Life Science Program
Life Science Program
News Article | February 22, 2017
NEW YORK, NY--(Marketwired - Feb 22, 2017) - Solar Senior Capital Ltd. (the "Company" or "SUNS") ( : SUNS), today reported net investment income of $5.6 million, or $0.35 per average share, for the quarter ended December 31, 2016. For fiscal year 2016, net investment income was $18.3 million, or $1.42 per average share. At December 31, 2016, the net asset value (NAV) per share was $16.80, a modest increase from the prior quarter. At year end, the fair value of the Company's Comprehensive Investment Portfolio* was $429.3 million. The Company also announced that its Board of Directors declared a monthly distribution of $0.1175 per share for March 2016, which will be payable on April 4, 2017 to stockholders of record on March 23, 2017. Tax characteristics of all distributions will be reported to shareholders on Form 1099 after the end of the calendar year. HIGHLIGHTS: At December 31, 2016: Comprehensive Investment portfolio* fair value: $429.3 million Number of portfolio companies*: 57 Net assets: $269.1 million Net asset value per share: $16.80 Portfolio Activity** for the Quarter Ended December 31, 2016 Investments made during the quarter: $102.4 million Investments prepaid or sold during the quarter: $66.8 million Portfolio Activity** for the Year Ended December 31, 2016 Investments made during the year: $209.5 million Investments prepaid or sold during the year: $133.1 million Operating Results for the Quarter Ended December 31, 2016 Net investment income: $5.6 million Net realized and unrealized gain: $0.3 million Net increase in net assets from operations: $6.0 million Net investment income per share: $0.35 Operating Results for the Year Ended December 31, 2016 Net investment income: $18.3 million Net realized and unrealized gain: $5.9 million Net increase in net assets from operations: $24.3 million Net investment income per share: $1.42 * The Comprehensive Investment Portfolio is comprised of the Company's investment portfolio, including its equity investment in Gemino Healthcare Finance ("Gemino"), as well as the senior secured loans held by the First Lien Loan Program ("FLLP") attributable to the Company (but excluding the equity interest in FLLP). ** Excludes FLLP membership interests and includes investment activity within FLLP attributable to the Company. "Our solid performance in the fourth quarter capped a strong year, with 25% growth in our Comprehensive Investment Portfolio and GAAP Net investment Income that fully covered our distributions," said Michael Gross, Chairman and CEO of Solar Senior Capital Ltd. "As we look to 2017, we are excited by the growth prospects for SUNS. Our core portfolio, FLLP, and Gemino are well positioned to increase their investment income contributions during this year. Additionally, we expect our new $75 million equity commitment to the Solar Life Science Program LLC to generate a mid-to-high teens return on equity, once fully ramped. As we deploy our available capital, including through this new strategic initiative, we expect to achieve significant growth in investment income." The Company will host an earnings conference call and audio webcast at 11:00 a.m. (Eastern Time) on Thursday, February 23, 2017. All interested parties may participate in the conference call by dialing (844) 889-7785 approximately 5-10 minutes prior to the call; international callers should dial (661) 378-9929. Participants should reference Solar Senior Capital Ltd. and the participant passcode of 49634848 when prompted. Following the call you may access a replay of the event via audio webcast. This conference call will be broadcast live over the Internet and can be accessed by all interested parties through the Solar Senior Capital Ltd. website, www.solarseniorcap.com. To listen to the live call, please go to the Company's website at least 15 minutes prior to the start of the call to register and download any necessary audio software. For those who are not able to listen to the live broadcast, a replay will be available shortly after the call on the Solar Senior Capital Ltd. website. Additionally, a telephone replay will be available until March 9, 2017 and can be accessed by dialing (855) 859-2056 and using the passcode 49634848. International callers should dial (404) 537-3406. On January 10, 2017, the Company increased the commitments to its Credit Facility by $25 million, bringing total commitments to $200 million. During the three months ended December 31, 2016 and including activity in FLLP attributable to the Company, gross originations totaled $102.4 million across thirteen portfolio companies. Investments repaid or sold during the quarter ended December 31, 2016 totaled approximately $66.8 million, including repayments within FLLP attributable to the Company. During the fiscal year ended December 31, 2016, the Company had gross investments of approximately $209.5 million across 34 portfolio companies, including our ownership of investments made by FLLP. Investments sold or prepaid during the fiscal year ended December 31, 2016 totaled $133.1 million including