IPO - Sound Point Meridian Capital, Inc.

Form Type: N-CSR

Filing Date: 2025-06-02

Corporate Action: Ipo

Type: New

Accession Number: 000182912625004103

Filing Summary: This document represents the inaugural annual report for Sound Point Meridian Capital, Inc. (SPMC) covering the fiscal period from June 13, 2024, to March 31, 2025, post its initial public offering (IPO) where 4 million shares were priced at $20.00 each. The report details investment performance, with a distribution of $2.08 per common share and a total return of 10.52% for investors since the IPO, outperforming relevant indices. SPMC's investment strategy focuses on equity and mezzanine tranches of collateralized loan obligations (CLOs), predominantly securing below-investment-grade U.S. senior secured loans. The report highlights various financial metrics including a NAV of $381.57 million as of the end of the reporting period, activity in debt financing agreements, a commitment to reinvestment plans, and the diversification of its investment portfolio across different CLOs and sectors. A planned declaration of future monthly common stockholder distributions is noted, as is a commitment to maintaining sustainable distributions despite market volatility. Finally, insights on the market conditions affecting leveraged loans and CLOs are provided, emphasizing the defensively positioned investment strategy that aims at protecting interests through investment cycles.

Form Type: N-2

Filing Date: 2025-03-24

Corporate Action: Ipo

Type: New

Accession Number: 000182912625002029

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 company focuses on generating high current income through investments primarily in equity and mezzanine tranches of collateralized loan obligations (CLOs) backed by below-investment-grade U.S. senior secured loans. The company transitioned from a Delaware limited liability company to a corporation on March 13, 2024, and began trading on the New York Stock Exchange under the ticker symbol 'SPMC' after an initial public offering of 4,000,000 common shares at $20.00 each on June 14, 2024. The prospectus outlines the offering of Series B Preferred Shares with a liquidation preference of $25 per share and aims to provide regular monthly distributions to shareholders. Investment strategies involve leveraged CLO equity typically ranging from nine to thirteen times leverage, and risks related to credit and liquidity are noted. The offering also includes redemption terms for the preferred shares, requiring maintenance of asset coverage as defined in applicable regulations.

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.

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.