Saratoga CFO Steenkamp Steps Down; Controller Named Principal Financial Officer

Saratoga Investment Corp. is an externally managed business development company focused on senior and unitranche leveraged loans to U.S. middle-market companies. With AUM of approximately $1.1 billion and a market capitalisation of roughly $287 million, it is a mid-sized BDC that relies heavily on public and private debt markets to fund its portfolio — it has issued more than $400 million in new notes since January 2026 alone.

Financially, the company has been under pressure. After posting GAAP earnings per share of $2.31 for the full fiscal year ended February 28, 2026, it recorded GAAP net losses of $0.16 per share in the quarter ended February 28, 2026, and $0.42 per share in the quarter ended May 31, 2026. NAV per share has fallen from $25.86 (February 2025) to $23.23 (May 2026). Net investment income per share of $0.47 in the most recent quarter fell well short of the $0.75 quarterly dividend, meaning the company is distributing more than it earns from operations on a current-period basis.

The debt stack is complex: as of May 31, 2026, the company had $817 million in total borrowings across revolving credit facilities, SBA debentures, and more than a dozen publicly listed and privately placed note tranches at rates ranging from 4.35% to 8.50%. The asset coverage ratio stood at 162.6% as of May 31, 2026, above the 150% statutory floor but down from 168.4% the prior quarter.