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Eagle Point Credit Company Inc. Announces Second Quarter 2018 Financial Results

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Eagle Point Credit Company Inc. (the "Company") (NYSE: ECC, ECCA, ECCB,
ECCX, ECCY) today announced financial results for the quarter ended June
30, 2018, net asset value ("NAV") as of June 30, 2018 and certain
portfolio activity through August 8, 2018.

SECOND QUARTER 2018 HIGHLIGHTS

  • Net investment income ("NII") net of realized capital gains from the
    Company's portfolio and capital losses from financing activities of
    $0.34 per weighted average common share1.
  • NAV per common share of $16.51 as of June 30, 2018.
  • Second quarter 2018 GAAP net income (inclusive of unrealized
    mark-to-market gains) of $9.5 million, or $0.44 per weighted average
    common share.
  • Weighted average effective yield of the Company's collateralized loan
    obligation ("CLO") equity portfolio was 14.08% as of June 30, 2018.
  • Deployed $31.3 million in net capital and received $35.4
    million in cash distributions from the Company's investment portfolio
    in the second quarter of 2018.
  • 8 of the Company's CLO investments were reset and 1 of the Company's
    CLO investments was refinanced during the second quarter of 2018.
  • Completed an underwritten public offering of $67.3 million in
    aggregate principal amount of its 6.6875% notes due 2028 (ECCX),
    including a partial exercise of the underwriters' overallotment
    option, resulting in net proceeds to the Company of approximately
    $64.9 million.
  • Fully redeemed its 7.00% notes due 2020 (ECCZ).

SUBSEQUENT EVENTS

  • NAV per common share estimated to be between $16.64 and $16.74 as of
    July 31, 2018.
  • Deployed $8.4 million in gross capital from July 1, 2018 through
    August 8, 2018; received cash distributions from the Company's
    investment portfolio of $20.6 million over the same period.

"We remain proactive with respect to managing our portfolio and balance
sheet as we seek to unlock additional long-term value for our
stockholders," said Thomas Majewski, Chief Executive Officer. "During
the second quarter, we completed the effective refinancing of our 7.00%
ECCZ notes with our new 6.6875% ECCX notes, further lowering our cost of
capital and extending the weighted average maturity of our outstanding
notes and preferred stock to approximately eight years. Additionally, we
continued to focus on CLO resets to take advantage of our Adviser's deep
investing experience, completing 8 during the quarter and thus further
lengthening the reinvestment period in each transaction and locking in
lower cost CLO debt. During the second quarter, we also deployed $78.4
million opportunistically into new investments, while selling certain
investments where we saw particularly strong demand and pricing."

"We recorded NII net of realized capital gains and losses per share in
the second quarter of $0.34, which was impacted by the acceleration of
unamortized deferred debt issuance costs associated with the ECCZ
redemption and our election to recognize expenses related to the ECCX
issuance in the period they were incurred," noted Mr. Majewski.
"Non-recurring losses and costs related to the early repayment of ECCZ
and the new ECCX issuance totaled approximately $0.20 per share during
the quarter. With the pace of spread compression continuing to slow, we
are actively managing our portfolio and, when appropriate, pursuing
additional CLO resets in an effort to lock in longer and lower cost
liabilities."

SECOND QUARTER 2018 RESULTS

The Company's NII net of realized capital gains and losses for the
quarter ended June 30, 2018 was $0.34 per weighted average common share.
This compared to $0.50 per weighted average common share for the quarter
ended March 31, 2018, and $0.53 per weighted average common share for
the quarter ended June 30, 2017.

The Company's NII net of realized capital gains and losses for the
quarter ended June 30, 2018 is net of $4.3 million or $0.20 per weighted
average common share of non-recurring loss and expenses related to the
accelerated amortization associated with the redemption of the ECCZ
notes and offering expenses related to the ECCX issuance.

For the quarter ended June 30, 2018, the Company recorded GAAP net
income of $9.5 million, or $0.44 per weighted average common share. Net
income was comprised of total investment income of $17.4 million and net
unrealized appreciation (or unrealized mark-to-market gain on
investments) of $2.3 million, offset by net realized capital loss of
$0.7 million and total expenses of $9.5 million.

