v3.26.1
Debt (Tables)
 6 Months Ended
Jun. 30, 2026
Debt Instrument [Line Items]  
Summary of Interest and Fees Related to Debt

Interest and fees related to the Company’s debt for the three and six months ended June 30, 2026 and 2025 which are included in interest and financing expenses on the consolidated statements of operations, were as follows:

 

 

Three Months Ended June 30, 2026

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

Secured

 

 

 

 

 

 

 

 

 

debentures

 

 

Facility

 

 

Borrowings

 

 

Notes

 

 

Total

 

Stated interest expense

 

$

2,997

 

 

$

1,681

 

 

$

248

 

 

$

5,185

 

 

$

10,111

 

Amortization of deferred financing costs

 

 

253

 

 

 

168

 

 

 

-

 

 

 

425

 

 

 

846

 

Total interest and financing expenses

 

$

3,250

 

 

$

1,849

 

 

$

248

 

 

$

5,610

 

 

$

10,957

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended June 30, 2025

 

 

 

 

 

 

Revolving

 

 

 

 

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

Secured

 

 

 

 

 

 

 

 

 

debentures

 

 

Facility

 

 

Borrowings

 

 

Notes

 

 

Total

 

Stated interest expense

 

$

2,050

 

 

$

533

 

 

$

312

 

 

$

4,150

 

 

$

7,045

 

Amortization of deferred financing costs

 

 

201

 

 

 

99

 

 

 

-

 

 

 

424

 

 

 

724

 

Total interest and financing expenses

 

$

2,251

 

 

$

632

 

 

$

312

 

 

$

4,574

 

 

$

7,769

 

 

 

 

 

Six Months Ended June 30, 2026

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

 

 

 

SBA debentures

 

 

Credit Facility

 

 

Secured Borrowings

 

 

Notes

 

 

Total

 

Stated interest expense

 

$

5,663

 

 

$

3,309

 

 

$

507

 

 

$

9,654

 

 

$

19,133

 

Amortization of deferred financing costs

 

 

490

 

 

 

334

 

 

 

—

 

 

 

775

 

 

 

1,599

 

Total interest and financing expenses

 

$

6,153

 

 

$

3,643

 

 

$

507

 

 

$

10,429

 

 

$

20,732

 

Weighted average stated interest rate, period end

 

 

4.463

%

 

 

6.386

%

 

 

7.838

%

 

 

6.703

%

 

 

5.776

%

Effective interest rate (1)

 

 

4.824

%

 

 

6.687

%

 

 

7.838

%

 

 

7.230

%

 

 

6.194

%

Unused commitment fee rate, period end

 

N/A

 

 

 

0.500

%

 

N/A

 

 

N/A

 

 

N/A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Six Months Ended June 30, 2025

 

 

 

 

 

 

Revolving

 

 

 

 

 

 

 

 

 

 

 

 

SBA debentures

 

 

Credit Facility

 

 

Secured Borrowings

 

 

Notes

 

 

Total

 

Stated interest expense

 

$

3,991

 

 

$

1,655

 

 

$

629

 

 

$

6,953

 

 

$

13,228

 

Amortization of deferred financing costs

 

 

396

 

 

 

197

 

 

 

—

 

 

 

721

 

 

 

1,314

 

Total interest and financing expenses

 

$

4,387

 

 

$

1,852

 

 

$

629

 

 

$

7,674

 

 

$

14,542

 

Weighted average stated interest rate, period end

 

 

4.408

%

 

N/A

 

 

 

8.491

%

 

 

4.885

%

 

 

4.795

%

Effective interest rate (1)

 

 

4.825

%

 

N/A

 

 

 

8.491

%

 

 

5.386

%

 

 

5.264

%

Unused commitment fee rate, period end

 

N/A

 

 

 

1.261

%

 

N/A

 

 

N/A

 

 

N/A

 

(1) The effective interest rate is equal to the weighted average stated interest rate plus the amortization of deferred financing costs.
Summary of Deferred Financing Costs Amortized into Interest and Financing Expenses

Deferred financing costs are amortized into interest and financing expenses on the consolidated statements of operations, using the effective interest method, over the term of the respective financing instrument. Deferred financing costs related to the SBA debentures, the SPV Credit Facility, and the Notes as of June 30, 2026 and December 31, 2025 were as follows:

 

 

 

June 30, 2026

 

 

December 31, 2025

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

 

 

 

 

 

 

 

debentures

 

 

Facility

 

 

Notes

 

 

Total

 

 

debentures

 

 

Facility

 

 

Notes

 

 

Total

 

SBA debenture commitment fees

 

$

3,500

 

 

$

—

 

 

$

—

 

 

$

3,500

 

 

$

3,500

 

 

$

—

 

 

$

—

 

 

$

3,500

 

SBA debenture leverage fees

 

