Medley Capital continues to explore strategic alternatives seeking to maximize shareholder value. Houlihan Lokey, the Special Committee’s financial advisor, has commenced a strategic review process, which is ongoing.

Most recently the company announced that its board of directors, including its special committee, has approved an expense support agreement (the “Expense Support Agreement”) under which MCC Advisors LLC and Medley LLC agreed (jointly and severally) to cap the management fee and all of the Company’s other operating expenses (except interest expenses, certain extraordinary strategic transaction expenses, and other expenses approved by the Special Committee at $667,000 per month (the “Cap”).  The Cap is expected to result in a material reduction in the Company’s expenses.  Under the Expense Support Agreement, the Cap will be in effect from June 1, 2020 through September 30, 2020.  In connection with the Expense Support Agreement, the Board, including all of its independent directors extended the term of the investment management agreement and the administration agreement with MCC Advisors LLC through the quarter ended September 30, 2020.

"The Expense Support Agreement is a near-term valuable step in making the Company more efficient through lowering its cost structure," said David Lorber, Chair of the Special Committee.