Bulldog Investors, LLP, a shareholder owning more than 3% of Runway Growth Finance Corp. with 1,127,854 shares, is calling on management to materially expand its share repurchase program. Runway’s stock closed at $5.49 on July 2nd, a 55% discount to its last reported net asset value of $12.13, and down from a five-year peak of almost $15. Bulldog argues that instead of issuing new loans that the market devalues by more than 50%, Runway should use investible cash to repurchase shares and reduce debt. If management declines, Bulldog may nominate directors to pursue a transaction to maximize shareholder value, including possibly winding up the company.
Runway Growth Finance CorpActivist investor calls for expanded share buyback, citing deep discount to NAV, which could boost shareholder value.