MidCap Financial Investment Corporation, established in 2004, operates as a diversified management investment company and has elected to be treated as a business development company (BDC) under the Investment Company Act of 1940. The company primarily focuses on providing capital to privately held U.S. middle-market companies, primarily investing in directly originated senior secured loans. MidCap aims to generate current income and long-term capital appreciation, managing a portfolio that comprises secured debt, unsecured debt, and equity interests in various industries that include healthcare, automotive, and consumer goods.
The company's investment strategy emphasizes value preservation and risk management. With a significant portion of its investments in first lien senior secured loans, MidCap seeks to mitigate risk through structured investments that prioritize repayment and provide security interests in the borrower's assets. The firm has access to substantial financial resources and expertise through its affiliation with Apollo Global Management, which enhances its ability to identify optimal investment opportunities and navigate the competitive landscape in middle-market financing.