FS KKR Capital Corp Adds $900M Debt with 7.500% Notes

By Chris Stiles • Tuesday, June 09 12:35 • Permanent Link

FS KKR Capital Corp. completed a $900 million public offering of 7.500% unsecured notes due 2031, adding a new layer of long-term debt to its capital structure.

The company said the notes were sold in an aggregate principal amount of $900,000,000. It plans to use the net proceeds for general corporate purposes, including potentially repaying borrowings under credit facilities and certain existing notes.

The offering brings in a large fixed-rate financing package at 7.500% and extends the company’s debt maturity out to 2031. FS KKR did not disclose any change in proceeds versus a prior financing in the release, but the transaction size itself is clear: $900 million in new notes.

The notes were issued after the company lined up a broad syndicate of underwriters, with BofA Securities, BMO Capital Markets, J.P. Morgan, KKR Capital Markets, RBC Capital Markets and SMBC Nikko Securities America serving as joint book-running managers. Today the company's shares have moved 1.65% to a price of $10.815. If you want to know more, read the company's complete 8-K report here.

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