Highland’s Non-Traded BDC, NexPoint, Makes First Acquisition

Non-traded business development company (BDC), NexPoint Capital Inc, announced today that it commenced operations on September 2, 2014 after breaking escrow.

The newly established company, which was launched last month, is sponsored by Highland Capital Management and focuses on healthcare. The BDC kicked things off with an investment of $10.2 million from a sponsoring affiliate, acquiring a portfolio of loans and bonds with the proceeds.

“Breaking escrow represents a substantial landmark for our growing lineup of liquid alternative mutual funds and non-traded products,” commented Brian Mitts, Chief Operating Officer of NexPoint Advisors and head of business development for Highland’s alternative products. “Alternative products offer a compelling structure for NexPoint to invest in the growing healthcare opportunity,” he added.

Headed by Brad Ross, President of Highland Funds, NexPoint will be distributed by Highland Capital Funds Distributor. The company seeks to raise $1.5B in capital that it will invest mainly in medium-sized businesses.