 1Q15, to $5.9 million
- Second quarter net investment income of $0.393 per share
- Second quarter distribution of $0.355 per share
Jay Carvell, WhiteHorse Finance's Chief Executive Officer commented, "Our team's ongoing emphasis on optimizing our portfolio has resulted in an increase to our effective yield, rising to 11.7% during the second quarter. This resulted from investing in higher yielding loans while cycling out of lower yielding investments. In the second quarter, our net investment income exceeded our quarterly distribution, which has remained consistent since our IPO in late 2012. We believe that our efforts will continue to achieve results in the second half of 2015, supported by our affiliation with H.I.G. Capital as we seek to source new high quality investments to further optimize our portfolio."
Portfolio and Investment Activity
As of June 30, 2015, the fair value of WhiteHorse Finance's investment portfolio was $387.5 million, compared with $391.3 million as of March 31, 2015. The portfolio at June 30, 2015 consisted of 32 positions across 26 companies with an average investment size of $12.1 million and a weighted average effective yield of 11.7%. The majority of the portfolio was comprised of senior secured loans and more than 96% of these loans were variable-rate investments (indexed to LIBOR) with interest rate floors, which should continue to position the portfolio well for a potential rising interest rate environment.
For the three months ended June 30, 2015, WhiteHorse Finance invested $31.2 million across three portfolio companies. The Company continued to be highly selective with the deployment of capital into new investments. Gross proceeds from sales and repayments totaled $35.6 million for the quarter, which was in line with the Company's expectations. The increase in the weighted average effective yield was the result of investing in assets with above average yields, while optimizing the portfolio through the sales of lower yielding assets.
Results of Operations
For the three months ended June 30, 2015, net investment income was $5.9 million, compared with $4.0 million for the same period in the prior year, representing an increase of 47.4%.
For the three months ended June 30, 2015, WhiteHorse Finance reported realized and unrealized losses on investments of $0.1 million. This compares with realized and unrealized gains on investments of $1.0 million for the three months ended June 30, 2014.
WhiteHorse Finance reported a net increase in net assets of $5.8 million for the three months ended June 30, 2015, which compares with $5.0 million for the three months ended June 30, 2014.
WhiteHorse Finance's NAV was $225.2 million, or $15.03 per share, as of June 30, 2015, as compared with $224.8 million, or $15.00 per share, reported as of March 31, 2015.
Liquidity and Capital Resources
As of June 30, 2015, WhiteHorse Finance had cash and cash equivalents of $27.3 million, as compared with $17.6 million as of March 31, 2015, inclusive of restricted cash. As of June 30, 2015, the Company had $49.5 million of undrawn capacity under its revolving credit facility.
Distributions
On May 19, 2015, the Company declared a distribution of $0.355 per share for the quarter ended June 30, 2015, consistent for the eleventh consecutive quarter since the Company's IPO. The distribution was payable on July 2, 2015 to shareholders of record as of June 19, 2015.
Distributions are paid from taxable earnings and may include return of capital and/or capital gains. The specific tax characteristics of the distributions will be reported to stockholders on Form 1099-DIV after the end of the calendar year and in the Company's periodic reports filed with the Securities and Exchange Commission.
Conference Call
WhiteHorse Finance will host a conference call to discuss its first quarter results at 10:00 am ET on Wednesday, August 5, 2015. To access the teleconference, please dial 706-758-9224 (domestic and international) approximately 10 minutes before the teleconference's scheduled start time and reference ID# 84043776. Investors may also access the call on the investor relations portion of the Company's website at www.whitehorsefinance.com.
If you are unable to access the live teleconference, a replay will be available beginning approximately two hours after the call's completion through August 12, 2015. The teleconference replay can be accessed by dialing 404-537-3406 (domestic and international) and entering ID# 84043776. A webcast replay will also be available on the investor relations portion of the Company's website at www.whitehorsefinance.com.
About WhiteHorse Finance, Inc.
