| Fair Value Measurement and Disclosures |
3.Fair Value Measurement and Disclosures The following tables summarize the valuation of the Company’s investments and cash and cash equivalents in the fair value hierarchy levels as of June 30, 2026 and December 31, 2025:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, 2026 |
|
Description |
|
Total |
|
Level I |
|
Level II |
|
Level III |
|
Investments
Measured at NAV(1)(2)(3) |
|
Series I |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
475,273 |
|
$ |
- |
|
$ |
- |
|
$ |
256,823 |
|
$ |
218,450 |
|
Investments in Loans |
|
|
133,103 |
|
|
- |
|
|
- |
|
|
133,103 |
|
|
- |
|
Total Investments |
|
$ |
608,376 |
|
$ |
- |
|
$ |
- |
|
$ |
389,926 |
|
$ |
218,450 |
|
Foreign Currency Forward Contracts |
|
|
1,284 |
|
|
- |
|
|
1,284 |
|
|
|
|
- |
|
Total Derivative Assets(4) |
|
$ |
1,284 |
|
$ |
- |
|
$ |
1,284 |
|
$ |
- |
|
$ |
- |
|
Foreign Currency Forward Contracts |
|
|
(168 |
) |
|
- |
|
|
(168 |
) |
|
|
|
- |
|
Total Derivative Liabilities(4) |
|
$ |
(168 |
) |
$ |
- |
|
$ |
(168 |
) |
$ |
- |
|
$ |
- |
|
Cash and cash equivalents and foreign currencies at fair value |
|
|
49,409 |
|
|
49,409 |
|
|
- |
|
|
- |
|
|
- |
|
Total |
|
$ |
658,901 |
|
$ |
49,409 |
|
$ |
1,116 |
|
$ |
389,926 |
|
$ |
218,450 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Series II |
|
|
|
|
|
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
1,166,689 |
|
$ |
- |
|
$ |
- |
|
$ |
630,443 |
|
$ |
536,246 |
|
Investments in Loans |
|
|
326,732 |
|
|
- |
|
|
- |
|
|
326,732 |
|
|
- |
|
Total Investments |
|
$ |
1,493,421 |
|
$ |
- |
|
$ |
- |
|
$ |
957,175 |
|
$ |
536,246 |
|
Foreign Currency Forward Contracts |
|
|
3,128 |
|
|
- |
|
|
3,128 |
|
|
|
|
- |
|
Total Derivative Assets(4) |
|
$ |
3,128 |
|
$ |
- |
|
$ |
3,128 |
|
$ |
- |
|
$ |
- |
|
Foreign Currency Forward Contracts |
|
|
(391 |
) |
|
- |
|
|
(391 |
) |
|
|
|
- |
|
Total Derivative Liabilities(4) |
|
$ |
(391 |
) |
$ |
- |
|
$ |
(391 |
) |
$ |
- |
|
$ |
- |
|
Cash and cash equivalents and foreign currencies at fair value |
|
|
124,106 |
|
|
124,106 |
|
|
- |
|
|
- |
|
|
- |
|
Total |
|
$ |
1,620,264 |
|
$ |
124,106 |
|
$ |
2,737 |
|
$ |
957,175 |
|
$ |
536,246 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
1,641,962 |
|
$ |
- |
|
$ |
- |
|
$ |
887,266 |
|
$ |
754,696 |
|
Investments in Loans |
|
|
459,835 |
|
|
- |
|
|
- |
|
|
459,835 |
|
|
- |
|
Total Investments |
|
$ |
2,101,797 |
|
$ |
- |
|
$ |
- |
|
$ |
1,347,101 |
|
$ |
754,696 |
|
Foreign Currency Forward Contracts |
|
|
4,412 |
|
|
- |
|
|
4,412 |
|
|
|
|
- |
|
Total Derivative Assets(4) |
|
$ |
4,412 |
|
$ |
- |
|
$ |
4,412 |
|
$ |
- |
|
$ |
- |
|
Foreign Currency Forward Contracts |
|
|
(559 |
) |
|
- |
|
|
(559 |
) |
|
|
|
- |
|
Total Derivative Liabilities(4) |
|
$ |
(559 |
) |
$ |
- |
|
$ |
(559 |
) |
$ |
- |
|
$ |
- |
|
Cash and cash equivalents and foreign currencies at fair value |
|
|
173,515 |
|
|
173,515 |
|
|
- |
|
|
- |
|
|
- |
|
Total |
