MVC Capital (MVC) Agreement to Sell ...

MVC Capital (MVC) Agreement to Sell Its Investment in US Gas & Electric

Posted in the San Diego Forum

Mike Zaman

Henderson, NV

#1 Oct 4, 2013
Mike Zaman Reporting

MVC Capital, Inc.(NYSE:MVC)(the "Fund"), a publicly traded business development company that makes private debt and equity investments, announced today that an agreement has been reached to sell U.S. Gas & Electric, Inc.("USG&E" or the "Company"), MVC's largest portfolio holding, to United States Gas & Electric Holdings, Inc.("US Holdings"), a holding company primarily owned by Mr. Louis Beck, Mr. Lance T. Shaner and members of the management of USG&E.

The transaction, which is subject to regulatory approvals and various other closing conditions, including US Holdings successfully obtaining significant third-party financing, is expected to close by October 31, 2013. Upon satisfaction of the closing conditions, including establishment of an escrow, MVC expects to receive gross proceeds of approximately $97.2 million for its equity investment, resulting in a realized gain of approximately $96.7 million1 based upon a $500,000 equity investment made in August 2007. As of July 31, 2013, MVC's equity investment in the Company was valued at $92.7 million. In addition to the equity proceeds and upon closing, USG&E will also retire an approximate $10.2 million second lien loan previously provided by MVC. Since October 2012, MVC has received distributions from USG&E of approximately $10 million.

Source: http://globenewswire.com/news-release/2013/10...

Tell me when this thread is updated:

Subscribe Now Add to my Tracker

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

San Diego Discussions

Title Updated Last By Comments
News Third Day of Protests in El Cajon Turn Violent;... 4 hr Nero 1
Auto glass replacement in San diego 6 hr mall 1
News Police search for assault suspect in La Mesa 8 hr Go Blue Forever 1
looking for a girl to sext (Feb '12) 21 hr rickabshear73 3
Why are so many cops corrupt or mean? (Mar '11) Thu Go Blue Forever 320
Will San Diego Chimp Out? 🐒 🍉 &... Wed loot and scoot 1
News California police shoot man witnesses said was ... Wed Go Blue Forever 5

San Diego Jobs

More from around the web

Personal Finance

San Diego Mortgages