FS KKR Capital shareholders approve share issuance below net asset value

FS KKR Capital Corp. (NYSE:FSK), a $4.9 billion business development company currently trading near its 52-week low of $17.40, announced that its shareholders approved a proposal allowing the company to sell shares below net asset value per share in future offerings. The vote took place at a reconvened meeting held Friday, following an adjournment of the annual meeting on June 18 to allow more time for vote solicitation. According to InvestingPro data, the company has maintained strong financial health with a current ratio of 2.24, indicating solid liquidity.

According to the company’s statement, as of the April 23 record date, 280,066,432.663 shares of common stock were eligible to vote. Of these, 140,529,598 shares were voted in person or by proxy at the reconvened meeting. The vote comes as FSK has experienced a challenging period, with InvestingPro data showing a 21.15% decline in share price over the past six months.

Shareholders were asked to consider a single proposal: to permit FS KKR Capital to sell shares in future offerings at prices below the company’s net asset value per share, providing flexibility for future sales.

The proposal was approved with the following results:

Votes for: 102,716,596Votes against: 28,612,910Abstentions: 9,200,092Broker non-votes: 0

FS KKR Capital Corp. is incorporated in Maryland and its common stock is listed on the New York Stock Exchange under the symbol FSK. The company stands out for its impressive 16% dividend yield and has maintained dividend payments for 12 consecutive years. For detailed analysis and additional insights, investors can access the comprehensive FSK Research Report on InvestingPro, which covers over 1,400 US stocks with expert analysis and actionable intelligence.

This information is based on a press release statement included in the company’s SEC filing.

In other recent news, FS KKR Capital Corp reported its second-quarter 2025 earnings, which did not meet analysts’ expectations. The company announced an earnings per share of $0.60, falling short of the projected $0.63. Additionally, FS KKR Capital’s revenue reached $398 million, which was below the anticipated $401.63 million. These earnings results highlight some of the financial challenges the company is currently facing. In related developments, Fitch Ratings affirmed FS KKR Capital’s long-term issuer default rating at ’BBB-’. However, Fitch revised the company’s outlook from stable to negative. This change reflects ongoing issues such as elevated non-accruals, realized losses from portfolio restructurings, and a weakened asset coverage cushion. Investors are closely monitoring these developments for potential impacts on the company’s future performance.

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