MidCap Financial Investment Corporation (NASDAQ: MFIC), Apollo Senior Floating Rate Fund Inc. (NYSE: AFT), and Apollo Tactical Income Fund Inc. (NYSE: AIF) have announced the expected closing date for their mergers, which are currently expected to close on Monday, July 22, 2024. An affiliate of Apollo Global Management Inc. will make a special cash payment of $0.25 per share to each AFT and AIF stockholder in connection with the closing, which will be payable on or around July 22, 2024, to AFT and AIF stockholders of record as of the closing date of the mergers.
Additionally, the previously declared pre-merger distributions for AFT and AIF were declared on July 1, 2024. The distribution amount per share for AFT is $0.2463, and for AIF is $0.2862. Upon the closing of the mergers, stockholders of each CEF will receive a number of MFIC shares based on the ratio of the net asset value (“NAV”) per share of the applicable CEF divided by the NAV per share of MFIC.
Following the closing of the mergers, the common stock of MFIC, as the surviving entity, will continue to trade on the NASDAQ Global Select Market under the ticker symbol “MFIC,” while shares of AFT and AIF common stock are expected to cease trading on the New York Stock Exchange following the close of regular trading on July 19, 2024.
In connection with the mergers, Lazard served as financial advisor and Proskauer Rose LLP as legal counsel to the special committee of MFIC. Keefe, Bruyette & Woods Inc., a Stifel company, served as financial advisor and Dechert LLP as legal counsel to the special committees of the CEFs. Simpson Thacher & Bartlett LLP served as legal counsel to MFIC, AFT, and AIF with respect to the mergers.
MidCap Financial Investment Corporation (NASDAQ: MFIC) is a closed-end, externally managed, diversified management investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. MFIC's investment objective is to generate current income and, to a lesser extent, long-term capital appreciation. MFIC primarily invests in directly originated and privately negotiated first lien senior secured loans to privately held U.S. middle-market companies, among other types of securities. The market has reacted to these announcements by moving the company's shares 0.4% to a price of $15.62. For the full picture, make sure to review MidCap Financial Investment's 8-K report.
