OFS Capital completes acquisition of SBIC Fund

OFS Capital announced that it received approval from the Small Business Administration to acquire the remaining limited and general partnership interests of Tamarix Capital Partners, a small business investment company, or SBIC Fund. OFS Capital acquired the interests on December 4, which will result in the SBIC Fund becoming a wholly-owned drop-down unit of OFS Capital. The drop-down is anticipated to be finalized within the next 30 days and is contingent on OFS Capital meeting the SBA’s document delivery and capital funding requirements. In addition, OFS Capital’s exemptive relief application to the Securities and Exchange Commission became effective on November 26. The exemptive relief allows OFS Capital to exclude SBA guaranteed indebtedness from the definition of senior securities in the statutory 200% asset coverage ratio, allowing for greater capital deployment. OFS Capital acquired the partnership interests for approximately $8.1M. In connection with the acquisition, all employees of the SBIC Fund’s investment adviser, including its founder will join the investment adviser of the BDC.