v3.26.1
Fair Value of Financial Instruments
12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments Fair Value of Financial Instruments
Investments
The following tables present fair value measurements of investments as of December 31, 2025 and December 31, 2024:
Fair Value Hierarchy at December 31, 2025
Level 1Level 2Level 3Total
First-lien debt investments$— $81,796 $306,760 $388,556 
Second-lien debt investments— 29,934 19,909 49,843 
Equity and other investments— — 24,896 24,896 
Total investments at fair value$— $111,730 $351,565 $463,295 
Fair Value Hierarchy at December 31, 2024
Level 1Level 2Level 3Total
First-lien debt investments$— $28,228 $75,719 $103,947 
Total$— $28,228 $75,719 $103,947 
Transfers between levels, if any, are recognized at the beginning of the quarter in which the transfers occur.
The following table presents the changes in the fair value of investments for which Level 3 inputs were used to determine the fair value as of and for the year ended December 31, 2025:
As of and for the Year Ended
December 31, 2025
First-lien
debt
investments
Second-lien
debt
investments
Equity
and other
investments
Total
Balance, beginning of period$75,719 $— $— $75,719 
Purchases or originations255,514 19,851 24,878 300,243 
Repayments / redemptions(26,090)— — (26,090)
Sales proceeds(1,294)— — (1,294)
Paid-in-kind interest1,396 70 — 1,466 
Net change in unrealized gains (losses)831 (61)18 788 
Net amortization of discount on securities684 49 — 733 
Balance, End of Period$306,760 $19,909 $24,896 $351,565 
The following tables present the changes in the fair value of the Ramp Vehicle's investments for which Level 3 inputs were used to determine the fair value as of and for the period from August 15, 2024 (Inception) to December 31, 2024:
For the period from August 15, 2024 (Inception) to
December 31, 2024
First-lien
debt
investments
Total
Balance, beginning of period$— $— 
Purchases or originations75,347 75,347 
Repayments / redemptions(127)(127)
Paid-in-kind interest47 47 
Net change in unrealized gains (losses)393 393 
Net amortization of discount on securities59 59 
Balance, End of Period$75,719 $75,719 
The following table presents information with respect to the net change in unrealized gains or losses on investments for which Level 3 inputs were used in determining fair value that are still held by the Company at December 31, 2025 and December 31, 2024:
Net Change in Unrealized
Gains or (Losses)
For the Year Ended
December 31, 2025 on
Investments Held at
December 31, 2025
Net Change in Unrealized
Gains or (Losses)
from August 15, 2024 (Inception) through
December 31, 2024 on
Investments Held at
December 31, 2024
First-lien debt investments$844 $393 
Second-lien debt investments(61)— 
Equity and other investments18 — 
Total$801 $393 
The following tables present the fair value of Level 3 investments at fair value and the significant unobservable inputs used in the valuations of the Company's investments as of December 31, 2025 and December 31, 2024. The tables are not intended to be all-inclusive, but instead capture the significant unobservable inputs relevant to the Company’s determination of fair values.
December 31, 2025
Fair ValueValuation
Technique
Unobservable
Input
Range/Input
First-lien debt investments$306,760 Discounted Cash Flow - Yield Analysis
Precedent Transaction
Discount Rate
8.15% to 18.39%
Second-lien debt investments19,909 Discounted Cash Flow - Yield Analysis
Precedent Transaction
Discount Rate13.58%
Equity and other investments24,896 Discounted Cash Flow - Yield Analysis
Precedent Transaction
Discount Rate21.32%
Total$351,565 
December 31, 2024
Fair ValueValuation
Technique(s)
Unobservable
Input(s)
Range (Weighted
Average)
First-lien debt investments$75,719 Discounted Cash Flow - Yield Analysis
Precedent Transaction
Discount rate
N/A
9.71% — 16.32%
N/A
Total$75,719 
The Company typically determines the fair value of its performing Level 3 debt investments utilizing a yield analysis. In a yield analysis, a price is ascribed for each investment based upon an assessment of current and expected market yields for similar investments and risk profiles. Additional consideration is given to the expected life, portfolio company performance since close, and other terms and risks associated with an investment. Among other factors, a determinant of risk is the amount of leverage used by the portfolio company relative to the total enterprise value of the company, and the rights and remedies of our investment within each portfolio company’s capital structure.
Significant unobservable quantitative inputs typically considered in the fair value measurement of the Company’s Level 3 debt investments primarily include current market yields, including relevant market indices, but may also include quotes from brokers, dealers, and pricing services as indicated by comparable investments. If debt investments are credit impaired, an enterprise value analysis may be used to value such debt investments; however, in addition to the methods outlined above, other methods such as a liquidation or wind-down analysis may be utilized to estimate enterprise value. For the Company’s Level 3 equity investments, multiples of similar companies’ revenues, earnings before income taxes, depreciation and amortization (“EBITDA”) or some combination thereof and comparable market transactions are typically used.