Saratoga Investment Corp. SAR

SAR Company Overview

Saratoga Investment Corp. (NYSE: SAR) is a publicly traded business development company (BDC) that provides financing solutions primarily to U.S. middle-market companies. The company operates within the specialty finance and asset management industries and is regulated under the Investment Company Act of 1940. Saratoga focuses on originating and managing debt and equity investments in privately held companies, with an emphasis on generating current income and long-term capital appreciation for shareholders. Its investment activities are externally managed by Saratoga Investment Advisors, LLC.

The company’s primary revenue drivers are interest income from first-lien and second-lien loans, subordinated debt investments, collateralized loan obligation (CLO) investments, and dividend income from equity positions. Saratoga generally targets businesses with annual EBITDA in the lower middle market and serves sectors such as software, business services, healthcare services, education, industrials, and consumer products. The firm traces its origins to 2007 and became Saratoga Investment Corp. following the acquisition of the investment advisory platform from GSC Group after the global financial crisis. The company has differentiated itself through a focus on directly originated lending, disciplined underwriting, and maintaining exposure to both cash-yielding debt and equity co-investments.