UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

Form 10-Q

ý			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarterly Period Ended June 30, 2020
or
¨			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from          to

Commission file number: 1-35040

MEDLEY CAPITAL CORPORATION

(Exact Name of Registrant as Specified in its Charter)

Delaware						27-4576073
(State or Other Jurisdiction of						(I.R.S. Employer
Incorporation or Organization)						Identification No.)
280 Park Avenue, 6th Floor East, New York, NY 10017						10017
(Address of Principal Executive Offices)						(Zip Code)

(212) 759-0777

(Registrant’s Telephone Number, Including Area Code)

 _____________________________________________________________________________________________________

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, par value $0.001 per share

MCC

The New York Stock Exchange

6.500% Notes due 2021

MCX

The New York Stock Exchange

6.125% Notes due 2023

MCV

The New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý No ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ¨ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ¨         Accelerated filer ý         Non-accelerated filer ¨      Smaller reporting company ¨        Emerging growth company ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Securities Exchange Act of 1934). Yes ¨ No ý

The Registrant had 2,723,711 shares of common stock, $0.001 par value, outstanding as of August 7, 2020.

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MEDLEY CAPITAL CORPORATION

TABLE OF CONTENTS

Part I. Financial Information
Item 1. Financial Statements
Consolidated Statements of Assets and Liabilities as of June 30, 2020 (unaudited) and September 30, 2019			1
Consolidated Statements of Operations for the three and nine months ended June 30, 2020 and 2019 (unaudited)			2
Consolidated Statements of Changes in Net Assets for the nine months ended June 30, 2020 and 2019 (unaudited)			4
Consolidated Statements of Cash Flows for the nine months ended June 30, 2020 and 2019 (unaudited)			6
Consolidated Schedules of Investments as of June 30, 2020 (unaudited) and September 30, 2019			7
Notes to Consolidated Financial Statements (unaudited)			19
Item 2.  Management’s Discussion and Analysis of Financial Condition and Results of Operations			1
Item 3. Quantitative and Qualitative Disclosures About Market Risk			18
Item 4. Controls and Procedures			19
Part II. Other Information
Item 1. Legal Proceedings			20
Item 1A. Risk Factors			21
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds			24
Item 3. Defaults Upon Senior Securities			24
Item 4. Mine Safety Disclosures			24
Item 5. Other Information			24
Item 6. Exhibits			72
SIGNATURES			76

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Medley Capital Corporation

Consolidated Statements of Assets and Liabilities

			June 30, 2020						September 30, 2019
			(unaudited)
ASSETS
Investments at fair value
Non-controlled/non-affiliated investments (amortized cost of $139,960,645 and $204,736,370, respectively)			$	116,696,866					$	189,895,466
Affiliated investments (amortized cost of $86,468,874 and $108,310,029, respectively)			80,256,929						99,539,605
Controlled investments (amortized cost of $117,874,821 and $154,601,177, respectively)			53,665,259						107,453,927
Total investments at fair value			250,619,054						396,888,998
Cash and cash equivalents			52,203,301						68,245,213
Restricted cash (see Note 2)			—						16,038,690
Other assets			2,041,805						2,973,731
Interest receivable			662,860						1,592,406
Receivable for dispositions and investments sold			1,302,278						419,299
Fees receivable			119,028						108,305
Total assets			$	306,948,326					$	486,266,642
LIABILITIES
Notes payable (net of debt issuance costs of $1,134,394 and $5,274,164, respectively)			$	150,732,566					$	251,731,729
Accounts payable and accrued expenses			4,375,939						11,956,755
Interest and fees payable			801,805						2,904,748
Management and incentive fees payable (see Note 6)			1,317,223						2,231,175
Administrator expenses payable (see Note 6)			265,108						861,785
Deferred revenue			29,006						103,583
Due to affiliate			30,939						44,337
Deferred tax liability			49,694						—
Total liabilities			$	157,602,280					$	269,834,112
Guarantees and Commitments (see Note 8)
NET ASSETS
Common stock, par value $0.001 per share, 5,000,000 common shares authorized, 2,723,711 and 2,723,711 common shares issued and outstanding, respectively(1)			$	2,724					$	2,724
Capital in excess of par value			673,584,468						673,584,468
Total distributable earnings/(loss)			(524,241,146)						(457,154,662)
Total net assets			149,346,046						216,432,530
Total liabilities and net assets			$	306,948,326					$	486,266,642
NET ASSET VALUE PER SHARE(1)			$	54.83					$	79.46

(1)Authorized, issued and outstanding common shares and net asset value per share have been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.

