Eversheds Sutherland Advises Chicago Atlantic Loan Portfolio on the Contribution of a Portfolio of Loans to Silver Spike Investment Corp. in Exchange for Shares

New York | Eversheds Sutherland is pleased to announce that it advised Chicago Atlantic Loan Portfolio, LLC (“CALP”) on Silver Spike Investment Corp.’s (“SSIC” or the “Company”) (Nasdaq: SSIC) completion of its previously announced acquisition from CALP of a portfolio of loans (the “CALP Loan Portfolio”) in exchange for newly issued shares of SSIC’s common stock (the “Loan Portfolio Acquisition”). As a result of the Loan Portfolio Acquisition, SSIC has net assets of approximately $300 million and investments in 28 portfolio companies.

In connection with the Loan Portfolio Acquisition, SSIC issued 16,605,372 shares of its common stock to CALP. Following the Loan Portfolio Acquisition, CALP and legacy SSIC stockholders own approximately 72.8% and 27.2%, respectively, of the outstanding shares of SSIC’s common stock. In connection with the transaction, SSIC has been renamed “Chicago Atlantic BDC, Inc.,” and its ticker symbol has been changed to “LIEN”.

Separately, Silver Spike Capital, LLC (“SSC” or the “Adviser”), the investment adviser of the Company, announced that it closed its previously announced transaction with Chicago Atlantic BDC Holdings, LLC (together with its affiliates, “Chicago Atlantic”), the investment adviser of CALP, pursuant to which a joint venture between Chicago Atlantic and SSC has been created to combine and jointly operate SSC’s, and a portion of Chicago Atlantic’s, investment management businesses (the “Joint Venture”). As the Joint Venture caused the automatic termination of the prior investment advisory agreement between the Company and the Adviser, a new investment advisory agreement between the Company and the Adviser, which was approved by the Board and the SSIC stockholders, took effect upon the closing of the Joint Venture. The new investment advisory agreement has the same base management and incentive fee as, and otherwise does not materially differ from, the prior investment advisory agreement. In connection with this transaction, the Adviser has been renamed “Chicago Atlantic BDC Advisers, LLC.”

The source press release is available here.

Eversheds Sutherland’s deal team was led by Capital Markets Partner Owen Pinkerton, with support from Corporate Partners Craig Alcorn and Lance Phillips and Corporate Counsel Doyle Campbell, and including Tax Partner Danny McKeithen, Benefits Partner Michael Hepburn, Finance Counsel Jessica Rissmiller, Capital Markets Senior Associate Krisztina Nadasdy, Finance Senior Associate Laura Jacobs, Corporate Associate Grant Cole and Tax Associate John Taylor.