QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State of incorporation) |
(I.R.S. Employer Identification No.) |
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
— |
— |
— |
| Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer |
☒ | Smaller reporting company | ||||
| Emerging Growth Company | ||||||
AB PRIVATE CREDIT INVESTORS CORPORATION
FORM 10-Q FOR THE QUARTER ENDED SEPTEMBER 30, 2022
Table of Contents
| INDEX |
PAGE NO. |
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| PART I. |
FINANCIAL INFORMATION | 1 | ||||
| Item 1. |
Consolidated Financial Statements | 1 | ||||
| Item 2. |
Management’s Discussion and Analysis of Financial Condition and Results of Operations | 54 | ||||
| Item 3. |
Quantitative and Qualitative Disclosures About Market Risk | 69 | ||||
| Item 4. |
Controls and Procedures | 70 | ||||
| PART II. |
OTHER INFORMATION | 70 | ||||
| Item 1. |
Legal Proceedings | 70 | ||||
| Item 1A. |
Risk Factors | 70 | ||||
| Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds | 71 | ||||
| Item 3. |
Defaults Upon Senior Securities | 71 | ||||
| Item 4. |
Mine Safety Disclosures | 71 | ||||
| Item 5. |
Other Information | 72 | ||||
| Item 6. |
Exhibits | 73 | ||||
| SIGNATURES |
||||||
See Notes to Unaudited Consolidated Financial Statements
Item 1. |
Financial Statements |
As of September 30, 2022 (Unaudited) |
As of December 31, 2021 |
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| Assets |
| |||||||
| Investments, at fair value (amortized cost of $ |
$ | $ | ||||||
| Cash and cash equivalents |
||||||||
| Receivable for fund shares |
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| Interest receivable |
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| Receivable for investments sold |
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| Deferred financing costs |
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| Prepaid expenses |
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| Prepaid directors’ fee |
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| Total assets |
$ | $ | ||||||
| |
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| Liabilities |
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| Credit facility payable |
$ | $ | ||||||
| Notes payable (net of unamortized discount of $ |
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| Interest and borrowing expenses payable |
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| Secured borrowings |
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| Distribution payable |
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| Management fees payable |
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| Payable for Fund shares repurchased |
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| Incentive fee payable |
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| Accrued tax liability |
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| Professional fees payable |
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| Administrator and custodian fees payable |
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| Payable to Adviser |
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| Payable for investments purchased |
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| Insurance payable |
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| Accrued expenses and other liabilities |
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| Transfer agent fees payable |
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| Total liabilities |
$ | $ | ||||||
| |
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| Commitments and Contingencies (Note 6) |
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| Net Assets |
| |||||||
| Common stock, par value $ |
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| Paid-in capital in excess of par value |
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| Distributable earnings (accumulated loss) |
( |
) | ||||||
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| Total net assets of AB Private Credit Investors Corporation |
$ | $ | ||||||
| |
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| Non-Controlling Interest in ABPCIC Equity Holdings, LLC |
$ | $ | ||||||
| |
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| Total net assets |
$ | $ | ||||||
| |
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| Total liabilities and net assets |
$ | $ | ||||||
| |
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| Net asset value per share of AB Private Credit Investors Corporation |
$ | $ | ||||||
| |
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For the three months ended September 30, |
For the nine months ended September 30, |
|||||||||||||||
2022 |
2021 |
2022 |
2021 |
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| Investment Income: |
| |||||||||||||||
| Interest income, net of amortization/accretion |
$ | $ | $ | $ | ||||||||||||
| Payment-in-kind |
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| Dividend income |
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| Total investment income |
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| Expenses: |
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| Interest and borrowing expenses |
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| Management fees |
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| Income-based incentive fee |
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| Professional fees |
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| Administration and custodian fees |
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| Collateral management fees |
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| Insurance expenses |
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| Directors’ fees |
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| Transfer agent fees |
||||||||||||||||
| Capital gains incentive fee |
( |
) | ( |
) | ||||||||||||
| Other expenses |
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| |
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|
|||||||||
| Total expenses |
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| Reimbursement payments to Adviser (See Note 3: Expense Support and Conditional Reimbursement Agreement) |
||||||||||||||||
| Waived collateral management fees |
( |
) | ( |
) | ( |
) | ||||||||||
| Waived management fees |
( |
) | ( |
) | ( |
) | ||||||||||
| |
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| Net expenses |
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| Net investment income before taxes |
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| Income tax expense, including excise tax |
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| Net investment income after tax |
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| Net realized and change in unrealized gains (losses) on investment transactions: |
| |||||||||||||||
| Net realized gain (loss) from investments |
( |
) | ( |
) | ||||||||||||
| Net change in unrealized appreciation (depreciation) on investments |
( |
) | ( |
) | ||||||||||||
| |
|
|
|
|
|
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|
|||||||||
| Net realized and change in unrealized gains (losses) on investment transactions |
( |
) | ( |
) | ||||||||||||
| |
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|
|||||||||
| Net increase (decrease) in net assets resulting from operations |
$ | ( |
) | $ | $ | $ | ||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Less: Net increase (decrease) in net assets resulting from operations related to Non-Controlling Interest in ABPCIC Equity Holdings, LLC |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Net increase (decrease) in net assets resulting from operations related to AB Private Credit Investors Corporation |
$ | ( |
) | $ | $ | $ | ||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Net investment income per share (basic and diluted): |
| |||||||||||||||
| Net investment income per share (basic and diluted): |
$ | $ | $ | $ | ||||||||||||
| Earnings per share (basic and diluted): |
$ | ( |
) |
$ | $ | $ | ||||||||||
| Weighted average shares outstanding: |
||||||||||||||||
Common Stock |
||||||||||||||||||||||||
Shares |
Par Amount |
Paid in Capital in Excess of Par |
Distributable Earnings |
Non-Controlling Interest - ABPCIC Equity Holdings, LLC |
Total Net Assets |
|||||||||||||||||||
Net assets at June 30, 2022 |
$ | $ | $ | $ | $ | |||||||||||||||||||
Increase (decrease) in net assets resulting from operations: |
||||||||||||||||||||||||
Net investment income |
— | — | — | ( |
) | |||||||||||||||||||
Net realized gain (loss) on investments |
— | — | — | — | ||||||||||||||||||||
Net change in unrealized appreciation (depreciation) on investments |
— | — | — | ( |
) | ( |
) | |||||||||||||||||
Capital transactions: |
||||||||||||||||||||||||
Issuance of common stock |
— | — | ||||||||||||||||||||||
Issuance of common shares pursuant to distribution reinvestment plan |
— | — | ||||||||||||||||||||||
Repurchase of common stock |
( |
) | ( |
) | ( |
) | — | — | ( |
) | ||||||||||||||
Distributions to stockholders |
— | — | — | ( |
) | — | ( |
) | ||||||||||||||||
Total increase (decrease) for the three months ended September 30, 2022 |
( |
) | ||||||||||||||||||||||
Net assets at September 30, 2022 |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||||||
Distributions declared per share |
— | $ | — | $ | — | $ | $ | — | $ | |||||||||||||||
Net assets at December 31, 2021 |
$ | $ | $ | $ | $ | |||||||||||||||||||
Increase (decrease) in net assets resulting from operations: |
||||||||||||||||||||||||
Net investment income |
— | — | — | ( |
) | |||||||||||||||||||
Net realized gain (loss) on investments |
— | — | — | — | ||||||||||||||||||||
Net change in unrealized appreciation (depreciation) on investments |
— | — | — | ( |
) | ( |
) | |||||||||||||||||
Capital transactions: |
||||||||||||||||||||||||
Issuance of common stock |
— | — | ||||||||||||||||||||||
Contribution of non-controlling interest into ABPCIC Equity Holdings, LLC |
— | — | — | — | ||||||||||||||||||||
Issuance of common shares pursuant to distribution reinvestment plan |
— | — | ||||||||||||||||||||||
Repurchase of common stock |
( |
) | ( |
) | ( |
) | — | — | ( |
) | ||||||||||||||
Distributions to stockholders |
— | — | — | ( |
) | — | ( |
) | ||||||||||||||||
Total increase (decrease) for the nine months ended September 30, 2022 |
( |
) | ||||||||||||||||||||||
Net assets at September 30, 2022 |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||||||
Distributions declared per share |
— | $ | — | $ | — | $ | $ | — | $ | |||||||||||||||
Common Stock |
||||||||||||||||||||||||
Shares |
Par Amount |
Paid in Capital in Excess of Par |
Distributable Earnings |
Non-Controlling Interest – ABPCIC Equity Holdings, LLC |
Total Net Assets |
|||||||||||||||||||
Net assets at June 30, 2021 |
$ | $ | $ | $ | $ | |||||||||||||||||||
Increase (decrease) in net assets resulting from operations: |
||||||||||||||||||||||||
Net investment income |
— | — | — | ( |
) | |||||||||||||||||||
Net realized gain (loss) on investments |
— | — | — | ( |
) | — | ( |
) | ||||||||||||||||
Net change in unrealized appreciation (depreciation) on investments |
— | — | — | |||||||||||||||||||||
Capital transactions: |
||||||||||||||||||||||||
Issuance of common stock |
— | — | ||||||||||||||||||||||
Contribution of non-controlling interest into ABPCIC Equity Holdings, LLC |
— | — | — | — | ||||||||||||||||||||
Issuance of common shares pursuant to distribution reinvestment plan |
— | — | ||||||||||||||||||||||
Repurchase of common stock |
( |
) | ( |
) | ( |
) | — | — | ( |
) | ||||||||||||||
Distributions to stockholders |
— | — | — | ( |
) | — | ( |
) | ||||||||||||||||
Total increase (decrease) for the three months ended September 30, 2021 |
||||||||||||||||||||||||
Net assets at September 30, 2021 |
$ | $ | $ | $ | $ | |||||||||||||||||||
Distributions declared per share |
— | $ | — | $ | — | $ | $ | — | $ | |||||||||||||||
Net assets at December 31, 2020 |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||||||
Increase (decrease) in net assets resulting from operations: |
||||||||||||||||||||||||
Net investment income |
— | — | — | ( |
) | |||||||||||||||||||
Net realized gain (loss) on investments |
— | — | — | ( |
) | — | ( |
) | ||||||||||||||||
Net change in unrealized appreciation (depreciation) on investments |
— | — | — | |||||||||||||||||||||
Capital transactions: |
||||||||||||||||||||||||
Issuance of common stock |
— | — | ||||||||||||||||||||||
Contribution of non-controlling interest into ABPCIC Equity Holdings, LLC |
— | — | — | — | ||||||||||||||||||||
Issuance of common shares pursuant to distribution reinvestment plan |
— | — | ||||||||||||||||||||||
Repurchase of common stock |
( |
) | ( |
) | ( |
) | — | — | ( |
) | ||||||||||||||
Distributions to stockholders |
— | — | — | ( |
) | — | ( |
) | ||||||||||||||||
Total increase (decrease) for the nine months ended September 30, 2021 |
||||||||||||||||||||||||
Net assets at September 30, 2021 |
$ | $ | $ | $ | $ | |||||||||||||||||||
Distributions declared per share |
— | $ | — | $ | — | $ | $ | — | $ | |||||||||||||||
Nine Months Ended September 30, 2022 |
Nine Months Ended September 30, 2021 |
|||||||
| Cash flows from operating activities |
| |||||||
| Net increase (decrease) in net assets resulting from operations |
$ | $ | ||||||
| Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used for) operating activities: |
| |||||||
| Purchases of investments |
( |
) | ( |
) | ||||
| Payment-in-kind |
( |
) | ( |
) | ||||
| Proceeds from sales of investments and principal repayments |
||||||||
| Net realized (gain) loss on investments |
( |
) | ||||||
| Net change in unrealized (appreciation) depreciation on investments |
( |
) | ||||||
| Amortization of premium and accretion of discount, net |
( |
) | ( |
) | ||||
| Amortization of discount, debt issuance and deferred financing costs |
||||||||
| Increase (decrease) in operating assets and liabilities: |
| |||||||
| (Increase) decrease in receivable for investments sold |
( |
) | ( |
) | ||||
| (Increase) decrease in interest receivable |
( |
) | ( |
) | ||||
| (Increase) decrease in other assets |
— | |||||||
| (Increase) decrease in prepaid directors’ fee |
( |
) | ||||||
| (Increase) decrease in prepaid expenses |
( |
) | ||||||
| Increase (decrease) in payable for investments purchased |
( |
) | ||||||
| Increase (decrease) in due to affiliate |
— | ( |
) | |||||
| Increase (decrease) in management fees payable |
||||||||
| Increase (decrease) in payable to Adviser |
( |
) | ||||||
| Increase (decrease) in administrator and custodian fees payable |
( |
) | ||||||
| Increase (decrease) in professional fees payable |
||||||||
| Increase (decrease) in accrued tax liability |
( |
) | ||||||
| Increase (decrease) in incentive fee payable |
( |
) | ( |
) | ||||
| Increase (decrease) in transfer agent fees payable |
||||||||
| Increase (decrease) in insurance payable |
||||||||
| Increase (decrease) in interest and borrowing expenses payable |
||||||||
| Increase (decrease) in accrued organization costs |
— | ( |
) | |||||
| Increase (decrease) in accrued expenses and other liabilities |
||||||||
| |
|
|
|
|||||
| Net cash provided by (used for) operating activities |
( |
) | ( |
) | ||||
| |
|
|
|
|||||
| Cash flows from financing activities |
| |||||||
| Issuance of common stock |
||||||||
| Contribution of Non-Controlling Interest into ABPCIC Equity Holdings, LLC |
||||||||
| Repurchase of common stock |
( |
) | ( |
) | ||||
| Distributions paid |
( |
) | ( |
) | ||||
| Financing costs paid |
( |
) | ( |
) | ||||
| Borrowings on notes |
— | |||||||
| Repayments of notes |
( |
) | — | |||||
| Borrowings on credit facility |
||||||||
| Repayments of credit facility |
( |
) | ( |
) | ||||
| Proceeds on secured borrowings |
— | |||||||
| Repayments on secured borrowings |
( |
) | ( |
) | ||||
| |
|
|
|
|||||
| Net cash provided by (used for) financing activities |
||||||||
| |
|
|
|
|||||
| Net increase (decrease) in cash |
( |
) | ||||||
| Cash and cash equivalents, beginning of period |
||||||||
| |
|
|
|
|||||
| Cash and cash equivalents, end of period |
$ | $ | ||||||
| |
|
|
|
|||||
| Supplemental and non-cash financing activities |
| |||||||
| Cash paid during the period for interest |
$ | $ | ||||||
| Issuance of common shares pursuant to distribution reinvestment plan |
$ | $ | ||||||
| State taxes paid |
$ | $ | — | |||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Investments at Fair Value |
| |||||||||||||||||||
| U.S. Corporate Debt |
| |||||||||||||||||||
| 1st Lien/Senior Secured Debt |
| |||||||||||||||||||
| AmerCareRoyal, LLC (1) |
$ | $ | $ | |||||||||||||||||
| AmerCareRoyal, LLC (2) |
||||||||||||||||||||
| AmerCareRoyal, LLC (1) |
||||||||||||||||||||
| Cerifi, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Cerifi, LLC (2) (5) |
||||||||||||||||||||
| Engage2Excel, Inc. (3) |
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| Engage2Excel, Inc. (1) |
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| Engage2Excel, Inc. (1) |
||||||||||||||||||||
| Global Radar Holdings, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Global Radar Holdings, LLC (2) (5) |
||||||||||||||||||||
| Metametrics, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Metametrics, Inc. (1) (2) |
||||||||||||||||||||
| MSM Acquisitions, Inc. (3) |
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| MSM Acquisitions, Inc. (2) |
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| MSM Acquisitions, Inc. (3) |
||||||||||||||||||||
| MSM Acquisitions, Inc. (1) (2) (5) |
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| Rep Tec Intermediate Holdings, Inc. (3) |
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| Rep Tec Intermediate Holdings, Inc. (1) (2) (5) |
||||||||||||||||||||
| Sako and Partners Lower Holdings LLC (3) (4) |
— | ( |
) | ( |
) | |||||||||||||||
| Sako and Partners Lower Holdings LLC (3) |
||||||||||||||||||||
| Sako and Partners Lower Holdings LLC (1) (2) (5) |
||||||||||||||||||||
| Valcourt Holdings II, LLC (1) (3) (6) |
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| Valcourt Holdings II, LLC (2) |
||||||||||||||||||||
| Valcourt Holdings II, LLC (2) |
||||||||||||||||||||
| Valcourt Holdings II, LLC (1) (2) |
||||||||||||||||||||
| AEG Holding Company, Inc. (1) |
Discretionary |
|||||||||||||||||||
| AEG Holding Company, Inc. (3) |
Discretionary |
|||||||||||||||||||
| AEG Holding Company, Inc. (5) |
Discretionary |
|||||||||||||||||||
| AEG Holding Company, Inc. (1) |
Discretionary |
|||||||||||||||||||
| Ampler QSR Holdings, LLC (2) (5) |
Non-Cyclical |
|||||||||||||||||||
| Blink Holdings, Inc. (1) |
Non-Cyclical |
|||||||||||||||||||
| Blink Holdings, Inc. |
Non-Cyclical |
|||||||||||||||||||
| Blink Holdings, Inc. (1) |
Non-Cyclical |
|||||||||||||||||||
| Freddy’s Frozen Custard, L.L.C (3) (4) |
Non-Cyclical |
( |
) | ( |
) | |||||||||||||||
| Freddy’s Frozen Custard, L.L.C (2) (5) |
Non-Cyclical |
|||||||||||||||||||
| Krispy Krunchy Foods, L.L.C (2) |
Non-Cyclical |
|||||||||||||||||||
| Mathnasium LLC (3) |
Non-Cyclical |
|||||||||||||||||||
| Mathnasium LLC (1) (2) |
Non-Cyclical |
|||||||||||||||||||
| MMP Intermediate, LLC (3) (4) |
Non-Cyclical |
( |
) | ( |
) | |||||||||||||||
| MMP Intermediate, LLC (1) (2) |
Non-Cyclical |
|||||||||||||||||||
| PF Growth Partners, LLC (1) |
Non-Cyclical |
|||||||||||||||||||
| PF Growth Partners, LLC (1) |
Non-Cyclical |
|||||||||||||||||||
| PF Growth Partners, LLC (1) |
Non-Cyclical |
|||||||||||||||||||
| TBG Food Acquisition Corp (3) (4) |
Non-Cyclical |
( |
) | ( |
) | |||||||||||||||
| TBG Food Acquisition Corp (3) (4) |
Non-Cyclical |
( |
) | ( |
) | |||||||||||||||
| TBG Food Acquisition Corp (1) (2) |
Non-Cyclical |
|||||||||||||||||||
| 5 Bars, LLC (3) (4) |
( |
) | ||||||||||||||||||
| 5 Bars, LLC (3) (4) |
( |
) | ||||||||||||||||||
| 5 Bars, LLC (5) |
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| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Airwavz Solutions, Inc (3) (4) |
$ | $ | ( |
) | $ | ( |
) | |||||||||||||
| Airwavz Solutions, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Airwavz Solutions, Inc (5) |
||||||||||||||||||||
| Avant Communications, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Avant Communications, LLC (1) (2) |
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| Bridgepointe Technologies, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Bridgepointe Technologies, LLC (1) (3) |
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| Bridgepointe Technologies, LLC (5) |
||||||||||||||||||||
| Bridgepointe Technologies, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Bridgepointe Technologies, LLC (1) (2) |
||||||||||||||||||||
| Coretelligent Intermediate LLC (2) (3) |
||||||||||||||||||||
| Coretelligent Intermediate LLC (3) (4) |
( |
) | ||||||||||||||||||
| Coretelligent Intermediate LLC (1) (2) (5) |
||||||||||||||||||||
| EvolveIP, LLC |
||||||||||||||||||||
| EvolveIP, LLC (3) |
||||||||||||||||||||
| EvolveIP, LLC (1) |
||||||||||||||||||||
| Fatbeam, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Fatbeam, LLC |
||||||||||||||||||||
| Fatbeam, LLC (2) (5) |
||||||||||||||||||||
| Firstdigital Communications LLC (3) |
||||||||||||||||||||
| Firstdigital Communications LLC (2) (5) |
||||||||||||||||||||
| FirstLight Holdco, Inc. (1) (2) |
||||||||||||||||||||
| Greenlight Intermediate II, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Greenlight Intermediate II, Inc. (1) (2) |
||||||||||||||||||||
| MBS Holdings, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| MBS Holdings, Inc. (1) (2) (5) |
||||||||||||||||||||
| MSP Global Holdings, Inc. (3) |
||||||||||||||||||||
| MSP Global Holdings, Inc. (3) |
||||||||||||||||||||
| MSP Global Holdings, Inc. (2) (5) |
||||||||||||||||||||
| NI Topco, Inc (1) |
||||||||||||||||||||
| NI Topco, Inc (2) (5) |
||||||||||||||||||||
| Single Digits, Inc. (2) |
||||||||||||||||||||
| Single Digits, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Single Digits, Inc. (1) |
||||||||||||||||||||
| Stratus Networks, Inc. (3) (7) |
||||||||||||||||||||
| Stratus Networks, Inc. (3) (7) (8) |
||||||||||||||||||||
| Stratus Networks, Inc. (2) (7) |
||||||||||||||||||||
| Thrive Buyer, Inc. (1) (2) (3) |
||||||||||||||||||||
| Thrive Buyer, Inc. (3) |
||||||||||||||||||||
| Thrive Buyer, Inc. (1) (2) (5) |
||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Towerco IV Holdings, LLC (1) (2) (3) |
$ |
$ |
$ |
|||||||||||||||||
| Transtelco Holding, Inc. (2) |
||||||||||||||||||||
| Transtelco Holding, Inc. (1) (2) (5) |
||||||||||||||||||||
| Accelerate Resources Operating, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Accelerate Resources Operating, LLC (1) |
||||||||||||||||||||
| BEXP I OG, LLC (3) (4) |
( |
) | ||||||||||||||||||
| BEXP I OG, LLC (3) (4) |
( |
) | ||||||||||||||||||
| BEXP I OG, LLC (2) |
||||||||||||||||||||
| Bowline Energy, LLC (1) |
||||||||||||||||||||
| Foundation Risk Partners, Corp. (5) |
||||||||||||||||||||
| Foundation Risk Partners, Corp. (3) (9) |
||||||||||||||||||||
| Foundation Risk Partners, Corp. (3) |
||||||||||||||||||||
| Foundation Risk Partners, Corp. (1) (2) (5) |
||||||||||||||||||||
| Foundation Risk Partners, Corp. (2) |
||||||||||||||||||||
| Galway Borrower, LLC (3) |
||||||||||||||||||||
| Galway Borrower, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Galway Borrower, LLC (1) (2) |
||||||||||||||||||||
| Higginbotham Insurance Agency, Inc. (2) (3) |
||||||||||||||||||||
| Higginbotham Insurance Agency, Inc. (1) (2) (5) |
||||||||||||||||||||
| Peter C. Foy & Associates Insurance Services, LLC (1) (5) |
||||||||||||||||||||
| Peter C. Foy & Associates Insurance Services, LLC (3) (5) |
||||||||||||||||||||
