Princeton Capital Corp Files 10-Q for Period Ended March 31, 2024

TL;DR

<b>Princeton Capital Corporation filed its quarterly 10-Q report for the period ending March 31, 2024, detailing its financial status and operational compliance.</b>

AI Summary

PRINCETON CAPITAL CORP (PIAC) filed a Quarterly Report (10-Q) with the SEC on May 14, 2024. Princeton Capital Corporation filed a Form 10-Q for the quarterly period ended March 31, 2024. The company is incorporated in Maryland and has an IRS Employer Identification No. of 46-3516073. Its principal executive offices are located at 800 Turnpike Street, Suite 300, North Andover, Massachusetts, 01845. Princeton Capital Corporation has been subject to Section 13 or 15(d) filing requirements for the past 90 days. As of May 14, 2024, 120,486,061 shares of common stock were outstanding.

Why It Matters

For investors and stakeholders tracking PRINCETON CAPITAL CORP, this filing contains several important signals. This filing provides investors with an update on the company's financial performance and position as of the end of the first quarter of 2024. The 10-Q report is a standard requirement for public companies, ensuring transparency and regulatory compliance with the SEC.

Risk Assessment

Risk Level: low — PRINCETON CAPITAL CORP shows low risk based on this filing. The filing is a routine 10-Q, indicating standard operational and reporting procedures without immediate red flags.

Analyst Insight

Monitor future 10-Q filings for detailed financial performance metrics and any changes in operational status.

Key Numbers

• 120,486,061 — Outstanding Shares (As of May 14, 2024)
• 2024-03-31 — Reporting Period End Date (Form 10-Q)
• 2024-05-14 — Filing Date (Form 10-Q)

Key Players & Entities

• PRINCETON CAPITAL CORP (company) — Registrant
• March 31, 2024 (date) — Quarterly period ended
• Maryland (jurisdiction) — State of incorporation
• 46-3516073 (identifier) — I.R.S. Employer Identification No.
• 800 Turnpike Street, Suite 300 (address) — Address of principal executive offices
• North Andover (location) — City of principal executive offices
• 01845 (postal_code) — ZIP code of principal executive offices
• 120,486,061 (share_amount) — Shares of common stock outstanding as of May 14, 2024

FAQ

Risk Factors

• Filing Requirements [low — regulatory]: The company has filed all required reports for the preceding 12 months and has been subject to filing requirements for the past 90 days.
• Company Status [low — operational]: Princeton Capital Corporation is not a shell company and is identified as a non-accelerated filer and smaller reporting company.

Key Dates

• 2024-03-31: Quarterly Period End Date — End of the reporting period for the 10-Q filing.
• 2024-05-14: Filing Date — Date the 10-Q was officially filed with the SEC.

Key Financial Figures

• $0.001 — of shares of the issuer's Common Stock, $0.001 par value, outstanding as of May 14, 20

Filing Documents

• ea0205607-10q_princeton.htm (10-Q) — 1285KB
• ea020560701ex31-1_princeton.htm (EX-31.1) — 10KB
• ea020560701ex31-2_princeton.htm (EX-31.2) — 10KB
• ea020560701ex32_princeton.htm (EX-32) — 6KB
• 0001213900-24-042907.txt (&nbsp;) — 7406KB
• piac-20240331.xsd (EX-101.SCH) — 68KB
• piac-20240331_cal.xml (EX-101.CAL) — 23KB
• piac-20240331_def.xml (EX-101.DEF) — 236KB
• piac-20240331_lab.xml (EX-101.LAB) — 401KB
• piac-20240331_pre.xml (EX-101.PRE) — 231KB
• ea0205607-10q_princeton_htm.xml (XML) — 1722KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements 1 1 2 3 4 Schedule of Investments as of March 31, 2024 (unaudited) 5 Schedule of Investments as of December 31, 2023 8

Notes to Financial Statements (unaudited) as of March 31, 2024

Notes to Financial Statements (unaudited) as of March 31, 2024 11 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 31 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 41 Item 4.

Controls and Procedures

Controls and Procedures 41

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 42 Item 1A.

Risk Factors

Risk Factors 42 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 42 Item 3. Defaults Upon Senior Securities 42 Item 4. Mine Safety Disclosures 42 Item 5. Other Information 42 Item 6. Exhibits 42

