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Sierra Income Corporation Amends DRIP Following Fee Restructuring

The board of Sierra Income Corporation, a publicly registered non-traded business development company, approved an amendment to the company’s distribution reinvestment plan where shares of common stock will be priced at 94.5 percent, rather than 90 percent, of the then current offering price. The amended DRIP will become effective on July 30th.

The company recently revised its fee structure, which went into effect on June 16th, where upfront selling commissions were reduced from 7 percent of gross proceeds to up to 3 percent, and the dealer manager fee was reduced from 2.75 percent to up to 2.50 percent.

The company’s dealer manager will reallow and pay participating broker-dealers up to 3 percent of the proceeds from their allocated sales of common stock; and 2.50 percent of the proceeds from dealer manager fees in connection with sales of common stock.

In addition, SIC Advisors LLC, Sierra’s investment adviser, will pay the dealer manager a 1 percent annual distribution and stockholder servicing fee without reimbursement by the company.

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