WhiteHorse Finance, Inc. is a business development company that originates and invests in loans to privately held small-cap companies across a broad range of industries. The Company's investment activities are managed by its investment adviser, H.I.G. WhiteHorse Advisers, LLC, an affiliate of H.I.G. Capital, L.L.C. ("H.I.G. Capital"). H.I.G. Capital is a leading global alternative asset manager with approximately $19 billion of capital under management* across a number of funds focused on the small and mid-cap markets. For more information about H.I.G. Capital, please visit http://www.higcapital.com. For more information about the Company, please visit http://www.whitehorsefinance.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 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. The Company 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.
* Based on total capital commitments to funds managed by H.I.G. Capital and its affiliates.
(Financial Tables Follow)
|
WhiteHorse Finance, Inc.
|
|
Consolidated Statements of Assets and Liabilities
|
|
(in thousands, except share and per share data)
|
|
|
|
June 30, 2015
|
|
|
December 31, 2014
|
|
|
|
(Unaudited)
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
Investments, at fair value
|
|
|
|
|
|
|
|
|
|
Non-controlled/non-affiliate company investments
|
|
$
|
367,296
|
|
|
$
|
383,500
|
|
|
Non-controlled affiliate company investments
|
|
|
20,200
|
|
|
|
20,000
|
|
|
Total investments, at fair value (amortized cost $385,375 and $401,062, respectively)
|
|
|
387,496
|
|
|
|
403,500
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
19,388
|
|
|
|
11,647
|
|
|
Restricted cash and cash equivalents
|
|
|
7,936
|
|
|
|
4,495
|
|
|
Interest receivable
|
|
|
3,042
|
|
|
|
2,702
|
|
|
Deferred financing costs
|
|
|
4,237
|
|
|
|
4,004
|
|
|
Prepaid expenses and other receivables
|
|
|
192
|
|
|
|
494
|
|
|
Total assets
|
|
$
|
422,291
|
|
|
$
|
426,842
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
Credit facility
|
|
$
|
100,500
|
|
|
$
|
105,500
|
|
|
Senior notes
|
|
|
30,000
|
|
|
|
30,000
|
|
|
Unsecured term loan
|
|
|
55,000
|
|
|
|
55,000
|
|
|
Distributions payable
|
|
|
5,319
|
|
|
|
5,319
|
|
|
Management fees payable
|
|
|
5,442
|
|
|
|
5,006
|
|
|
Accounts payable and accrued expenses
|
|
|
787
|
|
|
|
659
|
|
|
Total liabilities
|
|
|
197,048
|
|
|
|
201,484
|
|
|
|
|
|
|
|
|
|
|
|
Commitments and contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net assets
|
|
|
|
|
|
|
|
|
|
Common stock, 14,982,857 shares issued and outstanding, par value $0.001
per share and 100,000,000 authorized
|
|
|
15
|
|
|
|
15
|
|
|
Paid-in capital in excess of par
|
|
|
228,731
|
|
|
|
228,731
|
|
|
Accumulated overdistributed net investment income
|
|
|
(5,336)
|
|
|
|
(5,918)
|
|
|
Accumulated realized gains on investments
|
|
|
349
|
|
|
|
728
|
|
|
Accumulated unrealized appreciation on investments
|
|
|
1,484
|
|
|
|
1,802
|
|
|
Total net assets
|
|
|
225,243
|
|
|
|
225,358
|
|
|
Total liabilities and total net assets
|
|
$
|
422,291
|
|
|
$
|
426,842
|
|
|
|
|
|
|
|
|
|
|
|
Number of shares outstanding
|
|
|
14,982,857
|
|
|
|
14,982,857
|
|
|
Net asset value per share
|
|
$
|
15.03
|
|
|
$
|
15.04
|
|
|
WhiteHorse Finance, Inc.
