Kohlberg Capital Beats Analyst Estimates, Shares Surge

(Reuters) – Business development company Kohlberg Capital Corp (KCAP.O) posted 2008 results that beat analysts’ estimates, boosted by higher interest and dividend incomes, sending its shares up as much as 49 percent. The New York-based company posted net investment income of $30.7 million, or $1.51 per share, for the year, compared with $22.8 million, or $1.27 per share, in 2007.

Analysts expected $1.49 a share, before special items, according to Reuters Estimates.

Interest income from investments in debt securities was $33.4 million. Dividend income from investments in collateralized loan obligation (CLO) fund securities rose about $5.5 million to $12.6 million.

As of Dec. 31, 2008, the company said its investment at fair value in CLO fund securities was about $56.6 million.

Shares of the company rose to a high of $1.94 before paring some gains to trade up 57 cents at $1.87 Monday morning on Nasdaq. (Reporting by Amiteshwar Singh in Bangalore; Editing by Deepak Kannan)