| Summary of Fair Value Hierarchy of Cash Equivalents and Investments |
The following tables present the fair value hierarchy of cash equivalents and investments as of June 30, 2026 and December 31, 2025:
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Fair Value Hierarchy as of June 30, 2026 |
|
($ in thousands) |
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
Investments: |
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|
|
|
|
|
|
|
|
|
|
|
First lien senior secured debt investments |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
1,383,321 |
|
|
$ |
1,383,321 |
|
Second lien senior secured debt investments |
|
|
— |
|
|
|
— |
|
|
|
46,605 |
|
|
|
46,605 |
|
Unsecured debt investments |
|
|
— |
|
|
|
— |
|
|
|
82,020 |
|
|
|
82,020 |
|
U.S. treasury bill |
|
|
107,377 |
|
|
|
— |
|
|
|
— |
|
|
|
107,377 |
|
Cash equivalents |
|
|
18,711 |
|
|
|
— |
|
|
|
— |
|
|
|
18,711 |
|
Total cash equivalents and investments at fair value |
|
$ |
126,088 |
|
|
$ |
— |
|
|
$ |
1,511,946 |
|
|
$ |
1,638,034 |
|
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|
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair Value Hierarchy as of December 31, 2025 |
|
($ in thousands) |
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
First lien senior secured debt investments |
|
$ |
— |
|
|
$ |
42,515 |
|
|
$ |
1,162,717 |
|
|
$ |
1,205,232 |
|
Second lien senior secured debt investments |
|
|
— |
|
|
|
— |
|
|
|
48,987 |
|
|
|
48,987 |
|
Unsecured debt investments |
|
|
— |
|
|
|
— |
|
|
|
79,786 |
|
|
|
79,786 |
|
U.S. treasury bill |
|
|
172,864 |
|
|
|
— |
|
|
|
— |
|
|
|
172,864 |
|
Cash equivalents |
|
|
9,794 |
|
|
|
— |
|
|
|
— |
|
|
|
9,794 |
|
Total cash equivalents and investments at fair value |
|
$ |
182,658 |
|
|
$ |
42,515 |
|
|
$ |
1,291,490 |
|
|
$ |
1,516,663 |
|
|
| Summary of Changes in Fair Value of Investments for Level 3 Inputs |
The following tables present changes in the fair value of investments for which Level 3 inputs were used to determine the fair value as of and for the three and six months ended June 30, 2026 and June 30, 2025:
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|
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For the Three Months Ended June 30, 2026 |
|
($ in thousands) |
|
First lien
senior secured
debt
investments |
|
|
Second lien
senior secured
debt
investments |
|
|
Unsecured debt investments |
|
|
Total |
|
Fair value, beginning of period |
|
$ |
1,380,357 |
|
|
$ |
48,831 |
|
|
$ |
81,200 |
|
|
$ |
1,510,388 |
|
Purchases of investments |
|
|
285,440 |
|
|
|
— |
|
|
|
— |
|
|
|
285,440 |
|
Payment-in-kind |
|
|
— |
|
|
|
— |
|
|
|
793 |
|
|
|
793 |
|
Proceeds from investments |
|
|
(282,153 |
) |
|
|
(2,241 |
) |
|
|
— |
|
|
|
(284,394 |
) |
Net change in unrealized gain (loss) |
|
|
(3,656 |
) |
|
|
(58 |
) |
|
|
(36 |
) |
|
|
(3,750 |
) |
Net realized gains (losses) |
|
|
(1 |
) |
|
|
— |
|
|
|
— |
|
|
|
(1 |
) |
Net amortization/accretion of premium/discount on
investments |
|
|
3,334 |
|
|
|
73 |
|
|
|
63 |
|
|
|
3,470 |
|
Transfers between investment types |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Transfers into (out of) Level 3(1) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value, end of period |
|
$ |
1,383,321 |
|
|
$ |
46,605 |
|
|
$ |
82,020 |
|
|
$ |
1,511,946 |
|
Net change in unrealized gain (loss) still
held at June 30, 2026 |
|
$ |
(3,502 |
) |
|
$ |
(58 |
) |
|
$ |
(35 |
) |
|
$ |
(3,595 |
) |
(1)Transfers between levels, if any, are recognized at the beginning of the period in which the transfers occur. For the three months ended June 30, 2026, there were no transfers into (out of) Level 3.
