FS Investment, Corporate Capital Trust agree to merge in stock transaction

|About: Corporate Capital Trust, Inc. (CCT)|By:, SA News Editor

FS Investment (NYSE:FSIC) and Corporate Capital Trust (NYSE:CCT) agree to merge, combining to form a company with over $8B in assets pro forma as of March 31, 2018.

CCT +4.6% in premarket trading.

Under the terms, CCT shareholders will get a number of FSIC shares with a net asset value equal to the NAV of the CCT shares they hold, as determined shortly before closing.

The combined company will trade under the ticker FSIC on NYSE and remain externally managed by FS KKR Advisor, a partnership between FS Investments and KKR Credit Advisors.

The proposed merger is expected to drive shareholder returns through reduced operating expenses, enhanced portfolio diversification, lower financing costs and improved secondary market liquidity.

The transaction is subject to approval by FSIC and CCT shareholders and other customary closing conditions. FSIC and CCT expect to close the transaction in Q4 2018.

Source: Press Release

Previously: FS Investment inches down after Q1 NII, NAV decline (May 10)

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