| Peter C. Foy & Associates Insurance Services, LLC (1) |
||||||||||||||||||||
| RSC Acquisition, Inc. (3) |
||||||||||||||||||||
| RSC Acquisition, Inc. |
||||||||||||||||||||
| Wealth Enhancement Group, LLC (1) (10) (11) |
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| Wealth Enhancement Group, LLC (3) (10) |
||||||||||||||||||||
| Wealth Enhancement Group, LLC (3) (4) (10) |
( |
) | ( |
) | ||||||||||||||||
| AAH Topco, LLC (1) (3) (5) |
||||||||||||||||||||
| AAH Topco, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| AAH Topco, LLC (1) (2) (5) |
||||||||||||||||||||
| American Physician Partners, LLC (1) (2) |
||||||||||||||||||||
| American Physician Partners, LLC (3) |
||||||||||||||||||||
| American Physician Partners, LLC (2) |
||||||||||||||||||||
| American Physician Partners, LLC |
||||||||||||||||||||
| American Physician Partners, LLC (1) (2) |
||||||||||||||||||||
| Analogic Corporation (3) |
||||||||||||||||||||
| Analogic Corporation (1) (5) |
||||||||||||||||||||
| AOM Acquisition, LLC. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| AOM Acquisition, LLC. (1) (2) |
||||||||||||||||||||
| BAART Programs, Inc. (1) (3) (12) |
||||||||||||||||||||
| BAART Programs, Inc. (1) (2) (12) |
||||||||||||||||||||
| BV EMS Buyer, Inc. (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| BV EMS Buyer, Inc. (2) |
||||||||||||||||||||
| Caregiver 2, Inc. (2) |
||||||||||||||||||||
| Caregiver 2, Inc. (5) |
||||||||||||||||||||
| Caregiver 2, Inc. (5) |
||||||||||||||||||||
| Caregiver 2, Inc. (2) |
||||||||||||||||||||
| Choice Health At Home, LLC, (1) (3) |
||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Choice Health At Home, LLC, (1) (2) |
$ |
$ |
$ |
|||||||||||||||||
| Coding Solutions Acquisition, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Coding Solutions Acquisition, Inc (3) |
||||||||||||||||||||
| Coding Solutions Acquisition, Inc (2) (5) |
||||||||||||||||||||
| Community Based Care Acquisition, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Community Based Care Acquisition, Inc. (2) (3) |
||||||||||||||||||||
| Community Based Care Acquisition, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Community Based Care Acquisition, Inc. (1) (2) |
||||||||||||||||||||
| Delaware Valley Management Holdings, Inc. (3) (4) (13) |
( |
) | ( |
) | ||||||||||||||||
| Delaware Valley Management Holdings, Inc. (3) (4) (13) |
( |
) | ( |
) | ||||||||||||||||
| Delaware Valley Management Holdings, Inc. (13) |
||||||||||||||||||||
| Delaware Valley Management Holdings, Inc. (13) |
||||||||||||||||||||
| FH MD Buyer, Inc. (1) (2) |
||||||||||||||||||||
| GHA Buyer, Inc. (2) |
||||||||||||||||||||
| GHA Buyer, Inc. (3) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) (5) |
||||||||||||||||||||
| GHA Buyer, Inc. (5) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) |
||||||||||||||||||||
| Honor HN Buyer, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Honor HN Buyer, Inc (2) (3) |
||||||||||||||||||||
| Honor HN Buyer, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Honor HN Buyer, Inc (1) (2) |
||||||||||||||||||||
| Kindeva Drug Delivery L.P. (3) |
||||||||||||||||||||
| Kindeva Drug Delivery L.P. (1) (2) (5) |
||||||||||||||||||||
| Medbridge Holdings, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Medbridge Holdings, LLC (1) |
||||||||||||||||||||
| Medbridge Holdings, LLC (1) (2) |
||||||||||||||||||||
| Medical Management Resource Group, LLC (1) |
||||||||||||||||||||
| Medical Management Resource Group, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Medical Management Resource Group, LLC (2) |
||||||||||||||||||||
| Medsuite Purchaser, LLC (3) (4) (14) |
( |
) | ( |
) | ||||||||||||||||
| Medsuite Purchaser, LLC (3) (4) (14) |
( |
) | ( |
) | ||||||||||||||||
| Medsuite Purchaser, LLC (1) (2) (14) |
||||||||||||||||||||
| OMH-HealthEdge Holdings, LLC (3) (4) |
( |
) | ||||||||||||||||||
| OMH-HealthEdge Holdings, LLC (2) |
||||||||||||||||||||
| OMH-HealthEdge Holdings, LLC (2) |
||||||||||||||||||||
| OMH-HealthEdge Holdings, LLC (1) |
||||||||||||||||||||
| Pace Health Companies, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Pace Health Companies, LLC (1) |
||||||||||||||||||||
| Pinnacle Dermatology Management, LLC (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Pinnacle Dermatology Management, LLC (3) (15) |
||||||||||||||||||||
| Pinnacle Dermatology Management, LLC (1) (2) (5) |
||||||||||||||||||||
| Pinnacle Treatment Centers, Inc. (2) |
||||||||||||||||||||
| Pinnacle Treatment Centers, Inc. (3) |
||||||||||||||||||||
| Pinnacle Treatment Centers, Inc. (2) (5) |
||||||||||||||||||||
| Priority Ondemand Midco 2,L.P (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Priority Ondemand Midco 2,L.P (1) (2) |
$ |
$ |
$ |
|||||||||||||||||
| RCP Encore Acquisition, Inc. (13) |
||||||||||||||||||||
| Redwood Family Care Network, Inc. (1) (3) |
||||||||||||||||||||
| Redwood Family Care Network, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Redwood Family Care Network, Inc. (5) |
||||||||||||||||||||
| Salisbury House, LLC (3) |
||||||||||||||||||||
| Salisbury House, LLC (1) |
||||||||||||||||||||
| Salisbury House, LLC (1) |
||||||||||||||||||||
| Salisbury House, LLC (1) (2) |
||||||||||||||||||||
| Sandstone Care Holdings, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Sandstone Care Holdings, LLC (3) |
||||||||||||||||||||
| Sandstone Care Holdings, LLC (1) |
||||||||||||||||||||
| SCA Buyer, LLC (3) |
||||||||||||||||||||
| SCA Buyer, LLC (2) |
||||||||||||||||||||
| SIS Purchaser, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| SIS Purchaser, Inc. (2) |
||||||||||||||||||||
| SIS Purchaser, Inc. (1) (2) (5) |
||||||||||||||||||||
| Smile Brands, Inc. (5) |
||||||||||||||||||||
| Smile Brands, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Smile Brands, Inc. (1) |
||||||||||||||||||||
| Spark DSO LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Spark DSO LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Spark DSO LLC (1) (2) (5) |
||||||||||||||||||||
| Taconic Biosciences, Inc. (2) |
||||||||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. (2) (3) |
||||||||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. (1) (2) |
||||||||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. (3) |
||||||||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. (2) |
||||||||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. (1) (5) |
||||||||||||||||||||
| West Dermatology (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| West Dermatology (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| West Dermatology (1) (2) (5) |
||||||||||||||||||||
| Activ Software Holdings, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Activ Software Holdings, LLC (1) (2) (5) |
||||||||||||||||||||
| Admiral Buyer, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Admiral Buyer, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Admiral Buyer, Inc (1) |
||||||||||||||||||||
| AMI US Holdings, Inc. (3) (4) |
( |
) | ||||||||||||||||||
| AMI US Holdings, Inc. (1) |
||||||||||||||||||||
| Avetta, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Avetta, LLC (1) (5) |
||||||||||||||||||||
| Avetta, LLC (2) |
||||||||||||||||||||
| Avetta, LLC (1) |
||||||||||||||||||||
| Bonterra, LLC (3) (4) (16) |
( |
) |
( |
) | ||||||||||||||||
| Bonterra, LLC (3) (16) |
||||||||||||||||||||
| Bonterra, LLC (1) (2) (5) (16) |
||||||||||||||||||||
| Brightspot Buyer, Inc (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Brightspot Buyer, Inc (2) |
||||||||||||||||||||
| BSI2 Hold Nettle, LLC (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| BSI2 Hold Nettle, LLC (2) (5) |
||||||||||||||||||||
| BusinesSolver.com, Inc. (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| BusinesSolver.com, Inc. (2) (5) |
||||||||||||||||||||
| Certify, Inc |
||||||||||||||||||||
| Certify, Inc (3) |
||||||||||||||||||||
| Certify, Inc (3) |
||||||||||||||||||||
| Certify, Inc (1) (2) (5) |
||||||||||||||||||||
| Community Brands Parentco, LLC (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Community Brands Parentco, LLC (3) (4) |
$ |
$ |
( |
) | $ |
( |
) | |||||||||||||
| Community Brands Parentco, LLC (1) (2) |
||||||||||||||||||||
| Datacor, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Datacor, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Datacor, Inc. (1) (2) (5) |
||||||||||||||||||||
| Degreed, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Degreed, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Degreed, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Degreed, Inc. (2) |
||||||||||||||||||||
| Degreed, Inc. (1) (5) |
||||||||||||||||||||
| Dispatch Track, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Dispatch Track, LLC (1) (2) |
||||||||||||||||||||
| Drilling Info Holdings, Inc. (1) |
||||||||||||||||||||
| EET Buyer, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| EET Buyer, Inc. (2) (5) |
||||||||||||||||||||
| Exterro, Inc. |
||||||||||||||||||||
| Exterro, Inc. (1) (2) |
||||||||||||||||||||
| Exterro, Inc. (2) (5) |
||||||||||||||||||||
| Exterro, Inc. (1) |
||||||||||||||||||||
| Faithlife, LLC (1) (2) (3) |
||||||||||||||||||||
| Faithlife, LLC (3) (4) |
( |
) | ||||||||||||||||||
| Faithlife, LLC (1) (2) |
||||||||||||||||||||
| Fusion Holding Corp (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Fusion Holding Corp (1) (2) (5) |
||||||||||||||||||||
| Fusion Risk Management Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Fusion Risk Management Inc (1) (5) |
||||||||||||||||||||
| Genesis Acquisition Co. (5) |
||||||||||||||||||||
| Genesis Acquisition Co. (1) (2) |
||||||||||||||||||||
| Greenhouse Software, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Greenhouse Software, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Greenhouse Software, Inc. (1) (2) (5) |
||||||||||||||||||||
| Greenhouse Software, Inc. (2) (5) |
||||||||||||||||||||
| Gryphon-Redwood Acquisition LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Gryphon-Redwood Acquisition LLC (1) |
||||||||||||||||||||
| GS AcquisitionCo, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| GS AcquisitionCo, Inc. (3) |
||||||||||||||||||||
| GS AcquisitionCo, Inc. (1) (2) (5) |
||||||||||||||||||||
| Iodine Software, LLC (2) (5) |
||||||||||||||||||||
| Iodine Software, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Iodine Software, LLC (1) (2) |
||||||||||||||||||||
| Kaseya Inc. (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Kaseya Inc. (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Kaseya Inc. (1) (2) |
||||||||||||||||||||
| Mavenlink, Inc. (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Mavenlink, Inc. (1) (2) (5) |
||||||||||||||||||||
| Moon Buyer, Inc. (3) (4) |
( |
) |
||||||||||||||||||
| Moon Buyer, Inc. (3) (4) |
( |
) |
||||||||||||||||||
| Moon Buyer, Inc. (1) (2) (5) |
||||||||||||||||||||
| Mykaarma Acquisition LLC (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Mykaarma Acquisition LLC (2) (5) |
||||||||||||||||||||
| Navigate360, LLC (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Navigate360, LLC (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Navigate360, LLC (5) |
||||||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (3) |
||||||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (3) (4) |
( |
) |
( |
) | ||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (1) (2) |
||||||||||||||||||||
| Ranger Buyer, Inc. (3) |
||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Ranger Buyer, Inc. (1) (2) (5) |
$ |
$ |
$ |
|||||||||||||||||
| Sauce Labs Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Sauce Labs, Inc. (5) |
||||||||||||||||||||
| Sauce Labs, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Sauce Labs, Inc. (2) (5) |
||||||||||||||||||||
| ScyllaDB, Inc. (3) (4) |
— | ( |
) | ( |
) | |||||||||||||||
| ScyllaDB, Inc. (3) (4) |
— | ( |
) | ( |
) | |||||||||||||||
| ScyllaDB, Inc. (5) |
||||||||||||||||||||
| Securonix, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Securonix, Inc. (2) (5) |
||||||||||||||||||||
| Sirsi Corporation (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Sirsi Corporation (1) (2) |
||||||||||||||||||||
| Smartlinx Solutions, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Smartlinx Solutions, LLC |
||||||||||||||||||||
| Smartlinx Solutions, LLC (1) (2) (5) |
||||||||||||||||||||
| Soladoc, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Soladoc, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Soladoc, LLC (1) (2) |
||||||||||||||||||||
| SugarCRM, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| SugarCRM, Inc. (1) (5) |
||||||||||||||||||||
| Sundance Group Holdings, Inc (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Sundance Group Holdings, Inc (3) |
||||||||||||||||||||
| Sundance Group Holdings, Inc (2) (5) |
||||||||||||||||||||
| Swiftpage, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Swiftpage, Inc. (2) |
||||||||||||||||||||
| Swiftpage, Inc. (2) |
||||||||||||||||||||
| Sysnet North America, Inc. (5) |
||||||||||||||||||||
| Sysnet North America, Inc. (1) (2) (5) |
||||||||||||||||||||
| Telcor Buyer, Inc. (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Telcor Buyer, Inc. (1) (2) |
||||||||||||||||||||
| Telesoft Holdings, LLC (3) (4) |
( |
) | ( |
) | ||||||||||||||||
| Telesoft Holdings, LLC (2) (5) |
||||||||||||||||||||
| TRGRP, Inc. (3) (4) |
( |
) | ||||||||||||||||||
| TRGRP, Inc. (2) |
||||||||||||||||||||
| TRGRP, Inc. (1) |
||||||||||||||||||||
| TRGRP, Inc. (2) (5) |
||||||||||||||||||||
| Ungerboeck Systems International, LLC (5) |
Services |
|||||||||||||||||||
| Ungerboeck Systems International, LLC (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Ungerboeck Systems International, LLC (1) |
Services |
|||||||||||||||||||
| Ungerboeck Systems International, LLC (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Ungerboeck Systems International, LLC |
Services |
|||||||||||||||||||
| Ungerboeck Systems International, LLC (2) (5) |
Services |
|||||||||||||||||||
| Vectra AI, Inc. (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Vectra AI, Inc. (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Vectra AI, Inc. (2) (5) |
Services |
|||||||||||||||||||
| Vehlo Purchaser, LLC (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Vehlo Purchaser, LLC (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Vehlo Purchaser, LLC (1) (2) (5) |
Services |
|||||||||||||||||||
| Velocity Purchaser Corporation (3) (4) |
Services |
( |
) |
|||||||||||||||||
| Velocity Purchaser Corporation (1) |
Services |
|||||||||||||||||||
| Velocity Purchaser Corporation (1) (2) |
Services |
|||||||||||||||||||
| Velocity Purchaser Corporation (1) |
Services |
|||||||||||||||||||
| Veracross LLC (3) (4) |
Services |
( |
) |
( |
) | |||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Veracross LLC (3) (4) |
$ |
$ |
( |
) |
$ |
( |
) | |||||||||||||
| Veracross LLC (5) |
||||||||||||||||||||
| Dillon Logistics, Inc. (13) |
||||||||||||||||||||
| Dillon Logistics, Inc. (13) |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total U.S.1st Lien/Senior Secured Debt |
|
|||||||||||||||||||
| 2nd Lien/Junior Secured Debt |
| |||||||||||||||||||
| Conterra Ultra Broadband Holdings, Inc. (1) (2) |
||||||||||||||||||||
| Brave Parent Holdings, Inc. (1) |
||||||||||||||||||||
| Symplr Software, Inc. (1) (2) |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total U.S. 2nd Lien/Junior Secured Debt |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total U.S. Corporate Debt |
||||||||||||||||||||
| Canadian Corporate Debt |
| |||||||||||||||||||
| 1st Lien/Senior Secured Debt |
| |||||||||||||||||||
| McNairn Holdings Ltd. (1) (17) |
||||||||||||||||||||
| Syntax Systems Ltd (1) (2) (17) |
||||||||||||||||||||
| Syntax Systems Ltd (3) (17) |
||||||||||||||||||||
| Syntax Systems Ltd (3) (4) (17) |
( |
) |
( |
) | ||||||||||||||||
| Banneker V Acquisition, Inc. (2) (5) (17) |
||||||||||||||||||||
| Banneker V Acquisition, Inc. (3) (4) (17) |
( |
) |
( |
) | ||||||||||||||||
| Banneker V Acquisition, Inc. (2) (17) |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total Canadian 1st Lien/Senior Secured Debt |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total Canadian Corporate Debt |
|
|||||||||||||||||||
| Portfolio Company |
Class/Series |
Industry |
Shares |
Cost |
Fair Value |
|||||||||||||||
| U.S. Preferred Stock |
||||||||||||||||||||
| Global Radar Holdings, LLC (18) (19) |
$ | $ | ||||||||||||||||||
| Bowline Topco LLC (19) (20) |
||||||||||||||||||||
| SBS Ultimate Holdings, LP (19) |
||||||||||||||||||||
| Concerto Health AI Solutions, LLC (19) (21) |
B-1 |
|||||||||||||||||||
| Alphasense, Inc. (17) (19) |
||||||||||||||||||||
| Datarobot, Inc. (19) |
||||||||||||||||||||
| Datarobot, Inc. (19) |
||||||||||||||||||||
| Degreed, Inc. (19) |
||||||||||||||||||||
| Degreed, Inc. (19) |
C-1 |
|||||||||||||||||||
| Heap, Inc. (19) |
||||||||||||||||||||
| Heap, Inc. (19) |
||||||||||||||||||||
| Knockout Intermediate Holdings I, Inc. (19) |
||||||||||||||||||||
| Netskope, Inc. (19) |
||||||||||||||||||||
| Phenom People, Inc. (19) |
||||||||||||||||||||
| Protoscale Rubrik, LLC (19) |
||||||||||||||||||||
| Swyft Parent Holdings LP (22) |
||||||||||||||||||||
| Symplr Software Intermediate Holdings, Inc. (19) |
||||||||||||||||||||
| Vectra AI, Inc (19) |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total U.S. Preferred Stock |
||||||||||||||||||||
| Portfolio Company |
Class/Series |
Industry |
Shares |
Cost |
Fair Value |
|||||||||||||||
| U.S. Common Stock |
| |||||||||||||||||||
| Leeds FEG Investors, LLC (19) |
$ | $ | ||||||||||||||||||
| Freddy’s Frozen Custard, LLC (19) (23) |
Non-Cyclical |
|||||||||||||||||||
| 8x8, Inc. (17) (19) (24) |
Services |
|||||||||||||||||||
| Avant Communications, LLC (25) |
Services |
|||||||||||||||||||
| MSP Global Holdings, Inc (19) |
Services |
|||||||||||||||||||
| NEPCORE Parent Holdings, LLC (19) |
Services |
|||||||||||||||||||
| Neutral Connect, LLC (19) (26) |
Services |
|||||||||||||||||||
| Thrive Parent, LLC (19) |
Services |
|||||||||||||||||||
| Agape Care Group (19) (27) |
||||||||||||||||||||
| Community Based Care Holdings, LP (19) |
||||||||||||||||||||
| GSV Medsuite Investments, LLC (19) |
||||||||||||||||||||
| Health Platform Group, Inc |
||||||||||||||||||||
| Healthcare Services Acquisition (17) (19) (24) |
||||||||||||||||||||
| Healthcare Services Acquisition (17) (19) |
||||||||||||||||||||
| INH Group Holdings, Inc. (19) |
||||||||||||||||||||
| Medical Management Resource Group, LLC (19) (28) |
||||||||||||||||||||
| Redwood Family Care Network, Inc. (19) (29) |
||||||||||||||||||||
| REP AOM Holdings, LLC (19) (30) |
||||||||||||||||||||
| American Safety Holdings Corp. (19) (31) |
||||||||||||||||||||
| Brightspot Holdco, LLC (19) |
||||||||||||||||||||
| GSV Vehlo Investments, LLC (19) |
||||||||||||||||||||
| Moon Topco L.P. (19) |
||||||||||||||||||||
| Mykaarma Acquisition LLC (19) |
||||||||||||||||||||
| Ranger Lexipol Holdings, LLC (19) |
||||||||||||||||||||
| Ranger Lexipol Holdings, LLC (19) |
||||||||||||||||||||
| Samsara Networks, Inc. (17) (19) (24) |
||||||||||||||||||||
| Singularity Topco LLC (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Stripe, Inc. (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Swyft Parent Holdings LP (22) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Omni Logistics, LLC (3 2 ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Total U.S. Common Stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| U.S. Warrants - |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Healthcare Services Acquisition, expire (17) (19) (24) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Healthcare Services Acquisition, expire (17) (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| SBS Ultimate Holdings, LP, expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| Alphasense, Inc., expire (17) (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| Degreed, Inc., expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| Degreed, Inc., expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| Degreed, Inc., expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| ScyllaDB, Inc., expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| Vectra AI, Inc., expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total U.S. Warrants |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| United Kingdom Warrants - |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| GlobalWebIndex, Inc., expire (19) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total United Kingdom Warrants |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| Portfolio Company |
Class/Series |
Units/ Commitments |
Cost |
Fair Value |
||||||||||||||||
| Investment |
||||||||||||||||||||
| AB Equity Investors, L.P. (19) (33) |
$ | $ | ||||||||||||||||||
| Falcon Co-Investment Partners, L.P. (19) (33)(35) |
||||||||||||||||||||
| GHP E Aggregator, LLC (19) (33) |
||||||||||||||||||||
| GHP SPV 2, L.P . (17) (19) (33) (34) (35) |
||||||||||||||||||||
| Magenta Blocker Aggregator, LP (19) (33) (34) |
||||||||||||||||||||
| Orangewood WWB C o-Invest,L.P. (19) (3 3 )(3 4 ) |
||||||||||||||||||||
| ORCP III Triton Co-Investors, L.P. (19) (3 3 )(3 4 ) |
||||||||||||||||||||
| Palms Co-Investment Partners, L.P. (19) (33) (34) (35) |
||||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total Investment Companies |
|
|||||||||||||||||||
| TOTAL INVESTMENTS - (36) |
|
$ |
$ |
|||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Portfolio Company |
Class/Series |
Industry |
Shares |
Cost |
Fair Value |
|||||||||||||||
| Cash Equivalents |
||||||||||||||||||||
| U.S. Investment Companies |
|
|||||||||||||||||||
| State Street Institutional US Government Money Market Fund (24) (37) |
2.79 % (38) |
$ | $ | |||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total U.S. Investment Companies |
|
|||||||||||||||||||
| |
|
|
|
|||||||||||||||||
| Total Cash Equivalents |
|
|||||||||||||||||||
| LIABILITIES IN EXCESS OF OTHER ASSETS - ( |
$ |
( |
) | |||||||||||||||||
| |
|
|||||||||||||||||||
| NET ASSETS - |
$ |
|||||||||||||||||||
| |
|
|||||||||||||||||||
(++) |
Unless otherwise indicated, all securities represent co-investments made with the Fund’s affiliates in accordance with the terms of the exemptive relief received from the U.S. Securities and Exchange Commission. See Note 3 “Related Party Transactions”. |
+ |
As of September 30, 2022, qualifying assets represented non-qualifying assets unless, at the time the acquisition is made, qualifying assets represent at least |
* |
Unless otherwise indicated, all securities are valued using significant unobservable inputs, which are categorized as Level 3 assets under the definition of Financial Accounting Standards Board’s Accounting Standards Codification 820 fair value hierarchy. |
# |
Percentages are based on net assets. |
^ |
Generally, the interest rate on floating interest rate investments is at benchmark rate plus spread. The borrower has an option to choose the benchmark rate, such as the London Interbank Offered Rate (“LIBOR”), Secured Overnight Financing Rate including adjustment, if any (“SOFR”) or the U.S. Prime rate. The spread may change based on the type of rate used. The terms in the Consolidated Schedule of Investments disclose the actual interest rate in effect as of the reporting period. 30-day, 60-day, 90-day or 180-day rates (1M, 3M or 6M, respectively) at the borrower’s option |
(1) |
Position, or a portion thereof, has been segregated to collateralize ABPCI Direct Lending Fund CLO VI Ltd. | |
(2) |
Position, or a portion thereof, has been segregated to collateralize ABPCIC Funding III, LLC. | |
(3) |
