Home News Sierra Income Corporation Provides Update on Monthly Distribution Suspension

Sierra Income Corporation Provides Update on Monthly Distribution Suspension

The board of Sierra Income Corporation, a non-traded business development company, has decided to continue to suspend monthly distributions to shareholders.

The board of Sierra Income Corporation, a non-traded business development company, has provided an update on the company’s investor distribution policy, electing to extend the suspension of distributions through September 30, 2020.

Sierra indicated that the distribution suspension includes both cash and the distribution reinvestment plan and would “enhance financial flexibility.” The company expects to evaluate resuming monthly distributions at a future date.

The DI Wire previously reported that Sierra suspended distributions beginning with the month ending April 30, 2020.

“The company believes that it is in the best long-term interests of its shareholders to maintain a conservative approach to its distribution policy during this volatile economic environment,” Sierra said in a statement.

Sierra Income Corporation invests primarily in first lien senior secured debt, second lien secured debt and, to a lesser extent, subordinated debt of middle market companies in a range of industries with annual revenue between $50 million and $1 billion. Sierra oversees an investment portfolio with a fair value of $675.6 million, as of the December 31, 2019.

Sierra is externally managed by SIC Advisors LLC, an affiliate of alternative asset management firm Medley Management Inc. (NYSE: MDLY).

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