Gladstone Investment Corporation 7.875% Notes due 2030

Gladstone Investment Corporation is a business development company focused on the lower middle market. It invests in mature-stage companies through buyouts, refinancing existing debt, and various debt securities including senior loans, senior term loans, lines of credit, senior notes, senior subordinated loans and notes, junior subordinated notes, and mezzanine loans, as well as limited liability company interests and warrants or options. The fund does not invest in start-ups. It targets the manufacturing, consumer products, and business/consumer services sectors, primarily in small and mid-sized U.S. companies. Debt investments typically range from $5 million to $30 million, equity investments from $10 million to $40 million, and it seeks companies with EBITDA between $4 million and $15 million. The fund prefers minority equity ownership and a board seat, but may also take a majority stake. Investments are typically held for seven years and exited via sale or recapitalization, initial public offering, or sale to a third party.