Fair Value Measurement (Tables)
|
9 Months Ended |
Sep. 30, 2025 |
|---|
| Fair Value Disclosures [Abstract] |
|
| Summary of Ranges of Significant Unobservable Inputs Used to Value Level 3 Assets |
The tables below present the ranges of significant unobservable inputs used to value the Company’s Level 3 assets as of September 30, 2025 and December 31, 2024.
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 3 Instruments |
|
Fair Value(1)(2) |
|
|
Valuation Techniques(3) |
|
Significant Unobservable Inputs |
|
Range(4) of Significant Unobservable Inputs |
|
Weighted Average(5) |
As of September 30, 2025 |
|
|
|
|
|
|
|
|
|
|
|
Bank Loans, Corporate Debt, and Other Debt Obligations |
1st Lien/Senior Secured Debt |
$ |
|
214,987 |
|
|
Discounted cash flows |
|
Discount Rate |
|
8.6% - 17.0% |
|
10.1% |
1st Lien/Last-Out Unitranche |
$ |
|
77,644 |
|
|
Discounted cash flows |
|
Discount Rate |
|
9.6% - 11.5% |
|
10.5% |
|
$ |
|
7,775 |
|
|
Comparable multiples |
|
EV/EBITDA(6) |
|
— |
|
8.9x |
2nd Lien/Senior Secured Debt |
$ |
|
12,306 |
|
|
Discounted cash flows |
|
Discount Rate |
|
16.9% - 23.5% |
|
21.3% |
|
$ |
|
12,207 |
|
|
Comparable multiples |
|
EV/EBITDA(6) |
|
— |
|
8.7x |
Equity |
Preferred Stock |
$ |
|
5,737 |
|
|
Discounted cash flows |
|
Discount Rate |
|
— |
|
19.7% |
Common Stock |
$ |
|
3,354 |
|
|
Discounted cash flows |
|
Discount Rate |
|
— |
|
28.5% |
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31, 2024 |
|
|
|
|
|
|
|
|
|
|
|
Bank Loans, Corporate Debt, and Other Debt Obligations |
1st Lien/Senior Secured Debt |
$ |
|
196,725 |
|
|
Discounted cash flows |
|
Discount Rate |
|
8.3% - 30.1% |
|
11.0% |
|
$ |
|
15,152 |
|
|
Collateral analysis |
|
Recovery Rate |
|
17.5% - 100.0% |
|
98.6% |
|
$ |
|
38,096 |
|
|
Comparable multiples |
|
EV/Revenue |
|
1.0x - 2.5x |
|
1.8x |
1st Lien/Last-Out Unitranche |
$ |
|
65,492 |
|
|
Discounted cash flows |
|
Discount Rate |
|
— |
|
13.6% |
2nd Lien/Senior Secured Debt |
$ |
|
11,119 |
|
|
Discounted cash flows |
|
Discount Rate |
|
13.2% - 20.1% |
|
17.8% |
|
$ |
|
5,815 |
|
|
Comparable multiples |
|
EV/EBITDA(6) |
|
— |
|
8.5x |
Equity |
Common Stock |
$ |
|
3,354 |
|
|
Discounted cash flows |
|
Discount Rate |
|
— |
|
29.0% |
(1)As of September 30, 2025, the income approach was used in the determination of fair value for $304,937 or 93.9% of Level 3 bank loans, corporate debt, and other debt obligations. (2)As of December 31, 2024, included within Level 3 assets of $582,495 is an amount of $246,742 for which the Investment Adviser did not develop the unobservable inputs (examples include single source broker quotations, third party pricing, and prior transactions). The income approach was used in the determination of fair value for $273,336 or 47.2% of Level 3 bank loans, corporate debt, and other debt obligations. (3)The fair value of any one instrument may be determined using multiple valuation techniques. For example, market comparable and discounted cash flows may be used together to determine fair value. Therefore, the Level 3 balance encompasses both of these techniques. (4)The range for an asset category consisting of a single investment, if any, is not meaningful and therefore has been excluded. (5)Weighted average for an asset category consisting of multiple investments is calculated by weighting the significant unobservable input by the relative fair value of the investment. Weighted average for an asset category consisting of a single investment represents the significant unobservable input used in the fair value of the investment. (6)Enterprise value of portfolio company as a multiple of earnings before interest, taxes, depreciation and amortization (“EBITDA”).
