July 20th, 2017 - KCAP Financial and Freedom 3 Opportunities LLC (a subsidiary of Freedom 3 Capital LLC) embarked on an enterprise to form the new company "KCAP Freedom 3 LLC".

This joint-venture recieved $35 million in assets from KCAP Financial and $25 million in assets from Freedom 3 Opportunities LLC to be put towards creating a new fund, managed by a KCAP investment advisor. The fund then used the assets recieved and borrowed credit to purchase $183 million worth of loans from KCAP, who used the newly acquired cash to make payments on $148 million in outstanding debt.

Of note, this new enterprise will allow KCAP Financial to invest in senior middle market loans using KCAP Freedom 3 LLC as an agent.