WHF (WhiteHorse Finance, Inc.) Plans to Redeem $34.5 Million of 7.875% Notes
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WhiteHorse Finance announced on November 13, 2026 that it plans to redeem all $34.5 million of its 7.875% notes due in 2028. The company expects to repay the notes on December 15 at $25 per note, with interest handled under the terms of the redemption. It expects to fund the repayment with proceeds from new borrowing.
The interest rate on that new debt matters to common shareholders. WhiteHorse lends to smaller private companies, and its own borrowing costs reduce the income left over from those loans. Each percentage point of interest on $34.5 million is about $345,000 a year. That gives a sense of the potential impact if the replacement debt is similar in size and carries a different rate, before fees.
WhiteHorse reported $0.224 per share of core net investment income for the September quarter against a $0.25 regular quarterly distribution. Our view is that the redemption will help dividend support only to the extent that it reduces ongoing financing costs or gives the company more useful room to manage its debt. The next figures to look for are the new rate, fees and maturity.
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This article is general information, not personalized investment advice. Fly High Investing may hold securities discussed in this article.