|
| Summary of Assets Categorized Within Fair Value Hierarchy |
The following is a summary of the Company’s assets categorized within the fair value hierarchy:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30, 2025 |
|
|
December 31, 2024 |
|
Assets |
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
1st Lien/Senior Secured Debt |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
214,987 |
|
|
$ |
214,987 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
419,988 |
|
|
$ |
419,988 |
|
1st Lien/Last-Out Unitranche |
|
|
— |
|
|
|
— |
|
|
|
85,419 |
|
|
|
85,419 |
|
|
|
— |
|
|
|
— |
|
|
|
142,219 |
|
|
|
142,219 |
|
2nd Lien/Senior Secured Debt |
|
|
— |
|
|
|
— |
|
|
|
24,513 |
|
|
|
24,513 |
|
|
|
— |
|
|
|
— |
|
|
|
16,934 |
|
|
|
16,934 |
|
Unsecured Debt |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Preferred Stock |
|
|
— |
|
|
|
— |
|
|
|
5,737 |
|
|
|
5,737 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Common Stock |
|
|
— |
|
|
|
— |
|
|
|
3,354 |
|
|
|
3,354 |
|
|
|
— |
|
|
|
— |
|
|
|
3,354 |
|
|
|
3,354 |
|
Warrants |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Affiliated Money Market Fund |
|
|
127,595 |
|
|
|
— |
|
|
|
— |
|
|
|
127,595 |
|
|
|
288 |
|
|
|
— |
|
|
|
— |
|
|
|
288 |
|
Total assets |
|
$ |
127,595 |
|
|
$ |
— |
|
|
$ |
334,010 |
|
|
$ |
461,605 |
|
|
$ |
288 |
|
|
$ |
— |
|
|
$ |
582,495 |
|
|
$ |
582,783 |
|
|
| Summary of Changes in Fair Value of Level 3 Assets by Investment Type |
The table below presents a summary of changes in fair value of Level 3 assets by investment type:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beginning
Balance |
|
Purchases(1) |
|
Net
Realized
Gain
(Loss) |
|
Net Change
in
Unrealized
Appreciation
(Depreciation) |
|
Sales and
Settlements(1) |
|
Net
Amortization
of Premium/
Discount |
|
Transfers
In(2) |
|
Transfers
Out(2) |
|
Ending
Balance |
|
Net Change
in
Unrealized
Appreciation
(Depreciation)
for assets
still held |
|
For the Nine Months Ended September 30, 2025 |
|
|
|
|
|
|
|
|
|
|
|
|
|
1st Lien/Senior Secured Debt |
$ |
419,988 |
|
$ |
34,660 |
|
$ |
(59,274 |
) |
$ |
53,809 |
|
$ |
(236,472 |
) |
$ |
2,276 |
|
$ |
— |
|
$ |
— |
|
$ |
214,987 |
|
$ |
(994 |
) |
1st Lien/Last-Out Unitranche |
|
142,219 |
|
|
10,358 |
|
|
— |
|
|
256 |
|
|
(68,088 |
) |
|
674 |
|
|
— |
|
|
— |
|
|
85,419 |
|
|
(1,642 |
) |
2nd Lien/Senior Secured Debt |
|
16,934 |
|
|
1,139 |
|
|
— |
|
|
6,517 |
|
|
— |
|
|
(77 |
) |
|
— |
|
|
— |
|
|
24,513 |
|
|
6,516 |
|
Unsecured Debt |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Preferred Stock |
|
— |
|
|
5,738 |
|
|
— |
|
|
(1 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
5,737 |
|
|
(2 |
) |
Common Stock |
|
3,354 |
|
|
4,055 |
|
|
(1,232 |
) |
|
(2,823 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
3,354 |
|
|
(4,055 |
) |
Warrants |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Total assets |
$ |
582,495 |
|
$ |
55,950 |
|
$ |
(60,506 |
) |
$ |
57,758 |
|
$ |
(304,560 |
) |
$ |
2,873 |
|
$ |
— |
|
$ |
— |
|
$ |
334,010 |
|
$ |
(177 |
) |
For the Nine Months Ended September 30, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
1st Lien/Senior Secured Debt |
$ |
303,646 |
|
$ |
11,341 |
|
$ |
(1,968 |
) |
$ |
(42,253 |
) |
$ |
(119,096 |
) |
$ |
1,197 |
|
$ |
— |
|
$ |
— |
|
$ |
152,867 |
|
$ |
(43,783 |
) |
1st Lien/Last-Out Unitranche |
|
64,838 |
|
|
— |
|
|
— |
|
|
418 |
|
|
(107 |
) |
|
225 |
|
|
— |
|
|
— |
|
|
65,374 |
|
|
418 |
|
2nd Lien/Senior Secured Debt |
|
52,753 |
|
|
2,239 |
|
|
— |
|
|
3,054 |
|
|
(44,872 |
) |
|
525 |
|
|
— |
|
|
— |
|
|
13,699 |
|
|
3,334 |
|
Unsecured Debt |
|
19,344 |
|
|
1,262 |
|
|
— |
|
|
(11,529 |
) |
|
(8,872 |
) |
|
(205 |
) |
|
— |
|
|
— |
|
|
— |
|
|
(13,877 |
) |
Preferred Stock |
|
3,086 |
|
|
— |
|
|
2,158 |
|
|
(1,590 |
) |
|
(3,654 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Common Stock |
|
5,880 |
|
|
— |
|
|
605 |
|
|
(626 |
) |
|
(2,505 |
) |
|
— |
|
|
— |
|
|
— |
|
|
3,354 |
|
|
— |
|
Warrants |
|
80 |
|
|
— |
|
|
(98 |
) |
|
24 |
|
|
(6 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Total assets |
$ |
449,627 |
|
$ |
14,842 |
|
$ |
697 |
|
$ |
(52,502 |
) |
$ |
(179,112 |
) |
$ |
1,742 |
|
$ |
— |
|
$ |
— |
|
$ |
235,294 |
|
$ |
(53,908 |
) |
(1)Purchases may include PIK, capitalized fees, securities received in corporate actions and restructurings. Sales and Settlements may include securities delivered in corporate actions and restructuring of investments. (2)Transfers in (out) of Level 3 are due to a decrease (increase) in the quantity and reliability of broker quotes obtained by the Investment Adviser.
|