Stellus Capital Investment (SCM) Company Report

Stellus Capital Management, the external investment adviser to Stellus Capital Investment Corporation, has entered into a definitive agreement to be acquired by P10, Inc..
The transaction is anticipated to close in mid-2026.
This acquisition will result in a change of control for Stellus Capital Management, necessitating the termination of the current investment advisory agreement and requiring the approval of a new agreement by Stellus Capital Investment Corporation's Board and stockholders.
Stellus Capital Management, a U.S. direct lender, manages approximately $3.8 billion in assets.

2 days ago

8-K

Stellus Capital Investment Corporation Announces Q1 2026 Regular Dividend

SCM

Dividends

Stellus Capital Investment Corporation (SCM) announced a monthly dividend of $0.1133 for each of January, February, and March 2026, totaling $0.34 per share for the first quarter of 2026.
The regular dividend will be paid to shareholders of record in February, March, and April 2026.
The Chief Executive Officer, Robert T. Ladd, stated that the reduction in the regular dividend for the first quarter reflects the lower interest rate environment.

Jan 16, 2026, 10:37 PM

Press Release

Stellus Capital Investment Corporation Reports Q3 2025 Financial Results and Provides Q4 2025 Outlook

SCM

Earnings

Dividends

Guidance Update

Stellus Capital Investment Corporation (SCM) reported GAAP net investment income of $0.32 per share and core net investment income of $0.34 per share for the third fiscal quarter ended September 30, 2025. Net asset value per share decreased by $0.16 during the quarter, primarily due to $0.08 per share in dividend payments that exceeded earnings and $0.08 per share in net unrealized losses.
The investment portfolio at fair value increased to $1.01 billion across 115 companies as of September 30, 2025, up from $985.9 million as of June 30, 2025. During Q3 2025, SCM invested $51.3 million in five new portfolio companies and issued approximately 531,000 shares for $7.4 million under its ATM program.
SCM amended and extended its revolving credit facility, reducing the spread over the 30-day SOFR rate from 2.6% to 2.25% and upsizing the total committed amount from $315 million to $335 million. Additionally, $50 million of 7.25% 2030 notes were issued, bringing the total to $125 million.
Asset quality remains strong, with 82% of the portfolio rated 1 or 2 (on or ahead of plan) at fair value. Loans to five portfolio companies are on non-accrual, comprising 3.7% of the fair value of the total loan portfolio, a slight decrease from the prior quarter.
For Q4 2025, SCM expects $5 million in equity realizations with $3.8 million in associated gains, and has declared a $0.40 dividend. The company anticipates the investment portfolio to remain in excess of $1 billion at year-end 2025.

Nov 12, 2025, 4:00 PM

Transcript

Stellus Capital Investment Corporation Reports Third Fiscal Quarter 2025 Results

SCM

Earnings

Dividends

New Projects/Investments

Stellus Capital Investment Corporation reported U.S. GAAP net investment income of $0.32 per share and core net investment income of $0.34 per share for the fiscal quarter ended September 30, 2025.
The company's total portfolio reached $1.01 billion at fair value as of September 30, 2025, having funded $64 million in new investments and received $39 million in repayments during the quarter.
For the quarter ended September 30, 2025, Stellus Capital declared distributions of $0.40 per share , and its Net Asset Value Per Share was $13.05.

Nov 10, 2025, 9:13 PM

Press Release

Stellus Capital Investment Corporation Issues $50 Million in 7.250% Notes Due 2030

SCM

Debt Issuance

Stellus Capital Investment Corporation issued $50,000,000 aggregate principal amount of 7.250% Notes due 2030 on September 25, 2025.
This issuance brings the total outstanding aggregate principal amount of the 7.250% Notes due 2030 to $125,000,000.
The notes mature on April 1, 2030, and bear an interest rate of 7.250% per year, payable semi-annually on April 1 and October 1, commencing October 1, 2025.
The company expects to use the net proceeds from this offering to repay a portion of its 4.875% Notes due 2026.
The notes are direct unsecured obligations, ranking pari passu with existing and future unsecured, unsubordinated indebtedness, but are effectively subordinated to secured indebtedness.

Sep 26, 2025, 8:54 PM

8-K

Stellus Capital Investment Corporation prices public offering of 7.25% notes due 2030

SCM

Debt Issuance

Stellus Capital Investment Corporation priced a public offering of $50.0 million aggregate principal amount of 7.25% notes due 2030 on September 22, 2025.
This offering is an additional issuance, which will bring the total outstanding aggregate principal amount of Stellus' 7.25% notes due 2030 to $125.0 million upon issuance.
The company intends to use the net proceeds from this offering to repay a portion of its 4.875% notes due 2026, of which $100.0 million aggregate principal amount was outstanding as of September 19, 2025.

Sep 23, 2025, 12:00 PM

Press Release

Stellus Capital Investment Corp Amends Senior Secured Revolving Credit Agreement

SCM

Debt Issuance

Stellus Capital Investment Corporation (SCM) entered into a Sixth Amendment to its Amended and Restated Senior Secured Revolving Credit Agreement on September 11, 2025.
The amendment increased the commitment from $315 million to $335 million and the accordion cap from $350 million to $365 million.
Key dates were extended, with the Commitment Termination Date now September 11, 2029, and the Final Maturity Date now September 11, 2030.
Applicable margin rates were reduced, with Eurocurrency, SOFR, and Alternative Currency Loans ranging from 2.25% to 2.50%, and ABR and Canadian Prime Rate Loans ranging from 1.25% to 1.50%.
The company is required to prepay at least 50% of its Unsecured Notes by September 30, 2025, and the entire outstanding principal balance by January 1, 2026.