Business development company, Gladstone Capital (NASDAQ:GLAD) has priced a new baby bond issue with a coupon of 6.125%. This issue has a maturity date in 2023. They will sell 2 million shares with another 300,000 available for overallotment.
The new issue will pay quarterly interest payments and will trade under the permanent ticker of GLADD when it begins to trade in the next week or 2. Being that it is debt it is unlikely to trade on the OTC Grey market prior to permanent exchange trading.
The company does have a ‘term’ preferred outstanding (NASDAQ:GLADN) with a coupon of 6% which has a mandatory redemption in 2024.
It is likely we will buy a little of the new debt issue.