|
|
Consolidated Statements of Operations (Unaudited)
|
|
(in thousands, except share and per share data)
|
|
|
|
Three months ended June 30,
|
|
|
Six months ended June 30,
|
|
|
|
2015
|
|
|
2014
|
|
|
2015
|
|
|
2014
|
|
|
Investment income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
From non-controlled/non-affiliate company
investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
$
|
10,696
|
|
|
$
|
8,350
|
|
|
$
|
21,207
|
|
|
$
|
16,207
|
|
|
Fee income
|
|
|
724
|
|
|
|
668
|
|
|
|
824
|
|
|
|
1,061
|
|
|
From non-controlled affiliate company investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividend income
|
|
|
742
|
|
|
|
—
|
|
|
|
1,402
|
|
|
|
—
|
|
|
Total investment income
|
|
|
12,162
|
|
|
|
9,018
|
|
|
|
23,433
|
|
|
|
17,268
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
1,703
|
|
|
|
1,386
|
|
|
|
3,373
|
|
|
|
2,741
|
|
|
Base management fees
|
|
|
2,132
|
|
|
|
1,781
|
|
|
|
4,252
|
|
|
|
3,568
|
|
|
Performance-based incentive fees
|
|
|
1,472
|
|
|
|
982
|
|
|
|
2,805
|
|
|
|
1,132
|
|
|
Administrative service fees
|
|
|
314
|
|
|
|
359
|
|
|
|
643
|
|
|
|
684
|
|
|
General and administrative expenses
|
|
|
655
|
|
|
|
620
|
|
|
|
1,140
|
|
|
|
1,607
|
|
|
Total expenses, before fees waived
|
|
|
6,276
|
|
|
|
5,128
|
|
|
|
12,213
|
|
|
|
9,732
|
|
|
Base management fees waived
|
|
|
—
|
|
|
|
(103)
|
|
|
|
—
|
|
|
|
(447)
|
|
|
Total expenses, net of fees waived
|
|
|
6,276
|
|
|
|
5,025
|
|
|
|
12,213
|
|
|
|
9,285
|
|
|
Net investment income
|
|
|
5,886
|
|
|
|
3,993
|
|
|
|
11,220
|
|
|
|
7,983
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Realized and unrealized gains (losses) on investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net realized losses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlled/non-affiliate company investments
|
|
|
(296)
|
|
|
|
—
|
|
|
|
(379)
|
|
|
|
—
|
|
|
Net realized losses
|
|
|
(296)
|
|
|
|
—
|
|
|
|
(379)
|
|
|
|
—
|
|
|
Net change in unrealized appreciation (depreciation)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlled/non-affiliate company investments
|
|
|
(40)
|
|
|
|
1,024
|
|
|
|
(518)
|
|
|
|
3,404
|
|
|
Non-controlled affiliate company investments
|
|
|
200
|
|
|
|
—
|
|
|
|
200
|
|
|
|
—
|
|
|
Net change in unrealized appreciation (depreciation)
|
|
|
160
|
|
|
|
1,024
|
|
|
|
(318)
|
|
|
|
3,404
|
|
|
Net realized and unrealized (losses) gains on investments
|
|
|
(136)
|
|
|
|
1,024
|
|
|
|
(697)
|
|
|
|
3,404
|
|
|
Net increase in net assets resulting from operations
|
|
$
|
5,750
|
|
|
$
|
5,017
|
|
|
$
|
10,523
|
|
|
$
|
11,387
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Common Share Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted earnings per common share
|
|
$
|
0.38
|
|
|
$
|
0.34
|
|
|
$
|
0.70
|
|
|
$
|
0.76
|
|
|
Dividends and distributions declared per common share
|
|
$
|
0.36
|
|
|
$
|
0.36
|
|
|
$
|
0.71
|
|
|
$
|
0.71
|
|
|
Basic and diluted weighted average common shares
outstanding
|
|
|
14,982,857
|
|
|
|
14,982,857
|
|
|
|
14,982,857
|
|
|
|
14,982,793
|
|
|
WhiteHorse Finance, Inc.
