Main Street Capital Corp.'s Proposed $300 Million Senior Unsecured Notes Due 2029 Rated 'BBB-'

NEW YORK (S&P Global Ratings) Jan. 10, 2024--S&P Global Ratings today assigned its 'BBB-' debt rating to Main Street Capital Corp.'s proposed issuance of $300 million senior unsecured notes due 2029. The company intends to use the net proceeds to repay debt, including existing borrowings under its two credit facilities ($493 million outstanding as of Sept. 30, 2023) or the $450 million unsecured notes due May this year. As of Sept. 30, 2023, Main Street (BBB-/Stable/--) had an asset coverage ratio of 248% and leverage--as measured by debt to adjusted total equity (ATE)--of 1.01x. We adjust equity by reversing the unrealized appreciation (or depreciation) on the balance sheet, as well as equity investments in leveraged finance companies or structured finance

...January 10, 2024 NEW YORK (S&P Global Ratings) Jan. 10, 2024--S&P Global Ratings today assigned its '###-' debt rating to Main Street Capital Corp.'s proposed issuance of $300 million senior unsecured notes due 2029. The company intends to use the net proceeds to repay debt, including existing borrowings under its two credit facilities ($493 million outstanding as of Sept. 30, 2023) or the $450 million unsecured notes due May this year. As of Sept. 30, 2023, Main Street (###-/Stable/--) had an asset coverage ratio of 248% and leverage--as measured by debt to adjusted total equity (ATE)--of 1.01x. We adjust equity by reversing the unrealized appreciation (or depreciation) on the balance sheet, as well as equity investments in leveraged finance companies or structured finance vehicles. As of Sept. 30, 2023, the company's nonaccrual loans were 3.8% of loans at cost, and payment-in-kind (PIK) income was 2.2% of gross investment income for the 12 months ended September 2023. We will monitor...

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