Since my post below, I went back and reviewed the most recent 2-3 10Qs to see if SLRC was still drawing down the CF the day before the quarter's end. In the 10Qs that I reviewed, I saw no evidence of this practice, so I do feel better on that issue. Whether it was a practice before or not, is perhaps irrelevant if they no longer do it. (I recall at the time I was in discussions with analysts who had some interesting opinions about the subject, and who shared with me the substance of their discussions with management on the issue. Frankly, I was never satisfied with mgmt's response.)
Now, SLRC has bought $400m loans for $420m. Of course, until we get more facts, we really don't know what was purchased, or the exact price. I will re-iterate that thus far I have been impressed with management's consistently conservative approach in not merely investing our money for the sake of growing the portfolio, so I'm hoping this acquisition is consistent with that conservatism. It will be very interesting to see the actual details so we can see if this is more akin to ARCCs acquisition of Allied Capital, or something substantially less rewarding.