|
|
Consolidated Schedule of Investments (Unaudited)
|
|
June 30, 2015
|
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
Investment Type(1)
|
|
Spread
Above
Index(2)
|
|
Interest
Rate(3)
|
|
Maturity
Date
|
|
Principal
Amount
|
|
|
Amortized
Cost
|
|
|
Fair
Value
|
|
|
Fair Value
As A
Percentage
Of Net Assets
|
|
|
North America
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt Investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Broadcasting
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Multicultural Radio Broadcasting, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+10.50%
|
|
11.50%
|
|
6/27/19
|
|
$
|
14,850
|
|
|
$
|
14,850
|
|
|
$
|
14,791
|
|
|
|
6.57%
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer Finance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Golden Pear Funding III, LLC(7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+10.25%
|
|
11.25%
|
|
6/25/20
|
|
|
25,000
|
|
|
|
24,709
|
|
|
|
24,750
|
|
|
|
10.99
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Revolving Loan
|
|
L+10.25%
|
|
11.25%
|
|
6/25/20
|
|
|
2,500
|
|
|
|
2,442
|
|
|
|
2,475
|
|
|
|
1.10
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oasis Legal Finance, LLC(7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
N/A(5)
|
|
10.50%
|
|
9/30/18
|
|
|
9,500
|
|
|
|
9,360
|
|
|
|
9,500
|
|
|
|
4.22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sigue Corporation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+10.00%
|
|
11.00%
|
|
12/27/18
|
|
|
25,000
|
|
|
|
24,623
|
|
|
|
24,950
|
|
|
|
11.08
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
62,000
|
|
|
|
61,134
|
|
|
|
61,675
|
|
|
|
27.39
|
|
|
Data Processing & Outsourced Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Future Payment Technologies, L.P.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+12.00%
|
|
13.00%
|
|
12/31/18
|
|
|
36,077
|
|
|
|
35,014
|
|
|
|
36,149
|
|
|
|
16.05
|
|
|
|
(1.00% Floor)
|
|
(2.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diversified Support Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expert Global Solutions, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+11.00%
|
|
12.50%
|
|
10/3/18
|
|
|
7,500
|
|
|
|
7,430
|
|
|
|
7,455
|
|
|
|
3.31
|
|
|
|
(1.50% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Orion Healthcorp, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+9.00%
|
|
11.00%
|
|
9/30/17
|
|
|
7,998
|
|
|
|
7,793
|
|
|
|
7,958
|
|
|
|
3.53
|
|
|
|
(2.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Smile Brands Group Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+6.25%
|
|
7.50%
|
|
8/16/19
|
|
|
11,790
|
|
|
|
11,612
|
|
|
|
10,022
|
|
|
|
4.45
|
|
|
|
(1.25% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
27,288
|
|
|
|
26,835
|
|
|
|
25,435
|
|
|
|
11.29
|
|
|
WhiteHorse Finance, Inc.
|
|
Consolidated Schedule of Investments (Unaudited) (Continued)
|
|
June 30, 2015
|
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment Type(1)
|
|
Spread
Above
Index(2)
|
|
Interest
Rate(3)
|
|
Maturity
Date
|
|
Principal
Amount
|
|
|
Amortized
Cost
|
|
|
Fair
Value
|
|
|
Fair Value
As A
Percentage
Of Net Assets
|
|
|
Electronic Equipment & Instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AP Gaming I, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+8.25%
|
|
9.25%
|
|
12/20/20
|
|
$
|
9,850
|
|
|
$
|
9,597
|
|
|
$
|
9,830
|
|
|
|
4.36%
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Food Retail
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crews of California, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+11.00%
|
|
12.00%
|
|
11/20/19
|
|
|
15,093
|
|
|
|
14,785
|
|
|
|
15,183
|
|
|
|
6.74
|
|
|
|
(1.00% Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Revolving Loan
|
|
L+11.00%
|
|
12.00%
|
|
11/20/19
|
|
|
1,501
|
|
|
|
1,402
|
|
|
|
1,510
|
|
|
|
0.67
|
|
|
|
(1.00% Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Delayed Draw
Term Loan
|
|
L+11.00%
|
|
12.00%
|
|
11/20/19
|
|
|
5,008
|
|
|
|
4,910
|
|
|
|
5,038
|
|
|
|
2.24
|
|
|
|
(1.00% Floor)
|
|
(1.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
21,602
|
|
|
|
21,097
|
|
|
|
21,731
|
|
|
|
9.65
|
|
|
Health Care Distributors
