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Gladstone Investment Corporation (GAIN) Expands Energy Exposure with Rowan Energy Acquisition

Gladstone Investment Corporation (NASDAQ:GAIN) is included among the 13 Highest Paying Monthly Dividend Stocks to Buy.

On December 12, Gladstone Investment Corporation (NASDAQ:GAIN) announced the acquisition of Rowan Energy, Inc., along with Xyresic Capital. Gladstone Investment provided senior secured debt and the majority of the equity to complete the deal.

Rowan is based in Oklahoma City, Oklahoma. It operates in the US oil and gas services space. The company focuses on advanced frac sand filtration, completion equipment deployment, and field operations support. In practical terms, this is the kind of behind-the-scenes work that keeps drilling and completion projects moving on schedule.

Christopher Lee, Senior Managing Director of Gladstone Investment, made the following statement:

“Rowan’s commitment to delivering outstanding solutions for its customers has been central to its impressive growth. We are proud to invest in a business that has set the standard for success in its sector and see tremendous growth potential ahead. Further, we are thrilled to expand our relationship with Xyresic.”

Gladstone Investment Corporation (NASDAQ:GAIN) is structured as a business development company. It invests in private, lower middle market businesses using a mix of debt and equity. These are often companies that are too small to attract large private equity firms or traditional bank financing.

The model is fairly straightforward as the company provides loans for steady income and takes equity stakes for long-term upside. The portfolio typically targets a mix of about 75% debt and 25% equity, aiming to generate reliable cash flow while also capturing gains when portfolio companies are sold.

While we acknowledge the potential of GAIN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than GAIN and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: Dividend Achievers List: Top 16 Stocks and 10 Best Debt Free Dividend Stocks to Buy Now.

Disclosure: None.

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When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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