 

8,071

 

 

 

—

 

 

 

—

 

 

 

8,071

 

 

 

6,477

 

 

 

—

 

 

 

—

 

 

 

6,477

 

SPV Credit Facility upfront fees

 

 

—

 

 

 

3,349

 

 

 

—

 

 

 

3,349

 

 

 

—

 

 

 

3,342

 

 

 

—

 

 

 

3,342

 

Notes underwriting discounts

 

 

—

 

 

 

—

 

 

 

5,660

 

 

 

5,660

 

 

 

—

 

 

 

—

 

 

 

8,505

 

 

 

8,505

 

Notes debt issuance costs

 

 

—

 

 

 

—

 

 

 

945

 

 

 

945

 

 

 

—

 

 

 

—

 

 

 

1,361

 

 

 

1,361

 

Total deferred financing costs

 

 

11,571

 

 

 

3,349

 

 

 

6,605

 

 

 

21,525

 

 

 

9,977

 

 

 

3,342

 

 

 

9,866

 

 

 

23,185

 

Less: accumulated amortization

 

 

(3,641

)

 

 

(454

)

 

 

(1,038

)

 

 

(5,133

)

 

 

(3,034

)

 

 

(119

)

 

 

(5,757

)

 

 

(8,910

)

Unamortized deferred financing costs

 

$

7,930

 

 

$

2,895

 

 

$

5,567

 

 

$

16,392

 

 

$

6,943

 

 

$

3,223

 

 

$

4,109

 

 

$

14,275

 
Summary of Outstanding Debt Net of Unamortized Deferred Financing Costs The following table summarizes the outstanding debt net of unamortized deferred financing costs as of June 30, 2026 and December 31, 2025:

 

 

 

June 30, 2026(1)

 

 

December 31, 2025(1)

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

 

 

 

 

 

 

 

debentures

 

 

Facility

 

 

Notes

 

 

Total

 

 

debentures

 

 

Facility

 

 

Notes

 

 

Total

 

Outstanding debt

 

$

296,000

 

 

$

112,650

 

 

$

320,000

 

 

$

728,650

 

 

$

237,500

 

 

$

83,850

 

 

$

325,000

 

 

$

646,350

 

Less: unamortized deferred financing costs

 

 

(7,930

)

 

 

(2,895

)

 

 

(5,567

)

 

 

(16,392

)

 

 

(6,943

)

 

 

(3,223

)

 

 

(4,109

)

 

 

(14,275

)

Debt, net of deferred financing costs

 

$

288,070

 

 

$

109,755

 

 

$

314,433

 

 

$

712,258

 

 

$

230,557

 

 

$

80,627

 

 

$

320,891

 

 

$

632,075

 
(1)
Total excludes $11,149 and $12,000 of Secured Borrowings as of June 30, 2026 and December 31, 2025, respectively.
Scheduled to Mature Debt Liabilities

As of June 30, 2026, the Company’s debt liabilities are scheduled to mature as follows (1):

 

 

 

 

 

 

SPV

 

 

 

 

 

 

 

 

 

 

 

 

SBA

 

 

Credit

 

 

Secured

 

 

 

 

 

 

 

Year

 

Debentures

 

 

Facility (2)

 

 

Borrowings

 

 

Notes

 

 

Total

 

2026

 

$

—

 

 

$

—

 

 

$

9,443

 

 

$

—

 

 

$

9,443

 

2027

 

 

—

 

 

 

—

 

 

 

1,696

 

 

 

—

 

 

 

1,696

 

2028

 

 

—

 

 

 

—

 

 

 

5

 

 

 

—

 

 

 

5

 

2029

 

 

7,500

 

 

 

—

 

 

 

5

 

 

 

120,000

 

 

 

127,505

 

2030

 

 

6,000

 

 

 

112,650

 

 

 

—

 

 

 

200,000

 

 

 

318,650

 

2031

 

 

11,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,500

 

Thereafter

 

 

271,000

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

271,000

 

Total

 

$

296,000

 

 

$

112,650

 

 

$

11,149

 

 

$

320,000

 

 

$

739,799

 

 

(1)

The table above presents scheduled maturities of the Company’s outstanding debt liabilities as of a point in time pursuant to the terms of those instruments. The timing of actual repayments of outstanding debt liabilities may not ultimately correspond with the scheduled maturity dates depending on the terms of the underlying instruments and the potential for earlier prepayments.

(2)

The SPV Credit Facility matures on October 16, 2030.

