MCLEAN, Va., Jan. 20, 2012 /PRNewswire/ -- Gladstone Capital Corporation (NASDAQ: GLAD) (the "Company") announced that on January 19, 2012, through its wholly-owned subsidiary, Gladstone Business Loan, LLC, it entered into Amendment No. 3 to the fourth amended and restated credit agreement (the "Amended Credit Facility"), to extend the maturity date of its $137 million line of credit to January 18, 2015 (the "Maturity Date").  The Amended Credit Facility was arranged by Key Equipment Finance Inc. as administrative agent, with Branch Banking and Trust Company and ING Capital LLC also joining the Amended Credit Facility as committed lenders. Subject to certain terms and conditions, the Amended Credit Facility may be expanded up to $237 million through the addition of other committed lenders to the facility. If the Amended Credit Facility is not renewed or extended by the Maturity Date, all principal and interest will be due and payable on or before January 18, 2016 (one year after the Maturity Date). The interest rates on advances under the Amended Credit Facility remained unchanged at 30-day LIBOR (subject to a minimum rate of 1.5%) plus 3.75% per annum, with a commitment fee of 0.5% per annum on undrawn amounts when the Amended Credit Facility is drawn more than 50% and 1.0% per annum on undrawn amounts when the Amended Credit Facility is drawn less than 50%. The Company incurred fees of $1.4 million in connection with this amendment.  All other terms of the Amended Credit Facility remained substantially unchanged.

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Gladstone Capital Corporation is a publicly traded business development company that invests in debt securities consisting primarily of senior term loans, second term lien loans, and senior subordinate term loans in small and medium sized U.S. businesses. The Company has paid 99 consecutive monthly cash distributions on its common stock.  Before the Company started paying monthly distributions, the Company paid eight consecutive quarterly cash distributions. Information on the business activities of all the Gladstone funds can be found at www.gladstonecompanies.com.

For Investor Relations inquiries related to any of the monthly dividend paying Gladstone funds, please visit www.gladstone.com.

SOURCE Gladstone Capital Corporation