SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2014

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

NOTE 16. SUBSEQUENT EVENTS

On June 27, 2014, the Company’s board of directors declared a cash distribution of $0.460938 per share on its Series A LLC Preferred Shares. The distribution was paid on July 15, 2014 to preferred shareholders as of the close of business on July 8, 2014.

On June 28, 2014, the Company signed an agreement to merge certain of the Company’s natural resources assets with certain assets of KKR Natural Resources Funds and Legend Production Holdings, LLC, a portfolio company of Riverstone Holdings LLC, to create a new oil and gas company called Trinity River Energy, LLC. This transaction is expected to close during the third quarter of 2014.

On June 27, 2014 and July 31, 2014, the Company’s board of directors approved the distribution of certain of the Company’s private equity and natural resources assets and cash, with an aggregate value of $294.6 million, to the Parent as the sole holder of the Company’s common shares. These distributions will have been completed during the third quarter of 2014. The 2018 Natural Resources Facility, which was used to partially finance these natural resources assets, was terminated with all amounts outstanding repaid as of July 1, 2014.

Also, on June 27, 2014 and July 31, 2014, the Company’s board of directors approved the receipt by the Company of contributions from the Parent of cash, CLO subordinated notes controlled by a third-party and specialty lending assets, with an aggregate value of $294.6 million. These contributions will have been completed during the third quarter of 2014.