BDCA Completes Charter Amendment Vote
Business Development Corporation of America, a publicly registered non-traded business development company advised by an affiliate of Benefit Street Partners, held its reconvened annual meeting of stockholders where the company received the final voting results on various charter amendments sought by the company.
The meeting was originally called to order on May 19th and was adjourned and reconvened three times between June 7th and July 5th to allow additional time to solicit stockholder votes on certain proposals.
BDCA stockholders approved an amendment that allows directors to be removed from the board only for “cause” and only by a two-thirds affirmative vote.
Investors did not approve an amendment that would limit a stockholder’s right to inspect the books and records of the company if the board deemed that there was an improper purpose for requesting the inspection.
A proposal that allows stockholders to take action without a meeting by consent was approved.
Stockholders did not approve a charter amendment that would increase the vote required to 80 percent in order to change certain charter provisions, liquidate the company, or change the composition of the board of directors.
A proposal to delete certain provisions required by the omnibus guidelines promulgated by the North American Securities Administrators Association was approved, while an additional amendment to remove references to the NASAA guidelines was not approved.
BDCA primarily invests in senior secured loans, and to a lesser extent, mezzanine loans, unsecured loans and equity of private middle-market companies. The company commenced its initial public offering in January 2011 and raised $1.9 billion before closing the offering in April 2015. As of 4Q16, BDCA had $2.2 billion in investments, according to Summit Investment Research.
