Eagle Point Institutional Income Fund (the “Fund”) today announced that total assets, inclusive of available borrowings under a revolving credit facility, have exceeded $200 million. The Fund recently paid its 35th consecutive monthly cash distribution representing a 12.0% annualized distribution rate.1 The Fund is managed by Eagle Point Credit Management LLC (“Eagle Point”), a specialist private credit asset manager with over $12 billion of assets under management.2
The Fund’s primary investment objective is to generate high current income and its secondary objective is to generate capital appreciation. The Fund seeks to achieve its investment objectives by investing primarily in equity and junior debt tranches of collateralized loan obligations (“CLOs”). CLOs are backed by portfolios of floating rate senior secured loans principally to American companies. The Fund’s portfolio of 84 CLO equity investments provided exposure to 1,363 different companies across 61 different industries.3
“We are pleased to deliver consistent monthly cash distributions to investors supported by the strong cash flow generated by our CLO portfolio,” said Thomas Majewski, the Fund’s Chairman and Chief Executive Officer. “CLO equity has proven to be a resilient asset class through multiple cycles. We are grateful to our investors who recognize both the merits of the asset class and Eagle Point’s ability to deliver superior investment results.”
The Fund is a non-traded closed-end fund registered under the Investment Company Act of 1940, and it currently offers its common shares on a continuous basis via monthly closings.
About Eagle Point Credit Management LLC
Eagle Point® is an investment manager focused on specialized private credit strategies in inefficient markets, including Portfolio Debt Securities,4 Regulatory Capital Relief transactions, Strategic Credit investments and CLO securities. Founded in 2012 by Thomas Majewski in partnership with Stone Point Capital, Eagle Point manages over $12 billion of assets for institutional and retail investors. Eagle Point is based in Greenwich, Connecticut and has over 100 professionals. Please visit www.eaglepointcredit.com for more information.
Forward-Looking Statements
This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described in the Fund’s filings with the U.S. Securities and Exchange Commission. The Fund undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.
Securities Disclosure
This press release is provided for informational purposes only, does not constitute an offer to sell or a solicitation to purchase, securities of the Fund and is not a prospectus. Such offering is only made by the Fund’s prospectus, which includes details as to the Fund’s offering and other material information. Securities are offered through Eagle Point Securities LLC, a member of FINRA and SIPC and an affiliate of Eagle Point. Investing in the Fund involves the possible loss of some or all principal invested. Speak to your tax professional prior to investing. Please refer to the prospectus available at www.EPIIF.com for additional information about the Fund. An investor should consider the investment objectives, risks and charges and expenses of the Fund carefully before investing.
Risk Disclosures and Important Information
- The Fund is designed as a long-term investment, not a trading vehicle.
- Past performance is not indicative of, or a guarantee of, future performance.
- Common shares of the Fund are not traded on an exchange. The Fund may, but is not required to, offer to repurchase a limited number of shares, and there is no guarantee you will be able to sell your shares. An investment in the Fund’s shares should be considered illiquid.
- The Fund invests a significant portion of its assets in CLO equity and junior debt securities; these may have more acute risks than other types of credit instruments.
- An investment in the Fund is speculative and entails substantial risk, including the possible loss of some or all of one’s investment. There can be no assurance that the Fund’s investment objectives will be achieved.
- An investment in the Fund is not appropriate for all investors and is not intended to be a complete investment program.
- The Fund utilizes leverage, which involves risk, including possible high volatility and declines in the Fund’s NAV.
- The Fund invests primarily in below-investment grade or unrated securities, commonly called “high yield” or “junk” securities. Such investments may not pay interest or repay principal when due.
______________________________ 1Annualized distribution rate reflects distributions paid during the month ending in May 2025 annualized and divided by the prior quarter end net asset value. The annualized distribution rate is not a guarantee of future returns and future performance may vary. The timing and frequency of distribution payments is not guaranteed. In considering returns, investors should bear in mind that historical performance is not a guarantee, projection or prediction and is not indicative of future results. Actual net returns in any given year may be lower than the historical returns. Investment return and principal value of any investment will fluctuate and may be worth more or less than the amount initially invested. Distribution payments are not guaranteed. Distributions may be comprised of any combination of 1) net investment income and/or 2) net capital gain, and, if the Fund distributes an amount in excess of net investment income and net capital gains, a portion of such distribution will constitute a return of capital. A distribution comprised in whole or in part by a return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income.” A return of capital distribution may reduce the amount of investable funds. The actual components of the Fund’s distributions for US tax reporting purposes can only be finally determined as of the end of each fiscal year of the Fund and are thereafter reported to shareholders on Form 1099-DIV. 2AUM represents gross assets, inclusive of committed but undrawn capital, managed by Eagle Point and certain of its affiliates, as of May 31, 2025. 3The information presented herein is on a look-through basis to the CLO equity held by the Fund as of March 31, 2025 (except as otherwise noted) and reflects the aggregate underlying exposure of the Fund based on the portfolios of those investments. The data is estimated and unaudited and is derived from CLO trustee reports received by the Fund relating to March 2025 and from custody statements and/or other information received from CLO collateral managers and other third-party sources. Information relating to the market price of underlying collateral is as of month end; however, with respect to other information shown, depending on when such information was received, the data may reflect a lag in the information reported. As such, while this information was obtained from third-party data sources, March 2025 trustee reports and similar reports, other than market price, it does not reflect actual underlying portfolio characteristics as of March 31, 2025 and this data may not be representative of current or future holdings. Industry categories are based on the S&P industry categorization of each obligor as reported in CLO trustee reports to the extent so reported. Certain CLO trustee reports do not report the industry category of all of the underlying obligors and where such information is not reported, it is not included in the summary look-through industry information shown. As such, the Fund’s exposure to a particular industry may be higher than that shown if industry categories were available for all underlying obligors. In addition, certain underlying obligors may be re‐classified from time to time based on developments in their respective businesses and/or market practices. 4Eagle Point defines “Portfolio Debt Securities” as primarily debt and preferred equity securities or instruments (including debt and preferred securities which are convertible into common equity) issued by funds and investment vehicles, such as BDCs, registered closed-end investment companies, unregistered private funds, REITs and sponsors of such vehicles, to finance a portion of their underlying investment portfolios. |
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Contacts
Investor Relations:
203-900-5833
EPIIF@eaglepointcredit.com
www.EPIIF.com
