___________________________________________

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): August 15, 2022

 

 

EQUUS TOTAL RETURN, INC.

(Exact Name of Registrant as Specified in its Charter)

 

 

 

Delaware    814-00098 76-0345915
(State or Other Jurisdiction (Commission File (IRS Employer
Of Incorporation) Number) Identification No.)

 

 

700 Louisiana Street, 48th Floor Houston, Texas

 

 

77002

(Address of Principal Executive Offices) (Zip Code)

 

Registrant’s telephone number, including area code: (713) 529-0900

 

N/A

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-k filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 

Item 8.01Other Events.

 

On August 15, 2022, Equus Total Return, Inc. issued a press release announcing its net asset value for the quarter ended June 30, 2022. The text of the press release is included as Exhibit 99.1 to this Current Report and is incorporated herein by reference.

 

 

Item 9.01Financial Statements and Exhibits.

 

(d) Exhibits.

 

99.1       Press release issued on August 15, 2022.

 
 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

  Equus Total Return, Inc.
Date:  August 15, 2022 By:  /s/ Kenneth I. Denos
  Name: Kenneth I. Denos
  Title: Secretary

 

EXHIBIT 99.1

 

Contact:

Patricia Baronowski
Pristine Advisers, LLC
(631) 756-2486



EQUUS ANNOUNCES SECOND QUARTER NET ASSET VALUE

 

HOUSTON, TX – August 15, 2022 – Equus Total Return, Inc. (NYSE: EQS) (“Equus” or the “Company”) reports net assets as of June 30, 2022, of $37.2 million, a decrease of approximately $0.2 million since March 31, 2022. Net asset value per share decreased to $2.75 as of June 30, 2022, from $2.77 as of March 31, 2022. Comparative data is summarized below (in thousands, except per share amounts):

As of the Quarter Ended 6/30/2022 3/31/2022 12/31/2021 9/30/2021

6/30/2021

 

Net assets $37,155 $37,435 $36,365 $36,243 $34,724
Shares outstanding 13,518 13,518 13,518 13,518 13,518
Net assets per share $2.75 $2.77 $2.69 $2.68 $2.57

 

Although the Fund experienced a small decrease in net asset value for the quarter, the fair value of the following portfolio investment increased during the second quarter of 2022:

 

·Increase in the Value of Equus Energy. During the second quarter of 2022, the fair value of Equus Energy, LLC, increased from $15.0 million to $15.5 million. Among the various leasehold rights held by Equus Energy is a 50% working interest in 2,400 acres in the Permian Basin known as the Conger Field. A number of transactions that completed in 2021 and the first half of 2022 were concentrated in the Permian Basin, at imputed acreage values considerably in excess of values ascribed to such acreage in the past several years. In addition, West Texas Intermediate crude prices increased from $100.28 per barrel at March 31, 2022 to $105.76 per barrel at June 30, 2022, an increase of approximately 5.46%, while natural gas prices increased from $5.46 per MMBTU at March 31, 2022 to $6.54 per MMBTU at the end of the second quarter of 2022, which was an increase of approximately 19.8%.

 

Equus also holds working interests of 7.5% and 2.5% in the Burnell and North Pettus Units, respectively, which collectively comprise approximately 13,000 acres located in the area known as the ‘Eagle Ford Shale’ play. The Company received advice and assistance from a third-party valuation firm to support its determination of the fair value of this investment.

 

About Equus

The Company is a business development company that trades as a closed-end fund on the New York Stock Exchange under the symbol "EQS". Additional information on the Company may be obtained from the Company’s website at www.equuscap.com.

 

This press release may contain certain forward-looking statements regarding future circumstances. These forward-looking statements are based upon the Company’s current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements including, in particular, the performance of the Company, including our ability to achieve our expected financial and business objectives, and the other risks and uncertainties described in the Company’s filings with the SEC. Actual results, events, and performance may differ. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as to the date hereof. Except as required by law, the Company undertakes no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. The inclusion of any statement in this release does not constitute an admission by the Company or any other person that the events or circumstances described in such statements are material.