v3.26.1
PORTFOLIO INVESTMENTS AND FAIR VALUE (Tables)
6 Months Ended
Jun. 30, 2026
PORTFOLIO INVESTMENTS AND FAIR VALUE  
Schedule of total fair value and cost of investments

At June 30, 2026, the Company had investments in 77 portfolio companies. The composition of our investments as of June 30, 2026 is as follows:

  ​ ​ ​

Cost

  ​ ​ ​

Fair Value

Senior Secured – First Lien(1)

$

388,406,745

$

388,326,364

Unsecured Debt

23,201

23,201

Equity

 

21,695,204

31,177,636

Total Investments

$

410,125,150

$

419,527,201

(1)Includes unitranche investments, which accounted for 6.4% of the Company’s portfolio at fair value. Unitranche structures may combine characteristics of first lien senior secured, as well as second lien and/or subordinated loans. The Company’s unitranche loans will expose it to certain risks associated with second lien and subordinated loans to the extent it invests in the “last-out” tranche.

At December 31, 2025, the Company had investments in 74 portfolio companies. The composition of our investments as of December 31, 2025 was as follows:

  ​ ​ ​

Cost

  ​ ​ ​

Fair Value

Senior Secured – First Lien(1)

$

378,828,458

$

376,249,762

Unsecured Debt

27,731

30,447

Equity

 

17,935,793

23,851,715

Total Investments

$

396,791,982

$

400,131,924

(1)Includes unitranche investments, which accounted for 6.4% of the Company’s portfolio at fair value. Unitranche structures may combine characteristics of first lien senior secured, as well as second lien and/or subordinated loans. The Company’s unitranche loans will expose it to certain risks associated with second lien and subordinated loans to the extent it invests in the “last-out” tranche.
Schedule of aggregate gross unrealized appreciation (depreciation) and aggregate cost and fair value of portfolio company securities

June 30, 2026

December 31, 2025

Aggregate cost of portfolio company securities

$

410,125,150

$

396,791,982

Gross unrealized appreciation of portfolio company securities

15,956,027

12,170,075

Gross unrealized depreciation of portfolio company securities

(6,562,688)

(8,857,372)

Gross unrealized appreciation on foreign currency translation

10,125

27,239

Gross unrealized depreciation on foreign currency translation

(1,413)

Aggregate fair value of portfolio company securities

$

419,527,201

$

400,131,924

Schedule of fair values of investments disaggregated into three levels of fair value hierarchy

The fair values of our investments disaggregated into the three levels of the fair value hierarchy based upon the lowest level of significant input used in the valuation as of June 30, 2026 are as follows:

  ​ ​ ​

Quoted Prices

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

in Active

Markets

Significant Other

Significant

for Identical

Observable

Unobservable

Securities

Inputs

Inputs

(Level 1)

(Level 2)

(Level 3)

Total

Senior Secured – First Lien

$

$

$

388,326,364

$

388,326,364

Unsecured Debt

23,201

23,201

Equity

 

 

 

31,177,636

 

31,177,636

Total Investments

$

$

$

419,527,201

$

419,527,201

The fair values of our investments disaggregated into the three levels of the fair value hierarchy based upon the lowest level of significant input used in the valuation as of December 31, 2025 are as follows:

  ​ ​ ​

Quoted Prices

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

in Active

Markets

Significant Other

Significant

for Identical

Observable

Unobservable

Securities

Inputs

Inputs

(Level 1)

(Level 2)

(Level 3)

Total

Senior Secured – First Lien

$

$

$

376,249,762

$

376,249,762

Unsecured Debt

30,447

30,447

Equity

 

 

 

23,851,715

 

23,851,715

Total Investments

$

$

$

400,131,924

$

400,131,924

Schedule of aggregate values of Level 3 portfolio investments change

The changes in aggregate values of Level 3 portfolio investments during the six months ended June 30, 2026 are as follows:

  ​ ​ ​

Senior Secured

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

Loans-First

Unsecured

Total

Lien

Debt

Equity

Investments

Fair value at December 31, 2025

$

376,249,762

$

30,447

$

23,851,715

$

400,131,924

Purchases of investments

 

66,123,524

 

23,191

 

3,993,835

 

70,140,550

Payment-in-kind interest

 

626,816

 

2,615

 

 

629,431

Sales and Redemptions

 

(53,949,978)

 

(30,336)

 

(234,423)

 

(54,214,737)

Realized loss on investments

(3,810,360)

 

 

 

(3,810,360)

Change in unrealized appreciation on investments included in earnings

 

2,498,318

 

416

 

3,581,904

 

6,080,638

Change in unrealized depreciation on foreign currency translation included in earnings

 

 

(3,132)

 

(15,395)

 

(18,527)