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive Decubitus Therapy, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
P+12.50%
|
|
15.75%
|
|
3/15/18
|
|
|
11,438
|
|
|
|
11,286
|
|
|
|
11,518
|
|
|
|
5.11
|
|
|
|
(3.25% Floor)
|
|
(3.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Revolving Loan
|
|
P+12.50%
|
|
15.75%
|
|
3/15/18
|
|
|
—
|
|
|
|
(22)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(3.25% Floor)
|
|
(3.00% PIK)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
P2 Newco Acquisition, Inc. (6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+8.50%
|
|
9.50%
|
|
10/22/21
|
|
|
6,000
|
|
|
|
5,949
|
|
|
|
5,958
|
|
|
|
2.65
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
17,438
|
|
|
|
17,213
|
|
|
|
17,476
|
|
|
|
7.76
|
|
|
Health Care Facilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Coastal Sober Living, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+9.25%
|
|
10.25%
|
|
6/30/19
|
|
|
42,130
|
|
|
|
41,462
|
|
|
|
42,046
|
|
|
|
18.67
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Grupo HIMA San Pablo, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+7.00%
|
|
8.50%
|
|
1/31/18
|
|
|
14,663
|
|
|
|
14,487
|
|
|
|
14,663
|
|
|
|
6.51
|
|
|
|
(1.50% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
N/A(5)
|
|
13.75%
|
|
7/31/18
|
|
|
1,000
|
|
|
|
966
|
|
|
|
997
|
|
|
|
0.44
|
|
|
|
|
|
|
|
|
|
|
57,793
|
|
|
|
56,915
|
|
|
|
57,706
|
|
|
|
25.62
|
|
|
Health Care Technology
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Client Network Services, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+13.00%
|
|
13.50%
|
|
4/24/19
|
|
|
17,992
|
|
|
|
17,686
|
|
|
|
18,064
|
|
|
|
8.02
|
|
|
|
(0.50% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Revolving Loan
|
|
P+12.00%
|
|
15.25%
|
|
4/24/19
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(3.25% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
17,992
|
|
|
|
17,686
|
|
|
|
18,064
|
|
|
|
8.02
|
|
|
Homebuilding
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Orleans Homebuilders, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+8.50%
|
|
10.50%
|
|
2/14/16
|
|
|
16,091
|
|
|
|
16,116
|
|
|
|
16,091
|
|
|
|
7.14
|
|
|
|
(2.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Integrated Telecommunication Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securus Technologies Holdings, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+7.75%
|
|
9.00%
|
|
4/30/21
|
|
|
9,090
|
|
|
|
9,057
|
|
|
|
8,881
|
|
|
|
3.94
|
|
|
|
(1.25% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WhiteHorse Finance, Inc.
|
|
Consolidated Schedule of Investments (Unaudited) (Continued)
|
|
June 30, 2015
|
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment Type(1)
|
|
Spread
Above
Index(2)
|
|
Interest
Rate(3)
|
|
Maturity
Date
|
|
Principal
Amount
|
|
|
Amortized
Cost
|
|
|
Fair
Value
|
|
|
Fair Value
As A
Percentage
Of Net Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil & Gas Drilling
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ProPetro Services, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+6.25%
|
|
7.25%
|
|
9/30/19
|
|
$
|
9,125
|
|
|
$
|
9,051
|
|
|
$
|
8,623
|
|
|
|
3.83%
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oil & Gas Exploration & Production
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Caelus Energy Alaska O3, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+7.50%
|
|
8.75%
|
|
4/15/20
|
|
|
13,000
|
|
|
|
12,843
|
|
|
|
11,882
|
|
|
|
5.27
|
|
|
|
(1.25% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Larchmont Resources, LLC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+7.25%
|
|
8.25%
|
|
8/7/19
|
|
|
1,985
|
|
|
|
2,021
|
|
|
|
1,772
|
|
|
|
0.79
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14,985
|
|
|
|
14,864
|
|
|
|
13,654
|
|
|
|
6.06
|
|
|
Other Diversified Financial Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RCS Capital Corporation(7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+10.50%
|
|
11.50%
|
|
4/29/21
|
|
|
17,750
|
|
|
|
17,826
|
|
|
|
17,644
|
|
|
|
7.83
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The Pay-O-Matic Corp.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
L+11.00%
|
|