Position or portion thereof is an unfunded loan commitment, and no interest is being earned on the unfunded portion. The unfunded loan commitment may be subject to a commitment termination date, that may expire prior to the maturity date stated. See Note 6 “Commitments and Contingencies”. | |
(4) |
The negative cost is the result of the capitalized discount being greater than the principal amount outstanding on the loan. The negative fair value is the result of the capitalized discount on the loan. | |
(5) |
Position, or a portion thereof, has been segregated to collateralize ABPCIC Funding II, LLC. | |
(6) |
$ | |
(7) |
Saturn Borrower Inc. has been renamed to Stratus Networks, Inc. in 2022. | |
(8) |
$ | |
(9) |
$ | |
(10) |
TA/WEG Holdings, LLC has been renamed to Wealth Enhancement Group, LLC in 2022. | |
(11) |
$ | |
(12) |
MedMark Services, Inc. has been renamed to BAART Programs, Inc. in 2022. | |
(13) |
The investment is on non-accrual status. See Note 2 “Significant Accounting Policies.” | |
(14) |
Millin Purchaser LLC. has been renamed to Medsuite Purchaser, LLC in 2022. | |
(15) |
$ | |
(16) |
Cybergrants Holdings, LLC has been renamed to Bonterra LLC in 2022. | |
(17) |
Positions considered non-qualified assets therefore excluded from the qualifying assets calculation as noted in footnote + above. | |
(18) |
Position or portion thereof is held by Global Radar Acquisition Holdings, LLC which is held by ABPCIC Global Radar LLC, an affiliate of the Fund. | |
(19) |
Non-income producing investment. | |
(20) |
Bowline Topco LLC is held through ABPCIC BE Holdings, LLC, an affiliate of the Fund. | |
(21) |
Concerto Health AI Solutions, LLC is held through ABPCIC Concerto Holdings LLC, an affiliate of the Fund. | |
(22) |
Position or portion thereof is held by ABPCIC Swyft Holdings LLC, an affiliate of the Fund, which is held by ABPCIC Equity Holdings, LLC. | |
(23) |
Position or portion thereof is held by Freddy’s Acquisition, LP. | |
(24) |
Categorized as Level 1 assets under the definition of ASC 820 fair value hierarchy. | |
(25) |
Position or portion thereof is held by Pamlico Avant Holdings L.P. which is held by ABPCIC Avant, LLC, an affiliate of the Fund. | |
(26) |
Neutral Connect, LLC is held through ABPCIC NC Holdings LLC, an affiliate of the Fund. | |
(27) |
Position or portion thereof is held by REP Coinvest III AGP Blocker, L.P. which is held by ABPCIC Equity Holdings, LLC. | |
(28) |
Medical Management Resource Group, LLC is held through Advantage AVP Parent Holdings, L.P. | |
(29) |
Redwood Family Care Network, Inc. is held through RCFN Parent, LP. | |
(30) |
Position or portion thereof is held by ABPCIC AOM LLC, an affiliate of the Fund. | |
(31) |
Position or portion thereof is held by REP Coinvest III Tec, L.P. which is held by ABPCIC Equity Holdings, LLC. | |
(32) |
Position or portion thereof is held by ABPCIC Equity Holdings, LLC. | |
(33) |
Position or portion thereof is held by REP Coinvest III-A Omni, L.P. which is held by ABPCIC Equity Holdings, LLC. | |
(34) |
Excluded from the ASC 820 fair value hierarchy as fair value is measured using the net asset value per share practical expedient. | |
(35) |
Unfunded amounts of $ are for Falcon Co-Investment Partners, L.P., GHP SPV 2, L.P. and Palms Co-Investment Partners, L.P., respectively. | |
(36) |
Aggregate gross unrealized appreciation for federal income tax purposes is $ | |
(37) |
Included within ‘Cash and cash equivalents’ on the Consolidated Statements of Assets and Liabilities. | |
(38) |
The rate shown is the annualized seven-day yield as of September 30, 2022. | |
| L - | LIBOR | |
| P - | Prime | |
| PIK - | Payment-In-Kind | |
| S - | SOFR | |
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Investments at Fair Value—257.77% (++) + * # ^ |
| |||||||||||||||||||
| U.S. Corporate Debt—244.00% |
| |||||||||||||||||||
| 1st Lien/Senior Secured Debt—240.92% |
| |||||||||||||||||||
| AmerCareRoyal, LLC (1) |
$ | $ | $ | |||||||||||||||||
| AmerCareRoyal, LLC (2) |
||||||||||||||||||||
| AmerCareRoyal, LLC (1) |
||||||||||||||||||||
| BEP Borrower Holdco, LLC (2) (3) |
||||||||||||||||||||
| BEP Borrower Holdco, LLC (4) (5) |
( |
) | ||||||||||||||||||
| BEP Borrower Holdco, LLC (1) |
||||||||||||||||||||
| Engage2Excel, Inc. (1) (4) |
||||||||||||||||||||
| Engage2Excel, Inc. (1) |
||||||||||||||||||||
| Engage2Excel, Inc. (1) |
||||||||||||||||||||
| Global Radar Holdings, LLC (4) (5) |
( |
) | ||||||||||||||||||
| Global Radar Holdings, LLC (2) (3) |
||||||||||||||||||||
| Metametrics, Inc. (4) |
||||||||||||||||||||
| Metametrics, Inc. (1) (2) |
||||||||||||||||||||
| MSM Acquisitions, Inc. (4) (5) |
( |
) | ||||||||||||||||||
| MSM Acquisitions, Inc. (2) |
||||||||||||||||||||
| MSM Acquisitions, Inc. (4) |
||||||||||||||||||||
| MSM Acquisitions, Inc. (1) (2) (3) |
||||||||||||||||||||
| Rep Tec Intermediate Holdings, Inc. (4) (5) |
( |
) | ||||||||||||||||||
| Rep Tec Intermediate Holdings,Inc. (1) (2) (3) |
||||||||||||||||||||
| Valcourt Holdings II, LLC (1) (4) |
||||||||||||||||||||
| Valcourt Holdings II, LLC (2) |
||||||||||||||||||||
| Valcourt Holdings II, LLC (1) (2) |
||||||||||||||||||||
| AEG Holding Company , Inc. (1) |
||||||||||||||||||||
| AEG Holding Company, Inc. (4) (5) |
( |
) | ||||||||||||||||||
| AEG Holding Company, Inc. (3) |
||||||||||||||||||||
| AEG Holding Company, Inc. (1) |
||||||||||||||||||||
| Ampler QSR Holdings, LLC (2) (3) |
||||||||||||||||||||
| Blink Holdings, Inc. (1) |
||||||||||||||||||||
| Blink Holdings, Inc. |
||||||||||||||||||||
| Blink Holdings, Inc. (1) |
||||||||||||||||||||
| Captain D’s, Inc. (4) (5) |
( |
) | ||||||||||||||||||
| Captain D’s, Inc. (1) |
Non-Cyclical |
|||||||||||||||||||
| Freddy’s Frozen Custard, L.L.C (4) (5) |
Non-Cyclical |
( |
) |
|||||||||||||||||
| Freddy’s Frozen Custard, L.L.C (2) (3) |
Non-Cyclical |
|||||||||||||||||||
| Krispy Krunchy Foods, L.L.C (4) (5) |
Non-Cyclical |
( |
) |
( |
) | |||||||||||||||
| Krispy Krunchy Foods, L.L.C (2) (3) |
Non-Cyclical |
|||||||||||||||||||
| Mathnasium LLC (4) |
Non-Cyclical |
|||||||||||||||||||
| Mathnasium LLC (1) (2) |
Non-Cyclical |
|||||||||||||||||||
| PF Growth Partners, LLC |
Non-Cyclical |
|||||||||||||||||||
| PF Growth Partners, LLC |
Non-Cyclical |
|||||||||||||||||||
| PF Growth Partners, LLC (1) |
Non-Cyclical |
|||||||||||||||||||
| TBG Food Acquisition Corp (4) (5) |
Non-Cyclical |
( |
) |
( |
) | |||||||||||||||
| TBG Food Acquisition Corp (4) (5) |
Non-Cyclical |
( |
) |
( |
) | |||||||||||||||
| TBG Food Acquisition Corp (1) (2) |
Non-Cyclical |
|||||||||||||||||||
| 5 Bars, LLC (4) (5) |
( |
) |
||||||||||||||||||
| 5 Bars, LLC (4) (5) |
( |
) |
||||||||||||||||||
| 5 Bars, LLC (3) |
||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Avant Communications, LLC (4) (5) |
$ |
$ |
( |
) |
$ |
( |
) | |||||||||||||
| Avant Communications, LLC (1) (2) |
||||||||||||||||||||
| Bridgepointe Technologies, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Bridgepointe Technologies, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Bridgepointe Technologies, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Bridgepointe Technologies, LLC (1) (2) |
||||||||||||||||||||
| Coretelligent Intermediate LLC (4) |
||||||||||||||||||||
| Coretelligent Intermediate LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Coretelligent Intermediate LLC (1) (2) (3) |
||||||||||||||||||||
| EvolveIP, LLC |
||||||||||||||||||||
| EvolveIP, LLC (4) |
||||||||||||||||||||
| EvolveIP, LLC (1) |
||||||||||||||||||||
| Fatbeam, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Fatbeam, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Fatbeam, LLC (4) |
||||||||||||||||||||
| Fatbeam, LLC (2) (3) |
||||||||||||||||||||
| Firstdigital Communications LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Firstdigital Communications LLC (2) (3) |
||||||||||||||||||||
| Fuze, Inc. (2) (3) |
||||||||||||||||||||
| Fuze, Inc. (4) (5) |
( |
) | ||||||||||||||||||
| Fuze, Inc. (1) (3) |
||||||||||||||||||||
| MBS Holdings, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| MBS Holdings, Inc. (1) (2) (3) |
||||||||||||||||||||
| NI Topco, Inc (4) |
||||||||||||||||||||
| NI Topco, Inc (2) (3) |
||||||||||||||||||||
| Saturn Borrower Inc (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Saturn Borrower Inc (4) |
||||||||||||||||||||
| Saturn Borrower Inc (2) |
||||||||||||||||||||
| Single Digits, Inc. (2) |
||||||||||||||||||||
| Single Digits, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Single Digits, Inc. (1) |
||||||||||||||||||||
| Thrive Buyer, Inc. (1) (2) (4) |
||||||||||||||||||||
| Thrive Buyer, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Thrive Buyer, Inc. (1) (2) (3) |
||||||||||||||||||||
| Towerco IV Holdings, LLC (1) (2) (4) |
||||||||||||||||||||
| Transtelco Holding, Inc. (2) |
||||||||||||||||||||
| Transtelco Holding, Inc. (1) (2) (3) |
||||||||||||||||||||
| Accelerate Resources Operating, LLC (4) (5) |
( |
) | ||||||||||||||||||
| Accelerate Resources Operating, LLC (1) |
||||||||||||||||||||
| Bowline Energy, LLC (1) |
||||||||||||||||||||
| Foundation Risk Partners, Corp. (4) |
||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
| Foundation Risk Partners, Corp. (4) (5) |
$ |
$ |
( |
) | $ |
( |
) | |||||||||||||
| Foundation Risk Partners, Corp. (1) (2) (3) |
||||||||||||||||||||
| Galway Borrower, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Galway Borrower, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Galway Borrower, LLC (1) (2) |
||||||||||||||||||||
| Higginbotham Insurance Agency, Inc. (2) (4) |
||||||||||||||||||||
| Higginbotham Insurance Agency, Inc. (1) (2) (3) |
||||||||||||||||||||
| Purchasing Power, LLC (1) |
||||||||||||||||||||
| TA/WEG Holdings, LLC (4) |
||||||||||||||||||||
| TA/WEG Holdings, LLC (4) |
||||||||||||||||||||
| AAH Topco, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| AAH Topco, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| AAH Topco, LLC (1) (2) (3) |
||||||||||||||||||||
| American Physician Partners, LLC (1) (2) |
||||||||||||||||||||
| American Physician Partners, LLC (4) |
||||||||||||||||||||
| American Physician Partners, LLC (2) |
||||||||||||||||||||
| American Physician Partners, LLC (1) |
||||||||||||||||||||
| American Physician Partners, LLC (1) (2) |
||||||||||||||||||||
| Analogic Corporation (4) |
||||||||||||||||||||
| Analogic Corporation (1) (3) |
||||||||||||||||||||
| Caregiver 2, Inc. (4) |
||||||||||||||||||||
| Caregiver 2, Inc. (3) |
||||||||||||||||||||
| Caregiver 2, Inc. (3) |
||||||||||||||||||||
| Caregiver 2, Inc. (2) |
||||||||||||||||||||
| Choice Health At Home, LLC, (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Choice Health At Home, LLC, (1) (2) |
||||||||||||||||||||
| Coding Solutions Acquisition, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||
| Coding Solutions Acquisition, Inc. (4) |
||||||||||||||||||||
| Coding Solutions Acquisition, Inc. (2) (3) |
||||||||||||||||||||
| Community Based Care Acquisition, Inc. (4) |
||||||||||||||||||||
| Community Based Care Acquisition, Inc. (4) (6) |
||||||||||||||||||||
| Community Based Care Acquisition, Inc. (1) (2) |
||||||||||||||||||||
| Delaware Valley Management Holdings, Inc. (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Delaware Valley Management Holdings, Inc. |
||||||||||||||||||||
| Delaware Valley Management Holdings, Inc. |
||||||||||||||||||||
| Ethos Veterinary Health, LLC (1) |
||||||||||||||||||||
| Ethos Veterinary Health, LLC (1) |
||||||||||||||||||||
| FH MD Buyer, Inc. (1) (2) |
||||||||||||||||||||
| GHA Buyer, Inc. (2) |
||||||||||||||||||||
| GHA Buyer, Inc. (4) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) (3) |
||||||||||||||||||||
| GHA Buyer, Inc. (3) |
||||||||||||||||||||
| GHA Buyer, Inc. (1) |
||||||||||||||||||||
| Honor HN Buyer, Inc (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Honor HN Buyer, Inc (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Honor HN Buyer, Inc (1) (2) |
||||||||||||||||||||
| Kindeva Drug Delivery L.P. (4) |
||||||||||||||||||||
| Kindeva Drug Delivery L.P. (1) (2) (3) |
||||||||||||||||||||
| Medbridge Holdings, LLC (4) |
||||||||||||||||||||
| Medbridge Holdings, LLC (1) (2) |
||||||||||||||||||||
| Medical Management Resource Group, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
| Medical Management Resource Group, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||
Medical Management Resource Group, (2) |
$ |
$ |
$ |
|||||||||||||||||
MedMark Services, Inc. (4) |
Loan |
|||||||||||||||||||
MedMark Services, Inc. (1) (2) |
||||||||||||||||||||
Millin Purchaser LLC (4) (5) |
Loan |
( |
) |
( |
) | |||||||||||||||
Millin Purchaser LLC (4) (5) |
Loan |
( |
) |
( |
) | |||||||||||||||
Millin Purchaser LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
Millin Purchaser LLC (1) (2) |
||||||||||||||||||||
OMH-HealthEdge Holdings, LLC(4) (5) |
( |
) |
( |
) | ||||||||||||||||
OMH-HealthEdge Holdings, LLC(2) |
||||||||||||||||||||
OMH-HealthEdge Holdings, LLC(1) |
||||||||||||||||||||
Pace Health Companies, LLC (4) (5) |
( |
) |
||||||||||||||||||
Pace Health Companies, LLC (1) |
||||||||||||||||||||
PAW Midco, Inc |
||||||||||||||||||||
Pinnacle Dermatology Management, LLC (4) (5) |
Loan |
( |
) |
( |
) | |||||||||||||||
Pinnacle Dermatology Management, LLC (4) (5) |
( |
) |
( |
) | ||||||||||||||||
Pinnacle Dermatology Management, LLC (1) (2) (3) |
||||||||||||||||||||
Pinnacle Treatment Centers, Inc. (2) |
Loan |
|||||||||||||||||||
Pinnacle Treatment Centers, Inc. (4) (5) |
Loan |
( |
) | |||||||||||||||||
Pinnacle Treatment Centers, Inc. (4) (5) |
( |
) | ||||||||||||||||||
Pinnacle Treatment Centers, Inc. (2) (3) |
||||||||||||||||||||
Platinum Dermatology Partners, LLC (7) |
Loan |
|||||||||||||||||||
Platinum Dermatology Partners, LLC (1) |
Loan |
|||||||||||||||||||
Platinum Dermatology Partners, LLC (8) |
||||||||||||||||||||
Platinum Dermatology Partners, LLC (1) |
||||||||||||||||||||
RCP Encore Acquisition, Inc. (1) |
||||||||||||||||||||
Redwood Family Care Network, Inc. (1) (4) |
Loan |
|||||||||||||||||||
Redwood Family Care Network, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||
Redwood Family Care Network, Inc. (3) |
||||||||||||||||||||
Salisbury House, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
Salisbury House, LLC (1) |
||||||||||||||||||||
Salisbury House, LLC (1) (2) |
||||||||||||||||||||
SCA Buyer, LLC (4) |
||||||||||||||||||||
SCA Buyer, LLC (2) |
||||||||||||||||||||
SIS Purchaser, Inc. (4) (5) |
( |
) | ||||||||||||||||||
SIS Purchaser, Inc. (2) |
||||||||||||||||||||
SIS Purchaser, Inc. (1) (2) (3) |
||||||||||||||||||||
Smile Brands, Inc. (3) |
Loan |
|||||||||||||||||||
Smile Brands, Inc. (4) |
||||||||||||||||||||
Smile Brands, Inc. (1) |
||||||||||||||||||||
Taconic Biosciences, Inc. (2) |
||||||||||||||||||||
The Center for Orthopedic and Research Excellence, Inc. (4) |
Loan |
|||||||||||||||||||
The Center for Orthopedic and Research Excellence, Inc. (1) (2) |
Loan |
|||||||||||||||||||
The Center for Orthopedic and Research Excellence, Inc. (4) (9) |
||||||||||||||||||||
The Center for Orthopedic and Research Excellence, Inc. (1) (3) |
||||||||||||||||||||
Activ Software Holdings, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||
Activ Software Holdings, LLC (1) (2) (3) |
||||||||||||||||||||
Alphasense, Inc. (2) (10) |
Loan |
|||||||||||||||||||
Alphasense, Inc. (4) (5) (10) |
( |
) | ( |
) | ||||||||||||||||
Alphasense, Inc. (3) (10) |
||||||||||||||||||||
AMI US Holdings, Inc. (4) |
||||||||||||||||||||
AMI US Holdings, Inc. (1) |
||||||||||||||||||||
See Notes to Unaudited Consolidated Financial Statements |
20 |
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||||
| Arrowstream Acquisition Co., Inc. (4) (5) |
$ |
$ |
( |
) |
$ |
( |
) | |||||||||||||||
| Arrowstream Acquisition Co., Inc. (3) |
||||||||||||||||||||||
| Avetta, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Avetta, LLC (1) (3) |
||||||||||||||||||||||
| Avetta, LLC (2) |
||||||||||||||||||||||
| Avetta, LLC (1) |
||||||||||||||||||||||
| Brightspot Buyer, Inc (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Brightspot Buyer, Inc (2) |
||||||||||||||||||||||
| BusinesSolver.com, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| BusinesSolver.com, Inc. (2) (3) |
||||||||||||||||||||||
| Cybergrants Holdings , LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Cybergrants Holdings, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Cybergrants Holdings, LLC (1) (2) |
||||||||||||||||||||||
| Datacor, Inc. (4) (5) |
( |
) | ||||||||||||||||||||
| Datacor, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Datacor, Inc. (1) (3) |
||||||||||||||||||||||
| Degreed, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Degreed, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Degreed, Inc. (2) |
||||||||||||||||||||||
| Degreed, Inc. (1) (3) |
||||||||||||||||||||||
| Dispatch Track, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Dispatch Track, LLC (1) (2) |
||||||||||||||||||||||
| Drilling Info Holdings, Inc. (1) |
||||||||||||||||||||||
| Dude Solutions Holdings, Inc. (3) |
||||||||||||||||||||||
| Dude Solutions Holdings, Inc. (3) |
||||||||||||||||||||||
| EET Buyer, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| EET Buyer, Inc. (2) (3) |
||||||||||||||||||||||
| EnterpriseDB Corporation (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| EnterpriseDB Corporation (1) (2) |
||||||||||||||||||||||
| EnterpriseDB Corporation (1) (2) (3) |
||||||||||||||||||||||
| EnterpriseDB Corporation (1) (3) |
||||||||||||||||||||||
| Exterro, Inc. (4) (5) |
( |
) | ||||||||||||||||||||
| Exterro, Inc. (1) (2) |
||||||||||||||||||||||
| Exterro, Inc. (2) (3) |
||||||||||||||||||||||
| Exterro, Inc. (1) |
||||||||||||||||||||||
| Faithlife, LLC (1) (2) (4) |
||||||||||||||||||||||
| Faithlife, LLC (4) (5) |
( |
) | ||||||||||||||||||||
| Faithlife, LLC (1) (2) |
||||||||||||||||||||||
| Genesis Acquisition Co. (3) |
||||||||||||||||||||||
| Genesis Acquisition Co. (1) (2) |
||||||||||||||||||||||
| Greenhouse Software, Inc. (4) (5) |
( |
) |
( |
) | ||||||||||||||||||
| Greenhouse Software, Inc. (2) (3) |
||||||||||||||||||||||
| GS AcquisitionCo, Inc. (4) (5) |
( |
) |
||||||||||||||||||||
| GS AcquisitionCo, Inc. (4) |
||||||||||||||||||||||
| GS AcquisitionCo, Inc. (1) (2) (3) |
||||||||||||||||||||||
| Iodine Software, LLC (2) (3) |
||||||||||||||||||||||
| Iodine Software, LLC (4) (5) |
( |
) |
||||||||||||||||||||
| Iodine Software, LLC (1) (2) |
||||||||||||||||||||||
| Kaseya, Inc. (4) |
||||||||||||||||||||||
| Kaseya, Inc. (2) |
||||||||||||||||||||||
| Kaseya, Inc. (2) |
||||||||||||||||||||||
| Kaseya, Inc. (4) (5) |
( |
) |
||||||||||||||||||||
| Kaseya, Inc. (1) (2) |
||||||||||||||||||||||
| Kaseya, Inc. (1) (2) (3) |
||||||||||||||||||||||
| Mavenlink, Inc (4) (5) |
( |
) |
( |
) | ||||||||||||||||||
| Mavenlink, Inc (1) (2) (3) |
||||||||||||||||||||||
| Ministry Brands, LLC (2) |
||||||||||||||||||||||
| Ministry Brands, LLC (2) |
||||||||||||||||||||||
| Moon Buyer, Inc. (4) (5) |
( |
) |
||||||||||||||||||||
| Moon Buyer, Inc. (4) (5) |
( |
) |
||||||||||||||||||||
| Moon Buyer, Inc. (1) (2) (3) |
||||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (2) |
Software & Tech Services |
Delayed Draw Term Loan |
7.00% (L + 6.00%; 1.00% Floor) |
$ |
$ |
$ |
||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (1) |
Software & Tech Services |
Delayed Draw Term Loan |
7.00% (L + 6.00%; 1.00% Floor) |
|||||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (4) |
Software & Tech Services |
Delayed Draw Term Loan |
7.00% (L + 6.00%; 1.00% Floor) |
|||||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (4) (5) |
Software & Tech Services |
Revolver |
7.00% (L + 6.00%; 1.00% Floor) |
( |
) |
|||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (1) |
Software & Tech Services |
Term Loan |
7.00% (L + 6.00%; 1.00% Floor) |
|||||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. (2) |
Software & Tech Services |
Term Loan |
7.00% (L + 6.00%; 1.00% Floor) |
|||||||||||||||||||
| PerimeterX, Inc. (4) (5) |
Software & Tech Services |
Delayed Draw Term Loan |
6.50% (L + 4.00%; 1.50% PIK; 1.00% Floor) |
( |
) |
( |
) | |||||||||||||||
| PerimeterX, Inc. (4) (5) |
Software & Tech Services |
Delayed Draw Term Loan |
6.50% (L + 4.00%; 1.50% PIK; 1.00% Floor) |
( |
) |
( |
) | |||||||||||||||
| PerimeterX, Inc. (4) (5) |
Software & Tech Services |
Revolver |
6.50% (L + 4.00%; 1.50% PIK; 1.00% Floor) |
( |
) |
( |
) | |||||||||||||||
| PerimeterX, Inc. (3) |
||||||||||||||||||||||
| Ranger Buyer Inc (4) |
||||||||||||||||||||||
| Ranger Buyer Inc (1) (2) (3) |
||||||||||||||||||||||
| Sauce Labs, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Sauce Labs, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Sauce Labs, Inc. (2) |
||||||||||||||||||||||
| SecureLink, Inc. (4) (5) |
( |
) | ||||||||||||||||||||
| SecureLink, Inc. (1) (2) |
||||||||||||||||||||||
| SecureLink, Inc. (1) |
||||||||||||||||||||||
| Sirsi Corporation (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Sirsi Corporation (1) (2) |
||||||||||||||||||||||
| Smartlinx Solutions, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Smartlinx Solutions, LLC (1) (2) (3) |
||||||||||||||||||||||
| Streamsets, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Streamsets, Inc. (3) |
||||||||||||||||||||||
| SugarCRM, Inc. (4) (5) |
( |
) | ||||||||||||||||||||
| SugarCRM, Inc. (1) (3) |
||||||||||||||||||||||
| Sundance Group Holdings, Inc (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Sundance Group Holdings, Inc (4) |
||||||||||||||||||||||
| Sundance Group Holdings, Inc (2) (3) |
||||||||||||||||||||||
| Swiftpage, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Swiftpage, Inc. (2) |
||||||||||||||||||||||
| Swiftpage, Inc. (2) |
1.00% Floor) |
|||||||||||||||||||||
| Sysnet North America, Inc. |
||||||||||||||||||||||
| Sysnet North America, Inc. (1) (2) (3) |
||||||||||||||||||||||
| Telcor Buyer, Inc. (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Telcor Buyer, Inc. (1) (2) |
||||||||||||||||||||||
| Telesoft Holdings, LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Telesoft Holdings, LLC (2) (3) |
||||||||||||||||||||||
| TRGRP, Inc. (4) (5) |
( |
) | ||||||||||||||||||||
| TRGRP, Inc. (2) |
||||||||||||||||||||||
| TRGRP, Inc. (1) |
||||||||||||||||||||||
| TRGRP, Inc. (2) (3) |
||||||||||||||||||||||
| Ungerboeck Systems International, LLC |
||||||||||||||||||||||
| Ungerboeck Systems International, LLC (1) |
||||||||||||||||||||||
| Ungerboeck Systems International, LLC (4) (5) |
( |
) |
||||||||||||||||||||
| Ungerboeck Systems International, LLC (2) (3) |
||||||||||||||||||||||
| Vectra AI, Inc. (4) (5) |
( |
) |
( |
) | ||||||||||||||||||
| Vectra AI, Inc. (4) (5) |
( |
) |
( |
) | ||||||||||||||||||
| Vectra AI, Inc. (2) (3) |
||||||||||||||||||||||
| Velocity Purchaser Corporation (4) (5) |
( |
) |
||||||||||||||||||||
| Velocity Purchaser Corporation (1) |
||||||||||||||||||||||
| Velocity Purchaser Corporation (1) (2) |
||||||||||||||||||||||
| Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||||
| Velocity Purchaser Corporation (1) |
$ |
$ |
$ |
|||||||||||||||||||
| Veracross LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Veracross LLC (4) (5) |
( |
) | ( |
) | ||||||||||||||||||
| Veracross LLC (3) |
||||||||||||||||||||||
| Dillon Logistics, Inc. (4) (11) |
||||||||||||||||||||||
| Dillon Logistics, Inc. (11) |
||||||||||||||||||||||
| Dillon Logistics, Inc. (11) |
||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total U.S. 1st Lien/Senior Secured Debt |
|
|||||||||||||||||||||
| 2nd Lien/Junior Secured Debt— |
| |||||||||||||||||||||
| Conterra Ultra Broadband Holdings, Inc. (1) (2) |
||||||||||||||||||||||
| Brave Parent Holdings, Inc. (1) |
||||||||||||||||||||||
| Symplr Software, Inc. (1) |
||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total U.S. 2nd Lien/Junior Secured Debt |
|
|||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
