Runway Growth Finance Prices 7.75% Notes Offering

Runway Growth Finance Corp. (Nasdaq: RWAY) has priced an underwritten public offering of $45 million in aggregate principal amount of notes due 2031, bearing a 7.75% annual interest rate. The company expects to receive approximately $43.7 million in net proceeds after underwriting discounts and commissions, before other expenses. These funds are intended to bolster the company's balance sheet and support its operations.

The notes, which mature on October 1, 2031, will be issued in denominations of $25 and integral multiples thereof. The first interest payment is scheduled for December 1, 2026. Additionally, the company has granted underwriters a 30-day option to purchase up to an additional $6.8 million in notes to cover overallotments. The notes are expected to be listed on the Nasdaq Global Select Market under the symbol "RWAYM".

Runway Growth intends to use the net proceeds from this offering to repay outstanding indebtedness, including amounts under its existing credit facility and to redeem its 9.00% Senior Notes due January 31, 2027. This move aims to reduce the company's interest expenses, as the existing notes carry a higher 9.00% interest rate. The proceeds will also be used for general corporate purposes.

This transaction forms part of the company's strategy to manage its debt and optimize its financial structure. Runway Growth Finance Corporation provides flexible capital solutions to late- and growth-stage companies seeking alternatives to equity financing. The company operates as a closed-end investment fund and is registered as a Business Development Company.