NMFC Issues 8.250% Notes Due 2028, Registered on NASDAQ

TL;DR

**NMFC just took on new debt with 8.250% notes due 2028, impacting future earnings.**

AI Summary

New Mountain Finance Corporation (NMFC) filed an 8-K on February 1, 2024, to report the entry into a material definitive agreement and the creation of a direct financial obligation. Specifically, the company issued 8.250% Notes due 2028, which are now registered on the NASDAQ Global Select Market. This matters to investors because it indicates NMFC is taking on new debt to fund its operations or investments, and the 8.250% interest rate reflects the cost of that capital, impacting future earnings.

Why It Matters

This new debt issuance provides New Mountain Finance Corporation with capital, but also adds to its financial obligations, which could affect its profitability and risk profile for shareholders.

Risk Assessment

Risk Level: medium — The issuance of new debt, especially with an 8.250% interest rate, increases the company's financial leverage and interest expense, which can be a medium risk if not managed effectively.

Analyst Insight

A smart investor would monitor NMFC's upcoming earnings reports to assess the impact of the 8.250% Notes on interest expense and net income, and evaluate how the proceeds from this debt are being deployed.

Key Numbers

• 8.250% — Interest Rate (The annual interest rate on the newly issued notes, indicating the cost of borrowing for NMFC.)
• 2028 — Maturity Year (The year when the principal amount of the notes will be due, providing a timeline for the debt obligation.)

Key Players & Entities

• New Mountain Finance Corporation (company) — the registrant filing the 8-K
• NASDAQ Global Select Market (company) — the exchange where the notes are registered
• February 1, 2024 (date) — date of earliest event reported and filing date
• 8.250% (dollar_amount) — interest rate of the notes
• 2028 (date) — maturity year of the notes

Forward-Looking Statements

• NMFC's interest expense will increase in upcoming financial reports due to the 8.250% Notes. (New Mountain Finance Corporation) — high confidence, target: Q1 2024 Earnings Report
• The new debt will be used to fund new investments or refinance existing debt. (New Mountain Finance Corporation) — medium confidence, target: Next Earnings Call

FAQ

Key Financial Figures

• $0.01 — ich registered Common stock, par value $0.01 per share NMFC NASDAQ Global Select Mar
• $300 million — s to the Company's issuance and sale of $300 million aggregate principal amount of the Compa

Filing Documents

• nmfc-20240201.htm (8-K) — 41KB
• exhibit42-8xksupplementali.htm (EX-4.2) — 132KB
• exhibit51-8xksupplementali.htm (EX-5.1) — 22KB
• eslogo.jpg (GRAPHIC) — 45KB
• 0001628280-24-002942.txt ( ) — 461KB
• nmfc-20240201.xsd (EX-101.SCH) — 3KB
• nmfc-20240201_def.xml (EX-101.DEF) — 16KB
• nmfc-20240201_lab.xml (EX-101.LAB) — 30KB
• nmfc-20240201_pre.xml (EX-101.PRE) — 16KB
• nmfc-20240201_htm.xml (XML) — 4KB

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description 4.1 Indenture by and between New Mountain Finance Corporation, as Issuer, and U.S. Bank National Association, as Trustee, dated August 20, 2018 (Incorporated by reference to the registrant's registration statement on Form N-2 Post-Effective Amendment No. 3 (File No. 333-218040) filed on August 20, 2018). 4.2 Fifth Supplemental Indenture by and between the Company and U.S. Bank Trust Company, National Association (as successor in interest to U.S. Bank National Association), as trustee. 4.3 Form of 6.875 % Notes due 2029 (Incorporated by reference to Exhibit 4.2 hereto). 5.1 Opinion of Eversheds Sutherland (US) LLP. 23.1 Consent of Eversheds Sutherland (US) LLP ( I nclud ed in Exhibit 5.1 hereto). 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. NEW MOUNTAIN FINANCE CORPORATION Date: February 1, 2024 By: /s/ Joseph W. Hartswell Name: Joseph W. Hartswell Title: Chief Compliance Officer and Corporate Secretary

View Full Filing

View this 8-K filing on SEC EDGAR