Fifth Street Finance Corp. Successfully Exits Debt Investment in SugarSync, Inc.

GREENWICH, CT, Nov. 7, 2014 (GLOBE NEWSWIRE) -- Fifth Street Finance Corp. FSC ("FSC") today announced that it has successfully exited its venture debt investment in SugarSync, Inc. ("SugarSync"), a leading provider of file sharing, back-up and synchronization services to consumers and enterprises. The $6.5 million senior secured term loan was originated by Fifth Street Technology Partners in November 2013, and funded by FSC. SugarSync has since repaid the loan.

"We are delighted to have been a source of senior financing for SugarSync," stated Ivelin M. Dimitrov, FSC's Chief Investment Officer, adding, "The favorable structuring and exit terms of the SugarSync debt investment, originated by Fifth Street Technology Partners, provided for an internal rate of return in excess of 20 percent for FSC."

"The successful roundtrip of our investment in SugarSync marks one of the many achievements this year for Fifth Street Technology Partners as we continue to build our brand within the venture capital community," stated Michael David, Managing Director and Head of Fifth Street Technology Partners, adding, "The momentum we are building in the venture debt space reflects our ability to source attractive investment opportunities with mid-to-late stage technology companies and we are pleased that the demand from both equity sponsors and leading technology companies continues to strengthen."

About Fifth Street Finance Corp.

Fifth Street Finance Corp. is a leading specialty finance company that provides custom-tailored financing solutions to small and mid-sized companies, primarily in connection with investments by private equity sponsors.  The company originates and invests in one-stop financings, first lien, second lien, mezzanine debt and equity co-investments.  FSC's investment objective is to maximize its portfolio's total return by generating current income from its debt investments and capital appreciation from its equity investments.  The company has elected to be regulated as a business development company and is externally managed by a subsidiary of Fifth Street Asset Management Inc. FSAM, a rapidly growing credit-focused asset manager with nearly $6 billion in assets under management across multiple public and private vehicles.  With a track record of more than 16 years, Fifth Street's nationally recognized platform has the ability to hold loans up to $250 million and structure and syndicate transactions up to $500 million.  Fifth Street received the 2014 ACG New York Champion's Award for "Senior Lender Firm of the Year" and was named both 2013 "Lender Firm of the Year" by The M&A Advisor and "Lender of the Year" by Mergers & Acquisitions.  FSC's website can be found at fsc.fifthstreetfinance.com.

About SugarSync, Inc.

Launched in 2008 and based in San Mateo, CA, SugarSync is used worldwide in over 120 countries. Brands such as Staples, Fujitsu, France Telecom-Orange, SoftBank Mobile and more have selected SugarSync as a partner to bring cloud storage and file sharing services to their customers. For more information, please visit www.sugarsync.com, or follow SugarSync on Twitter @sugarsync or on Facebook.

Forward-Looking Statements

This press release may contain certain forward-looking statements, including statements with regard to the future performance of the company. Words such as "believes," "expects," "estimates," "projects," "anticipates," and "future" or similar expressions are intended to identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results to differ materially from those projected in these forward-looking statements, and these factors are identified from time to time in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.