SBA Debentures  
Debt Instrument [Line Items]  
Summary of Issued and Outstanding SBA Debentures

As of June 30, 2026 and December 31, 2025, the Company’s issued and outstanding SBA debentures mature as follows:

 

Pooling

 

Maturity

 

Fixed

 

 

June 30,

 

 

December 31,

 

Date (1)

 

Date

 

Interest Rate

 

 

2026

 

 

2025

 

9/25/2019

 

9/1/2029

 

 

2.377

 

 %

$

7,500

 

 

$

7,500

 

3/25/2020

 

3/1/2030

 

 

2.172

 

 

 

6,000

 

 

 

6,000

 

9/22/2021

 

9/1/2031

 

 

1.398

 

 

 

11,500

 

 

 

11,500

 

3/23/2022

 

3/1/2032

 

 

3.209

 

 

 

43,000

 

 

 

43,000

 

9/21/2022

 

9/1/2032

 

 

4.533

 

 

 

17,500

 

 

 

17,500

 

3/22/2023

 

3/1/2033

 

 

5.439

 

 

 

4,000

 

 

 

4,000

 

3/22/2023

 

3/1/2033

 

 

5.341

 

 

 

3,000

 

 

 

3,000

 

3/22/2023

 

3/1/2033

 

 

5.341

 

 

 

3,000

 

 

 

3,000

 

3/22/2023

 

3/1/2033

 

 

5.439

 

 

 

—

 

 

 

5,000

 

3/22/2023

 

3/1/2033

 

 

5.439

 

 

 

5,000

 

 

 

5,000

 

3/22/2023

 

3/1/2033

 

 

5.341

 

 

 

7,000

 

 

 

7,000

 

3/22/2023

 

3/1/2033

 

 

5.341

 

 

 

4,000

 

 

 

4,000

 

9/20/2023

 

9/1/2033

 

 

5.861

 

 

 

3,000

 

 

 

5,000

 

9/20/2023

 

9/1/2033

 

 

5.735

 

 

 

3,000

 

 

 

3,000

 

3/20/2024

 

3/1/2034

 

 

5.082

 

 

 

3,000

 

 

 

3,000

 

3/20/2024

 

3/1/2034

 

 

5.082

 

 

 

12,000

 

 

 

12,000

 

3/20/2024

 

3/1/2034

 

 

5.082

 

 

 

2,000

 

 

 

2,000

 

3/20/2024

 

3/1/2034

 

 

5.082

 

 

 

2,000

 

 

 

2,000

 

3/20/2024

 

3/1/2034

 

 

5.082

 

 

 

3,000

 

 

 

3,000

 

3/26/2025

 

3/1/2035

 

 

5.310

 

 

 

19,500

 

 

 

19,500

 

9/25/2025

 

9/1/2035

 

 

4.879

 

 

 

10,000

 

 

 

10,000

 

9/25/2025

 

9/1/2035

 

 

4.879

 

 

 

10,000

 

 

 

10,000

 

3/25/2026 (²)

 

3/1/2036

 

 

4.973

 

 

 

5,000

 

 

 

5,000

 

3/25/2026 (²)

 

3/1/2036

 

 

4.973

 

 

 

3,500

 

 

 

3,500

 

3/25/2026 (³)

 

3/1/2036

 

 

4.973

 

 

 

13,000

 

 

 

13,000

 

3/25/2026 (⁴)

 

3/1/2036

 

 

4.973

 

 

 

30,000

 

 

 

30,000

 

3/25/2026

 

3/1/2036

 

 

4.973

 

 

 

30,000

 

 

 

—

 

(5)

 

(5)

 

(5)

 

 

 

3,000

 

 

 

—

 

(5)

 

(5)

 

(5)

 

 

 

16,000

 

 

 

—

 

(5)

 

(5)

 

(5)

 

 

 

16,500

 

 

 

—

 

Total outstanding SBA debentures

 

 

 

 

 

 

$

296,000

 

 

$

237,500

 

 

(1)

The SBA has quarterly scheduled pooling dates for debentures (in each of March, June, September, and December). Certain debentures funded during the reporting periods may not be pooled until the subsequent pooling date.

(2)

 

(3)

 

(4)

 

(5)

The Company issued SBA debentures which did not pool until March 2026. Prior to the pooling date, the debentures bore interest at a fixed interim interest rate of 4.74%.

The Company issued SBA debentures which did not pool until March 2026. Prior to the pooling date, the debentures bore interest at a fixed interim interest rate of 4.73%.

The Company issued SBA debentures which did not pool until March 2026. Prior to the pooling date, the debentures bore interest at a fixed interim interest rate of 4.55%.

The Company issued SBA debentures which will pool in September 2026. Until the pooling date, the debentures bear interest at fixed interim interest rates ranging from 4.59% to 4.67%.

Notes: The term “Notes” refers to collectively to the January 2026 Notes, the November 2026 Notes, the March 2030 Notes, and the June 2029 Notes. The Notes are the Company’s direct unsecured obligations, rank pari passu with the Company’s other outstanding and future unsecured unsubordinated indebtedness and are effectively or structurally subordinated to all of the Company’s existing and future secured indebtedness, including borrowings under the SPV Credit Facility and the SBA debentures.