Amortization of premium and accretion of discount, net

 

588,282

 

 

 

588,282

Fair value at June 30, 2026

$

388,326,364

$

23,201

$

31,177,636

$

419,527,201

The changes in aggregate values of Level 3 portfolio investments during the year ended December 31, 2025 are as follows:

  ​ ​ ​

Senior Secured

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

Loans-First

Unsecured

Total

Lien

Debt

Equity

Investments

Fair value at December 31, 2024

$

283,482,729

$

90,413

$

17,158,923

$

300,732,065

Purchases of investments

 

130,233,400

 

27,731

 

5,395,417

 

135,656,548

Payment-in-kind interest

 

304,661

 

8,349

 

 

313,010

Sales and Redemptions

 

(36,799,976)

 

(104,456)

 

(2,553,430)

 

(39,457,862)

Realized gain on investment

 

 

1,467,178

 

1,467,178

Change in unrealized (depreciation) appreciation on investments included in earnings

 

(1,992,891)

 

545

 

2,371,177

 

378,831

Change in unrealized appreciation on foreign currency translation included in earnings

 

 

7,865

 

12,450

 

20,315

Amortization of premium and accretion of discount, net

 

1,021,839

 

 

 

1,021,839

Fair value at December 31, 2025

$

376,249,762

$

30,447

$

23,851,715

$

400,131,924

Summary of geographical concentration of investment portfolio

The following is a summary of geographical concentration of our investment portfolio as of June 30, 2026:

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

% of Total

 

Investments at

Cost

Fair Value

Fair Value

 

Florida

$

57,296,486

$

57,106,042

 

13.61

%

New York

47,453,206

48,946,112

 

11.67

%

Texas

44,765,090

45,744,703

 

10.90

%

California

25,097,459

26,082,716

 

6.22

%

Pennsylvania

20,721,686

22,045,652

 

5.25

%

Arizona

16,585,971

17,669,499

 

4.21

%

Virginia

15,401,081

15,940,862

 

3.80

%

Michigan

14,845,679

15,112,448

 

3.60

%

Canada

14,833,832

14,714,907

 

3.51

%

Illinois

14,540,205

14,541,695

 

3.47

%

Tennessee

15,497,550

14,451,294

 

3.44

%

Missouri

13,572,671

13,708,079

 

3.27

%

Iowa

13,276,106

13,292,686

 

3.17

%

Colorado

12,130,558

12,104,257

 

2.89

%

United Kingdom

11,062,534

10,634,588

 

2.53

%

North Carolina

9,344,112

9,431,006

 

2.25

%

District of Columbia

8,564,943

8,918,066

 

2.13

%

Ohio

5,808,867

8,475,928

 

2.02

%

Minnesota

7,511,662

8,102,692

 

1.93

%

Massachusetts

7,670,978

7,682,033

 

1.83

%

Oregon

7,258,742

7,517,758

 

1.79

%

Wisconsin

7,247,185

7,399,958

 

1.76

%

Louisiana

6,586,430

6,774,824

 

1.61

%

Idaho

3,785,007

3,797,193

 

0.91

%

Georgia

3,513,192

3,545,568

 

0.85

%

Maryland

3,313,145

3,303,224

 

0.79

%

New Jersey

2,283,461

2,273,289

 

0.54

%

South Carolina

157,312

210,122

 

0.05

%

Total Investments

$

410,125,150

$

419,527,201

 

100.00

%

The following is a summary of geographical concentration of our investment portfolio as of December 31, 2025:

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

% of Total

 

Investments at

Cost

Fair Value

Fair Value

 

Florida

$

57,346,045

$

56,972,075

 

14.24

%

Texas

46,485,820

48,069,165

 

12.01

%

New York

46,235,480

47,639,398

 

11.91

%

California

36,369,556

36,736,941

 

9.18

%

Pennsylvania

20,165,108

21,484,667

 

5.37

%

Colorado

16,762,744

16,813,411

 

4.20

%

Canada

15,116,097

15,040,778

 

3.76

%

Illinois

17,990,126

14,729,856

 

3.68

%

Iowa

12,312,643

12,336,066

 

3.08

%

Virginia

11,786,284

11,958,881

 

2.99

%

United Kingdom

12,111,013

11,899,148

 

2.97

%

Arizona

10,470,434

11,317,450

 

2.83

%

Ohio

9,659,944

10,861,854

 

2.71

%

Maryland

10,030,046

9,851,468

 

2.46

%

North Carolina

9,039,546

9,223,446

 

2.31

%

Tennessee

9,983,962

9,098,223

 

2.27

%

Massachusetts

7,698,233

7,730,587

 

1.93

%

Minnesota

7,537,398

7,648,754

 

