CION Investment Corporation closed a private placement of $172.5 million in senior unsecured notes on December 18 2025, adding new capital to its balance sheet and extending its debt maturity profile.
The offering consists of $125 million of 7.70% notes due December 15 2029, priced at 99.75 % of par, and $47.5 million of 7.41% notes due December 15 2027, issued at par. Interest is paid semi‑annually beginning June 15 2026. Goldman Sachs & Co. LLC and Edgar Matthews & Co. LLC served as co‑placement agents, and the notes were issued under a private placement exemption under Section 4(a)(2) of the Securities Act of 1933.
Proceeds will be used to repay the company’s $125 million senior unsecured notes due February 2026, fund new lending and investment opportunities, and support general corporate purposes. The refinancing reduces the company’s exposure to short‑term debt and provides a more favorable interest environment for future capital raises.
CION, a business development company with approximately $1.9 billion in total assets as of September 30 2025, focuses on first‑lien senior secured loans to U.S. middle‑market firms. The new notes are rated investment‑grade (BBB‑, stable) by DBRS, underscoring the company’s solid credit profile and its ability to access capital markets at attractive terms.
The issuance expands CION’s debt capacity while maintaining a conservative leverage profile (debt‑to‑equity of 1.4 and current ratio of 1.32). By extending maturities to 2027 and 2029, the company can better align its funding with the expected life of its loan portfolio, reduce refinancing risk, and preserve capital for opportunistic investments in its core market.
CION’s dividend yield of 14.87 % remains a key attraction for investors seeking income from a BDC that balances income generation with disciplined risk management. The new notes reinforce the company’s strategy of combining steady cash flow from secured lending with the flexibility to pursue growth opportunities in the middle‑market segment.
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