MCLEAN, VA / ACCESS Newswire / March 11, 2025 / Gladstone Investment Corporation (NASDAQ: GAIN) ("Gladstone Investment") announced today the sale of its portfolio company Nocturne Luxury Villas, Inc. ("Nocturne" or the "Company") to an affiliate of Calera Capital. As a result of this transaction, Gladstone Investment received full repayment of its debt investment and realized a significant capital gain on its equity investment. Gladstone Investment formed Nocturne in partnership with Aureus Capital, LLC ("Aureus") in 2021.

Nocturne was formed as a platform to acquire and integrate luxury vacation rental management companies. The Company currently has operations in St. Barth's; Grand Cayman; Telluride, Colorado; Cabo San Lucas, Mexico; Santa Barbara, California; and Florida's Emerald Coast.

"Gladstone Investment has enjoyed a strong partnership with Aureus and Nocturne's management team over the last several years. We are proud to have supported the business across seven separate acquisitions which saw the business transform dramatically," said Erika Highland, Senior Managing Director of Gladstone Investment. "The entire Nocturne management team has achieved outstanding results in growing the business and we wish them continued success as they further expand."

"With the sale of Nocturne and from inception in 2005, Gladstone Investment has exited over 30 of its management supported buy-outs, generating significant net realized gains on these investments," said David Dullum, President of Gladstone Investment. "Our successful exit from Nocturne further validates our strategy as a buyout fund, which relies on generating strong current income during the investment period from our debt investments alongside equity investment that allow for meaningful capital gains at exit, both of which support our ultimate goal of delivering value to shareholders through stock appreciation and dividend growth."

Gladstone Investment is a publicly traded business development company that seeks to make equity and secured debt investments in lower middle market businesses in the United States in connection with acquisitions, changes in control and recapitalizations. Additional information on the transaction can be found at www.gladstoneinvestment.com.

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

Forward-looking Statements:
The statements in this press release regarding the longer-term prospects of Gladstone Investment, Nocturne and its management team, and the ability of Gladstone Investment and Nocturne to grow and expand are "forward-looking statements." These forward-looking statements inherently involve certain risks and uncertainties in predicting future results and conditions. Although these statements are based on Gladstone Investment's current plans that are believed to be reasonable as of the date of this press release, a number of factors could cause actual results and conditions to differ materially from these forward-looking statements, including those factors described from time to time in Gladstone Investment's filings with the Securities and Exchange Commission. Gladstone Investment undertakes no obligation to update or revise these forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

For further information: Gladstone Investment Corporation, (703) 287-5893

SOURCE: Gladstone Investment Corporation