1.91

%

Oregon

7,281,723

7,589,802

 

1.90

%

Michigan

7,270,222

7,392,085

 

1.85

%

Missouri

5,046,536

5,139,186

 

1.28

%

Louisiana

4,487,910

4,553,598

 

1.14

%

District of Columbia

4,151,925

4,389,381

 

1.10

%

Idaho

4,218,163

4,235,256

 

1.06

%

Georgia

2,389,702

2,431,144

 

0.61

%

South Carolina

2,223,836

2,282,058

 

0.57

%

New Jersey

2,290,508

2,262,230

 

0.57

%

Wisconsin

330,978

445,016

 

0.11

%

Total Investments

$

396,791,982

$

400,131,924

 

100.00

%

Summary of industry concentration of investment portfolio

The following is a summary of industry concentration of our investment portfolio as of June 30, 2026:

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

% of Total

 

Investments at

Cost

Fair Value

Fair Value

 

Services: Business

$

101,607,255

$

103,701,073

 

24.72

%

Healthcare & Pharmaceuticals

63,218,090

64,354,225

 

15.34

%

Capital Equipment

49,177,822

51,431,332

 

12.26

%

High Tech Industries

35,719,426

37,537,849

 

8.95

%

Media: Advertising, Printing & Publishing

25,519,766

24,707,442

 

5.89

%

Construction & Building

21,921,782

23,456,120

 

5.59

%

Services: Consumer

20,496,296

20,581,634

 

4.91

%

Consumer Goods: Non-Durable

17,091,117

18,561,074

 

4.42

%

Beverage & Food

17,040,064

16,937,430

 

4.04

%

Media: Diversified & Production

11,062,534

10,634,588

 

2.53

%

Consumer Goods: Durable

8,700,069

9,073,230

 

2.16

%

Chemicals, Plastics, & Rubber

8,895,897

8,970,775

 

2.14

%

Energy: Oil & Gas

8,608,724

8,915,605

 

2.13

%

Retail

7,510,265

7,527,504

 

1.79

%

Environmental Industries

7,476,749

7,046,837

 

1.68

%

Wholesale

6,079,294

6,090,483

 

1.45

%

Total Investments

$

410,125,150

$

419,527,201

 

100.00

%

The following is a summary of industry concentration of our investment portfolio as of December 31, 2025:

  ​ ​ ​

  ​ ​ ​

  ​ ​ ​

% of Total

 

Investments at

Cost

Fair Value

Fair Value

 

Services: Business

$

89,567,846

$

88,693,867

 

22.18

%

High Tech Industries

49,010,176

50,269,878

 

12.56

%

Healthcare & Pharmaceuticals

48,453,123

49,442,697

 

12.36

%

Capital Equipment

39,615,369

41,025,852

 

10.25

%

Media: Advertising, Printing & Publishing

25,391,544

24,600,455

 

6.15

%

Construction & Building

22,265,430

22,580,411

 

5.64

%

Services: Consumer

20,534,718

20,334,410

 

5.08

%

Consumer Goods: Non-Durable

17,729,105

19,164,105

 

4.79

%

Beverage & Food

16,571,541

16,445,790

 

4.11

%

Chemicals, Plastics, & Rubber

14,236,397

14,131,809

 

3.53

%

Media: Diversified & Production

12,111,013

11,899,148

 

2.97

%

Consumer Goods: Durable

8,379,684

8,649,708

 

2.16

%

Energy: Oil & Gas

8,144,225

8,500,887

 

2.12

%

Environmental Industries

7,603,889

7,162,621

 

1.79

%

Retail

6,547,870

6,545,924

 

1.64

%

Wholesale

5,886,684

5,873,214

 

1.47

%

Hotel, Gaming, & Leisure

4,743,368

4,811,148

 

1.20

%

Total Investments

$

396,791,982

$

400,131,924

 

100.00

%

Schedule of quantitative information about Level 3 fair value measurements

The following provides quantitative information about Level 3 fair value measurements as of June 30, 2026. During the six months ended June 30, 2026, investments valued at $24,171,094 changed valuation methods from transaction

value to the income and market approaches due to the transaction price no longer being reflective of current market conditions.

