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Franklin BSP Capital Corporation Tender Offer
**The Tender Offer expires at 5pm ET on June 14, 2024 (extended from May 24, 2024) 

     How to Participate in the Tender Offer

What you will need to provide to Cox Capital 

1. Completed Assignment Form: MUST include a Medallion Signature Guarantee (what is an MSG?) or Custodian Approval (fillable Assignment Form can be downloaded here).

2. Copy of your Account Statement:  While not required, this reduces the chances of delayed or      rejected paperwork by allowing us to confirm the tender offer documents match the Account Statement.

3. Voided Check: This will let us know where to send the proceeds of the Tender Offer.

Note: Cox Capital recommends consulting with your financial advisor to consider the Offer.

What to expect after submitting

1. After submitting your paperwork to Cox Capital, we will review for completeness and send to DST Systems (SS&C) for processing.

2. Unless the Offer is extended, the Tender Offer will expire at 5pm ET on June 14, 2024 (the expiration date was extended from May 24, 2024 due to increasing stockholder interest and the Memorial Day holiday). Sellers should expect to receive proceeds for their accepted shares within 10 business days of the expiration date. 

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     Considerations for Selling to Cox Capital Partners

1. Our Tender Offer Price is more favorable than the industry average 

 

According to the Jefferies 2024 Global Secondary Market Review, $112 billion of secondary transaction volume was traded at an average discount of 15% across asset classes. 

By contrast, Cox Capital's Offer Price represents a 7.6% (1) discount to publicly traded BDCs which had similar liquidity constraints prior to listing on national securities exchanges. 

2. Our Tender Offer Price is superior to other third-party tender offers

Cox Capital's Price is over 74% (2) higher than previous third party tender offers.

3. Our Tender Offer Price is in line with historical secondary market prices

Cox Capital's Offer is similar to secondary market transactions over the past four years (3). 

4. Franklin BSP Capital Corp has significant unmet liquidity demand

As of the most recently completed repurchase offer by the Fund, approximately $308 million in liquidity requests were left unmet. Shareholder requests were prorated at just 7.7% of submitted amounts (4).

5. Franklin BSP Capital Corp may dilute shareholders with discounted share offering 

Per a Definitive Proxy (DEF 14A) statement filed with the SEC on 4/19/24, the Fund is seeking approval to sell or otherwise issue up to 25% of outstanding shares at a discount to the Fund's net asset value. 

(1) Represents FBCC nontraded discount to unweighted average traded discount for CION and FSK. Publicly traded BDC data as reported by CEF Advisors as of 4/15/2024.

(2) Third party tender offers represent historical MacKenzie Capital Partners mini tender offer solicitations.

(3) Cox Capital Partners secondary market transaction record. 

(4) SEC SC TO-I/A filings .

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     Electronic Documents

Please use the link below to access a fillable pdf version of the Assignment Form. Upon completion, you will need to print as completed. 

Fillable PDF Assignment Form

     Bulk Upload Process

Download Multiple Seller Template

Please use the spreadsheet linked above if you are an advisor with multiple clients and complete all applicable information for each seller. The Assignment Form should be used as a reference for providing all necessary seller information. 

Once the spreadsheet is completed, please send to fbcctender@coxcp.com

Please ensure that the subject line of your email follows the format below:

"Advisor Name - Advisor Firm - # of Sellers"

Once received, Cox Capital will generate a pre-populated Assignment Form for each seller. 

The seller will receive a DocuSign envelope with the subject line:

"Complete with DocuSign: Cox Capital Franklin BSP Capital Corp Tender Offer Assignment Form"

     Resources for Assistance & Information

 

Cox Capital 

Email: fbcctender@coxcp.com  |  Phone: 484-840-5281  |  Fax: 215-405-2742

 

DST Systems

Log-in to DST (Non-Custodial Accounts)

Franklin BSP Capital Corporation

Email: BSP-info@benefitstreetpartners.com  |  Phone: 844-785-4393

 

Medallion Signature Guarantee

Locate a bank branch to secure your MSG here

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