12.00%
|
|
3/31/18
|
|
|
10,000
|
|
|
|
9,814
|
|
|
|
9,970
|
|
|
|
4.43
|
|
|
|
(1.00% Floor)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
27,750
|
|
|
|
27,640
|
|
|
|
27,614
|
|
|
|
12.26
|
|
|
Specialized Consumer Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pre-Paid Legal Services, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+9.00%
(1.25% Floor)
|
|
10.25%
|
|
7/1/20
|
|
|
18,000
|
|
|
|
17,816
|
|
|
|
18,072
|
|
|
|
8.02
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Specialized Finance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GMT Holdings 1, Ltd. & GMT Holdings 12, Ltd.(4) (6) (7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Lien Secured Term Loan
|
|
N/A(5)
|
|
10.00%
|
|
6/30/17
|
|
|
2,906
|
|
|
|
2,938
|
|
|
|
2,906
|
|
|
|
1.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trucking
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fox Rent A Car, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Lien Secured Term Loan
|
|
L+12.00%
|
|
12.19%
|
|
10/31/19
|
|
|
7,500
|
|
|
|
7,432
|
|
|
|
7,538
|
|
|
|
3.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Debt Investments
|
|
|
|
|
|
|
|
|
370,337
|
|
|
|
365,255
|
|
|
|
366,236
|
|
|
|
162.60
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity Investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diversified Support Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Constellation Health, LLC Warrants (6)
|
|
N/A
|
|
N/A
|
|
3/31/18
|
|
|
—
|
|
|
|
—
|
|
|
|
790
|
|
|
|
0.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Food Retail
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crews of California, Inc. Warrants (6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
163
|
|
|
|
0.07
|
|
|
Nicholas & Associates, LLC Warrants (6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
31
|
|
|
|
0.01
|
|
|
Pinnacle Management Group, LLC Warrants (6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
59
|
|
|
|
0.03
|
|
|
RC3 Enterprises, LLC Warrants (6)
|
|
N/A
|
|
N/A
|
|
12/31/24
|
|
|
—
|
|
|
|
—
|
|
|
|
17
|
|
|
|
0.01
|
|
|
|
|
|
|
|
|
|
|
—
|
|
|
|
—
|
|
|
|
270
|
|
|
|
0.12
|
|
|
Specialized Finance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NMFC Senior Loan Program I LLC Units (6)(7)(8)
|
|
N/A
|
|
N/A
|
|
6/10/19
|
|
|
—
|
|
|
|
20,120
|
|
|
|
20,200
|
|
|
|
8.97
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Equity Investments
|
|
|
|
|
|
|
|
|
|
|
|
|
20,120
|
|
|
|
21,260
|
|
|
|
9.44
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Investments
|
|
|
|
|
|
|
|
$
|
370,337
|
|
|
$
|
385,375
|
|
|
$
|
387,496
|
|
|
|
172.03%
|
|
|
(1)
|
Except as otherwise noted, all investments are non-controlled/non-affiliate investments as defined by the Investment Company Act of 1940, as amended (the "1940 Act"), and provide collateral for the Company's credit facility.
|
|
(2)
|
The investments bear interest at a rate that may be determined by reference to the London Interbank Offered Rate ("LIBOR" or "L") or the Prime Rate ("P"), which resets monthly, quarterly or semiannually.
|
|
(3)
|
The interest rate is the "all-in-rate" including the current index and spread, the fixed rate, and the payment-in-kind ("PIK") interest rate, as the case may be.
|
|
(4)
|
WhiteHorse Finance, Inc.'s investments in GMT Holdings 1, Ltd. and GMT Holdings 12, Ltd. are held through its subsidiary Bayside Financing S.A.R.L.
|
|
(5)
|
Interest rate is fixed and accordingly the spread above the index is not applicable.
|
|
(6)
|
Investment does not provide collateral for the Company's credit facility.
|
|
(7)
|
Not a qualifying asset under Section 55(a) of the 1940 Act. Under the 1940 Act, the Company may not acquire any non-qualifying asset unless, at the time the acquisition is made, qualifying assets represent at least 70% of total assets. Qualifying assets represent 82% of total assets.
|
|
(8)
|
Investment is a non-controlled affiliate investment as defined by the 1940 Act.
|
Logo - http://photos.prnewswire.com/prnh/20150505/213950LOGO
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/whitehorse-finance-inc-announces-second-quarter-2015-earnings-results-300124002.html
SOURCE WhiteHorse Finance, Inc.