SIGNATURES

SIGNATURES 43 - i -

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements PRINCETON CAPITAL CORPORATION March 31, 2024 (unaudited) December 31, 2023 ASSETS Control investments at fair value (cost of $ 27,353,273 and $ 27,353,273 , respectively) $ 16,141,570 $ 18,581,422 Non-control/non-affiliate investments at fair value (cost of $ 12,122,443 and $ 12,047,429 , respectively) 7,116,545 11,153,531 Total investments at fair value (cost of $ 39,475,716 and $ 39,400,702 , respectively) 23,258,115 29,734,953 Cash and cash equivalents 1,942,385 1,937,768 Restricted cash 42,188 41,891 Due from portfolio companies 28,072 26,592 Interest receivable, net of allowance for bad debt of $ 16,549 and $ 16,549 , respectively 524,946 525,685 Prepaid expenses 14,470 47,306 Total assets 25,810,176 32,314,195 LIABILITIES Accrued management fees 76,746 78,889 Accounts payable 293,632 159,472 Due to affiliates (1 ) 64,875 64,875 Taxes expense payable 65,939 64,537 Accrued expenses and other liabilities 38,372 41,860 Total liabilities 539,564 409,633 Net assets $ 25,270,612 $ 31,904,562 NET ASSETS Common Stock, par value $ 0.001 per share ( 250,000,000 shares authorized; 120,486,061 shares issued and outstanding at March 31, 2024 and December 31, 2023) $ 120,486 $ 120,486 Paid-in capital 64,868,884 64,868,884 Accumulated deficit ( 39,718,758 ) ( 33,084,808 ) Total net assets $ 25,270,612 $ 31,904,562 Net asset value per share $ 0.210 $ 0.265 (1) Amounts under Due to Affiliates are for accrued amounts payable to the Company's investment advisor, House Hanover, LLC for the reimbursement of administration fees that it incurs on the Company's behalf. See Note 7 of the Notes to Financial Statements. The accompanying notes are an integral part of these unaudited financial - 1 - PRINCETON CAPITAL CORPORATION (Unaudited) Three Months Ended March 31, 2024 20

NOTES TO FINANCIAL STATEMENTS

NOTES TO FINANCIAL STATEMENTS March 31, 2024 (Unaudited) NOTE 1 – NATURE OF OPERATIONS References herein to "we", "us" or "our" refer to Princeton Capital Corporation (the "Company" or "Princeton Capital"), unless the context specifically requires otherwise. Princeton Capital Corporation, a Maryland corporation, was incorporated under the general laws of the State of Maryland on July 25, 2013. We are a non-diversified, closed-end investment company that has filed an election to be regulated as a business development company ("BDC"), under the Investment Company Act of 1940, as amended (the "1940 Act"). A goal of a BDC is to annually qualify and elect to be treated as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code"). The Company, however, did not meet the requirements to qualify as a RIC for the 2023 tax year and will be taxed as a corporation under Subchapter C of the Code and does not expect to meet the qualifications of a RIC until such time as certain strategic alternatives are achieved. While we have sought to invest primarily in private small and lower middle-market companies in various industries through first lien loans, second lien loans, unsecured loans, unitranche and mezzanine debt financing, often times with a corresponding equity investment, we are now (with a strategic alternatives process underway and limited resources) investing only in current investments and otherwise conserving cash. Our investment objective is to maximize the total return to our stockholders in the form of current income and capital appreciation through debt and related equity investments. Prior to March 13, 2015, Princeton Capital's predecessor operated under the name Regal One Corporation ("Regal One"). Regal One had been located in Scottsdale, Arizona, and was a Florida corporation initially incorporated in 1959 as Electro-Mechanical Services Inc. Since inception, Regal One had been involved in s

NOTES TO FINANCIAL STATEMENTS

NOTES TO FINANCIAL STATEMENTS March 31, 2024 (Unaudited) On November 15, 2019, our Board announced that the Company has initiated a strategic review process to identify, examine, and consider a range of strategic alternatives available to the Company, including but not limited to, (i) selling the Company's assets to a business development company or other potential buyer, (ii) merging with another business development company, (iii) liquidating the Company's assets in accordance with a plan of liquidation, (iv) raising additional funds for the Company, or (v) otherwise entering into another business combination, with the objective of maximizing stockholder value. As of March 31, 2024 and through the date of filing this Quarterly Report, the Company has not entered into any agreements regarding any strategic alternative and the strategic process remains ongoing. NOTE 2 – SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America, ("U.S. GAAP"). In accordance with Regulation S-X under the Securities Act of 1933 and Securities Exchange Act of 1934, the Company does not consolidate portfolio company investments. The accounting records of the Company are maintained in U.S. dollars. As an investment company, as defined by the 1940 Act, the Company follows investment company accounting and reporting guidance of Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 946 – "Financial Services - Investment Companies", which is U.S. GAAP. In the opinion of management, all adjustments (consisting of normal recurring accruals) necessary for a fair presentation are reflected in the interim financial statements. The reported amounts for the three months ended March 31, 2024 may not be indicative of the results ultimately achieved for the year ended December 31, 2024 which will be presented

NOTES TO FINANCIAL STATEMENTS

NOTES TO FINANCIAL STATEMENTS March 31, 2024 (Unaudited) Valuation of Investments In accordance with U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the "exit price") in an orderly transaction between market participants at the measurement date. In determining fair value, our board of directors uses various valuation approaches. In accordance with U.S. GAAP, ASC 820 establishes a fair value hierarchy for inputs and is used in measuring fair value that maximizes the use of observable inputs and minimizes

View Full Filing

View this 10-Q filing on SEC EDGAR