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The lone offering of the week priced last night at the low end of expectations. MCG Capital (ticker: MCGC) priced at $17, the bottom of its $17-$19 range. The offering led by Freidman, Billings, Ramsey and U.S. Bancorp Piper Jaffray sold 13.375 million shares, 625,000 fewer than expected, and raised $227 million.

MCG Capital has a history of earning profits and reported $14 million in net income on $36 million in revenues last year. The company lends to and invests in small- and medium-sized private companies with annual revenues from $5 million to $100 million. It focuses on the currently depressed areas of media, communications, technology and information services.

The offering is likely to trade lower as closed-end funds typically trade below their net asset value. Some analysts argue that there are other similar issues that are more attractive right now.