NAV as of June 30, 2018 was $358.3 million, or $16.51 per common share,
which is $0.14 per common share lower than the Company's NAV as of March
31, 2018, and $1.02 per common share lower than the Company's NAV as of
June 30, 2017.

During the quarter ended June 30, 2018, the Company deployed $78.4
million in gross capital and $31.3 million in net capital. The weighted
average effective yield of new CLO equity investments made by the
Company during the quarter, which includes a provision for credit
losses, was 16.31% as measured at the time of investment. Additionally,
during the quarter, the Company received $47.1 million of proceeds from
the sale of investments and converted 3 of its existing loan
accumulation facilities into CLOs.

During the quarter ended June 30, 2018, the Company received $35.4
million of cash distributions from its investment portfolio, or $1.65
per weighted average common share, including amounts received from
called investments. Excluding proceeds from called investments, the
Company received cash distributions of $1.18 per weighted average common
share during the quarter, which was in excess of the Company's common
distribution and other recurring operating costs.

During the quarter ended June 30, 2018, 8 of the Company's CLO
investments were reset and 1 of the Company's CLO investments was
refinanced, bringing the total number of such CLO equity positions that
were reset or refinanced since January 1, 2017 to 18 and 27,
respectively. The majority of the Company's current portfolio has been
reset, refinanced or both.

As of June 30, 2018, the weighted average effective yield on the
Company's CLO equity portfolio was 14.08%, a decrease from 14.54% as of
March 31, 2018. As of June 30, 2017, that measure stood at 15.68%.

Pursuant to the Company's "at-the-market" offering program under which
the Company may issue shares of common stock and 7.75% Series B Term
Preferred Stock due 2026 ("Series B Term Preferred Stock"), the Company
sold 360,232 shares of common stock at a premium to NAV during the
second quarter for total net proceeds to the Company of approximately
$6.4 million.

PORTFOLIO STATUS

As of June 30, 2018 on a look-through basis, and based on the most
recent CLO trustee reports received by such date, the Company had
indirect exposure to approximately 1,332 unique corporate obligors. The
largest look-through obligor represented 0.98% of the Company's CLO
equity and loan accumulation facility portfolio. The top-ten largest
look-through obligors together represented 6.4% of the Company's CLO
equity and loan accumulation facility portfolio.

The look-through weighted average spread of the loans underlying the
Company's CLO equity and related investments was 3.56% as of June 2018.

As of June 30, 2018, the Company had debt and preferred securities
outstanding which totaled approximately 35% of its total assets (less
current liabilities). Over the long term, management expects the Company
to operate under current market conditions generally with leverage
within a range of 25% to 35% of total assets. Based on applicable market
conditions at any given time, or should significant opportunities
present themselves, the Company may incur leverage outside of this
range, subject to applicable regulatory limits.

THIRD QUARTER 2018 PORTFOLIO ACTIVITY THROUGH AUGUST 8, 2018 AND
OTHER UPDATES

From July 1, 2018 through August 8, 2018, the Company received $20.6
million of cash distributions from its investment portfolio, or $0.93
per weighted average common share, including amounts received from
called investments. Excluding proceeds from called investments, the
Company received cash distributions of $0.86 per weighted average common
share for the same period. As of August 8, 2018, some of the Company's
investments had not yet reached their payment date for the quarter. Also
from July 1, 2018 through August 8, 2018, the Company deployed $8.4
million in gross capital in new CLO equity and debt investments.
Additionally, in the same period, the Company issued 561,595 shares of
its common stock pursuant to the "at-the-market" offering, for total net
proceeds to the Company of approximately $10.1 million.

From July 1, 2018 through August 8, 2018, 2 of the Company's CLO
investments were reset and 1 of the Company's CLOs was refinanced.

As of August 8, 2018, the Company has approximately $32.8 million of
cash available for investment.

As previously published on the Company's website, management's estimate
of the Company's range of NAV per common share as of July 31, 2018 was
$16.64 to $16.74.

