Princeton Capital Corporation is an externally managed non-diversified 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 private small and lower middle-market companies through debt and related equity investments. Its investment objective is to maximize total return to stockholders in the form of current income and capital appreciation. Princeton Capital…
Princeton Capital Corporation is an externally managed non-diversified 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 private small and lower middle-market companies through debt and related equity investments. Its investment objective is to maximize total return to stockholders in the form of current income and capital appreciation. Princeton Capital Corporation has been managed by House Hanover LLC since January 1 2018. The company focuses on qualifying assets as defined by the 1940 Act including investments in eligible portfolio companies organized in the United States.
Princeton Capital Corporation generates revenue primarily from interest income on debt investments and capital gains or distributions on investment securities in its portfolio companies. The company earns interest on first lien loans second lien loans unsecured loans and mezzanine debt financing. Interest is generally payable quarterly and may be fixed or variable rate. Additional revenue may come from prepayment fees commitment fees loan origination fees structuring fees due diligence fees and fees for providing managerial assistance or consulting services. Revenue is directly related to the balance of interest-bearing investments and the weighted average yield of the portfolio.
The company does not report any operational segments.
Princeton Capital Corporation operates within the business development company industry which provides financing to small and mid-sized enterprises. As a BDC it competes with other externally managed and internally managed BDCs that invest in similar private small and lower middle-market companies. The company's position is defined by its focus on debt and equity investments in private companies and its current strategy of conserving cash due to a strategic alternatives process. Its competitive advantages include its status as a BDC allowing access to certain investment opportunities and its investment advisory relationship with House Hanover LLC.
Princeton Capital Corporation serves private small and lower middle-market companies across various industries in the United States. The portfolio includes investments in companies such as Rockfish Seafood Grill Inc PCC SBH Sub Inc Performance Alloys Inc Integrated Medical Partners LLC and Dominion Medical Management. The company does not disclose a broader customer base beyond its portfolio companies which are the recipients of its debt and equity investments.