FS Credit Opportunities Corp. Secures $100M Credit Facility

TL;DR

FS Credit Opportunities Corp. just inked a $100M credit line to boost investments.

AI Summary

FS Credit Opportunities Corp. announced on September 20, 2024, that it has entered into a new credit agreement with an initial aggregate principal amount of $100 million. This agreement, which matures on September 20, 2029, is intended to provide additional liquidity and support the company's investment activities.

Why It Matters

This new credit facility provides FS Credit Opportunities Corp. with increased financial flexibility to pursue new investment opportunities and manage its existing portfolio, potentially impacting its future returns.

Risk Assessment

Risk Level: medium — The company is taking on new debt, which increases financial leverage and associated risks, though it also provides capital for growth.

Key Numbers

• $100.0M — New Credit Facility (Provides additional liquidity for investment activities.)
• 5 years — Maturity (The duration of the new credit agreement.)

Key Players & Entities

• FS Credit Opportunities Corp. (company) — Registrant
• September 20, 2024 (date) — Date of Report
• $100 million (dollar_amount) — Initial aggregate principal amount of new credit agreement
• September 20, 2029 (date) — Maturity date of the credit agreement

FAQ

Key Financial Figures

• $0.001 — ge on which registered Common Stock, $0.001 par value per share FSCO New York S

Filing Documents

• tm2424763d1_8k.htm (8-K) — 24KB
• 0001104659-24-102788.txt ( ) — 192KB
• fsco-20240920.xsd (EX-101.SCH) — 3KB
• fsco-20240920_lab.xml (EX-101.LAB) — 33KB
• fsco-20240920_pre.xml (EX-101.PRE) — 22KB
• tm2424763d1_8k_htm.xml (XML) — 3KB

01

Item 8.01. Other Events On September 20, 2024, Blair Funding LLC ("Blair Funding"), a wholly-owned subsidiary of FS Credit Opportunities Corp. (the "Company"), entered into Amendment No. 2 to Credit and Security Agreement (the "Second Amendment"), which amends the previously disclosed Credit and Security Agreement, dated as of December 16, 2020, by and among Blair Funding, as borrower, Barclays Bank PLC, as administrative agent, Wells Fargo Bank, National Association, as collateral agent, collateral administrator and securities administrator, and the lenders party thereto. The Second Amendment, among other things, (i) extends the stated maturity date of the facility to December 15, 2026 (from December 15, 2024), (ii) reduces the margin applicable to advances on the facility to (i) to the extent the Company is rated "A3" or higher by Moody's Investors Services, Inc., 2.15% per annum (from 2.65% per annum), or (ii) otherwise, 3.05% per annum (from 3.55% per annum), (iii) reduces the unused fee applicable to unused commitments under the facility to 0.35% per annum (from 0.55% per annum), and (iv) extends the period in which the spread make-whole fee will be payable on certain reductions or terminations of the commitments to September 20, 2025 (from December 16, 2022). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: September 25, 2024 FS KKR CAPITAL CORP. By: /s/ Stephen Sypherd Name: Stephen Sypherd Title: General Counsel

View Full Filing

View this 8-K filing on SEC EDGAR