PREVIOUSLY DECLARED DISTRIBUTIONS AND ADDITIONAL UPDATES

The Company paid a monthly distribution of $0.20 per common share on
July 31, 2018 to stockholders of record as of July 12, 2018.
Additionally, and as previously announced, the Company declared
distributions of $0.20 per share of common stock payable on August 31,
2018 and September 28, 2018, to stockholders of record as of August 13,
2018 and September 12, 2018, respectively.

The Company paid distributions of $0.161459 per share of the Company's
7.75% Series A Term Preferred Stock (NYSE:ECCA) and Series B Term
Preferred Stock (NYSE:ECCB) on July 31, 2018, to stockholders of record
as of July 12, 2018. The distributions represented a 7.75% annualized
rate, based on the $25 liquidation preference per share for each series
of preferred stock. Additionally, and as previously announced, the
Company declared distributions of $0.161459 per share on each series of
preferred stock, payable on each of August 31, 2018 and September 28,
2018, to stockholders of record as of August 13, 2018 and September 12,
2018, respectively.

The Company elected to account for its ECCX notes issuance utilizing the
Fair Value Option ("FVO") under FASB ASC Subtopic 825-10 Fair Value
Option.
Upfront offering costs related to instruments for which the
FVO has been elected are recognized in earnings as incurred. The Company
has changed its accounting policy to allow similar elections in the
future.

CONFERENCE CALL

The Company will host a conference call at 10:00 a.m. (Eastern Time)
today to discuss the Company's financial results for the quarter ended
June 30, 2018, as well as a portfolio update.

All interested parties may participate in the conference call by dialing
(833) 231-8253 (domestic) or (647) 689-4099 (international), and
entering Conference ID 3678587 approximately 10 to 15 minutes prior to
the call. A live webcast will also be available on the Company's website
(www.eaglepointcreditcompany.com)
– please go to the Investor Relations section at least 15 minutes prior
to the call to register, download and install any necessary audio
software.

An archived replay of the call will be available shortly afterwards
until September 13, 2018. To hear the replay, please dial (800) 585-8367
(domestic) or (416) 621-4642 (international). For the replay, enter
conference ID 3678587.

ADDITIONAL INFORMATION

The Company has made available on its website, www.eaglepointcreditcompany.com
(in the financial statements and reports section) its semiannual
stockholder report for the period ended June 30, 2018 (which includes
the Company's unaudited consolidated financial statements as of and for
the period ended June 30, 2018). The Company has also filed this report
with the Securities and Exchange Commission. The Company also published
on its website (in the investor presentations and portfolio information
section) an investor presentation which contains additional information
about the Company and its portfolio as of and for the quarter ended June
30, 2018.

ABOUT EAGLE POINT CREDIT COMPANY

The Company is a non-diversified, closed-end management investment
company. The Company's investment objectives are to generate high
current income and capital appreciation primarily through investment in
equity and junior debt tranches of collateralized loan obligations. The
Company is externally managed and advised by Eagle Point Credit
Management LLC.

The Company makes certain unaudited portfolio information available each
month on its website in addition to making certain other unaudited
financial information available on its website (www.eaglepointcreditcompany.com).
This information includes (1) an estimated range of the Company's net
investment income ("NII") and realized capital gains or losses per
weighted average share of common stock for each calendar quarter end,
generally made available within the first fifteen days after the
applicable calendar month end, (2) an estimated range of the Company's
NAV per share of common stock for the prior month end and certain
additional portfolio-level information, generally made available within
the first fifteen days after the applicable calendar month end, and (3)
during the latter part of each month, an updated estimate of NAV, if
applicable, and, with respect to each calendar quarter end, an updated
estimate of the Company's NII and realized capital gains or losses for
the applicable quarter, if available.

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 Company's filings with the U.S.
Securities and Exchange Commission ("SEC"). The Company 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.

1 "Per weighted average common share" data are on a weighted
average basis based on the average daily number of shares of common
stock outstanding for the period and "per common share" refers to per
share of the Company's common stock.

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