FS Investment Corporation’s $8 billion merger with Corporate Capital Trust.

Debevoise & Plimpton LLP is advising J.P. Morgan, the financial advisor to FS Investment Corporation

FS Investment Corporation (NYSE: FSIC) and Corporate Capital Trust, Inc. (NYSE: CCT) have entered into a definitive agreement under which FSIC and CCT will be merged. The combined company will have on a pro-forma basis over $8 billion in assets invested in 221 portfolio companies across 23 industries as of March 31, 2018. The Boards of Directors of both FSIC and CCT have approved the transaction, with the participation throughout by, and the unanimous support of, their respective independent directors.

Under the terms of the agreement, CCT shareholders will receive a number of FSIC shares with a net asset value (NAV) equal to the NAV of the CCT shares they hold, as determined shortly before closing, subject to the payment of cash in lieu of fractional shares. The combined company will trade under the ticker symbol “FSIC” on the New York Stock Exchange and will remain externally managed by FS/KKR.

The proposed merger is expected to provide a range of near-term and long-term benefits focused on driving shareholder returns through reduced operating expenses, enhanced portfolio diversification, lower financing costs and improved secondary market liquidity.

The transaction is subject to approval by FSIC and CCT shareholders and other customary closing conditions. FSIC and CCT expect to close the transaction in the fourth quarter of 2018.

Debevoise & Plimpton LLP is advising J.P. Morgan with a team including Andrew L. Bab (Picture) and Claire Hansen Suni.

 

Involved fees earner: Andrew Bab – Debevoise & Plimpton; Claire Hansen Suni – Debevoise & Plimpton;

Law Firms: Debevoise & Plimpton;

Clients: JP Morgan;