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|
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|
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|
|
|
|
|
|
|
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|
For the Three Months Ended June 30, 2025 |
|
($ in thousands) |
|
First lien
senior secured
debt
investments |
|
|
Second lien
senior secured
debt
investments |
|
|
Unsecured debt investments |
|
|
Total |
|
Fair value, beginning of period |
|
$ |
433,525 |
|
|
$ |
48,908 |
|
|
$ |
— |
|
|
$ |
482,433 |
|
Purchases of investments |
|
|
426,807 |
|
|
|
— |
|
|
|
62,292 |
|
|
|
489,099 |
|
Payment-in-kind |
|
|
— |
|
|
|
— |
|
|
|
382 |
|
|
|
382 |
|
Proceeds from investments |
|
|
(105,502 |
) |
|
|
(126 |
) |
|
|
— |
|
|
|
(105,628 |
) |
Net change in unrealized gain (loss) |
|
|
(263 |
) |
|
|
(105 |
) |
|
|
(33 |
) |
|
|
(401 |
) |
Net realized gains (losses) |
|
|
(6 |
) |
|
|
— |
|
|
|
— |
|
|
|
(6 |
) |
Net amortization/accretion of premium/discount on
investments |
|
|
972 |
|
|
|
88 |
|
|
|
25 |
|
|
|
1,085 |
|
Transfers between investment types |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Transfers into (out of) Level 3(1) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value, end of period |
|
$ |
755,533 |
|
|
$ |
48,765 |
|
|
$ |
62,666 |
|
|
$ |
866,964 |
|
Net change in unrealized gain (loss) still
held at June 30, 2025 |
|
$ |
(74 |
) |
|
$ |
(105 |
) |
|
$ |
(33 |
) |
|
$ |
(212 |
) |
(1)Transfers between levels, if any, are recognized at the beginning of the period in which the transfers occur. For the three months ended June 30, 2025, there were no transfers into (out of) Level 3.
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Six Months Ended June 30, 2026 |
|
($ in thousands) |
|
First lien
senior secured
debt
investments |
|
|
Second lien
senior secured
debt
investments |
|
|
Unsecured debt investments |
|
|
Total |
|
Fair value, beginning of period |
|
$ |
1,162,717 |
|
|
$ |
48,987 |
|
|
$ |
79,786 |
|
|
$ |
1,291,490 |
|
Purchases of investments, net |
|
|
512,394 |
|
|
|
— |
|
|
|
— |
|
|
|
512,394 |
|
Payment-in-kind |
|
|
— |
|
|
|
— |
|
|
|
1,931 |
|
|
|
1,931 |
|
Proceeds from investments, net |
|
|
(289,127 |
) |
|
|
(2,367 |
) |
|
|
— |
|
|
|
(291,494 |
) |
Net change in unrealized gain (loss) |
|
|
(7,331 |
) |
|
|
(147 |
) |
|
|
110 |
|
|
|
(7,368 |
) |
Net realized gains (losses) |
|
|
(1 |
) |
|
|
— |
|
|
|
— |
|
|
|
(1 |
) |
Net amortization/accretion of premium/discount on
investments |
|
|
4,669 |
|
|
|
132 |
|
|
|
193 |
|
|
|
4,994 |
|
Transfers between investment types |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Transfers into (out of) Level 3(1) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value, end of period |
|
$ |
1,383,321 |
|
|
$ |
46,605 |
|
|
$ |
82,020 |
|
|
$ |
1,511,946 |
|
Net change in unrealized gain (loss) still
held at June 30, 2026 |
|
$ |
(7,003 |
) |
|
$ |
(147 |
) |
|
$ |
110 |
|
|
$ |
(7,040 |
) |
(1)Transfers between levels, if any, are recognized at the beginning of the period in which the transfers occur. For the six months ended June 30, 2026, there were no transfers into (out of) Level 3.
