MVC Capital (NYSE: MVC) today announced financial
results for the third quarter of fiscal 2005, which ended July 31,
2005. MVC Capital is a publicly traded business development company
that makes private debt and equity investments.
As indicated in the Fund's quarterly report on Form 10-Q filed with the Securities and Exchange Commission on September 8, 2005, net investment income for the three months ended July 31, 2005 was $2,479,050, compared to $281,243, for the three months ended July 31, 2004. In addition, the Fund recorded $7,830,787 in net realized and unrealized capital gains during the quarter, compared to $4,641,080 for the same quarter last year.
For the three months ended July 31, 2005, the increase in the Fund's net assets resulting from operations was $10,310,527, compared to the $4,922,323 increase recorded for the three month period ended July 31, 2004. As of July 31, 2005, the Fund's net assets were approximately $192 million compared to approximately $184 million at the beginning of the quarter taking into account a dividend of $0.12 per share declared by the board on July 11, 2005 and paid on July 29, 2005. Also during the quarter, the board of directors determined to set a policy of seeking to pay dividends on a quarterly basis.
During the quarter, the Fund committed a total of approximately $29.5 million to three new portfolio companies including BP Clothing, LLC, Ohio Medical Corporation, and Amersham Corp. In addition, the Fund committed a total of approximately $3.6 million in follow-on investments to existing portfolio companies including Impact Confections, Inc. and Timberland Machines and Irrigation, Inc. Also during the quarter, one of the Fund's legacy portfolio companies, Arcot Systems, Inc., repaid its outstanding loan in full allowing the Fund to recover approximately $2.6 million.
Subsequent to the quarter-end, the Fund announced that one of its legacy technology portfolio companies Sygate Technologies, Inc., had entered into a definitive agreement to be acquired by Symantec Corporation which resulted in a write up of the Fund's investment in Sygate by $3.3 million to $13 million as of August 16, 2005. On September 6, 2005, all 82,283 common shares of Mentor Graphics held in escrow which were received as partial consideration for the sale of 0-In Design Automation, Inc. were released from escrow. As of September 7, 2005, the market value of these freely-tradable shares was $698,583.
MVC Capital is a Business Development Company traded on the New York Stock Exchange that provides long-term debt and equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. For additional information about MVC Capital, please contact investor relations at 914.510.9400.
Forward-Looking Statements
The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements, and these factors are enumerated in the company's periodic filings with the Securities and Exchange Commission.
As indicated in the Fund's quarterly report on Form 10-Q filed with the Securities and Exchange Commission on September 8, 2005, net investment income for the three months ended July 31, 2005 was $2,479,050, compared to $281,243, for the three months ended July 31, 2004. In addition, the Fund recorded $7,830,787 in net realized and unrealized capital gains during the quarter, compared to $4,641,080 for the same quarter last year.
For the three months ended July 31, 2005, the increase in the Fund's net assets resulting from operations was $10,310,527, compared to the $4,922,323 increase recorded for the three month period ended July 31, 2004. As of July 31, 2005, the Fund's net assets were approximately $192 million compared to approximately $184 million at the beginning of the quarter taking into account a dividend of $0.12 per share declared by the board on July 11, 2005 and paid on July 29, 2005. Also during the quarter, the board of directors determined to set a policy of seeking to pay dividends on a quarterly basis.
During the quarter, the Fund committed a total of approximately $29.5 million to three new portfolio companies including BP Clothing, LLC, Ohio Medical Corporation, and Amersham Corp. In addition, the Fund committed a total of approximately $3.6 million in follow-on investments to existing portfolio companies including Impact Confections, Inc. and Timberland Machines and Irrigation, Inc. Also during the quarter, one of the Fund's legacy portfolio companies, Arcot Systems, Inc., repaid its outstanding loan in full allowing the Fund to recover approximately $2.6 million.
Subsequent to the quarter-end, the Fund announced that one of its legacy technology portfolio companies Sygate Technologies, Inc., had entered into a definitive agreement to be acquired by Symantec Corporation which resulted in a write up of the Fund's investment in Sygate by $3.3 million to $13 million as of August 16, 2005. On September 6, 2005, all 82,283 common shares of Mentor Graphics held in escrow which were received as partial consideration for the sale of 0-In Design Automation, Inc. were released from escrow. As of September 7, 2005, the market value of these freely-tradable shares was $698,583.
MVC Capital is a Business Development Company traded on the New York Stock Exchange that provides long-term debt and equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. For additional information about MVC Capital, please contact investor relations at 914.510.9400.
Forward-Looking Statements
The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements, and these factors are enumerated in the company's periodic filings with the Securities and Exchange Commission.
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