(By Balaseshan) Main Street Capital Corp. (NYSE:MAIN), a principal investment firm that primarily provides long-term debt and equity capital, said it has priced an underwritten public offering of 3.75 million shares of its common stock at $22.50 per share, a 5.1% discount to Wednesday's stock closing price.
Net proceeds from the offering, after deducting underwriting discounts and estimated expenses payable by Main Street, are expected to be about $80.8 million. The offering is subject to customary closing conditions and is expected to close on June 26, 2012.
The company has also granted the underwriters an option, exercisable for 30 days, to purchase up to 562,500 additional shares of common stock to cover over-allotments, if any.
Main Street plans to use the net proceeds from this offering, including the net proceeds from any exercise of the underwriters' over-allotment option, to make portfolio investments in accordance with its investment objective and strategies, and to make investments in marketable securities and idle funds investments.
The company also intends to use the net proceeds to repay outstanding debt borrowed under its credit facility, to pay operating expenses and other cash obligations, and for general corporate purposes.
The underwriters of this offering are Raymond James, Robert W. Baird & Co. Incorporated, BB&T Capital Markets, a division of Scott & Stringfellow, LLC, Sanders Morris Harris Inc., Janney Montgomery Scott LLC and Ladenburg Thalmann & Co. Inc.
MAIN is trading down 3.08% at $22.99 on Thursday. The stock has been trading between $15.98 and $26.76 for the past 52 weeks.