Investments (Tables)
|
9 Months Ended |
Sep. 30, 2026 |
|---|
| Schedule of Investments [Abstract] |
|
| Schedule of Composition of Investments |
The following table shows the composition of our investments as of September 30, 2026, with the fair value disaggregated into the three levels of the fair value hierarchy in accordance with ASC 820:
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|
|
|
|
|
|
|
|
|
|
|
|
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|
|
|
|
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair Value Hierarchy |
|
|
|
Cost |
|
|
Fair Value |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
First Lien Secured Debt |
|
$ |
|
962,651 |
|
|
$ |
|
927,363 |
|
|
$ |
|
— |
|
|
$ |
|
4,528 |
|
|
$ |
|
922,835 |
|
Second Lien Secured Debt |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Unsecured Debt |
|
|
|
23 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Common Equity/Interests |
|
|
|
7,879 |
|
|
|
|
661 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
661 |
|
Total Investments before Foreign Currency Forward Contracts |
|
$ |
|
970,553 |
|
|
$ |
|
928,024 |
|
|
$ |
|
— |
|
|
$ |
|
4,528 |
|
|
$ |
|
923,496 |
|
Money Market Fund |
|
$ |
|
4,819 |
|
|
$ |
|
4,819 |
|
|
$ |
|
4,819 |
|
|
$ |
|
— |
|
|
$ |
|
— |
|
Total Cash Equivalents |
|
$ |
|
4,819 |
|
|
$ |
|
4,819 |
|
|
$ |
|
4,819 |
|
|
$ |
|
— |
|
|
$ |
|
— |
|
Total Investments after Cash Equivalents |
|
$ |
|
975,372 |
|
|
$ |
|
932,843 |
|
|
$ |
|
4,819 |
|
|
$ |
|
4,528 |
|
|
$ |
|
923,496 |
|
Foreign currency forward contracts |
|
|
|
— |
|
|
|
|
431 |
|
|
|
|
— |
|
|
|
|
431 |
|
|
|
|
— |
|
Total Investments and Foreign Currency Forward Contracts at Fair Value |
|
$ |
|
975,372 |
|
|
$ |
|
933,274 |
|
|
$ |
|
4,819 |
|
|
$ |
|
4,959 |
|
|
$ |
|
923,496 |
|
The following table shows the composition of our investments as of December 31, 2025, with the fair value disaggregated into the three levels of the fair value hierarchy in accordance with ASC 820:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair Value Hierarchy |
|
|
|
Cost |
|
|
Fair Value |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
First Lien Secured Debt |
|
$ |
|
954,701 |
|
|
$ |
|
938,801 |
|
|
$ |
|
— |
|
|
$ |
|
6,814 |
|
|
$ |
|
931,987 |
|
Unsecured Debt |
|
|
|
19 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Common Equity/Interests |
|
|
|
7,772 |
|
|
|
|
3,995 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
3,995 |
|
Total Investments before Foreign Currency Forward Contracts |
|
$ |
|
962,492 |
|
|
$ |
|
942,796 |
|
|
$ |
|
— |
|
|
$ |
|
6,814 |
|
|
$ |
|
935,982 |
|
Foreign currency forward contracts |
|
|
|
— |
|
|
|
|
(55 |
) |
|
|
|
— |
|
|
|
|
(55 |
) |
|
|
|
— |
|
Total Investments and Foreign Currency Forward Contracts at Fair Value |
|
$ |
|
962,492 |
|
|
$ |
|
942,741 |
|
|
$ |
|
— |
|
|
$ |
|
6,759 |
|
|
$ |
|
935,982 |
|
|
| Schedule of Changes in Fair Value of Investments |
The following table shows changes in the fair value of our Level 3 investments during the three months ended September 30, 2026:
|
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, 2026 |
|
|
|
First Lien
Secured Debt |
|
|
Unsecured
Debt |
|
|
Common Equity/Interests |
|
|
Total |
|
Fair value as of June 30, 2026 |
|
$ |
|
929,216 |
|
|
$ |
|
— |
|
|
$ |
|
609 |
|
|
$ |
|
929,825 |
|
Net realized gains (losses) |
|
|
|
(4,705 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(4,705 |
) |
Net change in unrealized gains (losses) |
|
|
|
(586 |
) |
|
|
|
(5 |
) |
|
|
|
50 |
|
|
|
|
(541 |
) |
Net amortization on investments |
|
|
|
826 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
826 |
|
Purchases, including capitalized PIK (2) |
|
|
|
46,264 |
|
|
|
|
5 |
|
|
|
|
2 |
|
|
|
|
46,271 |
|
Proceeds from sales and repayments of investments (2) |
|
|
|
(48,180 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(48,180 |
) |
Transfers out of Level 3 (1) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Transfers into Level 3 (1) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Fair value as of September 30, 2026 (3) |