| |||||||||||||
| Total U.S. Corporate Debt |
|
|||||||||||||||||||||
| Canadian Corporate Debt— |
| |||||||||||||||||||||
| 1st Lien/Senior Secured Debt— |
| |||||||||||||||||||||
| McNairn Holdings Ltd. (1) (10) |
||||||||||||||||||||||
| Syntax Systems Ltd (1) (2) (10) |
||||||||||||||||||||||
| Syntax Systems Ltd (4) (10) |
||||||||||||||||||||||
| Syntax Systems Ltd (4) (5) (10) |
( |
) | ( |
) | ||||||||||||||||||
| Banneker V Acquisition, Inc. (2) (3) (10) |
||||||||||||||||||||||
| Banneker V Acquisition, Inc. (4) (5) (10) |
( |
) | ||||||||||||||||||||
| Banneker V Acquisition, Inc. (2) (10) |
||||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total Canadian 1st Lien/Senior Secured Debt |
|
|||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total Canadian Corporate Debt |
|
|||||||||||||||||||||
| United Kingdom Corporate Debt— |
| |||||||||||||||||||||
| 1st Lien/Senior Secured Debt— |
| |||||||||||||||||||||
| GlobalWebIndex Inc. (3) (4) |
$ |
$ |
$ |
|||||||||||||||||||
| GlobalWebIndex Inc. (2) (3) |
||||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total United Kingdom 1st Lien/Senior Secured Debt |
|
|||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total United Kingdom Corporate Debt |
|
|||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Portfolio Company |
Class/Series |
Industry |
Shares |
Cost |
Fair Value |
|||||||||||||||||
| U.S. Preferred Stock— |
| |||||||||||||||||||||
| Global Radar Holdings, LLC (12) |
$ |
$ |
||||||||||||||||||||
| Bowline Topco LLC (13) (14) |
||||||||||||||||||||||
| SBS Ultimate Holdings, LP (14) |
||||||||||||||||||||||
| Concerto Health AI Solutions, LLC (14) (15) |
||||||||||||||||||||||
| Streamsets, Inc. (14) |
||||||||||||||||||||||
| Alphasense, Inc. (10) (14) |
||||||||||||||||||||||
| Datarobot, Inc. (14) |
||||||||||||||||||||||
| Datarobot, Inc. (14) |
||||||||||||||||||||||
| Degreed, Inc. (14) |
||||||||||||||||||||||
| Degreed, Inc. (14) |
||||||||||||||||||||||
| Heap, Inc. (14) |
||||||||||||||||||||||
| Heap, Inc. (14) |
||||||||||||||||||||||
| Netskope, Inc. (14) |
||||||||||||||||||||||
| PerimeterX, Inc. (14) |
||||||||||||||||||||||
| Portfolio Company |
Class/Series |
Industry |
Shares |
Cost |
Fair Value |
|||||||||||||||||
| Phenom People, Inc. (14) |
$ | $ | ||||||||||||||||||||
| Protoscale Rubrik, LLC (14) |
||||||||||||||||||||||
| Symplr Software Intermediate Holdings, Inc. (14) |
||||||||||||||||||||||
| Vectra AI, Inc (14) |
||||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total U.S. Preferred Stock |
|
|||||||||||||||||||||
| U.S. Common Stock— |
| |||||||||||||||||||||
| Leeds FEG Investors, LLC (14) |
$ | $ | ||||||||||||||||||||
| Pacific Bells, LLC (14) (16) |
||||||||||||||||||||||
| Freddy’s Frozen Custard, LLC (14) (28) |
||||||||||||||||||||||
| Avant Communications, LLC (14) (18) |
||||||||||||||||||||||
| Avant Communications, LLC. (14) (18) |
||||||||||||||||||||||
| NEPCORE Parent Holdings, LLC (14) |
||||||||||||||||||||||
| Neutral Connect, LLC (14) (19) |
||||||||||||||||||||||
| Thrive Parent, LLC (14) |
||||||||||||||||||||||
| Agape Care Group (14) (20) |
||||||||||||||||||||||
| Health Platform Group, Inc. (14) |
||||||||||||||||||||||
| Healthcare Services Acquisition (10) (14) |
||||||||||||||||||||||
| Healthcare Services Acquisition (10) (14) (21) |
||||||||||||||||||||||
| INH Group Holdings, Inc. (14) |
||||||||||||||||||||||
| Medical Management Resource Group, LLC (14) (22) |
||||||||||||||||||||||
| Millin Purchaser LLC (14) (29) |
||||||||||||||||||||||
| Redwood Family Care Network, Inc. (14) |
||||||||||||||||||||||
| American Safety Holdings Corp. (14) (23) |
||||||||||||||||||||||
| Brightspot Holdco, LLC (14) |
||||||||||||||||||||||
| Moon Topco L.P. (14) |
||||||||||||||||||||||
| Ranger Lexipol Holdings, LLC (14) |
||||||||||||||||||||||
| Ranger Lexipol Holdings, LLC (14) |
||||||||||||||||||||||
| Samsara Networks, Inc. (10) (14) (21) |
||||||||||||||||||||||
| Stripe, Inc. (14) |
||||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total U.S. Common Stock |
|
|||||||||||||||||||||
| U.S. Warrants— |
| |||||||||||||||||||||
| Fuze, Inc., expire 04/26/2031 (14) |
||||||||||||||||||||||
| Healthcare Services Acquisition, expire 12/31/2027 (10) (14) |
||||||||||||||||||||||
| Healthcare Services Acquisition, expire 12/31/2027 (10) (14) (21) |
||||||||||||||||||||||
| SBS Ultimate Holdings, LP, expire 09/18/2030 (14) |
||||||||||||||||||||||
| Alphasense, Inc., expire 05/29/2027 (10) (14) |
||||||||||||||||||||||
| Alphasense, Inc., expire 12/22/2027 (10) (14) |
||||||||||||||||||||||
| Degreed, Inc., expire 04/11/2028 (14) |
||||||||||||||||||||||
| Degreed, Inc., expire 05/31/2026 (14) |
||||||||||||||||||||||
| PerimeterX, Inc., expire 12/31/2031 (14) |
||||||||||||||||||||||
| Streamsets, Inc., expire 11/25/2027 (14) |
||||||||||||||||||||||
| Vectra AI, Inc., expire 03/18/2031 (14) |
||||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total U.S. Warrants |
||||||||||||||||||||||
| United Kingdom Warrants— |
| |||||||||||||||||||||
| GlobalWebIndex, Inc., expire 12/30/2027 (14) |
||||||||||||||||||||||
| |
|
|
|
|||||||||||||||||||
| Total United Kingdom Warrants |
|
|||||||||||||||||||||
| Investment Companies - 0.83% |
|
|||||||||||||||||||||
| GHP E Aggregator, LLC (14) (17) |
$ | $ | ||||||||||||||||||||
| GHP SPV 2, L.P. (10) (14) (17) (24) |
||||||||||||||||||||||
| Magenta Blocker Aggregator, L.P. (14) (17) (24) |
||||||||||||||||||||||
| ORCP III Triton Co-Investors, L.P. (14) (17) (24) |
||||||||||||||||||||||
| REP Coinvest III-A-Omni L.P. (17) (24) |
||||||||||||||||||||||
| Total Investment Companies |
||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| TOTAL INVESTMENTS— (28) |
|
$ |
$ |
|||||||||||||||||||
| |
|
|
|
|
|
|
|
|
| |||||||||||||
Portfolio Company |
Industry |
Facility Type |
Interest |
Maturity |
Funded Par Amount |
Cost |
Fair Value |
|||||||||||||||
Cash Equivalents— |
||||||||||||||||||||||
U.S. Investment Companies— |
||||||||||||||||||||||
Blackrock T Fund I (23) (29) |
(30) |
$ | $ | |||||||||||||||||||
Total U.S. Investment Companies |
||||||||||||||||||||||
Total Cash Equivalents |
||||||||||||||||||||||
LIABILITIES IN EXCESS OF OTHER ASSETS—( |
$ |
( |
) | |||||||||||||||||||
NET ASSETS— |
$ |
|||||||||||||||||||||
(++) |
Unless otherwise indicated, all securities represent co-investments made with the Company’s affiliates in accordance with the terms of the exemptive relief received from the U.S. Securities and Exchange Commission. See Note 3 “Related Party Transactions”. |
+ |
As of December 31, 2021, qualifying assets represented non-qualifying assets unless, at the time the acquisition is made, qualifying assets represent at least |
* |
Unless otherwise indicated, all securities are valued using significant unobservable inputs, which are categorized as Level 3 assets under the definition of Financial Accounting Standards Board’s Accounting Standards Codification 820 fair value hierarchy. |
# |
Percentages are based on net assets. |
^ |
Generally, the interest rate on floating interest rate investments is at benchmark rate plus spread. The borrower has an option to choose the benchmark rate, such as the London Interbank Offered Rate (“LIBOR”) or the U.S. Prime rate. The spread may change based on the type of rate used. The terms in the Consolidated Schedule of Investments disclose the actual interest rate in effect as of the reporting period. 30-day, 60-day, 90-day or 180-day LIBOR rates (1M L, 2M L, 3M L or 6M L, respectively) at the borrower’s option. |
(1) |
Position, or a portion thereof, has been segregated to collateralize ABPCI Direct Lending Fund CLO VI Ltd. |
(2) |
Position, or a portion thereof, has been segregated to collateralize ABPCIC Funding III, LLC. |
(3) |
Position, or a portion thereof, has been segregated to collateralize ABPCIC Funding II, LLC. |
(4) |
Position or portion thereof is an unfunded loan commitment, and no interest is being earned on the unfunded portion. The unfunded loan commitment may be subject to a commitment termination date, that may expire prior to the maturity date stated. See Note 6 “Commitments and Contingencies”. |
(5) |
The negative cost is the result of the capitalized discount being greater than the principal amount outstanding on the loan. The negative fair value is the result of the capitalized discount on the loan. |
(6) |
$ |
(7) |
$ |
(8) |
$ |
(9) |
$ |
(10) |
Positions considered non-qualified assets therefore excluded from the qualifying assets calculation as noted in footnote + above. |
(11) |
The investment is on non-accrual status. See Note 2 “Significant Accounting Policies.” |
(12) |
Position or portion thereof is held by Global Radar Acquisition Holdings, LLC which is held by ABPCIC Global Radar LLC, an affiliate of the Fund. |
(13) |
Bowline Topco LLC is held through ABPCIC BE Holdings, LLC, an affiliate of the Fund. |
(14) |
Non-income producing investment. |
(15) |
Concerto Health AI Solutions, LLC is held through ABPCIC Concerto Holdings LLC, an affiliate of the Fund. |
(16) |
Position or portion thereof is held by Orangewood WWB Co-Invest, L.P. which is held by ABPCIC Equity Holdings, LLC. |
(17) |
Excluded from the ASC 820 fair value hierarchy as fair value is measured using the net asset value per share practical expedient. |
( 18 ) |
Position or portion thereof is held by Pamlico Avant Holdings L.P. which is held by ABPCIC Avant, LLC, an affiliate of the Fund. |
(1 9 ) |
Neutral Connect, LLC is held through ABPCIC NC Holdings LLC, an affiliate of the Fund. |
(2 0 ) |
Position or portion thereof is held by REP Coinvest III AGP Blocker, L.P. which is held by ABPCIC Equity Holdings, LLC. |
(2 1 ) |
Categorized as Level 1 assets under the definition of ASC 820 fair value hierarchy. |
(2 2 ) |
Medical Management Resource Group, LLC is held through Advantage AVP Parent Holdings, L.P. |
(2 3 ) |
Position or portion thereof is held by REP Coinvest III Tec, L.P. which is held by ABPCIC Equity Holdings, LLC. |
(2 4 ) |
Held by ABPCIC Equity Holdings, LLC. |
(2 5 ) |
Aggregate gross unrealized appreciation for federal income tax purposes is $ |
(2 6 ) |
Included within ‘Cash and cash equivalents’ on the Consolidated Statements of Assets and Liabilities. |
( 2 )7 |
The rate shown is the annualized seven-day yield as of December 31, 2021. |
( 2 )8 |
Position or portion thereof is held by Freddy’s Acquisition, LP. |
( 29 ) |
Position or portion thereof is held by GSV MedSuite Investments, LLC. |
| L | - | LIBOR | ||
| P | - | Prime | ||
| PIK | - | Payment-In-Kind |
| • | |
| • | Catch-up Cap”), approximately 6.67% per annum. This portion of PIFNII (which exceeds the 6% Hurdle Rate but is less than the 6% Catch-up Cap) is referred to as the “6% Catch-up.” The 6% Catch-up is meant to provide the Adviser with 10.0% of the PIFNII as if hurdle rate did not apply if this net investment income exceeded 1.67% but was less than 1.94% in any calendar quarter; and |
| • | Catch-up Cap, but is less than 1.94% (the “7% Hurdle Rate”), approximately 7.78% per annum. The 7% Hurdle Rate is meant to limit the Adviser to 10% of the PIFNII until the amount of PIFNII exceeds 1.94%, approximately 7.78% per annum; and |
| • | Catch-up Cap”), approximately 8.24% per annum. This portion of PIFNII (which exceeds the 7% Hurdle Rate but is less than the 7% Catch-up Cap) is referred to as the “7% Catch-up.” The 7% Catch-up is meant to provide the Adviser with 15.0% of the PIFNII as if a hurdle rate did not apply if this net investment income exceeded 2.06% but was less than 2.35% in any calendar quarter; and |
| • | Catch-up Cap, but is less than 2.35% (the “8% Hurdle Rate”, approximately 9.41% per annum). The 8% Hurdle Rate is meant to limit the Adviser to 15% of the PIFNII until the amount of PIFNII exceeds 2.35%, approximately 9.41% per annum; and |
| • | Catch-up Cap”), approximately 10% per annum. This portion of PIFNII (which exceeds the 8% Hurdle Rate but is less than the 8% Catch-up cap) is referred to as the “8% Catch-up”. The 8% Catch-up is meant to provide the Adviser with 20.0% of the PIFNII as if a hurdle rate did not apply if this net investment income exceeded 2.50% in any calendar quarter; and |
| • |
For the Quarters Ended |
Amount of Expense Support |
Amount of Reimbursement Payment |
Amount of Unreimbursed Expense Support |
Effective Rate of Distribution per Share (1) |
Reimbursement Eligibility Expiration |
Percentage Limit (2) |
||||||||||||||||||
September 30, 2017 |
$ | $ | $ | n/a | % | |||||||||||||||||||
December 31, 2017 |
n/a | % | ||||||||||||||||||||||
March 31, 2018 |
n/a | % | ||||||||||||||||||||||
June 30, 2018 |
% | |||||||||||||||||||||||
September 30, 2018 |
% | |||||||||||||||||||||||
December 31, 2018 |
% | |||||||||||||||||||||||
March 31, 2019 |
% | |||||||||||||||||||||||
June 30, 2019 |
% | |||||||||||||||||||||||
September 30, 2019 |
% | |||||||||||||||||||||||
December 31, 2019 |
% | |||||||||||||||||||||||
March 31, 2020 |
% | |||||||||||||||||||||||
June 30, 2020 |
% | |||||||||||||||||||||||
September 30, 2020 |
% | |||||||||||||||||||||||
December 31, 2020 |
% | |||||||||||||||||||||||
March 31, 2021 |
% | |||||||||||||||||||||||
June 30, 2021 |
% | |||||||||||||||||||||||
September 30, 2021 |
% | |||||||||||||||||||||||
December 31, 2021 |
% | |||||||||||||||||||||||
March 31, 2022 |
% | |||||||||||||||||||||||
June 30, 2022 |
% | |||||||||||||||||||||||
September 30, 2022 |
% | |||||||||||||||||||||||
Total |
$ | $ | $ | |||||||||||||||||||||
| (1) | The effective rate of distribution per Share is expressed as a percentage equal to the projected annualized distribution amount as of the end of the applicable period (which is calculated by annualizing the regular quarterly cash distributions per Share as of such date without compounding), divided by the Fund’s gross offering price per Share as of such date. |
| (2) | Represents the actual percentage of Operating Expenses paid by the Fund in any quarter after deducting any Expense Payment, as a percentage of the Fund’s average quarterly gross assets. |
Aggregate Borrowing Amount Committed |
Outstanding Borrowing |
Amount Available |
Carrying Value |
|||||||||||||
| HSBC |
$ | $ | $ | $ | ||||||||||||
| Synovus |
||||||||||||||||
| Natixis |
||||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
Aggregate Borrowing Amount Committed |
Outstanding Borrowing |
Amount Available |
Carrying Value |
|||||||||||||
| HSBC |
$ | $ | $ | $ | ||||||||||||
| Synovus |
||||||||||||||||
| Natixis |
||||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
September 30, 2022 |
||||||||||||
Principal Amount |
Interest Rate |
Carrying Value (1) |
||||||||||
| Class A-1-R (“Class A-1-R”) |
$ | % | $ | |||||||||
| Class A-1-L (“Class A-1-L”) |
$ | % | $ | |||||||||
| Class A-1-F (“Class A-1-F”) |
$ | % | $ | |||||||||
| Class A-2-R (“Class A-2-R”) |
$ | % | $ | |||||||||
| Class B-R Senior Secured Deferrable Floating Rate (“Class B-R”) |
$ | % | $ | — | * | |||||||
| Class C-R Secured Deferrable Floating Rate Note (“Class C-R”) |
$ | % | $ | — | * | |||||||
| Subordinated Notes |
$ | N/A | $ | — | * | |||||||
| * | Class B-R, Class C-R and Subordinated Notes have been eliminated in consolidation. |
| (1) | Carrying value is net of unamortized discount and debt issuance costs. Unamortized discount and debt issuance costs associated with the Notes totaled $ |
December 31, 2021 |
||||||||||||
Principal Amount |
Interest Rate |
Carrying Value (1) |
||||||||||
| Class A-1 Senior Secured Floating Rate Note (“Class A-1”) |
$ | % | $ | |||||||||
| Class A-2A Senior Secured Floating Rate Note (“Class A-2A”) |
$ | % | $ | |||||||||
| Class A-2B Senior Secured Fixed Rate Note (“Class A-2B”) |
$ | % | $ | |||||||||
| Class B Secured Deferrable Floating Rate Note (“Class B”) |
$ | % | $ | — | * | |||||||
| Class C Secured Deferrable Floating Rate Note (“Class C”) |
$ | % | $ | — | * | |||||||
| Subordinated Notes |
$ | N/A | $ | — | * | |||||||
| * | Class B, Class C and Subordinated Notes have been eliminated in consolidation. |
| (1) | Carrying value is net of unamortized discount and debt issuance costs. Unamortized discount and debt issuance costs associated with the Notes totaled $ |
| Loan Name |
Trade Date | Maturity Date |
bps Daily Rate | Amount | ||||||||||
| Fusion Risk Management, Inc. |
$ | |||||||||||||
| Priority Ondemand Midco 2, L.P. |
||||||||||||||
| Soladoc , LLC |
||||||||||||||
| |
|
|||||||||||||
| $ | ||||||||||||||
| |
|
|||||||||||||
| Loan Name |
Trade Date | Maturity Date |
bps Daily Rate | Amount | ||||||||||
| PAW Midco, Inc. |
$ | |||||||||||||
| Veracross LLC |
||||||||||||||
| |
|
|||||||||||||
| $ | ||||||||||||||
| |
|
|||||||||||||
For the three months ended September 30, |
For the nine months ended September 30, |
|||||||||||||||
2022 |
2021 |
2022 |
2021 |
|||||||||||||
| Interest and borrowing expenses |
$ | $ | $ | $ | ||||||||||||
| Commitment fees |
||||||||||||||||
| Amortization of discount, debt issuance and deferred financing costs |
||||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Weighted average interest rate (1) |
% | % | % | % | ||||||||||||
| Average outstanding balance |
$ | $ | $ | $ | ||||||||||||
| (1) | Calculated as the amount of the stated interest and borrowing expenses divided by average borrowings during the period. |
| • | Level 1 – Quoted prices in active markets for identical investments. |
| • | Level 2 – Other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.). |
| • | Level 3 – Significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments at the reporting date). |
| Assets* |
Level 1 |
Level 2 |
Level 3 |
Total |
||||||||||||
| Cash Equivalents |
||||||||||||||||
| Investment Companies |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total assets |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Assets* |
Level 1 |
Level 2 |
Level 3 |
Total |
||||||||||||
| 1st Lien/Senior Secured Debt |
$ | $ | $ | $ | ||||||||||||
| 2nd Lien/Junior Secured Debt |
||||||||||||||||
| Preferred Stock |
||||||||||||||||
| Common Stock |
||||||||||||||||
| Warrants |
||||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Investments valued at NAV as a practical expedient # |
||||||||||||||||
| |
|
|||||||||||||||
| Total assets # |
$ | |||||||||||||||
| |
|
|||||||||||||||
| * | See consolidated schedule of investments for industry classifications. |
| # | Certain investments that are measured at fair value using NAV have not been categorized in the fair value hierarchy. The fair value amounts presented in the table are intended to permit reconciliation of the fair value hierarchy to the amount presented in the consolidated statements of assets and liabilities. |
Assets* |
Level 1 |
Level 2 |
Level 3 |
Total |
||||||||||||
Cash Equivalents |
||||||||||||||||
Investment Companies |
$ | $ | $ | $ | ||||||||||||
Total assets |
$ | $ | $ | $ | ||||||||||||
Assets* |
Level 1 |
Level 2 |
Level 3 |
Total |
||||||||||||
1st Lien/Senior Secured Debt |
$ | $ | $ | $ | ||||||||||||
2nd Lien/Junior Secured Debt |
||||||||||||||||
Preferred Stock |
||||||||||||||||
Common Stock |
||||||||||||||||
Warrants |
||||||||||||||||
Total |
$ | $ | $ | $ | ||||||||||||
Investments valued at NAV as a practical expedient # |
||||||||||||||||
Total assets # |
$ | |||||||||||||||
| * | See consolidated schedule of investments for industry classifications. |
| # | Certain investments that are measured at fair value using NAV have not been categorized in the fair value hierarchy. The fair value amounts presented in the table are intended to permit reconciliation of the fair value hierarchy to the amount presented in the consolidated statements of assets and liabilities. |
1st Lien/Senior Secured Debt |
2nd Lien/Junior Secured Debt |
Common Stock |
Preferred Stock |
Warrants |
Total |
|||||||||||||||||||
Balance as of December 31, 2021 |
$ | $ | $ | $ | $ | $ | ||||||||||||||||||
Purchases (including PIK) |
||||||||||||||||||||||||
Sales and principal payments |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||
Realized Gain (Loss) |
||||||||||||||||||||||||
Net Amortization of Premium/Discount |
||||||||||||||||||||||||
Transfers In |
||||||||||||||||||||||||
Transfers Out |
( |
) | ( |
) | ||||||||||||||||||||
Net Change in Unrealized Appreciation (Depreciation) |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
Balance as of September 30, 2022 |
$ | $ | $ | $ | $ | $ | ||||||||||||||||||
Change in Unrealized Appreciation (Depreciation) for Investments Still Held |
$ | ( |
) | $ | ( |
) | $ | $ | $ | $ | ( |
) | ||||||||||||
1st Lien/Senior Secured Debt |
2nd Lien/Junior Secured Debt |
Common Stock |
Preferred Stock |
Warrants |
Total |
|||||||||||||||||||
Balance as of January 1, 2021 |
$ | $ | $ | $ | $ | $ | ||||||||||||||||||
Purchases (including PIK) |
||||||||||||||||||||||||
Sales and principal payments |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||
Realized Gain (Loss) |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
Net Amortization of Premium/Discount |
||||||||||||||||||||||||
Transfers In |
||||||||||||||||||||||||
Transfers Out |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
Net Change in Unrealized Appreciation (Depreciation) |
( |
) | ||||||||||||||||||||||
Balance as of September 30, 2022 |
$ | $ | $ | $ | $ | $ | ||||||||||||||||||
Change in Unrealized Appreciation (Depreciation) for Investments Still Held |
$ | $ | $ | ( |
) | $ | $ | $ | ||||||||||||||||
Fair Value as of September 30, 2022 |
Valuation Techniques |
Unobservable Input |
Range/Input (Weighted Average) (1) |
Impact to Valuation from an Increase in Input |
||||||||||||
Assets: |
||||||||||||||||
1st Lien/Senior Secured Debt |
$ | Market Yield Analysis | Market Yield | Decrease | ||||||||||||
| Market Approach | EBITDA Multiple | Increase | ||||||||||||||
| Liquidation Value | Asset Value | N/A | Increase | |||||||||||||
| Expected Repayment | Redemption Price | N/A | N/A | |||||||||||||
| Recent Purchase | Purchase Price | N/A | N/A | |||||||||||||
2nd Lien/Junior Secured Debt |
Market Yield Analysis | Market Yield | ( |
Decrease | ||||||||||||
Common Stock |
Market Approach | EBITDA Multiple | Increase | |||||||||||||
| Market Approach | Revenue Multiple | Increase | ||||||||||||||
| Market Approach | Network Cashflow Multiple | Increase | ||||||||||||||
| Recent Purchase | Purchase Price | N/A | N/A | |||||||||||||
Preferred Stock |
Market Approach | EBITDA Multiple | Increase | |||||||||||||
| Market Approach | Revenue Multiple | ( x) |
Increase | |||||||||||||
| Market Yield Analysis | Dividend Yield | ) |
Increase | |||||||||||||
| Expected Repayment | Redemption Price | N/A | N/A | |||||||||||||
Warrants |
Market Approach | EBITDA Multiple | Increase | |||||||||||||
| Market Approach | Revenue Multiple | Increase | ||||||||||||||
| Recent Purchase | Purchase Price | N/A | N/A | |||||||||||||
Total Assets |
$ | |||||||||||||||
(1) |
Weighted averages are calculated based on fair value of investments. |
Fair Value as of December 31, 2021 |
Valuation Techniques |
Unobservable Input |
Range/Input (Weighted Average) (1) |
Impact to Valuation from an Increase in Input |
||||||||||
| Assets: |
||||||||||||||
| 1st Lien/Senior Secured Debt |
$ | Market Yield Analysis | Market Yield | ( |
Decrease | |||||||||
| Market Approach | EBITDA Multiple | Increase | ||||||||||||
| Liquidation Value | Asset Value | N/A | Increase | |||||||||||
| Recent Purchase | Purchase Price | N/A | N/A | |||||||||||
| 2nd Lien/Junior Secured Debt |
Market Yield Analysis | Market Yield | ( |
Decrease | ||||||||||
| Common Stock |
Market Approach | EBITDA Multiple | ( |
Increase | ||||||||||
| Market Approach | Revenue Multiple | Increase | ||||||||||||
| Market Approach | Network Cashflow Multiple | Increase | ||||||||||||
| Recent Purchase | Purchase Price | N/A | N/A | |||||||||||
| Preferred Stock |
Market Approach | EBITDA Multiple | Increase | |||||||||||