|
$ |
2,279,165 |
|
$ |
173,515 |
|
$ |
3,853 |
|
$ |
1,347,101 |
|
$ |
754,696 |
|
(1)Included within certain investments measured at NAV were Level III investments. Series I, Series II, and the Company Level III amounts of these investments were $193,995, $476,213, and $670,208, respectively. (2)As of June 30, 2026, Series I, Series II and the Company had unfunded commitments of $18,777, $46,092, and $64,869, respectively, related to investments measured at NAV. (3)The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated statement of assets and liabilities.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2025 |
|
Description |
|
Total |
|
Level I |
|
Level II |
|
Level III |
|
Investments
Measured at NAV(1)(2) |
|
Series I |
|
|
|
|
|
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
333,548 |
|
$ |
- |
|
$ |
- |
|
$ |
136,428 |
|
$ |
197,120 |
|
Investments in Loans(3) |
|
|
134,855 |
|
|
- |
|
|
- |
|
|
134,855 |
|
|
- |
|
Total Investments |
|
$ |
468,403 |
|
$ |
- |
|
$ |
- |
|
$ |
271,283 |
|
$ |
197,120 |
|
Foreign Currency Forward Contracts |
|
|
313 |
|
|
- |
|
|
313 |
|
|
|
|
- |
|
Total Derivative Assets(4) |
|
$ |
313 |
|
$ |
- |
|
$ |
313 |
|
$ |
- |
|
$ |
- |
|
Foreign Currency Forward Contracts |
|
|
(332 |
) |
|
- |
|
|
(332 |
) |
|
|
|
- |
|
Total Derivative Liabilities(4) |
|
$ |
(332 |
) |
$ |
- |
|
$ |
(332 |
) |
$ |
- |
|
$ |
- |
|
Cash and cash equivalents and foreign currencies at fair value |
|
|
58,446 |
|
|
58,446 |
|
|
- |
|
|
- |
|
|
- |
|
Total |
|
$ |
526,830 |
|
$ |
58,446 |
|
$ |
(19 |
) |
$ |
271,283 |
|
$ |
197,120 |
|
Series II |
|
|
|
|
|
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
788,260 |
|
$ |
- |
|
$ |
- |
|
$ |
322,418 |
|
$ |
465,842 |
|
Investments in Loans |
|
|
318,700 |
|
|
- |
|
|
- |
|
|
318,700 |
|
|
- |
|
Total Investments |
|
$ |
1,106,960 |
|
$ |
- |
|
$ |
- |
|
$ |
641,118 |
|
$ |
465,842 |
|
Foreign Currency Forward Contracts |
|
|
747 |
|
|
- |
|
|
747 |
|
|
|
|
- |
|
Total Derivative Assets(4) |
|
$ |
747 |
|
$ |
- |
|
$ |
747 |
|
$ |
- |
|
$ |
- |
|
Foreign Currency Forward Contracts |
|
|
(857 |
) |
|
- |
|
|
(857 |
) |
|
|
|
- |
|
Total Derivative Liabilities(4) |
|
$ |
(857 |
) |
$ |
- |
|
$ |
(857 |
) |
$ |
- |
|
$ |
- |
|
Cash and cash equivalents and foreign currencies at fair value |
|
|
140,072 |
|
|
140,072 |
|
|
- |
|
|
- |
|
|
- |
|
Total |
|
$ |
1,246,922 |
|
$ |
140,072 |
|
$ |
(110 |
) |
$ |
641,118 |
|
$ |
465,842 |
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
1,121,808 |
|
$ |
- |
|
$ |
- |
|
$ |
458,846 |
|
$ |
662,962 |
|
Investments in Loans |
|
|
453,555 |
|
|
- |
|
|
- |
|
|
453,555 |
|
|
- |
|
Total Investments |
|
$ |
1,575,363 |
|
$ |
- |
|
$ |
- |
|
$ |
912,401 |
|
$ |
662,962 |
|
Foreign Currency Forward Contracts |
|
|
1,060 |
|
|
- |
|
|
1,060 |
|
|
|
|
- |
|
Total Derivative Assets(4) |
|
$ |
1,060 |
|
$ |
- |
|
$ |
1,060 |
|
$ |
- |
|
$ |
- |
|
Foreign Currency Forward Contracts |
|
|
(1,189 |
) |