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|
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|
|
|
|
|
|
|
|
|
|
|
|
|
For the Six Months Ended June 30, 2025 |
|
($ in thousands) |
|
First lien
senior secured
debt
investments |
|
|
Second lien
senior secured
debt
investments |
|
|
Unsecured debt investments |
|
|
Total |
|
Fair value, beginning of period |
|
$ |
395,206 |
|
|
$ |
49,000 |
|
|
$ |
— |
|
|
$ |
444,206 |
|
Purchases of investments, net |
|
|
476,562 |
|
|
|
— |
|
|
|
62,292 |
|
|
|
538,854 |
|
Payment-in-kind |
|
|
— |
|
|
|
— |
|
|
|
382 |
|
|
|
382 |
|
Proceeds from investments, net |
|
|
(117,577 |
) |
|
|
(250 |
) |
|
|
— |
|
|
|
(117,827 |
) |
Net change in unrealized gain (loss) |
|
|
(254 |
) |
|
|
(71 |
) |
|
|
(33 |
) |
|
|
(358 |
) |
Net realized gains (losses) |
|
|
(13 |
) |
|
|
— |
|
|
|
— |
|
|
|
(13 |
) |
Net amortization/accretion of premium/discount on
investments |
|
|
1,609 |
|
|
|
86 |
|
|
|
25 |
|
|
|
1,720 |
|
Transfers between investment types |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Transfers into (out of) Level 3(1) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value, end of period |
|
$ |
755,533 |
|
|
$ |
48,765 |
|
|
$ |
62,666 |
|
|
$ |
866,964 |
|
Net change in unrealized gain (loss) still
held at June 30, 2025 |
|
$ |
(3 |
) |
|
$ |
(71 |
) |
|
$ |
(33 |
) |
|
$ |
(107 |
) |
(1)Transfers between levels, if any, are recognized at the beginning of the period in which the transfers occur. For the six months ended June 30, 2025, there were no transfers into (out of) Level 3.
|
| Schedule of Quantitative Information About Significant Unobservable Inputs of Level 3 Assets |
The following tables present quantitative information about the significant unobservable inputs of the Company’s Level 3 assets as of June 30, 2026 and December 31, 2025. The tables are not intended to be all-inclusive but instead capture the significant unobservable inputs relevant to the Company’s determination of fair value.
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|
As of June 30, 2026 |
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|
|
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|
|
|
|
Range |
|
|
($ in thousands) |
|
Fair Value |
|
|
Valuation
Technique |
|
Unobservable
Input |
|
Low |
|
High |
|
Weighted Average |
First lien senior secured debt investments |
|
$ |
1,152,295 |
|
|
Yield Analysis |
|
Discount Rate |
|
9.4% |
|
15.5% |
|
10.7% |
First lien senior secured debt investments |
|
|
231,026 |
|
|
Recent Transaction |
|
Transaction Price |
|
98.5% |
|
99.3% |
|
99.0% |
Second lien senior secured debt investments |
|
|
46,605 |
|
|
Yield Analysis |
|
Discount Rate |
|
12.0% |
|
12.0% |
|
12.0% |
Unsecured debt investments |
|
|
82,020 |
|
|
Yield Analysis |
|
Discount Rate |
|
13.8% |
|
14.6% |
|
13.9% |
Total |
|
$ |
1,511,946 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31, 2025 |
|
|
|
|
|
|
|
|
|
Range |
|
|
($ in thousands) |
|
Fair Value |
|
|
Valuation
Technique |
|
Unobservable
Input |
|
Low |
|
High |
|
Weighted Average |
First lien senior secured debt investments |
|
$ |
868,271 |
|
|
Yield Analysis |
|
Discount Rate |
|
8.8% |
|
11.2% |
|
9.7% |
First lien senior secured debt investments |
|
|
294,446 |
|
|
Recent Transaction |
|
Transaction Price |
|
98.0% |
|
99.3% |
|
98.5% |
Second lien senior secured debt investments |
|
|
48,987 |
|
|
Yield Analysis |
|
Discount Rate |
|
11.4% |
|
11.4% |
|
11.4% |
Unsecured debt investments |
|
|
65,086 |
|
|
Yield Analysis |
|
Discount Rate |
|
13.3% |
|
13.8% |
|
13.4% |
Unsecured debt investments |
|
|
14,700 |
|
|
Recent Transaction |
|
Transaction Price |
|
98.0% |
|
98.0% |
|
98.0% |
Total |
|
$ |
1,291,490 |
|
|
|
|
|
|
|
|
|
|
|
|