| Market Approach | Revenue Multiple | ( |
Increase | |||||||||||
| Market Yield Analysis | Dividend Yield | Increase | ||||||||||||
| Warrants |
Market Approach | Revenue Multiple | ( |
Increase | ||||||||||
| Recent Purchase | Purchase Price | N/A | N/A | |||||||||||
| |
|
|||||||||||||
| Total Assets |
$ | |||||||||||||
(1) |
Weighted averages are calculated based on fair value of investments. |
Carrying Value (1) |
Fair Value |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||
| Class A-1-R |
$ | $ | $ | $ | $ | |||||||||||||||
| Class A-1-L |
||||||||||||||||||||
| Class A-1-F |
||||||||||||||||||||
| Class A-2-R |
||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$ | $ | $ | $ | $ | |||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
| (1) | Carrying value is net of unamortized discount and debt issuance costs. Unamortized discount and debt issuance costs associated with the Notes totaled $ |
Carrying Value (1) |
Fair Value |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||
| Class A-1 Senior Secured Notes |
$ | $ | $ | $ | $ | |||||||||||||||
| Class A-2A Senior Secured Notes |
||||||||||||||||||||
| Class A-2B Senior Secured Notes |
||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$ | $ | $ | $ | $ | |||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
| (1) | Carrying value is net of unamortized discount and debt issuance costs. Unamortized discount and debt issuance costs associated with the Notes totaled $ |
9/30/2022 |
12/31/2021 |
|||||||||||||||||||
| Investment Type |
Facility Type |
Commitment Expiration Date (1) |
Unfunded Commitment (2) |
Fair Value (3) |
Unfunded Commitment (2) |
Fair Value (3) |
||||||||||||||
| 1st Lien/Senior Secured Debt |
||||||||||||||||||||
| 5 Bars, LLC |
Delayed Draw Term Loan |
$ |
— |
$ |
— |
$ |
$ |
— |
||||||||||||
| 5 Bars, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| 5 Bars, LLC |
Revolver |
— |
— |
|||||||||||||||||
| AAH Topco, LLC |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| AAH Topco, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Accelerate Resources Operating, LLC |
Revolver |
— |
— |
|||||||||||||||||
| Activ Software Holdings, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Admiral Buyer, Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Admiral Buyer, Inc |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| AEG Holding Company, Inc. |
Revolver |
— |
— |
|||||||||||||||||
| Airwavz Solutions, Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Airwavz Solutions, Inc |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Alphasense, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| American Physician Partners, LLC |
Revolver |
— |
— |
— |
||||||||||||||||
| American Physician Partners, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| AMI US Holdings, Inc. |
Revolver |
— |
— |
|||||||||||||||||
| Analogic Corporation |
Revolver |
( |
) |
( |
) | |||||||||||||||
| AOM Acquisition, LLC. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Arrowstream Acquisition Co., Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Avant Communications, LLC |
Revolver |
— |
( |
) | ||||||||||||||||
| Avetta, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| BAART Programs, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Banneker V Acquisition, Inc. |
Revolver |
( |
) |
— |
||||||||||||||||
| BEP Borrower Holdco, LLC |
Revolver |
— |
— |
— |
||||||||||||||||
| BEXP I OG, LLC |
Term Loan |
— |
— |
— |
||||||||||||||||
| BEXP I OG, LLC |
Revolver |
— |
— |
— |
||||||||||||||||
| Bonterra, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Bonterra, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Bridgepointe Technologies, LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Bridgepointe Technologies, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Bridgepointe Technologies, LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Bridgepointe Technologies, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Bridgepointe Technologies, LLC |
Revolver |
— |
( |
) | ||||||||||||||||
| Brightspot Buyer, Inc |
Revolver |
( |
) |
( |
) | |||||||||||||||
| BSI2 Hold Nettle, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| BusinesSolver.com, Inc. |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| BV EMS Buyer, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Captain D’s, Inc. |
Revolver |
— |
— |
— |
||||||||||||||||
| Caregiver 2, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Cerifi, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Certify, Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Certify, Inc |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Choice Health At Home, LLC, |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Choice Health At Home, LLC, |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Coding Solutions Acquisition, Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Coding Solutions Acquisition, Inc |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Coding Solutions Acquisition, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Coding Solutions Acquisition, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Community Based Care Acquisition, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
||||||||||||||||
| Community Based Care Acquisition, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Community Based Care Acquisition, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Community Brands Parentco, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Community Brands Parentco, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Coretelligent Intermediate LLC |
Delayed Draw Term Loan |
— |
— |
|||||||||||||||||
| Coretelligent Intermediate LLC |
Revolver |
— |
( |
) | ||||||||||||||||
| Cybergrants Holdings, LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Cybergrants Holdings, LLC |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Datacor, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
||||||||||||||||
| Datacor, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Degreed, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Degreed, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Degreed, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Degreed, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Degreed, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Delaware Valley Management Holdings, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Delaware Valley Management Holdings, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Delaware Valley Management Holdings, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Dillon Logistics, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Dispatch Track, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| EET Buyer, Inc. |
Revolver |
( |
) |
( |
) |
| Engage2Excel, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| EnterpriseDB Corporation |
Revolver |
— |
— |
( |
) | |||||||||||||||
| EvolveIP, LLC |
Revolver |
— |
— |
( |
) | |||||||||||||||
| EvolveIP, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Exterro, Inc. |
Revolver |
— |
— |
— |
||||||||||||||||
| Faithlife, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Faithlife, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Faithlife, LLC |
Revolver |
— |
— |
|||||||||||||||||
| Fatbeam, LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Fatbeam, LLC |
Delayed Draw Term Loan |
— |
( |
) | ||||||||||||||||
| Fatbeam, LLC |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Firstdigital Communications LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Foundation Risk Partners, Corp. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Foundation Risk Partners, Corp. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Foundation Risk Partners, Corp. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Freddy’s Frozen Custard, L.L.C |
Revolver |
( |
) |
— |
||||||||||||||||
| Fusion Holding Corp |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Fusion Risk Management Inc |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Fuze, Inc. |
Revolver |
— |
— |
|||||||||||||||||
| Galway Borrower, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Galway Borrower, LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Galway Borrower, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| GHA Buyer, Inc. |
Revolver |
( |
) |
— |
||||||||||||||||
| Global Radar Holdings, LLC |
Revolver |
— |
— |
|||||||||||||||||
| GlobalWebIndex Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Greenhouse Software, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Greenhouse Software, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Greenhouse Software, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Greenlight Intermediate II, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Gryphon-Redwood Acquisition LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| GS AcquisitionCo, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
||||||||||||||||
| GS AcquisitionCo, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Higginbotham Insurance Agency, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Higginbotham Insurance Agency, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Honor HN Buyer, Inc |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Honor HN Buyer, Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Honor HN Buyer, Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Honor HN Buyer, Inc |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Iodine Software, LLC |
Revolver |
( |
) |
— |
||||||||||||||||
| Kaseya Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Kaseya Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Kaseya, Inc. |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Kaseya, Inc. |
Revolver |
— |
— |
— |
||||||||||||||||
| Kindeva Drug Delivery L.P. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Krispy Krunchy Foods, L.L.C |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Mathnasium LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Mavenlink, Inc. |
Revolver |
( |
) |
( |
) |
| MBS Holdings, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Medbridge Holdings, LLC |
Revolver |
( |
) |
— |
||||||||||||||||
| Medical Management Resource Group, LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Medical Management Resource Group, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| MedMark Services, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Medsuite Purchaser, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Medsuite Purchaser, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Metametrics, Inc. |
Revolver |
( |
) |
— |
||||||||||||||||
| Millin Purchaser LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Millin Purchaser LLC |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Millin Purchaser LLC |
Revolver |
— |
— |
( |
) | |||||||||||||||
| MMP Intermediate, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Moon Buyer, Inc. |
Delayed Draw Term Loan |
— |
— |
|||||||||||||||||
| Moon Buyer, Inc. |
Revolver |
— |
— |
|||||||||||||||||
| MSM Acquisitions, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
||||||||||||||||
| MSM Acquisitions, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| MSP Global Holdings, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| MSP Global Holdings, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Mykaarma Acquisition LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Navigate360, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Navigate360, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Netwrix Corporation And Concept Searching Inc. |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Netwrix Corporation And Concept Searching Inc. |
Revolver |
— |
— |
— |
||||||||||||||||
| Netwrix Corporation And Concept Searching Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| NI Topco, Inc |
Revolver |
— |
— |
( |
) | |||||||||||||||
| OMH-HealthEdge Holdings, LLC |
Revolver |
— |
( |
) | ||||||||||||||||
| Pace Health Companies, LLC |
Revolver |
( |
) |
— |
||||||||||||||||
| PerimeterX, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| PerimeterX, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| PerimeterX, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Peter C. Foy & Associates Insurance Services, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Pinnacle Dermatology Management, LLC |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| Pinnacle Dermatology Management, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Pinnacle Treatment Centers, Inc. |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Pinnacle Treatment Centers, Inc. |
Revolver |
— |
— |
|||||||||||||||||
| Priority Ondemand Midco 2,L.P |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Ranger Buyer, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Redwood Family Care Network, Inc. |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| Redwood Family Care Network, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Rep Tec Intermediate Holdings, Inc. |
Revolver |
( |
) |
— |
||||||||||||||||
| RSC Acquisition, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Sako and Partners Lower Holdings LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
| Sako and Partners Lower Holdings LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Salisbury House, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Salisbury House, LLC |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Sandstone Care Holdings, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Sandstone Care Holdings, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Saturn Borrower Inc |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Saturn Borrower Inc |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Sauce Labs Inc |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Sauce Labs, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Sauce Labs, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| SCA Buyer, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| ScyllaDB, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| ScyllaDB, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| SecureLink, Inc. |
Revolver |
— |
— |
— |
||||||||||||||||
| Securonix, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Single Digits, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Sirsi Corporation |
Revolver |
( |
) |
( |
) | |||||||||||||||
| SIS Purchaser, Inc. |
Revolver |
( |
) |
— |
||||||||||||||||
| Smartlinx Solutions, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Smile Brands, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| Smile Brands, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Soladoc, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Soladoc, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Spark DSO LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Spark DSO LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Stratus Networks, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Stratus Networks, Inc. |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Streamsets, Inc. |
Revolver |
— |
— |
( |
) | |||||||||||||||
| SugarCRM, Inc. |
Revolver |
( |
) |
— |
||||||||||||||||
| Sundance Group Holdings, Inc |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| Sundance Group Holdings, Inc |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Swiftpage, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Syntax Systems Ltd |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Syntax Systems Ltd |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Syntax Systems Ltd |
Revolver |
( |
) |
( |
) | |||||||||||||||
| TA/WEG Holdings, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| TA/WEG Holdings, LLC |
Revolver |
— |
— |
— |
||||||||||||||||
| TBG Food Acquisition Corp |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| TBG Food Acquisition Corp |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Telcor Buyer, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Telesoft Holdings, LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| The Center for Orthopedic and Research Excellence, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Thrive Buyer, Inc. |
Delayed Draw Term Loan |
— |
— |
( |
) | |||||||||||||||
| Thrive Buyer, Inc. |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Thrive Buyer, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Towerco IV Holdings, LLC |
Delayed Draw Term Loan |
( |
) |
( |
) |
| TRGRP, Inc. |
Revolver |
— |
— |
|||||||||||||||||
| Ungerboeck Systems International, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Ungerboeck Systems International, LLC |
Revolver |
( |
) |
— |
||||||||||||||||
| Valcourt Holdings II, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Valcourt Holdings II, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Vectra AI, Inc. |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| Vectra AI, Inc. |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Vehlo Purchaser, LLC |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| Vehlo Purchaser, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| Velocity Purchaser Corporation |
Revolver |
— |
— |
— |
||||||||||||||||
| Velocity Purchaser Corporation |
Revolver |
— |
— |
— |
||||||||||||||||
| Veracross LLC |
Delayed Draw Term Loan |
( |
) |
( |
) | |||||||||||||||
| Veracross LLC |
Revolver |
( |
) |
( |
) | |||||||||||||||
| Wealth Enhancement Group, LLC |
Delayed Draw Term Loan |
— |
— |
— |
||||||||||||||||
| Wealth Enhancement Group, LLC |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| West Dermatology |
Delayed Draw Term Loan |
( |
) |
— |
— |
|||||||||||||||
| West Dermatology |
Revolver |
( |
) |
— |
— |
|||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ |
$ |
( |
) |
$ |
$ |
( |
) | ||||||||||||
| |
|
|
|
|
|
|
|
| (1) | Commitments are generally subject to borrowers meeting certain criteria such as compliance with covenants and certain operational metrics. These amounts may remain outstanding until the commitment period of an applicable loan expires, which may be shorter than its maturity. |
| (2) | Net of capitalized fees, expenses and original issue discount (“OID”). |
| (3) | A negative fair value was reflected as investments, at fair value in the consolidated statements of assets and liabilities. The negative fair value is the result of the capitalized discount on the loan. |
For the nine months ended September 30, 2022 |
For the nine months ended September 30, 2021 |
|||||||||||||||
| Quarter Ended |
Shares |
Amount |
Shares |
Amount |
||||||||||||
| March 31 |
$ | $ | ||||||||||||||
| June 30 |
$ | $ | ||||||||||||||
| September 30 |
$ | $ | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total capital drawdowns |
$ | $ | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Date Declared |
Record Date |
Payment Date |
Amount Per Share |
Dollar Amount |
||||||||||||
| |
$ | $ | ||||||||||||||
| |
$ | $ | ||||||||||||||
| |
$ | $ | ||||||||||||||
| |
|
|||||||||||||||
| $ | ||||||||||||||||
| |
|
|||||||||||||||
| Date Declared |
Record Date |
Payment Date |
Amount Per Share |
Dollar Amount |
||||||||||||
| |
$ | $ | ||||||||||||||
| |
$ | $ | ||||||||||||||
| |
$ | $ | ||||||||||||||
| |
|
|||||||||||||||
| $ | ||||||||||||||||
| |
|
|||||||||||||||
| Date Declared |
Record Date |
Reinvestment Date |
Shares |
Dollar Amount |
||||||||||||
| |
$ | |||||||||||||||
| |
$ | |||||||||||||||
| |
$ | |||||||||||||||
| |
|
|
|
|||||||||||||
$ |
||||||||||||||||
| |
|
|
|
|||||||||||||
| Date Declared |
Record Date |
Reinvestment Date |
Shares |
Dollar Amount |
||||||||||||
| |
$ | |||||||||||||||
| |
$ | |||||||||||||||
| |
$ | |||||||||||||||
| |
|
|
|
|||||||||||||
| $ | ||||||||||||||||
| |
|
|
|
|||||||||||||
| Quarter Ended |
Payment Date |
Shares |
Dollar Amount |
|||||||||
| March 31 |
$ | |||||||||||
| June 30 |
$ | |||||||||||
| September 30 |
$ | |||||||||||
| |
|
|
|
|||||||||
| $ | ||||||||||||
| |
|
|
|
|||||||||
| Quarter Ended |
Payment Date |
Shares |
Dollar Amount |
|||||||||
| March 31 |
$ | |||||||||||
| June 30 |
$ |
|||||||||||
| September 30 |
$ |
|||||||||||
| |
|
|
|
|||||||||
| $ | ||||||||||||
| |
|
|
|
|||||||||
For the three months ended September 30, |
For the nine months ended September 30, |
|||||||||||||||
2022 |
2021 |
2022 |
2021 |
|||||||||||||
| Net increase (decrease) in net assets from operations |
$ | ( |
) | $ | $ | $ | ||||||||||
| Weighted average common shares outstanding |
||||||||||||||||
| Earnings per common share-basic and diluted |
$ | ( |
) |
$ | $ | $ | ||||||||||
For the nine months ended September 30, 2022 |
For the nine months ended September 30, 2021 |
|||||||
| Per Share Data: (1)(2) |
| |||||||
| Net asset value, beginning of period |
$ | $ | ||||||
| Net investment income (loss) |
||||||||
| Net realized and unrealized gains (losses) on investments |
( |
) | ||||||
| |
|
|
|
|||||
| Net increase (decrease) in net assets resulting from operations |
||||||||
| |
|
|
|
|||||
| Distributions to stockholders (3) |
( |
) | ( |
) | ||||
| |
|
|
|
|||||
| Net asset value, end of period |
$ | $ | ||||||
| Shares outstanding, end of period |
||||||||
| Total return at net asset value before incentive fees (4)(5) |
% | % | ||||||
| Total return at net asset value after incentive fees (4)(5) |
% | % | ||||||
| Ratio/Supplemental Data: |
| |||||||
| Net assets, end of period |
$ | $ | ||||||
| Ratio of total expenses to weighted average net assets (6) |
% | % | ||||||
| Ratio of net expenses to weighted average net assets (6)(7) |
% | % | ||||||
| Ratio of net investment income (loss) before waivers to weighted average net assets (6) |
% | % | ||||||
| Ratio of net investment income (loss) after waivers to weighted average net assets (6)(7) |
% | % | ||||||
| Ratio of interest and credit facility expenses to weighted average net assets (6) |
% | % | ||||||
| Ratio of incentive fees to weighted average net assets (5) |
% | % | ||||||
| Portfolio turnover rate (5) |
% | % | ||||||
| Asset coverage ratio (8) |
% | % | ||||||
| (1) | The per share data was derived by using the weighted average shares outstanding during the applicable period. |
| (2) | Ratios calculated with Net Assets excluding the Non-Controlling Interest. |
| (3) | The per share data for distributions is the actual amount of distributions paid or payable per share of common stock outstanding during the entire period. |
| (4) | Total return based on NAV is calculated as the change in NAV per share during the respective periods, assuming dividends and distributions, if any, are reinvested in accordance with the Fund’s dividend reinvestment plan. |
| (5) | Not annualized. |
| (6) | Annualized, except for professional fees, directors’ fees and incentive fees. |
| (7) | For the nine months ended September 30, 2022 and September 30, 2021, the Adviser voluntarily waived collateral management fees. Additionally, the Adviser received reimbursement payments from the Fund as per the Expense Support and Conditional Reimbursement Agreement. The ratios include the effects of the voluntary waived expenses of |
| (8) | Asset coverage ratio is equal to (i) the sum of (A) net assets at end of period and (B) debt outstanding at end of period, divided by (ii) total debt outstanding at the end of the period. |
On November 10, 2022, the Fund entered into an amendment to the 2021 HSBC Credit Agreement (the “Second Amendment to the 2021 HSBC Credit Agreement”) concerning the 2021 HSBC Credit Facility. The Second Amendment to the 2021 HSBC Credit Agreement temporarily increased the HSBC Credit Facility’s maximum commitment from $135,000,000 to $200,000,000 until March 31, 2023 (the “Temporary Increase Maturity Date”). The Second Amendment to the 2021 HSBC Credit Agreement also temporarily increased the Fund’s sublimit commitment from $33,000,000 to $50,000,000 until the Temporary Increase Maturity Date.
| Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
Forward-Looking Statements
This Quarterly Report on Form 10-Q (this “Quarterly Report”) contains forward-looking statements that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors, and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about the Fund, its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as “anticipates,” “expects,” “intends,” “plans,” “will,” “may,” “continue,” “believes,” “seeks,” “estimates,” “would,” “could,” “should,” “targets,” “projects,” “outlook,” “potential,” “predicts” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the Fund’s control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements, including without limitation:
| • | an economic downturn could impair the Fund’s portfolio companies’ ability to continue to operate, which could lead to the loss of some or all of the Fund’s investments in such portfolio companies; |
| • | such an economic downturn could disproportionately impact the companies that the Fund intends to target for investment, potentially causing the Fund to experience a decrease in investment opportunities and diminished demand for capital from these companies; |
| • | pandemics or other serious public health events, such as the global outbreak of a strain of the coronavirus, commonly known as “COVID-19”; |
| • | a contraction of available credit and/or an inability to access the equity markets could impair the Fund’s lending and investment activities; |
| • | interest rate volatility could adversely affect the Fund’s results, particularly if the Fund elects to use leverage as part of its investment strategy; |
| • | the Fund’s future operating results; |
| • | the Fund’s business prospects and the prospects of the Fund’s portfolio companies; |
| • | the Fund’s contractual arrangements and relationships with third parties; |
| • | the ability of the Fund’s portfolio companies to achieve their objectives; |
| • | competition with other entities and the Fund’s affiliates for investment opportunities; |
| • | the speculative and illiquid nature of the Fund’s investments; |
| • | the use of borrowed money to finance a portion of the Fund’s investments; |
| • | the adequacy of the Fund’s financing sources and working capital; |
| • | the loss of key personnel; |
| • | the timing of cash flows, if any, from the operations of the Fund’s portfolio companies; |
| • | the ability of the Adviser to locate suitable investments for the Fund and to monitor and administer the Fund’s investments; |
| • | the ability of the Adviser to attract and retain highly talented professionals; |
| • | the Fund’s ability to qualify and maintain its qualification as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), and as a business development company (“BDC”); |
| • | the effect of legal, tax and regulatory changes; and |
54
| • | the other risks, uncertainties and other factors the Fund identifies under “Risk Factors” of its Annual Report on Form 10-K for the fiscal year ended December 31, 2021. |
Although the Fund believes that the assumptions on which these forward-looking statements are based are reasonable, any of those assumptions could prove to be inaccurate, and as a result, the forward-looking statements based on those assumptions also could be inaccurate. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this report should not be regarded as a representation by the Fund that the Fund’s plans and objectives will be achieved. These risks and uncertainties include those described or identified in the section entitled “Item 1A. Risk Factors” of the Annual Report on Form 10-K for the fiscal year ended December 31, 2021, and elsewhere in this report. These forward-looking statements apply only as of the date of this report. Moreover, the Fund assumes no duty and does not undertake to update the forward-looking statements. The forward-looking statements and projections contained in this Quarterly Report are excluded from the safe harbor protection provided by Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) because the Fund is an investment company.
The following analysis of the Fund’s financial condition and results of operations should be read in conjunction with the Fund’s financial statements and the related notes thereto contained elsewhere in this Quarterly Report.
Overview
The Fund was formed on February 6, 2015 as a corporation under the laws of the State of Maryland. The Fund is structured as an externally managed, non-diversified, closed-end management investment company. The Fund was formed to invest primarily in primary-issue middle-market credit opportunities that are directly sourced and privately negotiated. The Fund commenced investment operations on November 15, 2017. The Fund is advised by AB Private Credit Investors LLC (the “Adviser”), which is registered with the Securities and Exchange Commission (“SEC”) under the Investment Advisers Act of 1940, as amended. The Adviser is responsible for sourcing potential investments, conducting due diligence on prospective investments, analyzing investment opportunities, structuring investments and monitoring the Fund’s portfolio on an ongoing basis. State Street Bank and Trust Company (the “Administrator”) provides the administrative services necessary for the Fund to operate.
The Fund has elected to be treated as a BDC under the 1940 Act. The Fund has also elected to be treated and intends to qualify annually as a RIC under Subchapter M of the Code for U.S. federal income tax purposes. As a BDC and a RIC, respectively, the Fund is and will be required to comply with various regulatory requirements, such as the requirement to invest at least 70% of its assets in “qualifying assets,” source of income limitations, asset diversification requirements, and the requirement to distribute annually at least 90% of its taxable income and tax exempt interest.
The Fund is an “emerging growth company,” as defined in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). The Fund will remain an emerging growth company for up to five years following its initial public offering, if any, although if the market value of its common stock that is held by non-affiliates exceeds $700 million as of any June 30 before that time, the Fund would cease to be an emerging growth company as of the following December 31. For so long as the Fund remains an emerging growth company under the JOBS Act, it will be subject to reduced public company reporting requirements.
Effects of COVID-19 on the Fund’s Results of Operations
The outbreak of COVID-19 and its variants has resulted in numerous deaths, adversely impacted global commercial activity, and contributed to significant volatility in certain equity and debt markets. In response to the COVID-19 pandemic, many countries, including the U.S., reacted by instituting quarantines and ordering the closure of offices, businesses, schools, retail stores and other public venues, which has interrupted or slowed supply chains worldwide among other consequences. As of the date of this Quarterly Report, businesses largely have reopened aided by the continued administration of vaccines, the loosening of government restrictions, and individuals’ increasing comfort with living with the risk of the illness. The ultimate extent of the impact of the COVID-19 outbreak on the global economy and the financial performance of the Fund’s current and future investments will continue to depend on future developments, including the duration and spread of the virus, any related advisories and restrictions, and secondary impacts of the business disruptions, all of which are highly uncertain and cannot be predicted. Adverse impacts on the Fund’s investments may have a material adverse impact on the Fund’s future net investment income, the fair value of the Fund’s portfolio investments, the Fund’s financial condition and results of operations and the financial condition of the Fund’s portfolio companies.
As of September 30, 2022, the Fund was in compliance with its asset coverage requirements under the 1940 Act. In addition, the Fund was not in default of any of the covenants under the Revolving Credit Facilities as of September 30, 2022. However, any increase in unrealized depreciation of the Fund’s investment portfolio or further significant reductions in the Fund’s net asset value as a result of the effects of the COVID-19 pandemic or otherwise may increase the risk of breaching the relevant covenants and requirements.
55
The Fund will continue to monitor the rapidly evolving situation surrounding the COVID-19 pandemic and guidance from U.S. and international authorities, including federal, state and local public health authorities, and may take additional actions based on their recommendations. Given the dynamic nature of this situation, the Fund cannot reasonably estimate the impact of COVID-19 on its financial condition, results of operations or cash flows in the future.
The Private Offering
The Fund enters into separate subscription agreements with investors providing for the private placement of its common stock (the “Shares”) in reliance on exemptions from the registration requirements of the Securities. Each investor makes a Capital Commitment to purchase Shares pursuant to a subscription agreement. Investors are required to make capital contributions to purchase Shares each time the Fund delivers a capital call notice, which is issued based on the Fund’s anticipated investment activities and capital needs, delivered at least 10 business days prior to the required funding date, provided that investors may fund such requirements sooner than the deadline as agreed between the Fund and the investor. Generally, purchases of the Fund’s Shares are made pro rata in accordance with each investor’s Capital Commitment, in an amount not to exceed each investor’s remaining capital commitment, at a per-Share price equal to the net asset value per share of the Fund’s common stock subject to any adjustments. Pursuant to the Private Offering, the Fund’s initial closing occurred on September 29, 2017.
The Fund may accept additional Capital Commitments quarterly (“Subsequent Closings”) from new investors as well as existing investors that wish to increase their commitment and shareholding in the Fund. These Subsequent Closings are expected to occur on a calendar-quarter end based on investor interest as well as the state of the market and the Fund’s capacity to invest the additional capital in a reasonable period. Each Capital Commitment is for the life of the Fund or for a shorter period based on the investor’s liquidation election, subject to the Fund’s receipt of exemptive relief that would permit stockholders to liquidate their investments pursuant to transactions that are currently prohibited by the 1940 Act and would require an SEC order in order to be established.
Revenues
The Fund’s investment objective is to generate current income and prioritize capital preservation through a portfolio that primarily invests in directly-sourced, privately-negotiated, secured, middle market loans. The Fund intends to primarily invest in middle market businesses based in the United States. The Fund expects that the primary use of proceeds by the companies in which the Fund invests will be for leveraged buyouts, recapitalizations, mergers and acquisitions and growth capital.
The Fund will seek to build its portfolio in a defensive manner that minimizes cyclical and correlated risks across individual names and sector verticals by targeting companies with strong underlying business models and durable intrinsic value.
The Fund will primarily hold secured loans, which encompass traditional first lien, unitranche and second lien loans, but may also invest in mezzanine, structured preferred stock and non-control equity co-investment opportunities. The Fund will seek to deliver attractive risk adjusted returns with lower volatility and low correlation relative to the public credit markets. The Adviser believes the Fund’s flexibility to invest across the capital structure and liquidity spectrum will allow the Fund to optimize investor risk-adjusted returns.
Expenses
Under the Amended and Restated Advisory Agreement, the Fund’s primary operating expenses will include the payment of fees to the Adviser, the Fund’s allocable portion of overhead expenses under the Expense Reimbursement Agreement and other operating costs described below. The Fund bears all other out-of-pocket costs and expenses of the Fund’s operations and transactions, including those relating to:
| • | reasonable and documented organization and offering expenses to the extent reimbursement of such expenses is included in any future agreement with the Adviser; |
| • | calculating the Fund’s net asset value (including the cost and expenses of any independent valuation firm); |
| • | fees and expenses payable to third parties, including agents, consultants or other advisers, in connection with monitoring financial (including advising with respect to the Fund’s financing strategy) and legal affairs for the Fund and in providing administrative services, monitoring the Fund’s investments and performing due diligence on the Fund’s prospective portfolio companies or otherwise relating to, or associated with, evaluating and making investments; |
| • | interest payable on debt, if any, incurred to finance the Fund’s investments; |
| • | sales and purchases of the Fund’s common stock and other securities; |
| • | base management fees and incentive fees payable to the Adviser; |
56
| • | transfer agent and custodial fees; |
| • | federal and state registration fees; |
| • | all costs of registration and listing the Fund’s securities on any securities exchange; |
| • | U.S. federal, state and local taxes; |
| • | independent directors’ fees and expenses; |
| • | costs of preparing and filing reports or other documents required by the SEC, the Financial Industry Regulatory Authority or other regulators; |
| • | costs of any reports, proxy statements or other notices to stockholders, including printing costs; |
| • | the Fund’s allocable portion of any fidelity bond, directors’ and officers’ errors and omissions liability insurance, and any other insurance premiums; |
| • | direct costs and expenses of administration, including printing, mailing, long distance telephone, copying, secretarial and other staff, independent auditors and outside legal costs; and |
| • | all other expenses incurred by the Fund, the Administrator or the Adviser in connection with administering the Fund’s business, including payments under the Administration Agreement and payments under the Expense Reimbursement Agreement based on the Fund’s allocable portion of the Adviser’s overhead in performing its obligations under the Expense Reimbursement Agreement, including the allocable portion of the cost of the Fund’s Chief Compliance Officer and Chief Financial Officer and their respective staffs. |
Effects of Geopolitical Events and Economic Policy on the Fund’s Results of Operation
Various social and geopolitical factors in the United States and around the world, such as ongoing trade tensions between the U.S. and China or the Russia-Ukraine conflict, may give rise to increased macroeconomic volatility and uncertainty. The Adviser does not believe the current macroeconomic factors have a direct material impact on the Fund’s investments, although the Fund’s investments may be at-risk of indirect impacts such as supply chain disruptions, inflationary pressures, or other related factors.
The U.S. Federal Reserve and other central banks recently have raised certain interest rates and have guided to further increases. As a result, base rates (e.g., LIBOR, SOFR) on which the Fund’s loans are anchored have risen. An increase in base rates to levels that exceed the base rate floors, which are prevalent in most loans, will increase the interest cost to existing borrowers and consequently, the Fund’s gross investment income. However, in the event of continued rate increases above the base rate floor, borrowers may be challenged to service the regular interest burden on the loans.
Inflation may adversely affect the Fund’s investments in a number of ways. Certain of the Fund’s portfolio companies are in industries that may be impacted by inflationary pressures on the cost of goods or services. If such portfolio companies are unable to pass along cost increases to their customers or effect offsetting cost savings, the incremental costs related to inflation could adversely affect their earnings and ultimately their ability to pay interest and principal on the Fund’s loans. This dynamic may be further exacerbated with an increase in interest rates rise in response to the inflation. Any fundamental impact to the Fund’s portfolio companies due to inflation or rising rates could adversely impact the fair value of those investments, thereby potentially resulting in future realized or unrealized losses.
Portfolio and Investment Activity
The following table presents certain information regarding the Fund’s portfolio and investment activity:
| For the Three Months Ended September 30, 2022 |
For the Three Months Ended September 30, 2021 |
For the Nine Months Ended September 30, 2022 |
For the Nine Months Ended September 30, 2021 |
|||||||||||||
| Investments in Portfolio Companies |
$ | (78,016,704 | )(1) | $ | (89,042,124 | )(2) | $ | (275,887,703 | )(3) | $ | (233,851,475 | )(4) | ||||
| Draw Downs against Revolvers and Delayed Draw Term Loans |
(23,000,920 | ) | (13,777,724 | ) | (60,237,851 | ) | (54,385,918 | ) | ||||||||
| Principal Repayments |
49,236,275 | (5) | 35,971,943 | (6) | 140,474,269 | (7) | 80,933,895 | (8) | ||||||||
| Sales |
3,044,969 | 11,873,610 | 10,394,851 | 35,267,460 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net Repayments (Investments) |
$ | (48,736,380 | ) | $ | (54,974,295 | ) | $ | (185,256,434 | ) | $ | (172,036,038 | ) | ||||
|
|
|
|
|
|
|
|
|
|||||||||
| (1) | Includes investments in 12 portfolio companies. |
57
| (2) | Includes investments in 24 portfolio companies. |
| (3) | Includes investments in 54 portfolio companies. |
| (4) | Includes investments in 52 portfolio companies. |
| (5) | Includes $3,016,147 in revolver and delayed draw term payments. |
| (6) | Includes $3,010,887 in revolver and delayed draw term payments. |
| (7) | Includes $8,965,586 in revolver and delayed draw term payments. |
| (8) | Includes $6,925,843 in revolver and delayed draw term payments. |
The following table shows the composition of the investment portfolio and associated yield data as of September 30, 2022:
| As of September 30, 2022 | ||||||||||||||||||||
| Amortized Cost | Percentage of Total |
Fair Value | Percentage of Total |
Weighted Average Yield(1) |
||||||||||||||||
| First Lien Senior Secured Debt |
$ | 1,046,863,972 | 93.91 | % | $ | 1,031,007,629 | 93.16 | % | 9.13 | % | ||||||||||
| Second Lien Junior Secured Debt |
10,770,801 | 0.97 | 10,711,184 | 0.97 | 10.48 | % | ||||||||||||||
| Preferred Stock |
10,265,943 | 0.92 | 15,656,559 | 1.41 | — | |||||||||||||||
| Common Stock |
7,038,626 | 0.63 | 7,444,135 | 0.67 | — | |||||||||||||||
| Warrants |
367,657 | 0.03 | 1,226,225 | 0.11 | — | |||||||||||||||
| Investment Companies |
4,037,030 | 0.36 | 5,290,733 | 0.48 | — | |||||||||||||||
| Cash and cash equivalents |
35,440,107 | 3.18 | 35,440,107 | 3.20 | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 1,114,784,136 | 100 | % | $ | 1,106,776,572 | 100 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||
| (1) | Based upon the par value of the Fund’s debt investments. |
The following table shows the composition of the investment portfolio and associated yield data as of December 31, 2021:
| As of December 31, 2021 | ||||||||||||||||||||
| Amortized Cost | Percentage of Total |
Fair Value | Percentage of Total |
Weighted Average Yield(1) |
||||||||||||||||
| First Lien Senior Secured Debt |
$ | 858,569,789 | 91.30 | % | $ | 859,412,243 | 90.75 | % | 6.87 | % | ||||||||||
| Second Lien Junior Secured Debt |
10,534,601 | 1.12 | 10,677,299 | 1.13 | 9.04 | % | ||||||||||||||
| Preferred Stock |
9,276,858 | 0.99 | 12,563,914 | 1.33 | — | |||||||||||||||
| Common Stock |
5,375,243 | 0.57 | 5,915,934 | 0.62 | — | |||||||||||||||
| Warrants |
347,740 | 0.04 | 1,123,878 | 0.12 | — | |||||||||||||||
| Investment Companies |
1,776,293 | 0.19 | 2,887,725 | 0.30 | — | |||||||||||||||
| Cash and cash equivalents |
54,489,043 | 5.80 | 54,489,043 | 5.75 | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 940,369,567 | 100 | % | $ | 947,070,036 | 100 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||
| (1) | Based upon the par value of the Fund’s debt investments. |
The following table presents certain selected financial information regarding the debt investments in the Fund’s portfolio as of September 30, 2022 and December 31, 2021:
| As of September 30, 2022 |
As of December 31, 2021 |
|||||||
| Number of portfolio companies |
180 | 151 | ||||||
| Percentage of debt bearing a floating rate(1) |
100.00 | % | 100.00 | % | ||||
| Percentage of debt bearing a fixed rate(1) |
0.00 | % | 0.00 | % | ||||
| (1) | Measured on a fair value basis and excluding equity securities. |
58
The following table shows the amortized cost and fair value of the Fund’s performing and non-accrual debt investments as of September 30, 2022:
| As of September 30, 2022 | ||||||||||||||||
| Amortized Cost | Percentage at Amortized Cost |
Fair Value | Percentage at Fair Value |
|||||||||||||
| Performing |
$ | 1,047,158,445 | 99.01 | % | $ | 1,038,714,793 | 99.71 | % | ||||||||
| Non-accrual |
10,476,328 | 0.99 | % | 3,004,020 | 0.29 | % | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total |
$ | 1,057,634,773 | 100 | % | $ | 1,041,718,813 | 100 | % | ||||||||
|
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|
|
|
|
|
|
|
|||||||||
The following table shows the amortized cost and fair value of the Fund’s performing and non-accrual debt investments as of December 31, 2021:
| As of December 31, 2021 | ||||||||||||||||
| Amortized Cost | Percentage at Amortized Cost |
Fair Value | Percentage at Fair Value |
|||||||||||||
| Performing |
$ | 864,817,447 | 99.52 | % | $ | 868,964,978 | 99.87 | % | ||||||||
| Non-accrual |
4,286,943 | 0.48 | % | 1,124,564 | 0.13 | % | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total |
$ | 869,104,390 | 100 | % | $ | 870,089,542 | 100 | % | ||||||||
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|
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|
|
|||||||||
Generally, when interest and/or principal payments on a loan become past due, or if the Fund otherwise does not expect the borrower to be able to service its debt and other obligations, the Fund will place the loan on non-accrual status and will cease recognizing interest income on that loan for financial reporting purposes until all principal and interest have been brought current through payment or due to restructuring such that the interest income is deemed to be collectible. The Fund generally restores non-accrual loans to accrual status when past due principal and interest is paid and, in the management’s judgment, is likely to remain current. As of September 30, 2022, the Fund had seven investments, across three issuers, that were on non-accrual status. As of December 31, 2021, the Fund had three investments, with one issuer, that were on non-accrual status.
