Eagle Point Credit Company Inc. Fourth Quarter Financial Results
Eagle Point Credit Company Inc. (NYSE:ECC) (the “Company”) today announced the Company’s net income and net asset value as of and for the period ended December 31, 2014 as well as portfolio activity through February 25, 2015.
FOURTH QUARTER HIGHLIGHTS
For the period from October 6, 2014 through December 31, 2014, the Company had net income of ($4.3) million, or ($0.30) per common share. The net asset value of the Company as of December 31, 2014 was $263.6 million, or $19.08 per common share. The net asset value as of December 31, 2014 reflected a mark-to-market loss of approximately ($0.66) per common share. The closing price of our common shares on December 31, 2014 was $20.10, representing a 5.35% premium to net asset value.
The total amount of capital invested between October 1, 2014 and December 31, 2014 was $96.8 million. This included 14 equity investments in collateralized loan obligations (“CLOs”) and one loan accumulation facility investment. The weighted average expected yield of these new investments is 15.38%.
As of December 31, 2014 on a look-through basis, the Company had exposure to approximately 1,019 unique corporate obligors. The largest look-through obligor represented 1.0% of the Company’s total assets. The top-ten largest look-through obligors represented 7.0% of the Company’s total assets.
PORTFOLIO ACTIVITY THROUGH FEBRUARY 25, 2015
Since the end of 2014, the Company has continued to deploy the balance of the un-invested proceeds from the Company’s initial public offering (“IPO”). As of February 25, 2015, the Company has fully deployed or committed to deploy all of the IPO proceeds. From January 1, 2015 through February 25, 2015, the Company made one additional CLO equity investment and opened 2 loan accumulation facilities. The weighted average expected yield on these new investments is 15.17%.
Since January 1, 2015, the Company has received cash distributions on its investment portfolio totaling $8.9 million.
The Company paid its initial distribution of $0.55 per common share for the quarter ended December 31, 2014 on January 26, 2015. That distribution represented approximately a 12% annualized rate, based on the Company’s IPO price of $20. The Company intends to pay its next quarterly distribution for the first quarter of 2015, which the Company expects to declare in the next two weeks. The Company expects the distribution to be in line with its prior distribution of 12% per annum of the IPO price.
The Company will host a conference call at 11:00 a.m. (Eastern Time) on Friday, February 27, 2015 to discuss the quarterly financial results and portfolio update. All interested parties may participate in the conference call by dialing (877) 201-0168 (domestic) or (647) 788-4901 (international), and entering Conference ID 65884154 approximately 10-15 minutes prior to the call. An archived replay of the call will be available shortly after the call until March 27, 2015. To hear the replay, please dial (855) 859-2056 (domestic) or (404) 537-3406 (international). For all replays, enter conference ID 65884154.
ABOUT EAGLE POINT CREDIT COMPANY
The Company is a non-diversified, closed-end management investment company. The Company’s investment objective is to generate high current income and capital appreciation primarily through investment in equity and junior debt tranches of collateralized loan obligations. The Company is externally managed and advised by Eagle Point Credit Management LLC. The principals of Eagle Point Credit Management LLC are Thomas P. Majewski, Daniel W. Ko and Daniel M. Spinner.
The Company closed its initial public offering on October 14, 2014. A registration statement relating to the Company’s common stock has been filed with, and declared effective by, the U.S. Securities and Exchange Commission. This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of the shares of common stock referred to in this press release in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of such state or jurisdiction.
Investors should consider the Company’s investment objectives, risks, charges and expenses carefully before investing. An investment in the Company is not appropriate for all investors, and the Company is not intended to be a complete investment program. Shares of closed-end investment companies frequently trade at a discount from their net asset value, which may increase investors’ risk of loss.
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 in the prospectus and the Company’s other filings with the SEC. 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.
Source: Eagle Point Credit Company
Sorry. No data so far.