|
- |
|
|
(1,189 |
) |
|
|
|
- |
|
Total Derivative Liabilities(4) |
|
$ |
(1,189 |
) |
$ |
- |
|
$ |
(1,189 |
) |
$ |
- |
|
$ |
- |
|
Cash and cash equivalents and foreign currencies at fair value |
|
|
198,518 |
|
|
198,518 |
|
|
- |
|
|
- |
|
|
- |
|
Total |
|
$ |
1,773,752 |
|
$ |
198,518 |
|
$ |
(129 |
) |
$ |
912,401 |
|
$ |
662,962 |
|
(1)Included within certain investments measured at NAV were Level III investments. Series I, Series II and the Company Level III amounts of these investments were $171,384, $405,023, and $576,407, respectively (2)As of December 31, 2025, Series I, Series II and the Company had unfunded commitments of $25,414, $60,058, and $85,472, respectively, related to investments measured at NAV (3)The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated statement of assets and liabilities. (4)Refer to Note 4. Derivative Instruments for additional information of derivative assets and derivative liabilities. The following table shows changes in the fair value of our Level III investment during the three and six months ended June 30, 2026.
|
|
|
|
|
|
|
|
|
|
|
Description |
|
Level III Investments |
|
|
|
Series I |
|
Series II |
|
Total |
|
Balance as of December 31, 2025 |
|
$ |
271,283 |
|
$ |
641,118 |
|
$ |
912,401 |
|
Purchases, including capitalized PIK and rebalancing transaction |
|
|
65,637 |
|
|
162,956 |
|
|
228,593 |
|
Net change in unrealized appreciation/(depreciation) from investments |
|
|
2,979 |
|
|
6,206 |
|
|
9,185 |
|
Sale and syndication |
|
|
(33,264 |
) |
|
(79,046 |
) |
|
(112,310 |
) |
Transfers out of Level III |
|
|
- |
|
|
- |
|
|
- |
|
Transfers into Level III |
|
|
- |
|
|
- |
|
|
- |
|
Balance as of March 31, 2026 |
|
$ |
306,635 |
|
$ |
731,234 |
|
$ |
1,037,869 |
|
Purchases, including capitalized PIK and rebalancing transaction |
|
$ |
104,466 |
|
$ |
280,895 |
|
$ |
385,361 |
|
Net change in unrealized appreciation/(depreciation) from investments |
|
|
4,816 |
|
|
8,817 |
|
|
13,633 |
|
Sale and syndication |
|
|
(29,546 |
) |
|
(72,497 |
) |
|
(102,043 |
) |
Transfers out of Level III |
|
|
- |
|
|
- |
|
|
- |
|
Transfers into Level III(1) |
|
|
3,555 |
|
|
8,726 |
|
|
12,281 |
|
Balance as of June 30, 2026 |
|
$ |
389,926 |
|
$ |
957,175 |
|
$ |
1,347,101 |
|
(1) For the three and six months ended June 30, 2026, the transfers into Level III financial assets were primarily due to a change of observability of inputs used in the valuation of such assets. The total change in unrealized appreciation included in the Consolidated Statements of Operations within net change in unrealized appreciation/(depreciation) from investments attributable to Level III investments still held at June 30, 2026 for the three months ended June 30, 2026 for Series I, Series II, and the Company were $4,154, $9,583 and $13,737, respectively; and for the six months ended June 30, 2026 for Series I, Series II, and the Company were $7,155, $16,604 and $23,759, respectively. There were no transfers in or out of the Company’s investments that are classified as Level III investments for the three and six months ended June 30, 2025. The following table shows the change in the fair value of our Level III investment during the three and six months ended June 30, 2025:
|
|
|
|
|
|
|
|
|
|
|
Description |
|
Level III Investments |
|
|
|
Series I |
|
Series II |
|
Total |
|
Balance as of December 31, 2024 |
|
$ |
109,471 |
|
$ |
305,614 |
|
$ |
415,085 |
|
Purchases, including capitalized PIK and rebalancing transaction |
|
|
67,779 |
|
|
135,806 |
|
|
203,585 |
|
Net change in unrealized appreciation/(depreciation) from investments |
|
|
591 |
|
|
1,505 |
|
|
2,096 |
|
Sale and syndication |
|
|
(71 |
) |
|
(177 |
) |
|
(248 |
) |
Transfers out of Level III |
|
|
- |
|
|
- |
|
|
- |
|
Transfers into Level III |
|
|
- |
|
|
- |
|
|
- |
|
Balance as of March 31, 2025 |
|
$ |
177,770 |
|
$ |
442,748 |
|
$ |
620,518 |
|
Purchases, including capitalized PIK and rebalancing transaction |
|
$ |
24,525 |
|
$ |
40,366 |
|
$ |
64,891 |
|
Net change in unrealized appreciation/(depreciation) from investments |
|
|
(1,657 |
) |
|
(5,864 |
) |
|
(7,521 |
) |
Sale and syndication |
|
|
(37,874 |
) |
|
(91,890 |
) |
|
(129,764 |
) |
Transfers out of Level III |
|
|
- |
|
|
- |
|
|
- |
|
Transfers into Level III |
|
|
- |
|
|
- |
|
|
- |
|
Balance as of June 30, 2025 |
|
$ |
162,764 |
|
$ |
385,360 |
|
$ |
548,124 |
|
The total change in unrealized appreciation included in the Consolidated Statements of Operations within net change in unrealized appreciation/(depreciation) from investments attributable to Level III investments still held at June 30, 2025 for the three months ended June 30, 2025 for Series I, Series II, and the Company were $(1,657), $(5,864) and $(7,521), respectively; and for the six months ended June 30, 2025 for Series I, Series II, the Company were $(1,066), $(4,359) and $(5,425), respectively. The following tables provide quantitative measure used to determine the fair values of the Level III investments as of June 30, 2026 and December 31, 2025:
|
|
|
|
|
|
|
|
June 30, 2026 |
Asset Type |
|
Level III Fair Value |
|
Valuation Technique |
Unobservable Input |
Input |
Series I |
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
256,823 |
|
Discounted Cash Flow |
Discount Rate |
9.40% - 19.70% |
|
|
|
|
|
Securitization Rate |
4.00% |
|
|
|
|
|
Terminal Multiple |
8.5x - 14.3x |
|
|
|
|
|
Exit Cap Rate |
6.50x - 7.50x |
|
|
|
|
Transaction Price |
N/A |
N/A |
Investments in Loans |
|
$ |
133,103 |
|
Discounted Cash Flow |
Discount Rate |
6.20% - 18.10% |
|
|
|
|
Transaction Price |
N/A |
N/A |
Total |
|
$ |
389,926 |
|
|
|
|
|
|
|
|
|
|
|
Series II |
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
630,443 |
|
Discounted Cash Flow |
Discount Rate |
9.40% - 19.70% |
|
|
|
|
|
Securitization Rate |
4.00% |
|
|
|
|
|
Terminal Multiple |
8.5x - 14.3x |
|
|
|
|
|
Exit Cap Rate |
6.50x - 7.50x |
|