repayments within FLLP attributable to the Company. At December 31, 2016, the weighted average yield on SUNS' income producing investments was 7.8%, measured at fair value, and 7.7% measured at amortized cost. As of December 31, 2016, we had one issuer on non-accrual status, representing 1.8% of the cost and 0.90% of the fair value of the investment portfolio, pro forma for a partial repayment in January 2017. The characteristics of our Comprehensive Investment Portfolio at December 31, 2016 were as follows: The comprehensive portfolio is diversified across 57 issuers in 25 industries, with an average issuer exposure of $7.5 million, or 1.8% of the portfolio, at December 31, 2016. At December 31, 2016, Gemino's $114.4 million funded portfolio consists of senior secured loans from 35 issuers with an average funded exposure of $3.3 million. All of the commitments from Gemino are floating rate, senior secured loans. During the quarter ended December 31, 2016, Gemino had $0.9 million of funded originations and had approximately $6.4 million of funded commitments repaid. During the year ended December 31, 2016, Gemino funded originations of $21.6 million across seven portfolio companies and had full repayments of $37.8 million from five portfolio companies over the same period. For the quarter ended December 31, 2016, Gemino distributed $924 thousand to SUNS, resulting in an annualized distribution yield to SUNS, at average cost, of 11.25%. For the year ended December 31, 2016, Gemino distributed $3.9 million to SUNS, including the special dividend paid in the quarter ended March 31, 2016. At December 31, 2016, the fair value of FLLP's investment portfolio was $117.3 million, consisting of senior secured loans from 25 issuers with an average issuer exposure of $4.7 million. All of the loans in FLLP are floating rate, senior secured loans. During the quarter ended December 31, 2016, FLLP funded $26.6 million across six portfolio companies and had repayments of $16.5 million over the same period. During the year ended December 31, 2016, FLLP funded $66.7 million across sixteen portfolio companies and had repayments of $24.2 million over the same period. At December 31, 2016, the weighted average yield of FLLP's portfolio was 6.6%, measured at fair value, and 6.5%, measured at cost. For the quarter ended December 31, 2016, FLLP distributed $894 thousand to the Company. FLLP's annualized distribution yield to the Company, at average cost, for the quarter ended December 31, 2016 was approximately 9.8%. For the year ended December 31, 2016, FLLP distributed $3.3 million to the Company. As of December 31, 2016, 100% of FLLP's portfolio was performing. During the fourth quarter, the Company funded an additional $9.7 million of its equity commitment to FLLP. As of December 31, 2016, the Company and Voya had contributed combined equity capital in the amount of $47.1 million to FLLP, out of the total commitment of $58.0 million, and FLLP had borrowings of $75.9 million outstanding under its credit facility. The Company puts its largest emphasis on risk control and credit performance. On a quarterly basis, or more frequently if deemed necessary, the Company formally rates each portfolio investment on a scale of one to four, with one representing the least amount of risk. As of December 31, 2016, the composition of the portfolio, on a risk ratings basis, was as follows: Solar Senior Capital Ltd.'s Results of Operations for Fiscal Year Ended December 31, 2016 compared to the Fiscal Year Ended December 31, 2015 For the fiscal years ended December 31, 2016 and December 31, 2015, gross investment income totaled $27.2 million and $25.4 million, respectively. The increase in gross investment income from fiscal year 2015 to fiscal year 2016 was primarily due to growth of the income producing investment portfolio, including the continued growth of the FLLP portfolio. Net expenses totaled $8.9 million and $10.1 million, respectively, for the fiscal years ended December 31, 2016 and December 31, 2015. The decrease in net expenses for the year ended December 31, 2016 was primarily due to the waiver of base management and performance-based incentive fees, as well as reduced interest costs from both lower average borrowing year over year and the lack of credit facility amendment costs in 2016. For the fiscal years ended December 31, 2016 and December 31, 2015, $2.0 million and $0.7 million, respectively, of management and performance-based incentive fees were voluntarily waived by the Company's investment manager. Net investment income was $18.3 million or $1.42 per average share and $15.4 million and $1.33 per average share for the fiscal years ended December 31, 2016 and 2015, respectively. Net realized and unrealized gains for the fiscal years ended December 31, 2016 and 2015 totaled approximately $5.9 million and ($14.3) million, respectively. For the fiscal years ended December 31, 2016, and December 31, 2015, the Company had a net increase in net assets resulting from operations of $24.3 million and $1.0 million, respectively. For the same periods, earnings per average share were $1.88 and $0.09, respectively. At December 31, 2016, the Company had $98.3 million in borrowings outstanding on its Credit Facility and $76.7 million of unused debt capacity, subject to borrowing base limits. Pro forma for the $25 million increase in commitments, the Company had approximately $102 million of unused debt capacity. When considering the unused debt capacity of the FLLP credit facility, combined with the Company's balance sheet, as well as full anticipated leverage on the $75 million of equity raised in September, 2016, available capital is approximately $140 million, subject to borrowing base limitations. About Solar Senior Capital Ltd. Solar Senior Capital Ltd. is a closed-end investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. The Company invests primarily in leveraged, middle market companies in the form of senior secured loans including first lien and second lien debt instruments. Forward-Looking Statements Statements included herein may constitute "forward-looking statements," which relate to future events or our future performance or financial condition. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission. Past performance is not indicative of future results and there is no guarantee that any of the expectations, targets or projections referenced herein will be achieved. Solar Senior Capital Ltd. undertakes no duty to update any forward-looking statements made herein.
News Article | February 22, 2017
NEW YORK, NY--(Marketwired - Feb 22, 2017) - Solar Capital Ltd. ("Solar Capital") ( : SLRC) and Solar Senior Capital Ltd. ("Solar Senior") ( : SUNS) today announced that they have formed Solar Life Science Program LLC ("LSJV") with Deerfield Management. Founded in 1994, Deerfield Management is a private investment firm with over $8 billion in assets under management. The firm specializes in healthcare investing, from seed stage to mature companies across all segments of healthcare. Including anticipated leverage, LSJV's total investable capital is expected to be approximately $700 million. LSJV is expected to invest the majority of its assets in first lien loans to publicly-traded companies in the U.S. life science industry. Aside from the larger enterprise value of the targeted companies, the business model is consistent with the loans currently being originated by Solar Capital Partners' life science lending team. Solar Capital, Solar Senior, affiliates of the joint venture between Solar Capital Partners and PIMCO, and Deerfield Management have committed equity capital of up to $350 million to LSJV, subject to certain conditions. The individual organizations' specific commitments are $50 million, $75 million, $75 million and $150 million, respectively. Once a sufficient number of investments have been made, LSJV is expected to be levered up to approximately 1.0x debt-to-equity, based on discussions with third party debt providers. LSJV is expected to generate a mid-to-high-teens return on equity, consistent with the returns Solar Capital and Solar Senior have achieved on their realized life science investments to date. "We are thrilled to add another initiative to our life science platform through this partnership with Deerfield Management," said Michael Gross, Chairman and CEO of Solar Capital Ltd and Solar Senior Capital Ltd. "LSJV enables our life science team to include public, later stage, larger enterprise value companies in our target market. In our opinion, these larger companies present an attractive investment opportunity due to their more advanced product pipeline, as well as their access to public equity capital. We view Deerfield's expertise in the healthcare sector as a valuable addition to the initiative." Solar Capital Ltd. is a closed-end investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. The Company invests primarily in leveraged, middle market companies in the form of senior secured loans, unitranche loans, mezzanine loans and equity securities. Solar Senior Capital Ltd. is a closed-end investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. The Company invests primarily in leveraged, middle market companies in the form of senior secured loans including first lien and second lien debt instruments. Deerfield is an investment management firm committed to advancing healthcare through investment, information and philanthropy. For more information, please visit www.deerfield.com Statements included herein may constitute "forward-looking statements," which relate to future events or our future performance or financial condition. These statements are not guarantees of future performance, conditions or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission. Past performance is not indicative of future results and there is no guarantee that any of the expectations, targets or projections referenced herein will be achieved. Solar Capital Ltd. and Solar Senior Capital Ltd. undertake no duty to update any forward-looking statements made herein.
Crampton M.,University of Delaware |
Crampton M.,Delaware State University |
Ryan A.,Life science Program |
Eckert C.,Life science Program |
And 2 more authors.