See accompanying notes to consolidated financial statements.

F-1

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Medley Capital Corporation

Consolidated Statements of Operations

			For the three months ended June 30																		For the nine months ended June 30
			2020						2019						2020						2019
			(unaudited)						(unaudited)						(unaudited)						(unaudited)
INVESTMENT INCOME
Interest from investments
Non-controlled/non-affiliated investments:
Cash			$	1,961,009					$	5,663,055					$	7,499,171					$	21,250,292
Payment-in-kind			138,018						306,022						465,339						1,484,205
Affiliated investments:
Cash			291,569						495,962						691,010						1,707,679
Payment-in-kind			487,065						668,601						2,141,327						2,284,966
Controlled investments:
Cash			—						85,759						84,505						249,217
Payment-in-kind			—						819,580						500,767						2,608,437
Total interest income			2,877,661						8,038,979						11,382,119						29,584,796
Dividend income			1,225,000						2,012,500						4,725,000						6,104,027
Interest from cash and cash equivalents			4,319						139,981						376,747						512,510
Fee income (see Note 9)			202,122						1,202,563						617,654						1,981,400
Total investment income			4,309,102						11,394,023						17,101,520						38,182,733
EXPENSES
Base management fees (see Note 6)			1,317,223						2,688,946						4,966,728						8,958,472
Incentive fees (see Note 6)			—						—						—						—
Interest and financing expenses			2,736,136						6,833,680						12,312,183						18,741,485
General and administrative			540,066						1,161,988						3,140,305						4,646,854
Administrator expenses (see Note 6)			614,535						762,428						1,742,419						2,462,204
Insurance			333,816						127,446						988,394						363,623
Directors fees			347,500						419,725						960,000						1,088,575
Professional fees, net (see Note 8)			(511,519)						3,222,912						(4,796,964)						14,580,192
Expenses before expense support reimbursement and management and incentive fee waivers			5,377,757						15,217,125						19,313,065						50,841,405
Expense support reimbursement (see Note 6)			(349,427)						—						(349,427)						—
Management fee waiver (see Note 6)			—						—						—						—
Incentive fee waiver (see Note 6)			—						—						—						—
Total expenses net of expense support reimbursement and management and incentive fee waivers			5,028,330						15,217,125						18,963,638						50,841,405
NET INVESTMENT INCOME/(LOSS)			(719,228)						(3,823,102)						(1,862,118)						(12,658,672)
REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS
Net realized gain/(loss) from investments
Non-controlled/non-affiliated investments			(532,253)						(8,962,845)						(690,167)						(24,762,224)
Affiliated investments			—						—						—						—
Controlled investments			(37,389,588)						—						(39,076,425)						(51,538,556)
Net realized gain/(loss) from investments			(37,921,841)						(8,962,845)						(39,766,592)						(76,300,780)
Net unrealized appreciation/(depreciation) on investments
Non-controlled/non-affiliated investments			7,379,695						5,159,471						(8,422,875)						25,323,391
Affiliated investments			8,137,213						(653,138)						2,558,480						(6,126,691)
Controlled investments			31,389,160						(20,155,432)						(17,062,311)						6,764,059
Net unrealized appreciation/(depreciation) on investments			46,906,068						(15,649,099)						(22,926,706)						25,960,759
Change in provision for deferred taxes on unrealized (appreciation)/depreciation on investments			35,970						—						(49,694)						—
Loss on extinguishment of debt (see Note 5)			(697,191)						(1,805,802)						(2,481,374)						(1,928,773)
Net realized and unrealized gain/(loss) on investments			8,323,006						(26,417,746)						(65,224,366)						(52,268,794)
NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS			$	7,603,778					$	(30,240,848)					$	(67,086,484)					$	(64,927,466)
WEIGHTED AVERAGE - BASIC AND DILUTED EARNINGS PER COMMON SHARE(1)			$	2.79					$	(11.10)					$	(24.63)					$	(23.84)
WEIGHTED AVERAGE - BASIC AND DILUTED NET INVESTMENT INCOME/(LOSS) PER COMMON SHARE(1)			$	(0.26)					$	(1.40)					$	(0.68)					$	(4.65)
WEIGHTED AVERAGE COMMON STOCK OUTSTANDING - BASIC AND DILUTED (SEE NOTE 11)(1)			2,723,711						2,723,711						2,723,711						2,723,711
DIVIDENDS DECLARED PER COMMON SHARE(2)			$	—					$	—					$	—					$	3.00

F-2

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(1)Basic and diluted shares has been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.

