CNL Strategic Capital Announces Operating Results for Third Quarter 2024
Orlando, Fla., Nov. 08, 2024 (GLOBE NEWSWIRE) -- CNL Strategic Capital, LLC (CNL Strategic Capital or the Company) seeks to provide current income and long-term appreciation to investors by acquiring controlling equity stakes in combination with loan positions in privately owned middle-market businesses. The Company announced its operating results for the nine months ended Sept. 30, 2024.
Highlights:
As of Sept. 30, 2024, CNL Strategic Capital's portfolio consisted of equity and debt investments in 16 portfolio companies and had approximately $1.2 billion in total assets, compared with approximately $1.0 billion as of Dec. 31, 2023.
For the nine months ended Sept. 30, 2024, the Company recognized a net change in unrealized appreciation on investments including unrealized foreign currency gain of approximately $50.7 million and had total investment income of approximately $51.8 million. That compares with a net change in unrealized appreciation on investments of $24.6 million and total investment income of approximately $43.7 million during the first nine months of 2023.
The cumulative total investment return based on net asset value (NAV) since inception and through Sept. 30, 2024, was approximately 98.1% for Class FA shares, 83.1% for Class A shares, 71.5% for Class T shares, 73.8% for Class D shares, 84.9% for Class I shares and 67.3% for Class S shares.1 These returns are prior to any applicable sales load and assume shareholders reinvested their distributions.
For the nine months ended Sept. 30, 2024, CNL Strategic Capital received approximately $182.2 million in net offering proceeds, including approximately $13.1 million received through the distribution reinvestment plan. Since beginning operations in February 2018 until Sept. 30, 2024, CNL Strategic Capital raised approximately $1.1 billion, including $41.3 million received through the distribution reinvestment plan.
Cash distributions declared net of distributions reinvested were funded from the following sources (in thousands):
Nine Months Ended Sept. 30,
2024
2023
Amount
Percentage2
Amount
Percentage2
Net investment income before Expense Support (reimbursement)
$
17,618
120.6
%
$
17,918
141.2
%
Expense Support (reimbursement)
—
—
(644)
(5.1)
Net investment income
$
17,618
120.6
%
$
17,274
