CION Investment Corp current report, 28 December 2018

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CION Investment Corp 8-K Summary

Business Context and Reporting Period

This Form 8-K was filed on January 2, 2019, reporting an event that occurred on December 28, 2018. CION Investment Corporation (CIC) is a closed-end fund incorporated in Maryland.

Key Financial Metrics

  • Public Offering Price: Reduced from $9.50 to $9.45 per share.
  • Net Offering Price: $8.98 per share (net of selling commissions and dealer manager fees).
  • Estimated Net Asset Value (NAV): Approximately $8.78 per share.
  • Weekly Cash Distribution: Maintained at $0.014067 per share.
  • Annual Distribution Rate: 7.74% (based on the new $9.45 public offering price).

The filing does not provide specific data on revenue, profit, cash flow, margins, debt, or liquidity for the period.

Material Changes

The primary material change is the reduction of the public offering price per share. This adjustment was triggered because the fund's NAV per share declined to an amount more than 2.5% below the then-current net offering price, in accordance with CIC's share pricing policy. The price reduction became effective on the January 2, 2019 weekly closing and applies to subscriptions received between December 26, 2018, and January 1, 2019.

Outlook and Management Commentary

Management determined the price reduction was warranted to align the offering price with the estimated NAV. Despite the price cut, the company confirmed it will maintain its weekly cash distribution amount. The filing does not contain specific forward-looking guidance, risk factors, or contingencies beyond the pricing policy mechanism.

Key Facts for Investor Verification

  • Verify the current NAV per share to confirm the discount/premium status relative to the new $9.45 offering price.
  • Confirm the sustainability of the 7.74% annual distribution rate given the recent decline in NAV.
  • Review the fund's portfolio composition to understand the drivers behind the NAV decline that triggered the price adjustment.
  • Check subsequent filings for any further adjustments to the offering price or distribution rates.