(2)Dividends declared per common share has been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.

See accompanying notes to consolidated financial statements.

F-3

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Medley Capital Corporation

Consolidated Statements of Changes in Net Assets

(unaudited)

			Common Stock																														Total Distributable Earnings/(Loss)						Total Net Assets
			Shares(1)						Par Amount						Capital in Excess of Par Value
Balance at March 31, 2019			2,723,711						$	2,724					$	698,638,520					$	(420,320,268)					$	278,320,976
OPERATIONS
Net investment income/(loss)			—						—						—						(3,823,102)						(3,823,102)
Net realized gain/(loss) from investments			—						—						—						(8,962,845)						(8,962,845)
Net unrealized appreciation/(depreciation) on investments			—						—						—						(15,649,099)						(15,649,099)
Net loss on extinguishment of debt			—						—						—						(1,805,802)						(1,805,802)
SHAREHOLDER DISTRIBUTIONS
Distributions from earnings			—						—						—						—						—
Total increase/(decrease) in net assets			—						—						—						(30,240,848)						(30,240,848)
Balance at June 30, 2019			2,723,711						$	2,724					$	698,638,520					$	(450,561,116)					$	248,080,128
Balance at March 31, 2020			2,723,711						$	2,724					$	673,584,468					$	(531,844,924)					$	141,742,268
OPERATIONS
Net investment income/(loss)			—						—						—						(719,228)						(719,228)
Net realized gain/(loss) from investments			—						—						—						(37,921,841)						(37,921,841)
Net unrealized appreciation/(depreciation) on investments			—						—						—						46,906,068						46,906,068
Change in provision for deferred taxes on unrealized (appreciation)/depreciation on investments			—						—						—						35,970						35,970
Net loss on extinguishment of debt			—						—						—						(697,191)						(697,191)
Total increase/(decrease) in net assets			—						—						—						7,603,778						7,603,778
Balance at June 30, 2020			2,723,711						$	2,724					$	673,584,468					$	(524,241,146)					$	149,346,046

 

 

(1)Shares of Common Stock have been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.

See accompanying notes to consolidated financial statements.

F-4

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Medley Capital Corporation

Consolidated Statements of Changes in Net Assets

(unaudited) (continued)

			Common Stock																														Total Distributable Earnings/(Loss)						Total Net Assets
			Shares(1)						Par Amount						Capital in Excess of Par Value
Balance at September 30, 2018			2,723,711						$	2,724					$	698,638,520					$	(377,462,517)					$	321,178,727
OPERATIONS
Net investment income/(loss)			—						—						—						(12,658,672)						(12,658,672)
Net realized gain/(loss) from investments			—						—						—						(76,300,780)						(76,300,780)
Net unrealized appreciation/(depreciation) on investments			—						—						—						25,960,759						25,960,759
Net loss on extinguishment of debt			—						—						—						(1,928,773)						(1,928,773)
SHAREHOLDER DISTRIBUTIONS
Distributions from earnings			—						—						—						(8,171,133)						(8,171,133)
Total increase/(decrease) in net assets			—						—						—						(73,098,599)						(73,098,599)
Balance at June 30, 2019			2,723,711						$	2,724					$	698,638,520					$	(450,561,116)					$	248,080,128
Balance at September 30, 2019			2,723,711						$	2,724					$	673,584,468					$	(457,154,662)					$	216,432,530
OPERATIONS
Net investment income/(loss)			—						—						—						(1,862,118)						(1,862,118)
Net realized gain/(loss) from investments			—						—						—						(39,766,592)						(39,766,592)
Net unrealized appreciation/(depreciation) on investments			—						—						—						(22,926,706)						(22,926,706)
Change in provision for deferred taxes on unrealized (appreciation)/depreciation on investments			—						—						—						(49,694)						(49,694)
Net loss on extinguishment of debt			—						—						—						(2,481,374)						(2,481,374)
Total increase/(decrease) in net assets			—						—						—						(67,086,484)						(67,086,484)
Balance at June 30, 2020			2,723,711						$	2,724					$	673,584,468					$	(524,241,146)					$	149,346,046

 

(1)Shares of Common Stock have been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.

