Garrison Capital Inc. is an externally managed, non-diversified, closed-end management Investment Company that has elected to be treated as a business development company under the Investment Company Act of 1940 and we are treated as a regulated investment company, or RIC, under the federal tax code. We are publicly traded on the NASDAQ under the ticker symbol "GARS".
Our investment objective is to generate current income and capital appreciation by making investments primarily in debt securities and loans of U.S. based middle-market companies, which we define as those having annual earnings before interest, taxes and depreciation, or EBITDA, of between $5 million and $30 million.
Our goal is to generate attractive risk-adjusted returns to our stockholders by assembling a broad portfolio of investments while limiting the downside potential of our investments by:
- Investing between $5 million and $25 million per transaction
- Maintaining an emphasis on capital preservation;
- Generally requiring a targeted unlevered annual effective yield of between 10% and 15%, excluding any warrants or other equity interests received by us as part of such investment
- Making investments which afford us a significant capital cushion in the form of junior capital and/or asset coverage as well as adequate lender protections in loan documentation;
- Employing a rigorous credit monitoring system for our portfolio, which should enhance the ability of our investment adviser to manage any problems and assist borrowers before operating issues result in financial deterioration; and
- Selecting investments that our investment adviser believes have a low probability of loss.
We are managed by our investment adviser, Garrison Capital Advisers LLC, an affiliate of Garrison Investment Group, and a registered investment adviser under the Investment Advisers Act of 1940 which provides the resources and expertise of the investment professionals at Garrison Investment Group. Garrison Investment Group's investment professionals have substantial experience in identifying and executing financing transactions across a broad range of industries and types of financings and have developed related proprietary sourcing and servicing channels. Our five member investment committee has combined investment experience of more than 152 years and has access to extensive contacts throughout the middle-market which it intends to utilize in order to source and originate loans.