IPO - Sound Point Meridian Capital, Inc.

Form Type: N-2/A

Filing Date: 2025-03-07

Corporate Action: Ipo

Type: New

Accession Number: 000182912625001574

Filing Summary: Sound Point Meridian Capital, Inc. is a newly organized, externally managed, non-diversified closed-end management investment company registered under the Investment Company Act of 1940. The document, an amendment to its registration statement under both the Securities Act of 1933 and the Investment Company Act, outlines its intent to qualify as a regulated investment company (RIC) and describes its investment objectives focusing on generating high current income and capital appreciation primarily through investments in equity and mezzanine tranches of collateralized loan obligations (CLOs). The company was formed in May 2022, converted to a corporation in March 2024, and its common stock began trading on the NYSE in June 2024 following an initial public offering (IPO) of 4,000,000 shares at a public offering price of $20.00 per share. The filing indicates an offering of 4,052,100 shares of common stock for resale by B. Riley Principal Capital II, LLC, not directly by the company. The prospectus emphasizes the speculative nature of investments in CLO equity, highlighting substantial risks related to intense leverage and potential for loss. The company intends to make regular distributions from its investment company taxable income, though future distributions are not guaranteed and depend on various operational factors.

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Form Type: N-2

Filing Date: 2025-01-21

Corporate Action: Ipo

Type: New

Accession Number: 000182912625000239

Filing Summary: Sound Point Meridian Capital, Inc. is a newly organized, externally managed, non-diversified closed-end management investment company that has registered under the Investment Company Act of 1940. The company aims to generate high current income primarily through investing in equity and mezzanine tranches of collateralized loan obligations (CLOs) backed by below-investment grade U.S. senior secured loans. It has experienced an initial public offering (IPO) and plans to operate as a regulated investment company (RIC). Stock began trading on the NYSE under the symbol SPMC following its IPO on June 14, 2024, where it offered 4,000,000 shares at $20.00 each. The company has also moved to engage in further share offerings through a partnership with B. Riley Principal Capital II, LLC, with a plan to issue additional shares worth up to $25 million. Risks inherent to its investment strategy include exposure to highly leveraged CLO equity securities, which are considered speculative, and reliance on market dynamics to optimize investment yield. Regular distributions of income to stockholders are anticipated, with variability depending on operational performance. The summary encapsulates key details on the company's investment objective, formation, trading history, risks, and distribution plans.

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