See accompanying notes to consolidated financial statements.

F-5

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Medley Capital Corporation

Consolidated Statements of Cash Flows

			For the nine months ended June 30
			2020						2019
			(unaudited)						(unaudited)
Cash flows from operating activities
NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS			$	(67,086,484)					$	(64,927,466)
ADJUSTMENTS TO RECONCILE NET INCREASE/(DECREASE) IN NET ASSETS FROM OPERATIONS TO NET CASH PROVIDED/(USED) BY OPERATING ACTIVITIES:
Investment increases due to payment-in-kind interest			(3,539,584)						(7,510,243)
Net amortization of premium/(discount) on investments			(91,980)						(254,750)
Amortization of debt issuance costs			2,642,386						1,989,860
Net realized (gain)/loss from investments			39,766,592						76,300,780
Net deferred income taxes			49,694						—
Net unrealized (appreciation)/depreciation on investments			22,926,706						(25,960,759)
Proceeds from sale and settlements of investments			103,367,413						196,207,945
Purchases, originations and participations			(16,159,203)						(59,132,412)
Loss on extinguishment of debt			2,481,374						1,928,773
(Increase)/decrease in operating assets:
Other assets			931,926						(1,183,192)
Interest receivable			929,546						2,929,704
Receivable for dispositions and investments sold			(882,979)						(101,014)
Fees receivable			(10,723)						24,180
Increase/(decrease) in operating liabilities:
Accounts payable and accrued expenses			(7,580,816)						9,023,022
Interest and fees payable			(2,102,943)						1,087,978
Management and incentive fees payable, net			(913,952)						(658,728)
Administrator expenses payable			(596,677)						(46,118)
Deferred revenue			(74,577)						(112,999)
Due to affiliate			(13,398)						3,736
NET CASH PROVIDED/(USED) BY OPERATING ACTIVITIES			74,042,321						129,608,297
Cash flows from financing activities
Paydowns on debt			(106,122,923)						(147,999,337)
Debt issuance costs paid			—						(14,361)
Payments of cash dividends			—						(8,171,133)
Offering costs paid			—						354,753
NET CASH PROVIDED/(USED) BY FINANCING ACTIVITIES			(106,122,923)						(155,830,078)
NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS			(32,080,602)						(26,221,781)
CASH, RESTRICTED CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD			84,283,903						75,665,981
CASH, RESTRICTED CASH AND CASH EQUIVALENTS, END OF PERIOD			$	52,203,301					$	49,444,200
Supplemental Information:
Interest paid during the period			$	11,772,739					$	15,663,647
Supplemental non-cash information:
Payment-in-kind interest income			$	3,107,433					$	6,377,608
Net amortization of premium/(discount) on investments			$	91,980					$	254,750
Amortization of debt issuance costs			$	(2,642,386)					$	(1,989,860)
Non-cash purchase of investments			$	—					$	19,192,916
Reconciliation to the Consolidated Statement of Assets and Liabilities			June 30, 2020						September 30, 2019
			(unaudited)
Cash and cash equivalents			$	52,203,301					$	68,245,213
Restricted cash			—						16,038,690
Total cash and cash equivalents and restricted cash			$	52,203,301					$	84,283,903

See accompanying notes to consolidated financial statements.

F-6

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Medley Capital Corporation

Consolidated Schedule of Investments

June 30, 2020

(unaudited)