|
$ |
|
922,835 |
|
|
$ |
|
— |
|
|
$ |
|
661 |
|
|
$ |
|
923,496 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in unrealized gains (losses) on Level 3 investments still held as of September 30, 2026 |
|
$ |
|
(5,465 |
) |
|
$ |
|
— |
|
|
$ |
|
50 |
|
|
$ |
|
(5,415 |
) |
The following table shows changes in the fair value of our Level 3 investments during the nine months ended September 30, 2026:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended September 30, 2026 |
|
|
|
First Lien
Secured Debt |
|
|
Unsecured
Debt |
|
|
Common Equity/Interests |
|
|
Total |
|
Fair value as of December 31, 2025 |
|
$ |
|
931,987 |
|
|
$ |
|
— |
|
|
$ |
|
3,995 |
|
|
$ |
|
935,982 |
|
Net realized gains (losses) |
|
|
|
(4,115 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(4,115 |
) |
Net change in unrealized gains (losses) |
|
|
|
(16,932 |
) |
|
|
|
(5 |
) |
|
|
|
(3,441 |
) |
|
|
|
(20,378 |
) |
Net amortization on investments |
|
|
|
2,033 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
2,033 |
|
Purchases, including capitalized PIK (2) |
|
|
|
129,114 |
|
|
|
|
5 |
|
|
|
|
107 |
|
|
|
|
129,226 |
|
Proceeds from sales and repayments of investments (2) |
|
|
|
(119,252 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(119,252 |
) |
Transfers out of Level 3 (1) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Transfers into Level 3 (1) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
Fair value as of September 30, 2026 (3) |
|
$ |
|
922,835 |
|
|
$ |
|
— |
|
|
$ |
|
661 |
|
|
$ |
|
923,496 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in unrealized gains (losses) on Level 3 investments still held as of September 30, 2026 |
|
$ |
|
(20,059 |
) |
|
$ |
|
— |
|
|
$ |
|
(3,441 |
) |
|
$ |
|
(23,499 |
) |
(1)Transfers out (if any) of Level 3 are due to an increase in the quantity and reliability of broker quotes obtained and transfers into (if any) Level 3 are due to a decrease in the quantity and reliability of broker quotes obtained as assessed by the Adviser. Transfers are assumed to have occurred at the end of the period. There were no transfers between Level 1 and Level 2 fair value measurements during the periods shown. (2)Includes reorganizations and restructuring of investments. (3)Includes unfunded commitments measured at fair value of $(642). The following table shows changes in the fair value of our Level 3 investments during the three months ended September 30, 2025:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, 2025 |
|
|
|
First Lien
Secured Debt |
|
|
Unsecured
Debt |
|
|
Common Equity/Interests |
|
|
Total |
|
Fair value as of June 30, 2025 |
|
$ |
|
917,856 |
|
|
$ |
|
19 |
|
|
$ |
|
4,286 |
|
|
$ |
|
922,161 |
|
Net realized gains (losses) |
|
|
|
(8,813 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(8,813 |
) |
Net change in unrealized gains (losses) |
|
|
|
5,170 |
|
|
|
|
— |
|
|
|
|
(1,453 |
) |
|
|
|
3,717 |
|
Net amortization on investments |
|
|
|
839 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
839 |
|
Purchases, including capitalized PIK (2) |
|
|
|
38,858 |
|
|
|
|
— |
|
|
|
|
2,820 |
|
|
|
|
41,678 |
|
Proceeds from sales and repayments of investments (2) |
|
|
|
(60,165 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(60,165 |
) |
Fair value as of September 30, 2025 (3) |
|
$ |
|
893,745 |
|
|
|
|
19 |
|
|
|
|
5,653 |
|
|
$ |
|
899,417 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in unrealized gains (losses) on Level 3 investments still held as of September 30, 2025 |
|
$ |
|
7,357 |
|
|
$ |
|
— |
|
|
$ |
|
(329 |
) |
|
$ |
|
7,028 |
|
The following table shows changes in the fair value of our Level 3 investments during the nine months ended September 30, 2025:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended September 30, 2025 |
|
|
|
First Lien
Secured Debt |
|
|
Unsecured
Debt |
|
|
Common Equity/Interests |
|
|
Total |
|
Fair value as of December 31, 2024 |
