Fitch rates Kayne Anderson preferreds AA

Fitch Ratings said it assigned an AA rating to the $50,000,000 of series G mandatory redeemable preferred stock (MRPS) due Oct. 1, 2021 issued by Kayne Anderson MLP Investment Co., a non-diversified closed-end fund managed by KA Fund Advisors, LLC.

The ratings on the fund's existing notes and MRPS were affirmed.

The sale of series G MRPS closed on Sept. 16 and net proceeds of roughly $49 million from the offering will be used to make new portfolio investments.

Fitch said the rating assignments and affirmations reflect: (a) Sufficient pro forma asset coverage provided to MRPS and notes as calculated per the fund's asset coverage tests; (b) the structural protections afforded by mandatory collateral maintenance and de-leveraging provisions in the event of asset coverage declines; (c) the legal and regulatory parameters that govern the fund's operations; and (d) the capabilities of KA Fund Advisors, LLC as investment advisor.

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