Prospect Capital targets 8% yield on first junk-bond offering since 2021

Prospect Capital: Prospect Capital Corporation is a publicly traded business development company that provides debt and equity financing primarily to middle-market companies through senior secured loans and other credit investments. It is externally managed by Prospect Capital Management L.P., which maintains a focus on credit-oriented strategies for income generation. The firm is currently engaging with investors on a new junk-bond issuance, its first since 2021, to address maturing obligations in the private credit space. Direct Lending Market: Investment advisers are highlighting opportunities and credit discipline strategies in the lower middle-market segment, including the role of technology in borrower operations. Private Credit Funding: Private-credit funds are experiencing elevated borrowing costs in capital markets as they refinance older debt amid shifting rate environments.