Solar Senior Capital is a business development company (BDC) that provides investors access to an illiquid private credit asset class through a yield-oriented, publicly-traded
common stock. The company has a pass-through structure that is designed to eliminate substantially all taxation at the investment company level and generates income from investments that are paid out to shareholders through monthly distributions.
We are externally managed by Solar Capital Partners, LLC, an independent investment advisor that is registered with the U.S. Securities and Exchange Commission. Solar Capital Partners uses its direct origination platform to source proprietary investment opportunities. The investment advisor applies a private equity approach to its comprehensive credit underwriting process, including in-depth due diligence and active structuring of investment terms.
Solar Senior Capital employs a value-oriented, fundamental credit underwriting approach to make investments primarily in senior secured loans of private, middle market companies. The investment objectives are to generate current income and to preserve capital. The portfolio principally consists of debt securities of non-cyclical companies that operate in a wide variety of industry groups and are predominantly domiciled in the U.S. On a selective basis, Solar Senior Capital makes strategic control investments in specialty finance companies whose portfolios consist of senior secured loans. Our sister company, Solar Capital invests primarily in senior secured loans and subordinated debt of private middle market companies.