The following tables show the composition of the investment portfolio (excluding cash and cash equivalents) by industry, at amortized cost and fair value as of September 30, 2022 and December 31, 2021 (with corresponding percentage of total portfolio investments):
| As of September 30, 2022 | ||||||||||||||||
| Amortized Cost | Percentage of Total |
Fair Value | Percentage of Total |
|||||||||||||
| Business Services |
$ | 84,793,199 | 7.86 | % | $ | 84,715,203 | 7.91 | % | ||||||||
| Consumer Discretionary |
9,181,089 | 0.85 | 9,208,592 | 0.86 | ||||||||||||
| Consumer Non-Cyclical |
52,343,957 | 4.85 | 50,594,335 | 4.72 | ||||||||||||
| Digital Infrastructure & Services |
180,577,192 | 16.73 | 180,020,264 | 16.80 | ||||||||||||
| Energy |
11,921,182 | 1.10 | 15,982,221 | 1.49 | ||||||||||||
| Financials |
41,445,327 | 3.84 | 41,251,647 | 3.85 | ||||||||||||
| Healthcare & HCIT |
246,838,008 | 22.87 | 235,872,877 | 22.02 | ||||||||||||
| Investment Companies |
4,037,030 | 0.37 | 5,290,733 | 0.49 | ||||||||||||
| Software & Tech Services |
444,759,773 | 41.21 | 447,621,943 | 41.79 | ||||||||||||
| Transport & Logistics |
3,447,272 | 0.32 | 778,650 | 0.07 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 1,079,344,029 | 100 | % | $ | 1,071,336,465 | 100 | % | |||||||||
|
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|
|
|
|
|
|
|
|||||||||
| As of December 31, 2021 | ||||||||||||||||
| Amortized Cost | Percentage of Total |
Fair Value | Percentage of Total |
|||||||||||||
| Business Services |
$ | 62,680,825 | 7.08 | % | $ | 63,308,037 | 7.09 | % | ||||||||
| Consumer Discretionary |
8,853,961 | 1.00 | 8,896,144 | 1.00 | ||||||||||||
| Consumer Non-Cyclical |
49,345,952 | 5.57 | 49,025,905 | 5.49 | ||||||||||||
| Digital Infrastructure & Services |
144,135,884 | 16.27 | 147,187,636 | 16.49 | ||||||||||||
| Energy |
9,634,235 | 1.09 | 10,335,624 | 1.16 | ||||||||||||
| Financial Services |
28,629,622 | 3.23 | 28,663,648 | 3.21 | ||||||||||||
| Healthcare & HCIT |
204,484,590 | 23.08 | 202,451,176 | 22.68 | ||||||||||||
| Investment Companies |
1,776,293 | 0.20 | 2,887,725 | 0.32 | ||||||||||||
| Software & Tech Services |
372,052,219 | 42.00 | 378,700,534 | 42.43 | ||||||||||||
| Transport & Logistics |
4,286,943 | 0.48 | 1,124,564 | 0.13 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 885,880,524 | 100 | % | $ | 892,580,993 | 100 | % | |||||||||
|
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|
|
|
|
|
|
|
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59
The Adviser monitors the Fund’s portfolio companies on an ongoing basis. It monitors the financial trends of each portfolio company to determine if they are meeting their respective business plans and to assess the appropriate course of action for each company. The Adviser has several methods of evaluating and monitoring the performance and fair value of the Fund’s investments, which may include the following:
| • | assessment of success in adhering to the portfolio company’s business plan and compliance with covenants; |
| • | periodic or regular contact with portfolio company management and, if appropriate, the financial or strategic sponsor to discuss financial position, requirements and accomplishments; |
| • | comparisons to the Fund’s other portfolio companies in the industry, if any; |
| • | attendance at and participation in board meetings or presentations by portfolio companies; and |
| • | review of monthly and quarterly consolidated financial statements and financial projections of portfolio companies. |
Results of Operations
The following is a summary of the Fund’s operating results for the three and nine months ended September 30, 2022 and September 30, 2021:
| For the Three Months Ended September 30, 2022 |
For the Three Months Ended September 30, 2021 |
For the Nine Months Ended September 30, 2022 |
For the Nine Months Ended September 30, 2021 |
|||||||||||||
| Total investment income |
$ | 24,001,656 | $ | 13,575,797 | $ | 63,625,663 | $ | 36,834,985 | ||||||||
| Total expenses |
14,582,793 | 9,003,814 | 38,631,800 | 23,824,600 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Reimbursement payments to Adviser |
— | 538,189 | 259,263 | 1,280,302 | ||||||||||||
| Waived collateral management fees |
— | (464,717 | ) | (588,476 | ) | (1,378,975 | ) | |||||||||
| Waived management fees |
— | (448,807 | ) | (283,566 | ) | (830,042 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net investment income before taxes |
9,418,863 | 4,947,318 | 25,606,642 | 13,939,100 | ||||||||||||
| Income tax expense, including excise tax |
382,072 | 300 | 949,155 | 78,497 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net investment income after tax |
9,036,791 | 4,947,018 | 24,657,487 | 13,860,603 | ||||||||||||
| Net realized and change in unrealized appreciation (depreciation) on investments |
(9,128,383 | ) | 2,964,819 | (13,048,566 | ) | 10,894,835 | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net increase (decrease) in net assets resulting from operations |
(91,592 | ) | 7,911,837 | 11,608,921 | 24,755,438 | |||||||||||
| Less: Net increase (decrease) in net assets resulting from operations related to Non-Controlling Interest in ABPCIC Equity Holdings, LLC |
386 | 268 | 4,941 | 280 | ||||||||||||
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|
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|
|
|||||||||
| Net increase (decrease) in net assets resulting from operations related to AB Private Credit Investors Corporation |
$ | (91,978 | ) | $ | 7,911,569 | $ | 11,603,980 | $ | 24,755,158 | |||||||
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Investment Income
During the three months ended September 30, 2022, the Fund’s investment income was comprised of $23,639,905 of interest income, which includes $1,704,915 of the net amortization of premium and accretion of discounts, $332,901 of payment-in-kind interest, and $28,850 of dividend income. During the three months ended September 30, 2021, the Fund’s investment income was comprised of $13,138,603 of interest income, which includes $915,074 of the net amortization of premium and accretion of discounts,
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$374,624 of payment-in-kind interest, and $62,570 of dividend income. The increase in net investment income during the three months ended September 30, 2022, compared to the three months ended September 30, 2021, can primarily be attributed to an increase in gross assets.
During the nine months ended September 30, 2022, the Fund’s investment income was comprised of $62,038,473 of interest income, which includes $5,014,878 of the net amortization of premium and accretion of discounts, $1,532,726 of payment-in-kind interest, and $54,464 of dividend income. During the nine months ended September 30, 2021, the Fund’s investment income was comprised of $35,692,183 of interest income, which includes $2,595,561 of the net amortization of premium and accretion of discounts, $1,080,232 of payment-in-kind interest, and $62,570 of dividend income. The increase in net investment income during the nine months ended September 30, 2022, compared to the nine months ended September 30, 2021, can primarily be attributed to an increase in gross assets.
Operating Expenses
The following is a summary of the Fund’s operating expenses for the three and nine months ended September 30, 2022 and September 30, 2021:
| For the Three Months Ended September 30, 2022 |
For the Three Months Ended September 30, 2021 |
For the Nine Months Ended September 30, 2022 |
For the Nine Months Ended September 30, 2021 |
|||||||||||||
| Interest and borrowing expenses |
$ | 8,935,088 | $ | 3,798,015 | $ | 21,122,091 | $ | 9,665,271 | ||||||||
| Management fees |
3,644,259 | 2,633,349 | 10,438,278 | 7,068,507 | ||||||||||||
| Income-based incentive fee |
1,275,176 | 876,623 | 4,158,321 | 2,273,106 | ||||||||||||
| Professional fees |
392,050 | 484,133 | 1,208,708 | 1,547,856 | ||||||||||||
| Administration and custodian fees |
239,624 | 185,508 | 707,964 | 526,395 | ||||||||||||
| Collateral management fees |
— | 464,717 | 588,476 | 1,378,975 | ||||||||||||
| Insurance expenses |
180,760 | 140,901 | 489,508 | 476,757 | ||||||||||||
| Directors’ fees |
50,000 | 50,000 | 150,000 | 150,000 | ||||||||||||
| Transfer agent fees |
32,503 | 20,455 | 88,020 | 56,190 | ||||||||||||
| Capital gains incentive fee |
(499,007 | ) | — | (1,283,044 | ) | — | ||||||||||
| Other expenses |
332,340 | 350,113 | 963,478 | 681,543 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total expenses |
14,582,793 | 9,003,814 | 38,631,800 | 23,824,600 | ||||||||||||
| Reimbursement payments to Adviser |
— | 538,189 | 259,263 | 1,280,302 | ||||||||||||
| Waived collateral management fees |
— | (464,717 | ) | (588,476 | ) | (1,378,975 | ) | |||||||||
| Waived management fees |
— | (448,807 | ) | (283,566 | ) | (830,042 | ) | |||||||||
| Income tax expense, including excise tax |
382,072 | 300 | 949,155 | 78,497 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net expenses |
$ | 14,964,865 | $ | 8,628,779 | $ | 38,968,176 | $ | 22,974,382 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
Interest and Borrowing Expenses
Interest and borrowing expenses includes interest, amortization of debt issuance and deferred financing costs, upfront commitment fees and unused fees on the unused portion of the Revolving Credit Facilities, Secured Borrowings and the Notes issued in the CLO Transaction. As of September 30, 2022, there were outstanding balances of $15,000,000, $165,400,000 and $252,600,000 on the 2021 HSBC Credit Facility, Synovus Credit Facility and the Natixis Credit Facility, respectively, and an outstanding balance of $4,135,264 in Secured Borrowings.
As of December 31, 2021, there were outstanding balances of $40,000,000, $147,300,000, and $193,300,000 on the 2021 HSBC Credit Facility, Synovus Credit Facility, and the Natixis Credit Facility, respectively, and an outstanding balance of $10,228,115 in Secured Borrowings.
The outstanding amount on the Notes is $244,934,819 net of unamortized discount and debt issuance costs as of September 30, 2022. The outstanding amount on the Notes was $212,454,604, net of unamortized discount and debt issuance costs as of December 31, 2021.
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Interest and borrowing expenses for the three months ended September 30, 2022 and September 30, 2021 were $8,935,088 and $3,798,015, respectively. The weighted average interest rate (excluding deferred upfront financing costs and unused fees) on the Fund’s debt outstanding was 4.65% and 2.49% for the three months ended September 30, 2022 and September 30, 2021, respectively. The increase in interest and borrowing expenses during the three months ended September 30, 2022, compared to the three months ended September 30, 2021 can primarily be attributed to an increase in debt outstanding and interest rates.
Interest and borrowing expenses for the nine months ended September 30, 2022 and September 30, 2021, were $21,122,091 and $9,665,271, respectively. The weighted average interest rate (excluding deferred upfront financing costs and unused fees) on the Fund’s debt outstanding was 3.60% and 2.50% for the nine months ended September 30, 2022 and September 30, 2021, respectively. The increase in interest and borrowing expenses during the nine months ended September 30, 2022 compared to the nine months ended September 30, 2021 can primarily be attributed to an increase in debt outstanding and interest rates.
Management Fee
The gross management fee expenses for the three months ended September 30, 2022 and September 30, 2021 were $3,644,259 and $2,633,349, respectively. The increase in the management fee for the three months ended September 30, 2022, was a result of the increase in average gross assets during this period, which are the basis used to calculate management fees. For the three months ended September 30, 2022 and September 30, 2021, the Adviser waived management fees of $0 and $448,807, respectively.
The gross management fee expenses for the nine months ended September 30, 2022 and September 30, 2021 were $10,438,278 and $7,068,507, respectively. The increase in the management fee for the nine months ended September 30, 2022, was a result of the increase in average gross assets during this period, which are the basis used to calculate management fees. For the nine months ended September 30, 2022 and September 30, 2021, the Adviser waived management fees of $283,566 and $830,042, respectively.
Fund Expenses
For the three months ended September 30, 2022, the Fund incurred $14,582,793 of expenses in relation to interest and borrowing expenses, management fees, incentive fees, professional fees, administration and custodian fees, insurance expenses, directors’ fees, transfer agent fees, and other expenses. The Fund incurred $382,072 of tax expense.
For the three months ended September 30, 2021, the Fund incurred $9,003,814 of expenses in relation to professional fees, directors’ fees, collateral management fees, management fees, incentive fees, insurance expenses, interest and borrowing expenses, transfer agent fees, other fees, and administration and custodian fees. Additionally, $538,189 was reimbursed by the Fund to the Adviser and its affiliates. Further, $448,807 of management fees and $464,717 of collateral management fees were waived by the Adviser. The Fund incurred $300 of tax expense.
For the nine months ended September 30, 2022, the Fund incurred $38,631,800 of expenses in relation to interest and borrowing expenses, management fees, incentive fees, professional fees, administration and custodian fees, insurance expenses, directors’ fees, collateral management fees, transfer agent fees, and other expenses. Additionally, $259,263 was reimbursed by the Fund to the Adviser and its affiliates. Further, $283,566 of management fees and $588,476 of collateral management fees were waived by the Adviser. The Fund incurred $949,155 of tax expense.
For the nine months ended September 30, 2021, the Fund incurred $23,824,600 of expenses in relation to professional fees, directors’ fees, collateral management fees, management fees, incentive fees, insurance expenses, interest and borrowing expenses, transfer agent fees, other fees, and administration and custodian fees. Additionally, $1,280,302 was reimbursed by the Fund to the Adviser and its affiliates. Further, $830,042 of management fees and $1,378,975 of collateral management fees were waived by the Adviser. The fund incurred $78,497 of tax expense.
Net Realized Gain (Loss) on Investments
During the three months ended September 30, 2022, the Fund had principal repayments and sales which resulted in $842,514 of net realized gain. During the nine months ended September 30, 2022, the Fund had principal repayments and sales which resulted in $1,659,467 of net realized gain.
During the three months ended September 30, 2021, the Fund had principal repayments and sales which resulted in $515,755 of net realized loss. During the nine months ended September 30, 2021, the Fund had principal repayments and sales which resulted in $901,820 of net realized loss.
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Net Change in Unrealized Appreciation (Depreciation) on Investments
During the three months ended September 30, 2022, the Fund had $9,970,897 in net change in unrealized depreciation on $1,079,344,029 of investments in 180 portfolio companies. Net change in unrealized depreciation for the three months ended September 30, 2022, resulted from a broad portfolio decline due to a decline in loan market secondary prices, widening primary issue credit spreads, and the underperformance of certain portfolio company investments. This unrealized depreciation was partially offset by unrealized appreciation on certain debt and equity positions due to company performance or expectation of near-term repayment at par.
During the three months ended September 30, 2021, the Fund had $3,480,574 in net change in unrealized appreciation on $714,038,471 of investments in 127 portfolio companies. Unrealized appreciation for the three months ended September 30, 2021, resulted from an increase in fair value, primarily driven by improving market conditions.
During the nine months ended September 30, 2022, the Fund had $14,708,033 in net change in unrealized depreciation on $1,079,344,029 of investments in 180 portfolio companies. Net change in unrealized depreciation for the nine months ended September 30, 2022, resulted from a broad portfolio decline due to a decline in loan market secondary prices, widening primary issue credit spreads, and the underperformance of certain portfolio company investments. This unrealized depreciation was partially offset by unrealized appreciation on certain debt and equity positions due to company performance or expectation of near-term repayment at par.
During the nine months ended September 30, 2021, the Fund had $11,796,655 in net change in unrealized appreciation on $714,038,471 of investments in 127 portfolio companies. Unrealized appreciation for the nine months ended September 30, 2021, resulted from an increase in fair value, primarily driven by improving market conditions.
Net Increase (Decrease) in Net Assets Resulting from Operations
For the three months ended September 30, 2022 and 2021, the net increase (decrease) in net assets resulting from operations was $(91,592) and $7,911,837, respectively. Based on the weighted average shares of common stock outstanding for the three months ended September 30, 2022 and 2021, the Fund’s per share net increase (decrease) in net assets resulting from operations was $(0.00) and $0.28, respectively.
For the nine months ended September 30, 2022 and 2021, the net increase in net assets resulting from operations was $11,608,921 and $24,755,438, respectively. Based on the weighted average shares of common stock outstanding for the nine months ended September 30, 2022 and 2021, the Fund’s per share net increase in net assets resulting from operations was $0.28 and $0.91, respectively.
Cash Flows
For the nine months ended September 30, 2022, cash decreased by $19,048,936. During the same period, the Fund used $178,383,717 in operating activities, primarily as a result of net purchases of investments. During the nine months ended September 30, 2022, the Fund generated $159,334,781 from financing activities, primarily from issuance of common stock and net borrowings on the Revolving Credit Facilities and refinance of the CLO Notes.
For the nine months ended September 30, 2021, cash increased by $26,084,338. During the same period, the Fund used $161,175,982 in operating activities, primarily as a result of net purchases of investments. During the nine months ended September 30, 2021, the Fund generated $187,260,320 from financing activities, primarily from issuance of common stock and net borrowings on the Revolving Credit Facilities.
Hedging
The Fund may enter into currency hedging contracts, interest rate hedging agreements such as futures, options, swaps and forward contracts, and credit hedging contracts, such as credit default swaps. However, no assurance can be given that such hedging transactions will be entered into or, if they are, that they will be effective. For the nine months ended September 30, 2022 and September 30, 2021, the Fund did not enter into any hedging contracts.
Financial Condition, Liquidity and Capital Resources
At September 30, 2022 and December 31, 2021, the Fund had $35,440,107 and $48,494,960 in cash and cash equivalents, respectively. The Fund expects to generate cash primarily from (i) the net proceeds of the Private Offering, (ii) cash flows from the Fund’s operations, (iii) any financing arrangements now existing or that the Fund may enter into in the future and (iv) any future offerings of the Fund’s equity or debt securities. The Fund may fund a portion of its investments through borrowings from banks, or other large global institutions such as insurance companies, and issuances of senior securities.
63
The Fund’s primary use of funds from a credit facility will be investments in portfolio companies, cash distributions to holders of its common stock and the payment of operating expenses.
In the future, the Fund may also securitize or finance a portion of its investments with a special purpose vehicle. If the Fund undertakes a securitization transaction, the Fund will consolidate its allocable portion of the debt of any securitization subsidiary on its financial statements, and include such debt in the Fund’s calculation of the asset coverage test, if and to the extent required pursuant to the guidance of the staff of the SEC.
Cash and cash equivalents as of September 30, 2022, taken together with the Fund’s uncalled Capital Commitments of $97,540,201 and $18,000,000 undrawn amount on the 2021 HSBC Credit Facility, $34,600,000 undrawn amount on the Synovus Credit Facility and $47,400,000 undrawn amount on the Natixis Credit Facility, is expected to be sufficient for the Fund’s investing activities and to conduct the Fund’s operations for at least the next twelve months.
As of September 30, 2022, the Fund has unfunded commitments to fund future investments in the amount of $210,052,521, and contractual obligations in the form of Revolving Credit Facilities of $433,000,000 and Notes of $244,934,819.
This “Financial Condition, Liquidity and Capital Resources” section should be read in conjunction with “Effects of COVID-19 on the Fund’s Results of Operations” above.
Equity Activity
The Fund has the authority to issue 200,000,000 Shares.
The Fund has entered into Subscription Agreements with investors providing for the private placement of Shares. Under the terms of the Subscription Agreements, investors are required to fund drawdowns to purchase Shares up to the amount of their respective Capital Commitments on an as-needed basis upon the issuance of a capital draw down notice. As of September 30, 2022, the Fund received Capital Commitments of $557,540,164. Inception to September 30, 2022, the Fund received Capital Contributions to the Fund of $459,999,963. Proceeds from the issuances of Shares in respect of drawdown notices described below were used for investing activities and for other general corporate purposes.
Consistent with the Fund’s offering documents, beginning with the quarter ending March 31, 2021, the Fund was required to begin conducting quarterly General Tenders. Pursuant to the General Tender Program, at the Board’s discretion and in accordance with the requirements of Rule 13e-4 under the Exchange Act and the 1940 Act, each stockholder is given the opportunity to tender Shares at a specific Purchase Price based on the Fund’s net asset value as of the last date of the quarter in which the General Tender is conducted. The Fund intends to conduct each General Tender to repurchase up to a certain percentage of the weighted average of the number of Shares outstanding during the three-month period prior to the quarter in which the General Tender is conducted, as determined by the Board. The General Tender Program includes numerous restrictions that limit stockholders’ ability to sell their Shares.
On February 25, 2022, the Fund commenced the Q1 2022 Tender Offer for up to 795,163.70 Shares. The Purchase Price for the Q1 2022 Tender Offer was $9.70 per Share and the Q1 2022 Tender Offer expired on March 31, 2022. On May 27, 2022, the Fund commenced the Q2 2022 Tender Offer for up to 911,141.27 Shares. The Purchase Price for the Q2 2022 Tender Offer was $9.70 per Share and the Q2 2022 Tender Offer expired on June 30, 2022. On August 26, 2022, the Fund commenced the Q3 2022 Tender Offer for up to 1,047,133.15 Shares. The Purchase Price for the Q3 2022 Tender Offer was $9.50 per Share and the Q3 2022 Tender Offer expired on September 30, 2022.
On February 26, 2021, the Fund commenced the Q1 2021 Tender Offer for up to 502,190.45 Shares (the “Q1 2021 Tender Offer Cap”) tendered prior to March 31, 2021 (the “Initial Expiration Date”). As a result of the number of Shares tendered to the Fund prior to the Initial Expiration Date, the Fund extended the Q1 2021 Tender Offer and increased the Q1 2021 Tender Offer Cap to 2,083,220 Shares. The Purchase Price for the Q1 2021 Tender Offer was $9.43 per Share and the Q1 2021 Tender Offer expired on April 16, 2021. On May 28, 2021, the Fund commenced the Q2 2021 Tender Offer for up to 1,321,607.81 Shares. The Purchase Price for the Q2 2021 Tender Offer was $9.65 per Share and the Q2 2021 Tender Offer expired on June 30, 2021. On August 27, 2021, the Fund commenced the Q3 2021 Tender Offer for up to 684,540.65 Shares. The Purchase Price for the Q3 2021 Tender Offer was $9.76 per Share and the Q3 2021 Tender Offer expired on September 30, 2021.
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Stockholders who tendered Shares in the Q1 2022 Tender Offer, Q2 2022 Tender Offer, Q3 2022 Tender Offer, Q1 2021 Tender Offer, Q2 2021 Tender Offer, and Q3 2021 Tender Offer received a non-interest bearing, non-transferable promissory note entitling such stockholders to an amount in cash equal to the number of Shares accepted for purchase multiplied by the applicable Purchase Price.
The following is a summary of the Fund’s equity activity for the three and nine months ended September 30, 2022 and September 30, 2021.
| For the Three Months Ended September 30, 2022 |
For the Three Months Ended September 30, 2021 |
For the Nine Months Ended September 30, 2022 |
For the Nine Months Ended September 30, 2021 |
|||||||||||||
| Capital Commitments |
$ | 24,237,563 | $ | 6,506,366 | $ | 109,282,965 | $ | 40,204,464 | ||||||||
| Capital Commitments rescinded due to participation in General Tender Program |
7,635,000 | 8,239,350 | 23,315,265 | 26,744,350 | ||||||||||||
| Dividend reinvestments |
$ | 4,589,372 | $ | 2,587,811 | $ | 13,191,804 | $ | 7,088,030 | ||||||||
| Shares issued to investors under DRIP |
482,995 | 265,157 | 1,370,136 | 736,749 | ||||||||||||
| Value of capital drawdown notices |
$ | 18,306,259 | $ | 15,930,053 | $ | 105,253,487 | $ | 69,326,816 | ||||||||
| Shares issued to investors under capital drawdown notices |
1,926,590 | 1,632,591 | 10,781,231 | 7,272,536 | ||||||||||||
| Value of Shares purchased in General Tender Program |
$ | 3,555,388 | $ | 8,661,434 | $ | 13,627,523 | $ | 30,943,710 | ||||||||
| Shares purchased in General Tender Offer |
374,177 | 887,497 | 1,412,779 | 3,223,340 | ||||||||||||
Distributions
Distributions to stockholders are recorded on the record date. To the extent that the Fund has income available, the Fund intends to distribute quarterly distributions to its stockholders. The Fund’s quarterly distributions, if any, will be determined by the Board. Any distributions to the Fund’s stockholders will be declared out of assets legally available for distribution.
The following table summarizes distributions declared during the nine months ended September 30, 2022:
| Date Declared |
Record Date | Payment Date | Amount Per Share | Total Distributions | ||||||||||||
| March 29, 2022 |
March 29, 2022 | April 28, 2022 | $ | 0.25 | $ | 9,709,845 | ||||||||||
| June 28, 2022 |
June 28, 2022 | July 27, 2022 | 0.15 | 6,590,492 | ||||||||||||
| September 28, 2022 |
September 28, 2022 | October 24, 2022 | 0.20 | 8,539,011 | ||||||||||||
|
|
|
|
|
|||||||||||||
| Total distributions declared |
$ | 0.60 | $ | 24,839,348 | ||||||||||||
|
|
|
|
|
|||||||||||||
The following table summarizes distributions declared during the nine months ended September 30, 2021:
| Date Declared |
Record Date | Payment Date | Amount Per Share | Total Distributions | ||||||||||||
| March 29, 2021 |
March 29, 2021 | April 28, 2021 | $ | 0.16 | $ | 4,358,022 | ||||||||||
| June 28, 2021 |
June 28, 2021 | July 22, 2021 | 0.16 | 4,555,484 | ||||||||||||
| September 28, 2021 |
September 28, 2021 | October 26, 2021 | 0.17 | 4,942,950 | ||||||||||||
|
|
|
|
|
|||||||||||||
| Total distributions declared |
$ | 0.49 | $ | 13,856,456 | ||||||||||||
|
|
|
|
|
|||||||||||||
The federal income tax characterization of distributions declared and paid for the fiscal year will be determined at fiscal year-end based upon the Fund’s investment company taxable income for the full fiscal year and distributions paid during the full year. For the nine months ended September 30, 2022, all of the Fund’s distributions to stockholders were attributable to ordinary income. The character of distributions for federal income tax purposes are determined in accordance with income tax regulations which may differ from GAAP. Stockholders should read any written disclosure accompanying a distribution payment carefully and should not assume that the source of any distribution is only ordinary income or gains.
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To the extent the Fund’s taxable earnings fall below the total amount of its distributions paid for that fiscal year, a portion of those distributions may be deemed a return of capital to the Fund’s stockholders for U.S. federal income tax purposes. Thus, the source of a distribution to stockholders may be the original capital invested by the stockholder rather than the Fund’s income or gains.
