Lafayette Square USA, Inc. Receives BBB (low) Credit Rating Confirmation from Morningstar DBRS with Stable Trend

WASHINGTON, June 30, 2026 /PRNewswire/ -- Lafayette Square USA, Inc. today announced that Morningstar DBRS has confirmed its Long-Term Issuer Rating and Long-Term Senior Debt rating at BBB (low) with a Stable trend. The full Morningstar DBRS press release is available here.

The confirmation reflects the Company's continued portfolio growth and credit performance. As of March 31, 2026, investments at fair value totaled $822.1 million across 57 portfolio companies with a weighted average yield of 10.7%, weighted average interest coverage of 2.6x, net leverage of 3.9x, and a loan-to-value of 51.1%, as reported by Morningstar DBRS.

The release highlights the Company's capital structure, which combines a revolving credit facility, low-cost, long-term financing in the form of SBA debentures at a weighted average stated rate of 4.95%, and $65 million in senior unsecured notes maturing in 2030. The revolving facility is tied to Goal2030? performance targets, such that meeting those targets reduces the Company's cost of debt.

Morningstar DBRS specifically recognized the role of managerial assistance and Worker Solutions^? in its assessment of the Company's credit profile. Lafayette Square USA, Inc. offers significant managerial assistance to its portfolio companies, including by introducing them to Worker Solutions^?, which Morningstar DBRS noted may help mitigate risks caused by current macroeconomic headwinds. Worker Solutions^?, a wholly owned portfolio company of Lafayette Square USA, Inc., operates as an independent platform that coordinates with its clients to identify and facilitate access to third-party employee benefit services and recommend workplace policy changes. ?

"This rating confirmation is institutional recognition that our government licensing structure and?conservative underwriting aligns with investment grade standards," said Damien Dwin, Founder and CEO of Lafayette Square.

Additional performance data, including the Company's Q1 2026 financial results, is available at www.lafayettesquarebdc.com/results.

About Lafayette Square USA, Inc.

Lafayette Square USA, Inc. ("LS BDC") is an externally managed, non-diversified, closed-end investment company regulated as a business development company under the Investment Company Act of 1940, as amended. LS BDC's investment objective is to generate attractive risk-adjusted returns, including current income and capital appreciation, principally from directly originated investments in middle market companies across the United States. LS BDC primarily invests in senior secured loans and other flexible capital solutions to businesses headquartered in, or employing, Working-Class American communities. LS BDC is managed by LS BDC Adviser, LLC, a subsidiary of Lafayette Square Holding Company, LLC. For more information, visit www.lafayettesquarebdc.com.

This communication is for informational purposes only and does not constitute an offer to sell or solicitation of an offer to purchase securities of LS BDC, managed by LS BDC Adviser, LLC. Please refer to the Interactive Report for important disclosures and risk information. Past performance is not indicative of future results.

Media Contacts:

Jeremy Milner
Gregory Agency
jmilner@gregoryagency.com
401.862.9422

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SOURCE Lafayette Square Holding Company