Item 1.01. Entry into a Material Definitive Agreement.
On June 9, 2022, Prospect Capital Corporation (the "Company") entered into an
amendment (the "Amendment") to the Amended and Restated Dealer Manager
Agreement, dated as of February 25, 2021, by and between the Company and
Preferred Capital Securities, LLC (the "Dealer Manager" and, together with the
Company, the "Parties") (the "Dealer Manager Agreement"), pursuant to which the
Dealer Manager agreed to serve as the Company's agent, principal distributor and
exclusive dealer manager for the Company's offering of up to 60,000,000 shares,
par value $0.001 per share, of preferred stock, with a $1,500,000,000 aggregate
liquidation preference (the "Preferred Stock"). Pursuant to the terms of the
Dealer Manager Agreement, as amended by the Amendment, the size of the offering
was increased from $1,000,000,000 in aggregate liquidation preference of
Preferred Stock to $1,500,000,000 in aggregate liquidation preference of
Preferred Stock and the initial term of the Dealer Manager Agreement was
extended until August 3, 2023.
The foregoing description of the Amendment is only a summary and is qualified in
its entirety by reference to the full text of the Amendment, a copy of which is
filed as Exhibit 1.1 to this Current Report on Form 8-K and incorporated herein
by reference.
Item 3.03. Material Modification to Rights of Security Holders
On June 9, 2022, in connection with the Offering, the Company filed Articles
Supplementary (the "Articles Supplementary") with the State Department of
Assessments and Taxation of Maryland ("SDAT"), reclassifying and designating
60,000,000 shares of the Company's authorized and unissued shares of Common
Stock into shares of Preferred Stock. The reclassification decreased the number
of shares classified as Common Stock from 1,832,100,000 shares immediately prior
to the reclassification to 1,772,100,000 shares immediately after the
reclassification. The description of the Preferred Stock contained in the
section of the Prospectus entitled "Description of the Preferred Stock" is
incorporated herein by reference.
The foregoing description of the Preferred Stock is only a summary and is
qualified in its entirety by reference to the full text of the Articles
Supplementary, a copy of which is filed as Exhibit 3.1 to this Current Report on
Form 8-K and incorporated herein by reference.
Venable LLP, special Maryland counsel to the Company, has issued a legal opinion
relating to the validity of the shares of Preferred Stock offered in the
offering, a copy of which is attached to this Form 8-K as Exhibit 5.1.
Item 5.03. Amendments to Articles of Incorporation or Bylaws; Change in Fiscal
Year.
The information set forth in Item 3.03 above with respect to the Articles
Supplementary is incorporated in this Item 5.03 in its entirety.
Item 9.01. Financial Statements and Exhibits
(d) Exhibits
1.1 Amendment No. 1 to Amended and Restated Dealer Manager Agreement, dated as
of June 9, 2022, by and between Prospect Capital Corporation and Preferred
Capital Securities, LLC
3.1 Articles Supplementary to the Articles of Amendment and Restatement of
Prospect Capital Corporation
5.1 Opinion of Venable LLP as to the validity of shares of Preferred Stock
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