SuRo Capital Q3 NAV seen falling as macro headwinds hit non-public, public markets

SuRo Capital (NASDAQ:SSSS), a enterprise growth firm that invests in growth-oriented non-public companies, is anticipating its web asset worth per share to be $7.55-8.05 within the third quarter, down from $9.24 in Q2 and $14.79 within the year-ago interval, the corporate’s chairman chief government officer mentioned Wednesday.

“As macroeconomic challenges persist, we count on continued acceleration within the repricing of personal securities,” SuRo Capital’s Mark Klein warned. SSSS held positions in 39 corporations as of September 30, with the overwhelming majority of these companies being privately held.

However with a money pile of ~$140.0M, “we consider we’re nicely positioned to be opportunistic in evaluating new, late stage, high-growth corporations at compelling valuations,” he added.

Throughout Q3, SuRo (SSSS) added XGroup Holdings to its portfolio and accomplished a follow-on funding in Orchard Applied sciences. Klein mentioned that ongoing volatility in private and non-private market has prompted the BDC to stay sensible in deploying capital.

The BDC exited or acquired proceeds from six entities in the course of the quarter. It made essentially the most in Palantir Lending Belief for a $0.6M realized achieve, however misplaced essentially the most from Get pleasure from Know-how for a $5.3M shortfall.

See why SA contributor Leo Imasuen believes the SPAC collapse bodes poorly for SuRo Capital.