Applied and Environmental Microbiology | Year: 2014
The use of green roofs is a growing practice worldwide, particularly in densely populated areas. In an attempt to find new methods for recycling crumb rubber, incorporation of crumb rubber into artificial medium for plant growth in green roofs and similar engineered environments has become an attractive option for the recycling of waste tires. Though this approach decreases waste in landfills, there are concerns about the leaching of zinc and other heavy metals, as well as nutrient and organic compounds, into the environment. The present study analyzed the impact of leachate from crumb rubber and zinc on the growth and viability of Salmonella enterica subsp. enterica serovar Typhimurium. Zinc was chosen for further studies since it has been previously implicated with other biological functions, including biofilm formation, motility, and possible cross-resistance to antimicrobial agents. The study showed that Salmonella can colonize crumb rubber and that crumb rubber extract may provide nutrients that are usable by this bacterium. Salmonella strains with reduced susceptibility (SRS) to zinc were obtained after subculturing in increasing concentrations of zinc. The SRS exhibited differences in gene expression of flux pump genes zntA and znuA compared to that of the parent when exposed to 20mMadded zinc. In biofilm formation studies, the SRS formed less biofilm but was more motile than the parental strain. © 2014, American Society for Microbiology.
Treese D.P.,Environmental Engineering Program |
Clark S.E.,Environmental Engineering Program |
Baker K.H.,Life science Program
Advances in Civil Engineering | Year: 2012
Subsurface infiltration and surface bioretention systems composed of engineered and/or native soils are preferred tools for stormwater management. However, the disturbance of native soils, especially during the process of adding amendments to improve infiltration rates and pollutant removal, may result in releases of nutrients in the early life of these systems. This project investigated the nutrient release from two soils, one disturbed and one undisturbed. The disturbed soil was collected intact, but had to be air-dried, and the columns repacked when soil shrinkage caused bypassing of water along the walls of the column. The undisturbed soil was collected and used intact, with no repacking. The disturbed soil showed elevated releases of nitrogen and phosphorus compared to the undisturbed soil for approximately 0.4 and 0.8m of runoff loading, respectively. For the undisturbed soil, the nitrogen release was delayed, indicating that the soil disturbance accelerated the release of nitrogen into a very short time period. Leaving the soil undisturbed resulted in lower but still elevated effluent nitrogen concentrations over a longer period of time. For phosphorus, these results confirm prior research which demonstrated that the soil, if shown to be phosphorus-deficient during fertility testing, can remove phosphorus from runoff even when disturbed. Copyright © 2011 Daniel P. Treese et al.
Baker K.H.,Life Science Program |
Harrow D.I.,Life Science Program |
Ritchey B.A.,Life Science Program
Low Impact Development 2010: Redefining Water in the City - Proceedings of the 2010 International Low Impact Development Conference | Year: 2010
Greywater is household wastewater containing all used water except sewage. In order to conserve water, it has been proposed to use greywater for irrigational purposes. If this was the case, greywater would travel straight from the house to outside for use, minimizing the need for installing pipelines and such to carry the water elsewhere. However the widespread use of a variety of antibacterial and there subsequent presence in greywater raises concerns regarding impact on environment and health. Our research looked at the possible modification of microbial communities within the soil due to the presence of a commonly used antibacterial agent, triclosan. Along with the community structure, we also looked at any antibiotic resistance due to the constant exposure to triclosan. This experiment involved of three groups: control, greywater only and greywater with triclosan. Each group consisted of four soil filled columns treated with their designated solutions on a weekly basis. The effluent was collected from each column and cultured onto plates. Isolates were then taken from the plates for further testing. Our findings show that under constant exposure, the community structure did, in fact, change showing two very distinct heterotrophic populations between those that were treated with triclosan and those that were not. It was also seen that due to the exposure to triclosan, resistance to the four tested antibiotics (ampicillin, chloramphenicol, streptomycin and tetracycline) increases. Our results indicate that triclosan in greywater can have significant impacts on soil microbes. The changing of the microbial community structure could lead to a change in available nutrients and the form those nutrients are found. While the antibacterial products may be present in very minute concentrations, their constant presence may be selecting for bacteria that are resistant to all types of antibiotics, thus making it harder to treat. It is possible that all this is avoidable by treating the greywater before using it or by removing antibacterial products. In congruence with our data, there is a need for further investigation. © 2010 ASCE.