Q3 2024 Great Elm Capital Corp Earnings Call
Is being recorded.
Speaker Change: It is now my pleasure to introduce your host <unk> with Investor Relations. Please go ahead Sir.
Speaker Change: Hello, and thank you everyone for joining us for Great Elm capital Corp's third quarter 2024 earnings conference call, if you'd like to be added to our distribution was you can email investor relations at great Caf Dot Com, where you can sign up for alerts directly on our website www Dot grade M. C C dot com I'd like to note.
Speaker Change: The slide presentation posted on our website accompanying today's call. The slide presentation can be found on our website under events and presentations on our website. You can also find our earnings release and SEC filings I'd like to call your attention to the customary safe Harbor statement regarding forward looking information also please note that nothing in today's call constitutes an offer to sell or a solicitation of offer.
Speaker Change: To purchase our securities.
Today's conference call includes forward looking statements and we ask that you refer to great Elm Capital Corp, 's filings with the SEC for important factors that could cause actual results to differ materially from these statements.
Speaker Change: Capital Corp, does not undertake to update forward looking statements unless required by law to obtain copies of our SEC filings. Please visit great Elm capital Corp's website under financials, SEC filings or visit the Sec's website.
Speaker Change: In our call today is Matt Kaplan, Great Elm capital Corp's, Chief Executive Officer, who will be joined by Chief Financial Officer, Terry Davis, Chief Compliance Officer, Adam Kleinman, and Mike <unk> President of Great Specialty Finance I will now turn the call over to G. C C CEO, Matt Kaplan.
Matt Kaplan: Thanks, Peter and thank you all for joining us today.
Matt Kaplan: I'm pleased to report, we had a busy and a record setting quarter for GE ACC Recompete.
Matt Kaplan: We completed a $22 million tack onto the G. CCI bonds in July with an institutional investor utilizing our stuff for the first time.
Matt Kaplan: In August we closed the second CLO and our recently formed CLO JV.
Matt Kaplan: We continue to believe that our CLO joint venture will become an increasingly significant source of income for <unk> as we continue to expand the vertical targeting high teens to 20% returns over time.
Matt Kaplan: With this foundation in place we are well situated to capitalize on the CLO asset class, which has historically demonstrated resilience across various market cycles.
Matt Kaplan: <unk> represent one of the most established forms of nonrecourse finance bank loans, making them an attractive addition to our investment strategy.
Matt Kaplan: Moving onto our capital structure during the quarter. We also successfully issued $36 million of eight 8% <unk> notes due 2029, and the underwriters exercised their full shoe for an additional $5 $4 million in October.
Matt Kaplan: We subsequently used the net proceeds along with available cash to redeem all outstanding six and three quarter percent Ge's ECM notes due January 2025.
Matt Kaplan: The refinancing extends our debt maturity profile into 2026 and beyond providing us with enhanced financial flexibility overall, we delivered a solid quarter of results supported by our enhanced investment platform strengthened balance sheet and diversified portfolio. These core strengths create a strong framework.
Speaker Change: Execute on as we seek to further advance our long term growth strategy with that I'd like to hand, the call over to Terry Davis to discuss our third quarter 2020 for performance.
Terry Davis: Cost, including head count reductions and separating with the CEO I have stepped in as CEO upgrade home health care finance and and focused on implementing strategic initiatives to reposition the platform for future success.
Terry Davis: Overall in spite of a challenging quarter I am optimistic that our efforts to drive further growth and profitability at grade on specialty finance will pay off.
Speaker Change: Thanks, Mike.
Speaker Change: Closing, we delivered a strong third quarter generating NII above our quarterly distribution, while maintaining stable NAV.
Speaker Change: Looking ahead, we believe we remain well positioned to maintain our dividend coverage and continue delivering attractive risk adjusted returns to our shareholders.
Speaker Change: With that I'll turn the call over to the operator for questions operator.
Speaker Change: Thank you.
Ladies and gentlemen, we will now be conducting a question and answer session.
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Speaker Change: Ladies and gentlemen, we will wait for a moment, while we poll for questions.