Main Street Capital to Pay Special Dividend of $0.20
In addition to the third quarter's regular monthly dividends of $0.155 per share that Main Street Capital announced last week, the private equity firm announced today it would be making its semi-annual special dividend payment of $0.20 per share in July.
The special dividend is payable on July 26 to the holders of record at the close of business on July 22.
Noting the board has elected to pay special dividends on a semi-annual basis instead of its previous policy of annually in a bid to reduce the federal excise tax applicable to spillover income, Main Street Vincent D. Foster said: "We should be postured to recommend a similar special dividend to our Board that would be payable in January 2014. This special dividend is the result of our continued success to date and reflects the positive views our Board and management team have in our ability to continue to provide sustainable long-term value to our shareholders."
Since its October 2007 IPO, Main Street has regularly increased the amount of its monthly dividends paid, and has never reduced it. It paid a special dividend of $0.35 per share in January. The new special dividend annualizes to $0.40 a share.
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