Vista Credit Strategic Lending Lines Up $150 Million of 7.75% Senior Notes Due 2028
A same-day amendment to the BDC’s ING-led revolver opened room for unsecured notes maturing in under three years.
October 6, 2026
Vista Credit Strategic Lending Corp. has agreed to sell $150 million of senior unsecured notes to institutional investors in a private placement, adding fixed-rate term debt to a balance sheet whose debt-to-equity ratio climbed to 0.96x at the end of July.
The business development company signed the deal on September 29 as the first supplement to a master note purchase agreement it established in October 2025, with the new investors joining as additional purchasers. Closing is expected on October 15.
Terms of the Series 2026A Notes
- Size and coupon: $150 million at 7.75%, maturing October 2, 2028
- Interest: accrues from October 15 and is paid each April 2 and October 2, starting in April 2027
- Rate step-up: up to 2.00 percentage points if the notes cease to carry an investment-grade rating and the company's secured debt ratio also exceeds set thresholds, subject to certain exceptions
- Change of control: the company must offer to repay the notes at par plus accrued interest if certain change-of-control events occur
- Ranking: general unsecured obligations, equal with the company's other unsecured, unsubordinated debt
Proceeds are earmarked for general corporate purposes, including new investments, paying down existing debt and making distributions permitted under the note agreement. Covenants require the company to keep its BDC status and to maintain both a minimum level of shareholders' equity and a minimum asset coverage ratio, alongside customary reporting obligations and events of default, including cross-default to other company debt.
Revolver Amended to Make Room
On the same day, Vista Credit Strategic Lending signed a second amendment to its senior secured revolving credit facility, with ING Capital serving as administrative agent and issuing bank. The amendment lets the company take on additional unsecured debt, including notes with maturities of less than three years, up to caps set in the agreement. The facility dates to September 2025 and was first amended in January 2026.
The two transactions fit together: the new notes come due in October 2028, within the under-three-year window the amendment addresses.
For BDCs, unsecured notes typically sit alongside secured bank lines as a second funding channel, broadening the lender base without pledging additional portfolio assets. The Series 2026A notes were placed under the Section 4(a)(2) private placement exemption and will not be registered.
