MidCap Financial Investment Declares Fourth Straight $0.31 Dividend

The board set MidCap Financial Investment Corporation’s quarterly payout at $0.31 per share on Nov. 4, marking the fourth straight quarter at that rate in 2026. The payment is scheduled for Dec. 22, and shareholders must be of record Dec. 8 to qualify.

The company did not guarantee that future base dividends would remain at $0.31 per share. The declared payment follows three earlier regular quarterly dividends at the same rate this year.

MidCap is a publicly traded business development company that primarily makes directly originated senior secured loans to privately held U.S. middle-market companies. Its third-quarter results for the period ended Sept. 30 included net investment income of $0.34 per share, compared with $0.40 for the quarter ended June 30. The third-quarter income was 3 cents more per share than the declared dividend.

Net asset value was $12.86 per share at Sept. 30, down 3.8% from $13.37 at the end of June. MidCap attributed the decline to portfolio losses tied to credit weakness in a limited number of positions. The company’s third-quarter results also included the update on the proposed acquisition.

MidCap and Ares Capital jointly announced the proposed $2.6 billion acquisition Oct. 27. Under the announced terms, MidCap shareholders would receive about $10.88 per fully diluted share: approximately $1.21 in cash and $9.67 in Ares Capital shares. The stock portion is subject to adjustment for a special distribution, and the acquisition remains proposed.

Before the deal closes, MidCap expects to make one or more distributions to cover undistributed investment company taxable income, any prior-year shortfall and net capital gain. The company has not specified the amount of those distributions. The scheduled Dec. 8 record date determines which shareholders qualify for the $0.31 payment due Dec. 22.