Tag Archives: PennantPark Investment

Pennant Park Is On The Money

PennantPark Investment (PNNT) is a business development company which George Soros has on his top twenty list. PNNT loans to medium sized companies and provides mezzanine lending, leveraged finance, and distressed debt services. The company is well managed and has had a very low level of non-performing loans. Since PNNT founding in 2007, the company has raised almost $800 million in debt and equity capital. It has invested over $1 billion in 101 businesses and 54 financial sponsors.

Soros Fund Management LLC purchased 11,800 shares of PennantPark in the second quarter of 2011. Pennant Park has consistently paid dividends since its founding in 2007. Since then the dividend has increased by 92.8%. PNNT’s second-quarter balance sheet showed $28.8 million in cash. Pennant Park should be able to continue paying dividends.

Permanent Park also maintains independent directors. One of them is Marshall Brozost, who is a lawyer with experience in finance, mergers and acquisitions, restructurings and private equity. In capacity as a director he helps the company with overlapping legal and financial issues. Interestingly, Guy F. Talarico, the Chief Compliance Officer, who works in finance, is also certified to practice law.