|
$ |
|
892,748 |
|
|
|
|
19 |
|
|
|
|
2,895 |
|
|
$ |
|
895,662 |
|
Net realized gains (losses) |
|
|
|
(8,397 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(8,397 |
) |
Net change in unrealized gains (losses) |
|
|
|
(3,397 |
) |
|
|
|
— |
|
|
|
|
(1,870 |
) |
|
|
|
(5,267 |
) |
Net amortization on investments |
|
|
|
2,270 |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
2,270 |
|
Purchases, including capitalized PIK (2) |
|
|
|
166,351 |
|
|
|
|
— |
|
|
|
|
4,628 |
|
|
|
|
170,979 |
|
Proceeds from sales and repayments of investments (2) |
|
|
|
(155,830 |
) |
|
|
|
— |
|
|
|
|
— |
|
|
|
|
(155,830 |
) |
Fair value as of September 30, 2025 (3) |
|
$ |
|
893,745 |
|
|
$ |
|
19 |
|
|
$ |
|
5,653 |
|
|
$ |
|
899,417 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in unrealized gains (losses) on Level 3 investments still held as of September 30, 2025 |
|
$ |
|
3,748 |
|
|
$ |
|
— |
|
|
$ |
|
(1,865 |
) |
|
$ |
|
1,883 |
|
(1)Transfers out (if any) of Level 3 are due to an increase in the quantity and reliability of broker quotes obtained and transfers into (if any) Level 3 are due to a decrease in the quantity and reliability of broker quotes obtained as assessed by the Adviser. Transfers are assumed to have occurred at the end of the period. There were no transfers between Level 1 and Level 2 fair value measurements during the periods shown. (2)Includes reorganizations and restructuring of investments. (3)Includes unfunded commitments measured at fair value of $(389).
|
| Summary of Unobservable Inputs Used in Fair Value Measurements of Level 3 Investments |
The unobservable inputs used in the fair value measurement of our Level 3 investments as of September 30, 2026 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quantitative Information about Level 3 Fair Value Measurements |
Asset Category |
|
Fair Value |
|
|
Valuation Techniques/Methodologies |
Unobservable Input |
Range |
Weighted Average (1) |
First Lien Secured Debt |
$ |
|
853,433 |
|
|
Yield Analysis |
Discount Rate |
4.8% |
|
23.1% |
11.5% |
|
|
|
31,872 |
|
|
Cost Approach |
Cost Approach |
N/A |
|
N/A |
N/A |
|
|
|
37,530 |
|
|
Recovery Analysis |
Recoverability % |
0.0% |
|
100.0% |
70.2% |
Common Equity/Interests |
|
|
609 |
|
|
Guideline Public Company |
TEV/EBITDA |
6.0x |
|
17.5x |
11.77x |
|
|
|
52 |
|
|
Cost Approach |
Cost Approach |
N/A |
|
N/A |
N/A |
Total Level 3 Investments |
$ |
|
923,496 |
|
|
|
|
|
|
|
|
(1)The weighted average information is generally derived by assigning each disclosed unobservable input a proportionate weight based on the fair value of the related investment. For the commodity price unobservable input, the weighted average price is an undiscounted price based upon the estimated production level from the underlying reserves. The unobservable inputs used in the fair value measurement of our Level 3 investments as of December 31, 2025 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quantitative Information about Level 3 Fair Value Measurements |
Asset Category |
|
Fair Value |
|
|
Valuation Techniques/Methodologies |
Unobservable Input |
Range |
Weighted Average (1) |
First Lien Secured Debt |
$ |
|
884,674 |
|
|
Yield Analysis |
Discount Rate |
7.6% |
|
19.2% |
10.0% |
|
|
|
31,262 |
|
|
Cost Approach |
Cost Approach |
N/A |
|
N/A |
N/A |
|
|
|
16,051 |
|
|
Recovery Analysis |
Recoverable Amount |
N/A |
|
N/A |
N/A |
Common Equity/Interests |
|
|
250 |
|
|
Cost Approach |
Cost Approach |
N/A |
|
N/A |
N/A |
|
|
|
3,745 |
|
|
Market Comparable Technique |
Comparable Multiple |
5.7x |
|
30.6x |
6.7x |
Total Level 3 Investments |
$ |
|
935,982 |
|
|
|
|
|
|
|
|
(1)The weighted average information is generally derived by assigning each disclosed unobservable input a proportionate weight based on the fair value of the related investment. For the commodity price unobservable input, the weighted average price is an undiscounted price based upon the estimated production level from the underlying reserves.