Co-investment Exemptive Order
On August 6, 2018, the SEC granted the Fund relief sought in a new exemptive application that expands the co-investment exemptive relief previously granted to the Fund in October 2016 to allow the Fund to co-invest in portfolio companies with Affiliated Funds in a manner consistent with its investment objective, positions, policies, strategies and restrictions as well as regulatory requirements and other pertinent factors, subject to compliance with the Order. Pursuant to the Order, the Fund is permitted to co-invest with Affiliated Funds, which the new exemptive relief defines to include affiliated managed accounts, if, among other things, a “required majority” (as defined in Section 57(o) of the 1940 Act) of the Fund’s independent directors make certain conclusions in connection with a co-investment transaction, including that (1) the terms of the transactions, including the consideration to be paid, are reasonable and fair to the Fund and the Fund’s stockholders and do not involve overreaching in respect of the Fund or the Fund’s stockholders on the part of any person concerned, and (2) the transaction is consistent with the interests of the Fund’s stockholders and is consistent with the Fund’s investment objective and strategies. The Fund intends to co-invest with Affiliated Funds, subject to the conditions included in the Order.
Revolving Credit Facilities
2021 HSBC Credit Facility
On November 15, 2017, the Fund entered into the HSBC Credit Agreement to establish the HSBC Credit Facility with the HSBC Administrative Agent and any other lender that becomes a party to the HSBC Credit Agreement in accordance with the terms of the HSBC Credit Agreement, as lenders. The Fund amended and restated the HSBC Credit Agreement on January 31, 2019, and on July 8, 2021, the Fund terminated the HSBC Credit Agreement and all outstanding loans thereunder were repaid and all obligations thereunder were released and terminated. Concurrent with the termination of the HSBC Credit Agreement, the Fund entered into the HSBC Joinder, pursuant to which the Fund became a party to the 2021 HSBC Credit Facility evidenced by the 2021 HSBC Credit Agreement. As of September 30, 2022, the Fund had $15,000,000 outstanding balance on the 2021 HSBC Credit Facility and the Fund was in compliance with the terms of the 2021 HSBC Credit Facility. As of December 31, 2021, the Fund had $40,000,000 outstanding on the 2021 HSBC Credit Facility and the Fund was in compliance with the terms of the 2021 HSBC Credit Facility.
For further details, see “Note 4. Borrowings,” to the Fund’s consolidated financial statements.
Synovus Credit Facility
On October 15, 2020, ABPCIC Funding II entered into the Synovus Credit Facility. In connection with the Synovus Credit Facility, ABPCIC Funding II entered into, among other agreements, (i) the Synovus Loan Agreement, (ii) the securities account control agreement (the “Synovus Control Agreement”), by and among ABPCIC Funding II, the Synovus Collateral Agent and the Synovus Securities Intermediary and (iii) the amended and restated sale and contribution agreement (the “Synovus Transfer Agreement”) by and between the Fund, as seller, and ABPCIC Funding II, as purchaser.
Borrowings of ABPCIC Funding II are considered borrowings by the Fund for purposes of complying with the asset coverage requirements under the 1940 Act applicable to business development companies. As of September 30, 2022, the Fund had $165,400,000 outstanding on the Synovus Credit Facility and the Fund was in compliance with the terms of the Synovus Credit Facility. As of December 31, 2021, the Fund had $147,300,000 outstanding on the Synovus Credit Facility and the Fund was in compliance with the terms of the Synovus Credit Facility.
For further details, see “Note 4. Borrowings,” to the Fund’s consolidated financial statements.
Natixis Credit Facility
On March 24, 2021, ABPCIC Funding III entered into the Natixis Credit Facility. In connection with the Natixis Credit Facility, ABPCIC Funding III entered into, among other agreements, (i) the Natixis Credit Agreement, (ii) the Natixis Account Control Agreement, (iii) the Natixis Collateral Management Agreement, (iv) the Natixis Collateral Administration Agreement and (v) the Natixis Transfer Agreement. On May 27, 2022, pursuant to Amendment No 5 to the Natixis Credit Agreement, ABPCIC Funding III increased the commitment by $50,000,000 from $250,000,000 to $300,000,000. As of September 30, 2022, the Fund had $252,600,000 outstanding on the Natixis Credit Facility and the Fund was in compliance with the terms of the Natixis Credit Facility. As of December 31, 2021, the Fund had $193,300,000 outstanding on the Natixis Credit Facility and the Fund was in compliance with the terms of the Natixis Credit Facility.
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For further details, see “Note 4. Borrowings,” to the Fund’s consolidated financial statements.
Secured Borrowings
From time to time, the Fund may engage in sale/buy-back agreements, which are a type of secured borrowing. The amount, interest rate and terms of these agreements will be individually negotiated on a transaction-by-transaction basis. Each borrowing is secured by an interest in an underlying asset which is participated or assigned to the sale/buy-back counterparty for the duration of the agreement.
Outstanding Secured Borrowings pursuant to the Macquarie Sale/Buy-Back was $4,135,264 and $10,228,115 as of September 30, 2022 and December 31, 2021, respectively.
For further details, see “Note 4. Borrowings,” to the Fund’s consolidated financial statements.
Debt Securitization
On August 9, 2019, the Issuer and the Co-Issuer, each a newly formed special purpose vehicle, completed the CLO Transaction. The Notes offered by the Co-Issuers in the CLO Transaction are secured by a diversified portfolio of the Co-Issuers consisting primarily of middle market loans and participation interests in middle market loans and may also include some broadly syndicated loans. On April 28, 2022 the Issuer indenture was refinanced among the Issuer and U.S. Bank National Association, as trustee. As a result of the refinancing, the outstanding notes dated August 9, 2019, in the amount of $300,500,000 were paid off. The Issuer issued new notes, collectively, the “CLO VI Notes.”
The CLO VI Notes that remain outstanding as of September 30 2022 were (i) $98,250,000 of Class A-1-R Senior Secured Floating Rate Notes, which bear interest at three-months Secured Overnight Financing Rate (SOFR) plus 1.83% per annum; (ii) $75,000,000 of Class A-1-L Senior Secured Floating Rate Notes, which bear interest at SOFR plus 1.83% per annum; (iii) $30,000,000 of Class A-1-F Senior Secured Fixed Rate Notes, which bear interest at 4.31% per annum; (iv) $43,500,000 of Class A-2-R Senior Secured Deferrable Floating Rate Notes, which bear interest at SOFR plus 2.25% per annum; and (v) $19,250,000 of Class B-R Senior Secured Deferrable Floating Rate Notes, which bear interest at SOFR plus 3.10% per annum; (vi) $20,125,000 of Class C-R Senior Secured Deferrable Floating Rate Notes, which bear interest at SOFR plus 4.15% per annum. The Notes are scheduled to mature on April 27, 2034.
The notes that remain outstanding as of December 31, 2021 were (i) $178,200,000 of Class A-1 Senior Secured Floating Rate Notes, which bear interest at three-months LIBOR plus 1.73% per annum; (ii) $25,000,000 of Class A-2A Senior Secured Floating Rate Notes, which bear interest at LIBOR plus 2.45% per annum; (iii) $9,950,000 of Class A-2B Senior Secured Fixed Rate Notes, which bear interest at 4.23% per annum; (iv) $16,400,000 of Class B Secured Deferrable Floating Rate Notes, which bear interest at LIBOR plus 3.40% per annum; and (v) $17,350,000 of Class C Secured Deferrable Floating Rate Notes, which bear interest at LIBOR plus 4.40% per annum.
The Notes are the secured obligations of the Co-Issuers, and the indenture governing the Notes includes customary covenants and events of default. The Notes have not been, and will not be, registered under the Securities Act, as amended, or any state securities or “blue sky” laws and may not be offered or sold in the United States absent registration with the SEC or an applicable exemption from registration.
The Adviser serves as collateral manager to the Issuer pursuant to a collateral management agreement between the Adviser and the Issuer (the “CLO Collateral Management Agreement”). For so long as the Adviser serves as collateral manager to the Issuer, the Adviser will elect to irrevocably waive any base management fee or subordinated interest to which it may be entitled under the CLO Collateral Management Agreement. Pursuant to a new CLO notes issuance, a collateral management fee is no longer charged as long as the Adviser serves as a collateral manager.
For further details, see “Note 4. Borrowings,” to the Fund’s consolidated financial statements.
Asset Coverage
In accordance with the 1940 Act, the Fund has historically only been allowed to borrow amounts such that its “asset coverage,” as defined in the 1940 Act, is at least 200% after such borrowing, permitting the Fund to borrow up to one dollar for investment purposes for every one dollar of investor equity. “Asset coverage” generally refers to a company’s total assets, less all liabilities and indebtedness not represented by “senior securities,” as defined in the 1940 Act, divided by total senior securities representing indebtedness and, if applicable, preferred stock. “Senior securities” for this purpose includes borrowings from banks or other lenders, debt securities and preferred stock.
On March 23, 2018, the SBCAA was signed into law. The SBCAA, among other things, modifies the applicable provisions of the 1940 Act to reduce the required asset coverage ratio applicable to BDCs from 200% to 150% subject to certain approval, time and
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disclosure requirements (including either stockholder approval or approval of a majority of the directors who are not interested persons of the BDC and who have no financial interest in the proposal). On July 5, 2018, the Board voted to approve the adoption of the reduced asset coverage ratio and separately recommended that Investors approve the reduced asset coverage requirements at the 2018 annual meeting of stockholders. On September 26, 2018, at the Fund’s 2018 annual meeting of stockholders, the Fund’s stockholders approved the reduction of the required minimum asset coverage ratio applicable to the Fund from 200% to 150%, which took effect on September 27, 2018. This reduction in the required minimum asset coverage ratio increases the amount of debt that the Fund is permitted to incur, permitting the Fund to borrow up to two dollars for investment purposes for every one dollar of investor equity.
As of September 30, 2022, and December 31, 2021, the Fund had total senior securities of $683,885,264 and $603,978,115, respectively, consisting of borrowings under the Revolving Credit Facilities, secured borrowings and the Notes, and had asset coverage ratios of 164% and 157%, respectively.
Critical Accounting Policies
Valuation of Investments
The Fund measures the value of its investments at fair value accordance with Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosure, or “ASC Topic 820,” issued by the Financial Accounting Standards Board, or “FASB.” Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.
Pursuant to the amended SEC Rule 2a-5 of the 1940 Act, the Board designated the Adviser as the Fund’s “valuation designee.” In this capacity, the Adviser is responsible, among other things, for making all fair value determinations relating to the Fund’s portfolio investments, subject to the Board’s oversight. Investments are valued at fair value as determined in good faith by our Adviser, as valuation designee, based on input of management, the audit committee and independent valuation firms that have been engaged to assist in the valuation of each portfolio investment without a readily available market quotation under a valuation policy. The Adviser principally carries out its fair value responsibilities through its Valuation Sub-Committee. This valuation process is conducted at the end of each fiscal quarter.
The audit committee of the Board (the “Audit Committee”) is also responsible for assisting the Adviser, as valuation designee in valuing investments that are not publicly traded or for which current market values are not readily available. Investments for which market quotations are readily available are valued using market quotations, which are generally obtained from independent pricing services, broker-dealers or market makers. With respect to portfolio investments for which market quotations are not readily available, the Adviser, as valuation designee, and its senior investment team and independent valuation firms, is responsible for determining in good faith the fair value in accordance with the valuation policy approved by the Board. If more than one valuation method is used to measure fair value, the results are evaluated and weighted, as appropriate, considering the reasonableness of the range indicated by those results. The Fund considers a range of fair values based upon the valuation techniques utilized and selects the value within that range that was most representative of fair value based on current market conditions as well as other factors the Adviser’s senior investment team considers relevant.
ASC Topic 820 specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. ASC Topic 820 also provides guidance regarding a fair value hierarchy, which prioritizes information used to measure fair value and the effect of fair value measurements on earnings and provides for enhanced disclosures determined by the level within the hierarchy of information used in the valuation. In accordance with ASC Topic 820, these inputs are summarized in the three levels listed below:
| • | Level 1 – Quoted prices in active markets for identical investments. |
| • | Level 2 – Other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.). |
| • | Level 3 – Significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments at the reporting date). |
The level in the fair value hierarchy within which the fair value measurement is categorized in its entirety is determined on the basis of the lowest level input that is significant to the fair value measurement in its entirety. For this purpose, the significance of an input is assessed against the fair value measurement in its entirety. If a fair value measurement uses observable inputs that require significant adjustment based on unobservable inputs, that measurement is a Level 3 measurement. If a fair value measurement uses price data vendors or observable market price quotations, that measurement is a Level 2 measurement. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgment, considering factors specific to the asset or liability.
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The determination of what constitutes “observable” requires significant judgment by the Fund. The Fund considers observable data to be that market data that is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market.
Because of the inherent uncertainty of valuation for all fair value investments and interests, the Board’s determination of fair value may differ from the values that would have been used had a ready market existed, or that could have been (or will be) realized in an actual sale, and such differences could be material.
The value of any investment on any valuation date is intended to represent the fair value of such investment on such date based upon the amount at which the investment could be exchanged between willing parties, other than in a forced liquidation sale, and reflects the Board’s determination of fair value using the methodology described herein. Any valuation of an investment may not reflect the actual amount received by the Fund upon the liquidation of such investment.
The Fund’s investments will be primarily loans made to middle-market companies. These investments are mostly considered Level 3 assets under ASC Topic 820 because there is not usually a known or accessible market or market indices for these types of debt instruments and, thus, the Adviser’s senior investment team must estimate the fair value of these investment securities based on models utilizing unobservable inputs.
Management and Incentive Fees
The Fund will accrue for the base management fee and incentive fee. The accrual for the incentive fee includes the recognition of the incentive fee on unrealized capital gains, even though such incentive fee is neither earned nor payable to the Adviser until the gains are both realized and in excess of unrealized depreciation on investments. The amount of capital gains incentive fee expense related to the hypothetical liquidation of the portfolio (and assuming no other changes in realized or unrealized gains and losses) would only become payable to the Adviser in the event of a complete liquidation of the Fund’s portfolio as of period end and the termination of the Amended and Restated Advisory Agreement on such date. Also, it should be noted that the capital gains incentive fee expense fluctuates with the Fund’s overall investment results.
Federal Income Taxes
The Fund has elected to be treated, and to qualify annually, as a RIC under Subchapter M of the Code. Generally, a RIC is not subject to federal income taxes on distributed income and gains if it distributes at least 90% of its net ordinary income and net short-term capital gains in excess of its net long-term capital losses, if any, to its stockholders. The Fund intends to distribute sufficient dividends to maintain its RIC status each year and the Fund does not anticipate paying any material federal income taxes in the future.
| Item 3. | Quantitative and Qualitative Disclosures About Market Risk |
The Fund is subject to financial market risks, including changes in interest rates. To the extent that the Fund borrows money to make investments, the Fund’s net investment income is dependent upon the difference between the rate at which the Fund borrows funds and the rate at which the Fund invests these funds. In periods of rising interest rates, the Fund’s cost of funds would increase, which may reduce the Fund’s net investment income. Because the Fund expects that most of its investments will bear interest at floating rates, the Fund anticipates that an increase in interest rates would have a corresponding increase in the Fund’s interest income that would likely offset any increase in the Fund’s cost of funds and, thus, net investment income would not be reduced. However, there can be no assurance that a significant change in market interest rates will not have an adverse effect on the Fund’s net investment income. In addition, U.S. and global capital markets and credit markets have experienced a higher level of stress due to the global COVID-19 pandemic, which has resulted in an increase in the level of volatility across such markets and a general decline in the value of the securities held by the Fund.
The Fund will generally invest in illiquid loans and securities including debt and equity securities of middle-market companies. Because the Fund expects that there will not be a readily available market for many of the investments in the Fund’s portfolio, the Fund expects to value many of its portfolio investments at fair value as determined in good faith by the Board using a documented valuation policy and a consistently applied valuation process. Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of the Fund’s investments may differ significantly from the values that would have been used had a readily available market value existed for such investments, and the differences could be material.
In connection with the COVID-19 pandemic, the U.S. Federal Reserve and other central banks have reduced certain interest rates and LIBOR has decreased. A prolonged reduction in interest rates will reduce the Fund’s gross investment income and could result in a decrease in the Fund’s net investment income if such decreases in LIBOR are not offset by a corresponding increase in the spread over LIBOR that the Fund earns on any portfolio investments, a decrease in the Fund’s operating expenses, including with respect to the Fund’s income incentive fee, or a decrease in the interest rate of the Fund’s floating interest rate liabilities tied to LIBOR.
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Assuming that the consolidated statement of assets and liabilities as of September 30, 2022, were to remain constant and that the Fund took no actions to alter its existing interest rate sensitivity, the following table shows the annualized impact of hypothetical base rate changes in interest rates.
| Change in Interest Rates |
Increase (Decrease) in Interest Income |
Increase (Decrease) in Interest Expense |
Net Increase (Decrease) in Net Investment Income |
|||||||||
| Down 25 basis points |
$ | (2,688,403 | ) | $ | (1,624,375 | ) | $ | (1,064,028 | ) | |||
| Up 100 basis points |
10,753,611 | 6,497,500 | 4,256,111 | |||||||||
| Up 200 basis points |
21,507,222 | 12,995,000 | 8,512,222 | |||||||||
| Up 300 basis points |
32,260,833 | 19,492,500 | 12,768,333 | |||||||||
In addition, although the Fund does not currently intend to make investments that are denominated in a foreign currency, to the extent it does, the Fund will be subject to risks associated with changes in currency exchange rates. These risks include the possibility of significant fluctuations in the foreign currency markets, the imposition or modification of foreign exchange controls and potential illiquidity in the secondary market. These risks will vary depending upon the currency or currencies involved.
The Fund may hedge against interest rate and currency exchange rate fluctuations by using standard hedging instruments such as futures, options and forward contracts subject to the requirements of the 1940 Act. While hedging activities may insulate the Fund against adverse changes in interest rates, they may also limit the Fund’s ability to participate in benefits of lower interest rates with respect to the Fund’s portfolio of investments with fixed interest rates.
| Item 4. | Controls and Procedures |
As of the end of the period covered by this report, the Fund carried out an evaluation, under the supervision and with the participation of the Fund’s management, including the Fund’s Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the Fund’s disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) under the Exchange Act). Based on that evaluation, the Fund’s Chief Executive Officer and Chief Financial Officer have concluded that the Fund’s current disclosure controls and procedures are effective in timely alerting them to material information relating to the Fund that is required to be disclosed by the Fund in the reports it files or submits under the Exchange Act.
There have been no changes in the Fund’s internal control over financial reporting that occurred during the Fund’s most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Fund’s internal control over financial reporting.
PART II. OTHER INFORMATION
| Item 1. | Legal Proceedings |
The Fund is not currently subject to any material legal proceedings, nor, to the Fund’s knowledge, is any material legal proceeding threatened against the Fund. From time to time, the Fund may be a party to certain legal proceedings in the ordinary course of business, including proceedings relating to the enforcement of the Fund’s rights under contracts with its portfolio companies. The Fund’s business is also subject to extensive regulation, which may result in regulatory proceedings against the Fund. While the outcome of these legal proceedings cannot be predicted with certainty, the Fund does not expect that these proceedings will have a material effect upon its financial condition or results of operations.
| Item 1A. | Risk Factors |
In addition to the other information set forth in this report, you should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in the Fund’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021, which could materially affect the Fund’s business, financial condition and/or operating results. The risks described in the Fund’s Annual Report on Form 10-K are not the only risks the Fund faces. Additional risks and uncertainties that are not currently known to the Fund or that the Fund currently deems to be immaterial also may materially adversely affect the Fund’s business, financial condition and/or operating results. During the nine months ended September 30, 2022, there have been no material changes from the risk factors set forth in the Fund’s Annual Report on Form 10-K for the year ended December 31, 2021, except for the following.
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The Small Business Credit Availability Act allows the Fund to incur additional leverage, which may increase the risk of investing with the Fund.
On March 23, 2018, the SBCAA was signed into law. The SBCAA, among other things, modifies the applicable provisions of the 1940 Act to reduce the required asset coverage ratio applicable to BDCs from 200% to 150% subject to certain approval, time and disclosure requirements (including either stockholder approval or approval of a majority of the directors who are not interested persons of the BDC and who have no financial interest in the proposal). On July 5, 2018, the Board voted to approve the adoption of the reduced asset coverage ratio and separately recommended that Investors approve the reduced asset coverage requirements at the 2018 annual meeting of stockholders. On September 26, 2018, the Fund’s stockholders voted to approve the adoption of the reduced asset coverage ratio, effective September 27, 2018.
Increased leverage could increase the risks associated with investing in the Fund. For example, if the value of the Fund’s assets decreases, although the asset base and expected revenues would be larger because increased leverage would permit the Fund to acquire additional assets, leverage will cause the Fund’s net asset value to decline more sharply than it otherwise would have without leverage or with lower leverage. Similarly, any decrease in the Fund’s revenue would cause its net income to decline more sharply, on a relative basis, than it would have if the Fund had not borrowed or had borrowed less (although, as noted above, the Fund’s asset base and expected revenues would likely be larger). However, since the Fund already uses leverage in optimizing its investment portfolio, there are no material new risks associated with increased leverage other than the amount of the leverage.
If the Fund’s asset coverage ratio falls below the required limit, the Fund will not be able to incur additional debt until it is able to comply with the asset coverage ratio. This could have a material adverse effect on the Fund’s operations, and the Fund may not be able to make distributions to stockholders. The actual amount of leverage that the Fund employs will depend on the Board’s and the Adviser’s assessment of market and other factors at the time of any proposed borrowing. The Fund currently anticipates being able to obtain sufficient credit on acceptable terms, although the Fund can make no assurance that this will be the case or that it will remain such in the future.
The following table illustrates the effect of leverage on returns from an investment in the Shares assuming that the Fund employs leverage such that the Fund’s asset coverage equals (1) the Fund’s actual asset coverage as of September 30, 2022, and (2) 150%, each at various annual returns, net of expenses and as of September 30, 2022.
The calculations in the tables below are hypothetical, and are provided for illustrative purposes only. Actual returns may be higher or lower than those appearing below.
| Assumed Return on the Fund’s Portfolio (net of expenses) |
(10.00 | )% | (5.00 | )% | 0.00 | % | 5.00 | % | 10.00 | % | ||||||||||
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| Corresponding net return to holders of common stock assuming actual asset coverage as of September 30, 2022(1) |
(34.8 | )% | (21.8 | )% | (8.8 | )% | 4.3 | % | 17.3 | % | ||||||||||
| Corresponding net return to holders of common stock assuming 150% asset coverage(2) |
(40.9 | )% | (25.9 | )% | (10.9 | )% | 4.1 | % | 19.1 | % | ||||||||||
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| (1) | Assumes $1,142.0 million in total portfolio assets, $704.1 million in debt outstanding, $437.9 million in net assets, and an average cost of funds of 5.45%. Actual interest payments may be different. |
| (2) | Assumes $1,142.0 million in total portfolio assets, $761.3 million in debt outstanding, $380.7 million in net assets, and an average cost of funds of 5.45%. Actual interest payments may be different. |
| Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds |
Except as previously reported by the Fund on its current reports on Form 8-K, the Fund did not sell any securities during the period covered by this Quarterly Report that were not registered under the Securities Act.
| Item 3. | Defaults Upon Senior Securities |
None.
| Item 4. | Mine Safety Disclosure |
Not applicable.
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| Item 5. | Other Information |
None.
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| Item 6. | Exhibits |
The following exhibits are filed as part of this report or hereby incorporated by reference to exhibits previously filed with the SEC:
| * | Filed herewith |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| AB PRIVATE CREDIT INVESTORS CORPORATION | ||||
| Date: November 15, 2022 |
By: |
/s/ J. Brent Humphries | ||
| J. Brent Humphries | ||||
| President and Chief Executive Officer | ||||
| (Principal Executive Officer) | ||||
| Date: November 15, 2022 |
By: |
/s/ Wesley Raper | ||
| Wesley Raper | ||||
| Chief Financial Officer and Treasurer | ||||
| (Principal Financial and Accounting Officer) | ||||