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Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.
Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.
Welcome, and thank you for joining the Medley Capital Corporation's Fiscal Second Quarter 2019 Conference Call.
The company would like to remind everyone that today's call is being recorded. Please note that this call is the property of Medley Capital Corporation and that any unauthorized broadcast of this call in any form is strictly prohibited. Audio replay of the call will be available by using the telephone numbers and PIN provided in the company's earnings press release. [Operator Instructions] Participating on the call today from Medley Capital Corporation are Brook Taube, CEO; Rick Allorto, CFO; Dean Crowe, Head of Investing; and Sam Anderson, Head of Capital Markets. Before we begin, the company would like to call your attention to the customary safe harbor disclosure in the company's press release regarding forward-looking information. Today's conference call may also include forward-looking statements and projections, which are subject to risks and uncertainties. Any statement other than a statement of historical fact may constitute a forward-looking statement. Please note that the company's actual results could differ materially from those expressed by any forward-looking statements for any reasons such as those disclosed in the company's most recent filings with the SEC.
The company does not undertake to update their forward-looking statements unless required by law. To obtain copies of the company's latest SEC filings and press release, please visit the company's website at www.medleycapitalcorp.com.
In addition, the company's fiscal second quarter 2019 investor presentation is available in the Investor Relations section in the Events/Investor Presentations section of the company's website. During the call, the company will make statements regarding the proposed merger of the companies, Sierra and MDLY. The company encourages you to carefully read the proxy statement filed with the SEC by the company on December 21, 2018, as well as any amendments or supplements to these documents and the company's other SEC filings in their entirety because they contain important information about the companies, Sierra and MDLY, the proposed transactions and related matters. I would now like to turn the call over to Mr. Brook Taube.
Thank you, operator, and welcome, everyone, to Medley Capital Corporation's quarterly earnings call. On Friday evening, we announced our financial results for the quarter ended March 31, 2019.
We reported net investment income of $0.01 per share when adjusted for certain merger-related expenses. We also reported net asset value per share of $5.11. The decline in NAV was split with $0.25 due to certain credit marks and separately $0.21 due to merger-related expense, including litigation costs as well as $0.05 due to a dividend payment in excess of NII for the period. I'd just point out that the NAV per share would have been $5.32 if adjusted for the merger-related items, including litigation.
Our Board of Directors did not declare a dividend for the quarter that ended on March 31.
I'd like to provide a brief update on the previously announced mergers between MCC and Sierra and the acquisition of MDLY by Sierra. On April 18, the shareholder vote related to the announced merger was postponed. At this point, the merger agreements have not been terminated, and the company continues to pursue necessary amendments to the merger agreement for it to proceed. Turning now to investing and a quick update on the portfolio. During the quarter, MCC invested $13.3 million in existing borrowers and just under $27 million, the majority of which to new borrowers within our senior loan joint venture. As discussed in previous quarters, we are targeting investment opportunities that protect downside, generate durable income in a rising rate environment. Again, we're primarily focused now on larger sponsor-backed borrowers that are well capitalized, have sensible structures and attractive deal terms. As we sit here today, the MCC portfolio consists of just over $610 million in assets.
I'd like to turn the call over now to Rick Allorto, our Chief Financial Officer, to review the quarterly results.
Thank you, Brook. For the 3 months ended March 31, the company reported a net investment loss of $10.6 million or $0.19 per share and a net loss of $24.6 million or $0.45 per share. Net investment income per share was $0.01 after adjusting for merger-related expenses. The net asset value per share was $5.11 at March 31 compared to $5.61 at December 31. For the quarter, total investment income was $12.6 million and was comprised of $10.3 million of interest income, $2 million of dividend income and $0.3 million of fee income. For the quarter, total operating expenses were $23.2 million, consisting of $3.1 million in base management fees, $5.9 million in interest and financing expenses and $10.2 million in professional fees, and finally, $4 million of administrator and general administrative expenses. Included in the $10.2 million of professional fees were $8.5 million of expenses related to the Delaware litigation and $1 million of expenses related to the pending merger. The company is seeking reimbursement under its insurance coverage for the $8.5 million of litigation-related expenses and any reimbursements will be netted against the expense. For the quarter, the company reported net unrealized depreciation of $3.4 million and a net realized loss of $10.6 million.
As of March 31, the company's total debt outstanding equaled approximately $407 million, including $272 million in notes payable and $135 million of SBA debentures. The company's debt-to-equity ratio, excluding SBIC debt, was 0.95x at March 31. Post quarter end, $135 million of SBA debentures outstanding as of March 31 have been fully repaid.
That concludes my financial review. I'll now turn the call back over to Brook.
Thanks, Rick, and thank you all for your time today. Our team remains committed to growing the existing business, and we at management do look forward to a successful path for the announced merger plans. Operator, we can now open the call for questions.
[Operator Instructions] Okay. And I'd like to turn the call back over to Brook Taube for closing remarks.
Thank you, operator. Again, thanks everybody for their support. We are available to answer questions if people have questions following up. And again, as I mentioned, we at management continue to grow our business and look forward to a pathway for the proposed merger plans. Look forward to speaking to you next quarter. Thanks very much.
Ladies and gentlemen, thank you for your participation in today's conference. This concludes the program. You may now disconnect. Everyone, have a great day.