First Quarter 2023 Highlights1
- Total investment income of
$0.8 million - Net investment income of
$0.2 million , or$0.04 per share - Funded
$24.4 million of loans to 2 new portfolio companies - Investment portfolio of
$24.4 million at fair value - Net asset value (“NAV”) per share increased to
$13.64 onJune 30, 2022 from$13.61 onMarch 31, 2022
Subsequent to the Shryne transaction, we participated in a loan to one of the industry's largest US-based privately-owned multi-state cannabis companies.
During the quarter, our NAV per share increased from
We continue leveraging our platform’s direct origination engine to build a robust pipeline of attractive lending opportunities. Our rigorous underwriting standards and time-tested specialized structuring skills position Silver Spike as one of the leading providers of credit to a regulatorily complex and rapidly-growing industry with little access to traditional sources of capital."
Conference Call
Silver Spike will hold a conference call to discuss its first quarter 2023 financial results at 3:00 p.m. Eastern Time on
To listen to the call, please dial (800) 267-6316, or (203) 518-9783 internationally, and reference the Conference ID: SSICQ123, approximately 5 minutes prior to the start of the call.
A taped replay will be made available approximately two hours after the conclusion of the call and will remain available for 60 days. To access the replay, please dial (800) 654-1563, or (862) 902-0129 internationally, and enter the access code 12450811. The replay will also be available on the Company’s website at https://ssic.silverspikecap.com/.
1 Comparisons of financial performance for the quarter ended
Background
Results of Operations
For the three months ended
Silver Spike recorded net unrealized loss of slightly more than
The Company generated a net increase in net assets from operations of
Net Asset Value
As of
Portfolio and Investment Activity
As of
During the first quarter, the Company made total investments of
As of the end of the first quarter, there were no loans on non-accrual status.
Liquidity and Capital Resources
At
About
Silver Spike, a specialty finance company that has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended, was formed to invest across the cannabis ecosystem through investments in the form of direct loans to, and equity ownership of, privately held cannabis companies. Silver Spike’s investment objective is to maximize risk-adjusted returns on equity for its shareholders by investing primarily in secured debt, unsecured debt, equity warrants and direct equity investments in cannabis companies and other companies in the health and wellness sector. Silver Spike is managed by
Forward-Looking Statements
Certain information contained herein may constitute “forward-looking statements” that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about the Company, its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as “anticipates,” “expects,” “intends,” “plans,” “will,” “may,” “continue,” “believes,” “seeks,” “estimates,” “would,” “could,” “should,” “targets,” “projects,” “outlook,” “potential,” “predicts” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the Company’s control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in the Company’s filings with the
Statements of Assets and Liabilities
(Unaudited) | |||||||
ASSETS | |||||||
Investments at fair value: | |||||||
Non-control/non-affiliate investments at fair value (amortized cost of | $ | 24,417,500 | $ | - | |||
Cash & cash equivalents | 60,618,447 | 84,766,060 | |||||
Prepaid expenses | 207,249 | 256,512 | |||||
Interest receivable | 66,090 | 9,215 | |||||
Total assets | $ | 85,309,286 | $ | 85,031,787 | |||
LIABILITIES | |||||||
Legal fees payable | $ | 204,251 | $ | 33,983 | |||
Audit fees payable | 102,250 | 50,000 | |||||
Administrator fees payable | 99,852 | 47,151 | |||||
Management fee payable | 55,041 | - | |||||
Organizational costs payable | - | 34,168 | |||||
Director's fee payable | 35,747 | 24,370 | |||||
Due to affiliate | 912 | 85 | |||||
Offering cost payable | - | 264,581 | |||||
Other payables | 47,406 | 25,359 | |||||
Total liabilities | $ | 545,459 | $ | 479,697 | |||
Commitments and contingencies (Note 6) | - | - | |||||
NET ASSETS | |||||||
Common Stock, | $ | 62,147 | $ | 62,147 | |||
Additional paid-in-capital | 84,917,788 | 84,917,788 | |||||
Distributable earnings/(Accumulated losses) | (216,108 | ) | (427,845 | ) | |||
Total net assets | $ | 84,763,827 | $ | 84,552,090 | |||
Total liabilities and net assets | $ | 85,309,286 | $ | 85,031,787 | |||
NET ASSET VALUE PER SHARE | $ | 13.64 | $ | 13.61 |
Statement of Operations
Three Months Ended | ||||||||
INVESTMENT INCOME: | ||||||||
Non-control/non-affiliate investment income: | ||||||||
Fee income | $ | 410,000 | $ | - | ||||
Interest income | 399,591 | - | ||||||
Total investment income: | 809,591 | - | ||||||
EXPENSES: | ||||||||
Legal expenses | 222,982 | - | ||||||
Audit Expense | 83,750 | 10,000 | ||||||
Insurance fees | 75,542 | - | ||||||
Administrator fees | 62,546 | - | ||||||
Management fee | 55,041 | - | ||||||
Director expenses | 35,747 | - | ||||||
Organizational expenses | - | 154,062 | ||||||
Other expenses | 52,738 | - | ||||||
Total expenses | 588,346 | 164,062 | ||||||
NET INVESTMENT INCOME (LOSS) | 221,245 | (164,062 | ) | |||||
NET REALIZED GAIN (LOSS) FROM INVESTMENT | - | - | ||||||
NET CHANGE IN UNREALIZED APPRECIATION/(DEPRECIATION) FROM INVESTMENTS: | ||||||||
Non-controlled/non-affiliate investments | (9,508 | ) | - | |||||
Net change in unrealized appreciation/(depreciation) from investments | (9,508 | ) | - | |||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 211,737 | $ | (164,062 | ) | |||
NET INVESTMENT INCOME PER SHARE - BASIC AND DILUTED | $ | 0.04 | $ | (425.03 | ) | |||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS PER SHARE - BASIC AND DILUTED | $ | 0.03 | $ | (425.03 | ) | |||
WEIGHTED AVERAGE SHARES OUTSTANDING - BASIC AND DILUTED | 6,214,672 | 386 |
Contacts Investors:Source:Bill Healy bill@silverspikecap.com 212-905-4933 Media:Alan Oshiki andSydney Gever Abernathy MacGregor Silverspikecapital@abmac.com 212-371-5999
2022 GlobeNewswire, Inc., source