9% Yield, Steady Dividends Since 2012, Selling Below NAV

As you may have noticed from our articles on business development companies, they've come a long way from the dark days of the COVID Crash in Q1-2 2020. BDC's got crushed in that market panic due to the uncertainty surrounding their underlying holdings. The market had no idea how well those smaller companies would weather the pandemic. Fortunately, most BDC companies have been resilient, resulting in the industry bouncing back from their March-April 2020 lows.

WhiteHorse Finance (WHF) is one of the smaller BDCs, with a $358M market cap, vs. the BDC industry average of ~$1.44B. WHF is currently selling at a slight -0.19% discount to NAV, vs. the BDC industry average NAV premium of 7%. WHF yields 9.20%. It has paid $.355/quarter since its 2012 IPO, plus special dividends. It's selling at just below NAV vs. BDC industry average premium of 7%. 99.6% of WHF's holdings are at floating rates, offering protection vs. higher interest rates.

Source: Seeking Alpha

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