Goldman Sachs BDC and Goldman Sachs Middle Market Lending to Merge

December 23, 2019

On December 9, 2019, Goldman Sachs BDC, Inc. announced that it had entered into an Agreement and Plan of Merger with Goldman Sachs Middle Market Lending Corp.

Pursuant to the agreement, Goldman Sachs BDC, Inc. (“GSBDC”) will issue 0.9939 of newly issued share for each Goldman Sachs Middle Market Lending Corp. (“MMLC”) share outstanding. GSBD and MMLC are both managed by Goldman Sachs Asset Management, L.P. The total consideration paid for MMLC will be approximately $1 billion, based on the closing price of GSBD shares on December 6, 2019. This amount represents an 11% premium to the net asset value of MMLC as determined on September 30, 2019. After the close of the transaction, the combined entity will trade under “GSBD” on the New York Stock Exchange. The transaction is expected to close in the second quarter of 2020.

GSBDC is a specialty finance company with a focus on making investments in U.S. middle market companies through direct origination of secured debt as well as select equity securities. BofA Securities, Inc. served as the sole financial advisor to the special committee of GSBDC.

MMLC also specializes in investments in U.S. middle market companies, through direct originations of secured debt, as well as select equity investments. It is externally managed by registered investment adviser, Goldman Sachs Asset Management, L.P.

To read the press release: please click here.


Categories

Investment Manager M&A, Transactions