On December 23, 2020, the Company closed the offering of $125,000 in aggregate principal amount of its 4.75% notes due 2026 (the “January 2026 Notes”). The total net proceeds to the Company from the January 2026 Notes, based on a public offering price of 100.00% of par, after deducting underwriting discounts of $2,500 and offering expenses of $366, were $122,134. The maturity date of the January 2026 Notes was January 31, 2026 and the January 2026 Notes bore interest at a rate of 4.75%. On May 21, 2025, the Company redeemed $25,000 of the $125,000 aggregate principal amount on the January 2026 Notes, resulting in a

realized loss on extinguishment of debt of $75. On November 3, 2025, the Company fully redeemed the remaining $100,000 in aggregate principal amount of the January 2026 Notes, resulting in a realized loss on extinguishment of debt of $112.

On October 8, 2021, the Company closed the offering of $125,000 in aggregate principal amount of its 3.50% notes due 2026 (the “November 2026 Notes”). The total net proceeds to the Company from the November 2026 Notes, based on a public offering price of 99.996% of par, after deducting underwriting discounts of $2,500 and offering expenses of $318, were $122,177. The maturity date of the November 2026 Notes was November 15, 2026 and the November 2026 Notes bore interest at a rate of 3.50%. On June 29, 2026, the Company fully redeemed the $125,000 in aggregate principal amount of the November 2026 Notes, resulting in a realized loss on extinguishment of debt of $194.

On March 19, 2025, the Company closed the offering of $100,000 in aggregate principal amount of its 6.75% notes due 2030 (the “Existing March 2030 Notes”). The total net proceeds to the Company from the Existing March 2030 Notes, based on a public offering price of 99.29954% of par, after deducting underwriting discounts of $2,000 and offering expenses of $354, were $96,946. On October 3, 2025, the Company issued an additional $100,000 in aggregate principal amount of the 6.75% notes due 2030 (the “Additional March 2030 Notes” and together with the Existing March 2030 Notes, the “March 2030 Notes”). The total net proceeds to us from the Additional March 2030 Notes, based on a public offering price of 100.705% of par, after deducting underwriting discounts of $1,500 and offering expenses of $329, was $98,876. The Additional March 2030 Notes are treated as a single series with the Existing March 2030 Notes under the indenture and have the same terms as the Initial March 2030 Notes (except the issue date, the offering price and the initial interest payment date). Upon issuance of the Additional March 2030 Notes, the outstanding aggregate principal amount of the March 2030 Notes was $200,000. The March 2030 Notes will mature on March 19, 2030 and bear interest at a rate of 6.75%. The March 2030 Notes may be redeemed in whole or in part at any time or from time to time at the Company’s option subject to a make whole provision if redeemed before September 19, 2029 (the date falling six months prior to maturity) and at par thereafter. Interest on the March 2030 Notes is payable on March 19 and September 19 of each year. The Company does not intend to list the March 2030 Notes on any securities exchange or automated dealer quotation system.

On May 29, 2026, the Company closed the private placement of $120,000 in aggregate principal amount of its 6.625% senior unsecured notes due 2029 (the “June 2029 Notes”), in reliance on Section 4(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”). The total net proceeds to the Company from the June 2029 Notes, based on an issue price of 99.45% of par, after deducting the placement agent fee of $1,500 and estimated offering expenses of $267 were approximately $117,573. The June 2029 Notes will mature on June 1, 2029 and bear interest at a rate of 6.625%. Interest on the June 2029 Notes is payable on June 1 and December 1 of each year, beginning December 1, 2026. The June 2029 Notes may be redeemed in whole or in part at any time or from time to time at the Company’s option subject to a make whole provision if redeemed before March 1, 2029 (the date falling three months prior to maturity) and at par thereafter. In connection with the issuance and sale of the June 2029 Notes, the Company entered into a registration rights agreement, dated as of May 29, 2026 (the “Registration Rights Agreement”), with the institutional purchasers (the “Purchasers”). Pursuant to the Registration Rights Agreement, the Company is obligated to file with the SEC a registration statement with respect to an offer to exchange the June 2029 Notes for a new issue of debt securities registered under the Securities Act with terms substantially identical to those of the June 2029 Notes (except for provisions relating to transfer restrictions and payment of additional interest) and to use its commercially reasonable efforts to consummate such exchange offer on the earliest practicable date after the registration statement has been declared effective but in no event later than 365 days after the initial issuance of the June 2029 Notes. If the Company fails to satisfy its registration obligations under the Registration Rights Agreement, the Company will be required to pay additional interest to the holder of the June 2029 Notes. The Company does not intend to list the June 2029 Notes on any securities exchange or automated dealer quotation system.