Carlyle Secured Lending issues $300 million in 5.750% notes due 2031

Carlyle Secured Lending, Inc. (NASDAQ:CGBD), a business development company with a market capitalization of $865 million, announced the closing of a public offering of $300 million in aggregate principal amount of 5.750% notes due 2031. The transaction was completed on Tuesday in connection with a Third Supplemental Indenture entered into with U.S. Bank Trust Company, National Association, as trustee. According to InvestingPro data, the company maintains a strong dividend yield of 20.7% and has raised its dividend for 4 consecutive years.

According to a statement based on the company’s SEC filing, the notes will mature on February 15, 2031. Interest on the notes will accrue at a rate of 5.750% per year, beginning Tuesday, with payments scheduled semiannually on February 15 and August 15 of each year, starting February 15, 2026. The notes may be redeemed in whole or in part at Carlyle Secured Lending’s option at prices set forth in the indenture.

The company intends to use the net proceeds from the offering to repay outstanding debt, including its Senior Secured Revolving Credit Agreement, to fund new investment opportunities, and for general corporate purposes. With the stock currently trading near its 52-week low, investors seeking detailed analysis can access comprehensive financial health metrics and additional ProTips through InvestingPro’s exclusive research report.

The notes are direct unsecured obligations of Carlyle Secured Lending and rank equally with all existing and future unsubordinated unsecured indebtedness issued by the company. The indenture governing the notes includes covenants requiring compliance with certain sections of the Investment Company Act of 1940, as amended, and the provision of financial information to noteholders and the trustee if the company is no longer subject to SEC reporting requirements. These covenants are subject to limitations and exceptions described in the indenture.

In the event of a “change of control repurchase event,” which involves both a change of control and a below investment grade rating of the notes by Fitch Ratings, Inc. and Moody’s Investor Service, the company will generally be required to offer to repurchase the notes at 100% of principal plus accrued and unpaid interest.

The notes were offered and sold pursuant to Carlyle Secured Lending’s registration statement on Form N-2, as supplemented by related prospectus documents.

This article is based on a statement from the company’s recent SEC filing.

In other recent news, Carlyle Secured Lending Inc. reported its second-quarter 2025 earnings, showing a mixed financial performance. The company missed earnings per share (EPS) expectations, posting $0.20 compared to the forecasted $0.3925, resulting in a 49.04% negative surprise. However, the company’s revenue exceeded expectations, reaching $67.28 million, which is 11% higher than the anticipated $60.61 million. In a separate development, Raymond James upgraded Carlyle Secured Lending from Market Perform to Outperform. The upgrade is based on the company’s strong fundamentals, growth potential, and what Raymond James perceives as an underappreciated valuation. The firm has set a price target of $15.00 for the stock. These recent developments provide investors with key insights into the company’s current standing and future prospects.

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