FSK - The Big Boys Continue To Pile Into This Dividend Sector: Goldman Sachs BDC
On December 9, 2019, Goldman Sachs BDC (GSBD) announced a merger of GSBD and MMLC, an affiliated BDC managed by Goldman Sachs Asset Management, L.P. ("GSAM"). The transaction will result in increased earnings, special dividends in 2020, increased diversification, reduced non-accruals, approximately 5.5% accretion to GSBD's net asset value per share, based on GSBD's and MMLC's net asset values as of September 30, 2019.
Key Highlights of the Merger
- 5.5% increase in GSBD's book value/NAV
- Increased earnings now and later
- Increased portfolio yield and decreased borrowing costs
- GSBD's portfolio grows from $1.4 billion