|
| Schedule of Change in Capitalized PIK balance |
The following table shows the change in capitalized PIK balance for the three and nine months ended September 30, 2026 and September 30, 2025:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
PIK balance at beginning of period |
|
$ |
|
8,124 |
|
|
$ |
|
4,991 |
|
|
$ |
|
6,243 |
|
|
$ |
|
3,839 |
|
PIK income capitalized |
|
|
|
456 |
|
|
|
|
882 |
|
|
|
|
1,847 |
|
|
|
|
2,357 |
|
PIK capitalized exited from investment sales, repayments, and restructurings |
|
|
|
(490 |
) |
|
|
|
(72 |
) |
|
|
|
— |
|
|
|
|
(395 |
) |
PIK balance at end of period |
|
$ |
|
8,090 |
|
|
$ |
|
5,801 |
|
|
$ |
|
8,090 |
|
|
$ |
|
5,801 |
|
|
| Schedule of Foreign Currency Forward Contracts |
Certain information related to the Company’s foreign currency forward contracts is presented below as of September 30, 2026:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Counterparty |
|
Notional amount to be purchased |
|
|
Notional amount to be sold |
|
|
Settlement Date |
|
|
Fair Value |
|
|
Balance Sheet Location of Net Amounts |
State Street Bank and Trust Company |
|
$ |
|
9,326 |
|
|
£ |
|
6,899 |
|
|
12/16/2026 |
|
|
|
172 |
|
|
Unrealized appreciation (depreciation) on foreign currency forward contracts |
State Street Bank and Trust Company |
|
|
|
8,087 |
|
|
C$ |
|
11,132 |
|
|
12/16/2026 |
|
|
|
236 |
|
|
Unrealized appreciation (depreciation) on foreign currency forward contracts |
State Street Bank and Trust Company |
|
|
|
890 |
|
|
€ |
|
763 |
|
|
12/16/2026 |
|
|
|
23 |
|
|
Unrealized appreciation (depreciation) on foreign currency forward contracts |
|
|
|
|
|
|
|
|
|
|
|
|
$ |
|
431 |
|
|
|
Certain information related to the Company’s foreign currency forward contracts is presented below as of December 31, 2025:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Counterparty |
|
Notional amount to be purchased |
|
|
Notional amount to be sold |
|
|
Settlement Date |
|
|
Fair Value |
|
|
Balance Sheet Location of Net Amounts |
State Street Bank and Trust Company |
|
$ |
|
2,898 |
|
|
C$ |
|
3,979 |
|
|
3/18/2026 |
|
|
|
(10 |
) |
|
Unrealized appreciation (depreciation) on foreign currency forward contracts |
State Street Bank and Trust Company |
|
|
|
996 |
|
|
€ |
|
850 |
|
|
3/18/2026 |
|
|
|
(6 |
) |
|
Unrealized appreciation (depreciation) on foreign currency forward contracts |
State Street Bank and Trust Company |
|
|
|
3,518 |
|
|
£ |
|
2,640 |
|
|
3/18/2026 |
|
|
|
(39 |
) |
|
Unrealized appreciation (depreciation) on foreign currency forward contracts |
|
|
|
|
|
|
|
|
|
|
|
|
$ |
|
(55 |
) |
|
|
|
| Schedule of Derivative Instruments, Gain (Loss) |
The Company’s foreign currency forward contracts are not designated in a qualifying hedge accounting relationship. Net realized and change in unrealized gains and losses for three and nine months ended September 30, 2026 and 2025, for the Company’s foreign currency forward contracts, are in the following locations in the Consolidated Statements of Operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
Derivative Instrument |
|
|
Financial Statement Location |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Foreign currency forward contracts |
|
|
Net realized gains (losses) on foreign currency forward contracts |
|
$ |
|
(192 |
) |
|
$ |
|
(17 |
) |
|
$ |
|
(83 |
) |
|
$ |
|
(162 |
) |
|
|
|
|
|
$ |
|
(192 |
) |
|
$ |
|
(17 |
) |
|
$ |
|
(83 |
) |
|
|
|
(162 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
Derivative Instrument |
|
|
Financial Statement Location |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Foreign currency forward contracts |
|
|
Net change in unrealized gains (losses) on foreign currency forward contracts |
|
$ |
|
318 |
|
|
$ |
|
77 |
|
|
$ |
|
486 |
|
|
$ |
|
38 |
|
|
|
|
|
|
$ |
|
318 |
|
|
$ |
|
77 |
|
|
$ |
|
486 |
|
|
$ |
|
38 |
|
|