Company(1)						Industry						Type of Investment						Maturity						Par Amount(2)						Cost(3)						Fair Value(6)						% of Net Assets(4)
Non-Controlled/Non-Affiliated Investments:
Alpine SG, LLC						High Tech Industries						Senior Secured First Lien Term Loan (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)						11/16/2022						$	4,715,809					$	4,715,809					$	4,459,269					3.0		%
												Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)						11/16/2022						2,277,293						2,277,293						2,153,408						1.4		%
												Revolving Credit Facility (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)(15)						11/16/2022						1,000,000						1,000,000						996,500						0.7		%
																								7,993,102						7,993,102						7,609,177
American Dental Partners, Inc.						Healthcare & Pharmaceuticals						Senior Secured Second Lien Term Loan (LIBOR + 8.50% Cash, 1.00% LIBOR Floor)(13)						9/25/2023						4,387,500						4,387,500						3,290,625						2.2		%
																								4,387,500						4,387,500						3,290,625
Autosplice, Inc.						High Tech Industries						Senior Secured First Lien Term Loan (LIBOR + 8.00% Cash, 1.00% LIBOR Floor)(13)						12/17/2021						12,780,349						12,780,349						12,009,694						8.0		%
																								12,780,349						12,780,349						12,009,694
Avantor, Inc.(10)						Wholesale						Equity - 764,040 Common Units(16)												—						13,370,700						12,458,382						8.3		%
																								—						13,370,700						12,458,382
Be Green Packaging, LLC						Containers, Packaging & Glass						Equity - 417 Common Units												—						416,250						—						0.0		%
																								—						416,250						—
Black Angus Steakhouses, LLC						Hotel, Gaming & Leisure						Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(13)						12/31/2020						625,000						625,000						625,000						0.4		%
												Senior Secured First Lien Term Loan (LIBOR + 9.00% PIK, 1.00% LIBOR Floor)(9)(13)						12/31/2020						8,201,220						7,767,533						5,863,872						3.9		%
																								8,826,220						8,392,533						6,488,872
CPI International, Inc.						Aerospace & Defense						Senior Secured Second Lien Term Loan (LIBOR + 7.25% Cash, 1.00% LIBOR Floor)(12)						7/28/2025						2,608,688						2,599,447						2,165,211						1.5		%
																								2,608,688						2,599,447						2,165,211
Crow Precision Components, LLC						Aerospace & Defense						Equity - 350 Common Units												—						700,000						723,132						0.5		%
																								—						700,000						723,132
CT Technologies Intermediate Holdings, Inc.(11)						Healthcare & Pharmaceuticals						Senior Secured Second Lien Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(12)						12/1/2022						7,500,000						7,500,000						6,677,250						4.5		%
																								7,500,000						7,500,000						6,677,250
DataOnline Corp.(7)						High Tech Industries						Senior Secured First Lien Term Loan (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)						11/13/2025						4,975,000						4,975,000						4,756,100						3.2		%
												Revolving Credit Facility (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)(15)						11/13/2025						535,714						535,714						504,286						0.3		%
																								5,510,714						5,510,714						5,260,386
Dream Finders Homes, LLC						Construction & Building						Preferred Equity (8.00% PIK)												4,441,903						4,441,903						3,495,778						2.3		%
																								4,441,903						4,441,903						3,495,778