|
|
|
Transaction Price |
N/A |
N/A |
Investments in Loans |
|
$ |
326,732 |
|
Discounted Cash Flow |
Discount Rate |
6.20% - 18.10% |
|
|
|
|
Transaction Price |
N/A |
N/A |
Total |
|
$ |
957,175 |
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
887,266 |
|
Discounted Cash Flow |
Discount Rate |
9.40% - 19.70% |
|
|
|
|
|
Securitization Rate |
4.00% |
|
|
|
|
|
Terminal Multiple |
8.5x - 14.3x |
|
|
|
|
|
Exit Cap Rate |
6.50x - 7.50x |
|
|
|
|
Transaction Price |
N/A |
N/A |
Investments in Loans |
|
$ |
459,835 |
|
Discounted Cash Flow |
Discount Rate |
6.20% - 18.10% |
|
|
|
|
Transaction Price |
N/A |
N/A |
Total |
|
$ |
1,347,101 |
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2025 |
Asset Type |
|
Level III Fair Value |
|
Valuation Technique |
Unobservable Input |
Input |
Series I |
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
136,428 |
|
Discounted Cash Flow |
Discount Rate |
7.77% - 15.14% |
|
|
|
|
|
Terminal Multiple |
8.5x - 14.3x |
|
|
|
|
|
Exit Cap Rate |
6.5x - 7.5x |
|
|
|
|
Transaction Price |
N/A |
N/A |
Investments in Loans |
|
$ |
134,855 |
|
Discounted Cash Flow |
Discount Rate |
5.68% - 18.10% |
|
|
|
|
Transaction Price |
N/A |
N/A |
Total |
|
$ |
271,283 |
|
|
|
|
|
|
|
|
|
|
|
Series II |
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
322,418 |
|
Discounted Cash Flow |
Discount Rate |
7.77% - 15.14% |
|
|
|
|
|
Terminal Multiple |
8.5x - 14.3x |
|
|
|
|
|
Exit Cap Rate |
6.5x - 7.5x |
|
|
|
|
Transaction Price |
N/A |
N/A |
Investments in Loans |
|
$ |
318,700 |
|
Discounted Cash Flow |
Discount Rate |
5.68% - 18.10% |
|
|
|
|
Transaction Price |
N/A |
N/A |
Total |
|
$ |
641,118 |
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
Investments in Partnership Investment Vehicle |
|
$ |
458,846 |
|
Discounted Cash Flow |
Discount Rate |
7.77% - 15.14% |
|
|
|
|
|
Terminal Multiple |
8.5x - 14.3x |
|
|
|
|
|
Exit Cap Rate |
6.5x - 7.5x |
|
|
|
|
Transaction Price |
N/A |
N/A |
Investments in Loans |
|
$ |
453,555 |
|
Discounted Cash Flow |
Discount Rate |
5.68% - 18.10% |
|
|
|
|
Transaction Price |
N/A |
N/A |
Total |
|
$ |
912,401 |
|
|
|
|
Unconsolidated Significant Subsidiary The following table presents summarized financial information of the applicable significant subsidiaries in which the Company, Series I, and Series II has an indirect equity interest for the six months ended June 30, 2026:
|
|
|
|
|
|
|
|
|
|
For the six months ended June 30, 2026 |
|
For the six months ended June 30, 2025(1) |
|
Total Revenue |
$ |
|
242,239 |
|
$ |
|
- |
|
Gross profit |
|
|
242,239 |
|
|
|
- |
|
Income (loss) before taxes |
|
|
242,239 |
|
|
|
- |
|
Net income (loss) |
|
|
242,239 |
|
|
|
- |
|
(1) Comparative period disclosure has not been presented as Series I, Series II and the Company acquired equity interest in the applicable significant subsidiary after June 30, 2025. The summarized financial information above does not represent the Company’s proportionate share.
|