Description:

  ​ ​ ​

Fair Value

  ​ ​ ​

Valuation Technique

  ​ ​ ​

Unobservable Inputs

  ​ ​ ​

Range (Weighted Average)(2)

First lien debt

$

361,288,469

Income approach(1)

 

HY credit spreads

-1.73% to 13.46% (0.18%)

 

 

Risk free rates

-0.38% to 2.32% (0.33%)

$

10,303,452

Market approach(1)

 

Market multiples

8.0x to 11.3x (9.3x)(3)

$

16,734,443

Transaction value

Transaction price

N/A

Unsecured debt

$

23,201

Income approach

HY credit spreads

-0.59% to -0.59% (-0.59%)

Risk free rates

-0.31% to -0.31% (-0.31%)

Equity investments

$

29,086,314

 

Market approach(4)

 

EBITDA multiple

4.0x to 18.1x (10.8x)

Revenue multiple

7.2x to 7.2x (7.2x)

$

2,091,322

Transaction value

Transaction price

N/A

Total Long Term Level 3 Investments

$

419,527,201

(1)Weighted average based on fair value as of June 30, 2026.
(2)Income approach is based on discounting future cash flows using an appropriate market yield.
(3)The Company calculates the price of the loan by discounting future cash flows, which include forecasted future rates based on the published forward curve at the valuation date, using an appropriate yield calculated as of the valuation date. This yield is calculated based on the loan’s yield at the original investment and is adjusted as of the valuation date based on: changes in comparable credit spreads, changes in risk free interest rates (per swap rates), and changes in credit quality (via an estimated shadow rating). Significant movements in any of these factors could result in a significantly lower or higher fair value measurement. As an example, the “Range (Average)” for first lien debt instruments in the table above indicates that the change in the HY spreads between the date a loan closed and the valuation date ranged from (1.73)% ( (173) basis points) to 13.46% (1346 basis points). The average of all changes was 0.18% (18 basis points).
(4)Median of LTM (last twelve months) EBITDA multiples of comparable companies.
(5)The primary significant unobservable input used in the fair value measurement of the Company’s equity investments is the EBITDA multiple (the “Multiple”). Significant increases (decreases) in the Multiple in isolation could result in a significantly higher (lower) fair value measurement. To determine the Multiple for the market approach, the Company considers current market trading and/or transaction multiple, portfolio company performance (financial ratios) relative to public and private peer companies and leverage levels, among other factors. Changes in one or more of these factors can have a similar directional change on other factors in determining the appropriate Multiple to use in the market approach.

The following provides quantitative information about Level 3 fair value measurements as of December 31, 2025. During the year ended December 31, 2025, investments valued at $38,232,306 changed valuation methods from transaction value to the income and market approaches due to the transaction price no longer being reflective of current market conditions.

Description:

  ​ ​ ​

Fair Value

  ​ ​ ​

Valuation Technique

  ​ ​ ​

Unobservable Inputs

  ​ ​ ​

Range (Weighted Average)(2)

First lien debt

$

344,531,359

Income approach(1)

 

HY credit spreads

-1.89% to 11.20% (-0.22%)

 

 

Risk free rates

-1.00% to 1.71% (-0.31%)

$

12,586,559

Market approach(1)

 

Market multiples

8.0x to 8.4x (8.2x)(3)

$

19,131,844

Transaction value

Transaction price

N/A

Unsecured debt

$

30,447

Income approach(1)

HY credit spreads

-0.59% to -0.59% (-0.59%)

Risk free rates

-0.31% to -0.31% (-0.31%)

Equity investments

$

19,439,073

 

Market approach(4)

 

EBITDA multiple

3.2x to 18.2x (10.8x)

Revenue multiple

7.5x to 7.5x (7.5x)

$

4,412,642

Transaction value

Transaction price

N/A

Total Long Term Level 3 Investments

$

400,131,924

(1)Weighted average based on fair value as of December 31, 2025.
(2)Income approach is based on discounting future cash flows using an appropriate market yield.
(3)The Company calculates the price of the loan by discounting future cash flows, which include forecasted future rates based on the published forward curve at the valuation date, using an appropriate yield calculated as of the valuation date. This yield is calculated based on the loan’s yield at the original investment and is adjusted as of the valuation date based on: changes in comparable credit spreads, changes in risk free interest rates (per swap rates), and changes in credit quality (via an estimated shadow rating). Significant movements in any of these factors could result in a significantly lower or higher fair value measurement. As an example, the “Range (Average)” for first lien debt instruments in the table above indicates that the change in the HY spreads between the date a loan closed and the valuation date ranged from (1.89)% ( (189) basis points) to 11.20% (1120 basis points). The average of all changes was (0.22)% ( (22) basis points).
(4)Median of LTM (last twelve months) EBITDA multiples of comparable companies.
(5)The primary significant unobservable input used in the fair value measurement of the Company’s equity investments is the EBITDA multiple (the “Multiple”). Significant increases (decreases) in the Multiple in isolation could result in a significantly higher (lower) fair value measurement. To determine the Multiple for the market approach, the Company considers current market trading and/or transaction multiple, portfolio company performance (financial ratios) relative to public and private peer companies and leverage levels, among other factors. Changes in one or more of these factors can have a similar directional change on other factors in determining the appropriate Multiple to use in the market approach.