F-7

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Company(1)						Industry						Type of Investment						Maturity						Par Amount(2)						Cost(3)						Fair Value(6)						% of Net Assets(4)
Footprint Acquisition, LLC						Services:  Business						Preferred Equity (8.75% PIK)												3,884,252						3,884,252						3,884,252						2.6		%
												Equity - 150 Common Units												—						—						1,960,830						1.3		%
																								3,884,252						3,884,252						5,845,082
Global Accessories Group, LLC(11)						Consumer goods:  Non-durable						Equity - 3.8% Membership Interest												—						151,337						—						0.0		%
																								—						151,337						—
The Imagine Group, LLC						Media: Advertising, Printing & Publishing						Senior Secured Second Lien Term Loan (LIBOR + 8.75% Cash, 1.00% LIBOR Floor)(9)(12)						6/21/2023						3,000,000						2,783,988						204,000						0.1		%
																								3,000,000						2,783,988						204,000
Impact Group, LLC						Services:  Business						Senior Secured First Lien Term Loan (LIBOR + 7.37% Cash, 1.00% LIBOR Floor)(13)						6/27/2023						3,228,629						3,228,629						2,821,821						1.9		%
												Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 7.37% Cash, 1.00% LIBOR Floor)(13)						6/27/2023						9,355,044						9,355,044						8,176,309						5.5		%
																								12,583,673						12,583,673						10,998,130
InterFlex Acquisition Company, LLC						Containers, Packaging & Glass						Senior Secured First Lien Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(12)						8/18/2022						12,696,675						12,696,675						11,998,358						8.0		%
																								12,696,675						12,696,675						11,998,358
Lighting Science Group Corporation						Containers, Packaging & Glass						Warrants - 0.56% of Outstanding Equity(17)						2/19/2024						—						955,680						—						0.0		%
																								—						955,680						—
Manna Pro Products, LLC						Consumer goods:  Non-durable						Senior Secured First Lien Term Loan (LIBOR + 6.00% Cash, 1.00% LIBOR Floor)(12)						12/8/2023						5,357,411						5,357,411						4,997,929						3.4		%
												Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 6.00% Cash, 1.00% LIBOR Floor)(12)						12/8/2023						1,087,967						1,087,967						1,014,964						0.7		%
																								6,445,378						6,445,378						6,012,893
Point.360						Services:  Business						Senior Secured First Lien Term Loan (LIBOR + 6.00% PIK)(9)(14)						7/8/2020						2,720,424						2,103,712						182,268						0.1		%
																								2,720,424						2,103,712						182,268
RateGain Technologies, Inc.						Hotel, Gaming & Leisure						Unsecured Debt(18)						7/31/2020						704,106						704,106						352,053						0.2		%
												Unsecured Debt(18)						7/31/2021						761,905						761,905						380,952						0.3		%
																								1,466,011						1,466,011						733,005
Redwood Services Group, LLC(7)						Services:  Business						Revolving Credit Facility (LIBOR + 6.00% Cash, 1.00% LIBOR Floor)(13)(15)						6/6/2023						1,225,000						1,225,000						1,063,475						0.7		%
																								1,225,000						1,225,000						1,063,475
Sendero Drilling Company, LLC						Energy:  Oil & Gas						Unsecured Debt (8.00% Cash)(9)						8/31/2021						531,250						519,282						—						0.0		%
																								531,250						519,282						—
Seotowncenter, Inc.						Services:  Business						Equity - 3,434,169.6 Common Units												—						566,475						686,834						0.5		%
																								—						566,475						686,834

F-8

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Company(1)						Industry						Type of Investment						Maturity						Par Amount(2)						Cost(3)						Fair Value(6)						% of Net Assets(4)
SFP Holding, Inc.						Construction & Building						Senior Secured First Lien Term Loan (LIBOR + 6.25% Cash, 1.00% LIBOR Floor)(13)						9/1/2022						4,787,867						4,787,867						4,680,140						3.1		%
												Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 6.25% Cash, 1.00% LIBOR Floor)(13)						9/1/2022						1,857,200						1,857,200						1,815,413						1.2		%
												Equity - 94,393.87 Common Units in CI (Summit) Investment Holdings LLC												—						1,067,547						657,579						0.4		%
																								6,645,067						7,712,614						7,153,132
Ship Supply Acquisition Corporation						Services:  Business						Senior Secured First Lien Term Loan (LIBOR + 8.00% Cash, 1.00% LIBOR Floor)(9)(13)						7/31/2020						7,369,067						7,175,125						—						0.0		%
																								7,369,067						7,175,125						—
SMART Financial Operations, LLC						Retail						Equity - 700,000 Class A Preferred Units												—						700,000						343,000						0.2		%
																								—						700,000						343,000
Stancor, Inc.						Services:  Business						Equity - 263,814.43 Class A Units												—						263,814						150,374						0.1		%
																								—						263,814						150,374
Starfish Holdco, LLC						High Tech Industries						Senior Secured Second Lien Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(12)						8/18/2025						1,000,000						989,107						902,100						0.6		%
																								1,000,000						989,107						902,100
URT Acquisition Holdings Corporation						Services:  Business						Unsecured Debt (10.00% PIK)						6/23/2021						2,504,795						2,504,795						2,504,795						1.7		%
																								2,504,795						2,504,795						2,504,795
Velocity Pooling Vehicle, LLC						Automotive						Senior Secured First Lien Term Loan (LIBOR + 11.00% PIK, 1.00% LIBOR Floor)(13)(20)						4/28/2023						984,256						915,932						738,192						0.5		%
												Equity - 5,441 Class A Units												—						302,464						—						0.0		%
												Warrants - 0.65% of Outstanding Equity						3/30/2028						—						361,667						—						0.0		%
																								984,256						1,580,063						738,192
Walker Edison Furniture Company LLC						Consumer goods:  Durable						Senior Secured First Lien Term Loan (LIBOR + 6.25% Cash, 1.00% LIBOR Floor)(13)						9/26/2024						3,542,883