PHILADELPHIA, PA – FS Investments, a leading alternative investment manager and the largest manager of business development companies (BDCs), announced that its BDC direct lending platform committed more than $1.4 billion in senior secured loans and other debt and equity financing to middle market companies in the first quarter of 2017. The directly originated investments supported seven new portfolio companies and provided financing to several existing portfolio companies during the quarter.
The commitments were provided by five BDCs managed by affiliates of FS Investments and sub-advised by GSO Capital Partners LP (GSO) or its affiliates: FS Investment Corporation (NYSE: FSIC), FS Investment Corporation II (FSIC II), FS Investment Corporation III (FSIC III), FS Investment Corporation IV (FSIC IV) and FS Energy and Power Fund (FSEP).
FS Investments’ directly originated transactions, which are unique to its BDCs and not typically accessible elsewhere, included investments in the following companies in the first quarter:
Jet Support Services Inc. (JSSI)
FSIC, FSIC II, FSIC III, FSIC IV and FSEP provided a new senior secured unitranche loan to JSSI. Based in Chicago, IL, JSSI is the world’s largest independent provider of hourly cost maintenance programs for aircraft engines, auxiliary power units and airframes.
United Subcontractors Inc. (USI)
FSIC, FSIC II, FSIC III and FSIC IV provided senior secured financing to support the acquisition of USI by Trilantic Capital Partners, a New York-based private equity firm with commitments throughout North America and Europe. USI is the nation’s third-largest provider of installation, construction and distribution services to residential and commercial construction markets.
Chisholm Oil and Gas Operating, LLC (Chisholm)
FSIC, FSIC II, FSIC III, FSIC IV and FSEP provided new financing to Chisholm to support the company’s acquisition of assets in Oklahoma’s STACK play. Headquartered in Tulsa, OK, Chisholm is a private equity-backed oil exploration and production company. Its management team has extensive experience finding and developing oil and gas assets across the Mid-Con and Bakken formations, the Gulf Coast and internationally.
ABOUT FS INVESTMENTS
FS Investments is a leading asset manager dedicated to helping individuals, financial professionals and institutions design better portfolios. The firm provides access to alternative sources of income and growth and focuses on setting industry standards for investor protection, education and transparency.
FS Investments is headquartered in Philadelphia, PA with offices in Orlando, FL and Washington, DC. The firm had more than $20 billion in assets under management as of March 31, 2017. Visit fsinvestments.com to learn more.
ABOUT BLACKSTONE AND GSO
Blackstone is one of the world’s leading investment firms. Blackstone seeks to create positive economic impact and long-term value for its investors, the companies it invests in, and the communities in which it works. The firm does this by using extraordinary people and flexible capital to help companies solve problems. Blackstone’s asset management businesses, with approximately $368 billion in assets under management as of March 31, 2017, includes investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.
GSO is the global credit investment platform of Blackstone. With approximately $93 billion of assets under management as of March 31, 2017, GSO is one of the largest alternative managers in the world focused on the leveraged-finance, or non-investment grade related, marketplace. GSO seeks to generate attractive risk-adjusted returns in its business by investing in a broad array of strategies including mezzanine debt, distressed investing, leveraged loans and other special-situation strategies. Its funds are major providers of credit for small and middle-market companies and they also advance rescue financing to help distressed companies.
Forward-Looking Statements and Important Disclosures
This press release may contain certain forward-looking statements, including statements with regard to the future performance or operations of FSIC, FSIC II, FSIC III, FSIC IV and FSEP. Words such as “believes,” “expects,” “projects” and “future” or similar expressions are intended to identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results to differ materially from those projected in these forward-looking statements, and some of these factors are enumerated in the filings FSIC, FSIC II, FSIC III, FSIC IV or FSEP make with the U.S. Securities and Exchange Commission. FSIC, FSIC II, FSIC III, FSIC IV or FSEP undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
FS Investments Media Team
Marc Yaklofsky / Kate Beers