Business development company Stellus Capital (SCM) is selling a new $1,000 note issue with the intention to use the proceeds to redeem the $25/share baby bonds 5.75% notes due 2022.
This is another instance of a company choosing to offer institutional bonds instead of selling $25/share retail focused shares.
The announcement is contained in the prospectus for the $1,000 notes which can be read here.
No loss will be incurred on the call as the issue is trading at $25.19 and there is accrued interest which will have to be paid on the call.
J made note of the selling of the $1,000 issue.