10-Q 1 pflt-10q_20210331.htm 10-Q pflt-10q_20210331.htm

7 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 10-Q

 

(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2021

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: 814-00891 

 

PENNANTPARK FLOATING RATE CAPITAL LTD.

(Exact name of registrant as specified in its charter)

 

MARYLAND

 

27-3794690

(State or other jurisdiction of incorporation or organization)

 

(I.R.S. Employer Identification No.)

 

 

590 Madison Avenue, 15th Floor

New York, N.Y.

 

10022

(Address of principal executive offices)

 

(Zip Code)

(212) 905-1000

(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

PFLT

The Nasdaq Stock Market LLC

 

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    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

 

 

 

 

 

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 Exchange Act).  Yes    No  

The number of shares of the registrant’s common stock, $0.001 par value per share, outstanding as of May 5, 2021 was 38,772,074. 

 


 

PENNANTPARK FLOATING RATE CAPITAL LTD.

FORM 10-Q FOR THE QUARTER ENDED MARCH 31, 2021

TABLE OF CONTENTS

 

 

 

 

PART I. CONSOLIDATED FINANCIAL INFORMATION

  

 

 

 

Item 1. Consolidated Financial Statements

  

 

 

 

Consolidated Statements of Assets and Liabilities as of March 31, 2021 (unaudited) and September 30, 2020

  

4

 

 

Consolidated Statements of Operations for the three and six months ended March 31, 2021 and 2020 (unaudited)

  

5

 

 

Consolidated Statements of Changes in Net Assets for the three and six months ended March 31, 2021 and 2020 (unaudited)

  

6

 

 

Consolidated Statements of Cash Flows for the six months ended March 31, 2021 and 2020 (unaudited)

  

7

 

 

Consolidated Schedules of Investments as of March 31, 2021 (unaudited) and September 30, 2020

  

8

 

 

Notes to Consolidated Financial Statements (unaudited)

  

16

 

 

Report of Independent Registered Public Accounting Firm

  

33

 

 

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

  

34

 

 

Item 3. Quantitative and Qualitative Disclosures About Market Risk

  

46

 

 

Item 4. Controls and Procedures

  

47

 

 

PART II. OTHER INFORMATION

  

 

 

 

Item 1. Legal Proceedings

  

48

 

 

Item 1A. Risk Factors

  

48

 

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

  

48

 

 

Item 3. Defaults Upon Senior Securities

  

48

 

 

Item 4. Mine Safety Disclosures

  

49

 

 

Item 5. Other Information

  

49

 

 

Item 6. Exhibits

  

50

 

 

SIGNATURES

  

51


 

2


 

PART I—CONSOLIDATED FINANCIAL INFORMATION

We are filing this Quarterly Report on Form 10-Q, or the Report, in compliance with Rule 13a-13 as promulgated by the Securities and Exchange Commission, or the SEC, under the Securities Exchange Act of 1934, as amended, or the Exchange Act. In this Report, except where the context suggests otherwise, the terms “Company,” “we,” “our” or “us” refers to PennantPark Floating Rate Capital Ltd. and its wholly-owned consolidated subsidiaries; “Funding I” refers to PennantPark Floating Rate Funding I, LLC; “Taxable Subsidiary” refers to PFLT Investment Holdings, LLC; “PSSL” refers to PennantPark Senior Secured Loan Fund I LLC, an unconsolidated joint venture; “PennantPark Investment Advisers” or “Investment Adviser” refers to PennantPark Investment Advisers, LLC; “PennantPark Investment Administration” or “Administrator” refers to PennantPark Investment Administration, LLC; “2023 Notes” refers to our 4.3% Series A notes due 2023; “2026 Notes” refers to our 4.25% notes due 2026; “1940 Act” refers to the Investment Company Act of 1940, as amended; “SBCAA” refers to the Small Business Credit Availability Act; “Code” refers to the Internal Revenue Code of 1986, as amended; “RIC” refers to a regulated investment company under the Code; “BDC” refers to a business development company under the 1940 Act; “MCG” refers to MCG Capital Corporation; “Credit Facility” refers to our multi-currency senior secured revolving credit facility, as amended and restated with Truist Bank (formerly SunTrust Bank) and other lenders, or the Lenders; “Securitization Issuer” refers to PennantPark CLO I, Ltd.; “Securitization Issuers” refers to the Securitization Issuer and PennantPark CLO I, LLC; “Debt Securitization” refers to the $301.4 million term debt securitization completed by the Securitization Issuers; “2031 Asset-Backed Debt” refers to (i) the issuance of the Class A-1 Senior Secured Floating Rate Notes due 2031, the Class A-2 Senior Secured Fixed Rate Notes due 2031, the Class B-1 Senior Secured Floating Rate Notes due 2031, the Class B-2 Senior Secured Fixed Rate Notes due 2031, the Class C-1 Secured Deferrable Floating Rate Notes due 2031, the Class C-2 Notes Secured Deferrable Fixed Rate Notes due 2031, and the Class D Secured Deferrable Floating Notes due 2031 and (ii) the borrowing of the Class A‑1 Senior Secured Floating Rate Loans due 2031 by the Securitization Issuers in connection with the Debt Securitization; and “Depositor” refers to PennantPark CLO I Depositor, LLC. References to our portfolio, our investments, our Credit Facility, and our business include investments we make through our subsidiaries.

 

 

 

 

 

3

 


 

Item 1.

Consolidated Financial Statements

 

 

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES

 

 

 

March 31, 2021

 

 

September 30, 2020

 

 

 

(unaudited)

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

Investments at fair value

 

 

 

 

 

 

 

 

Non-controlled, non-affiliated investments (cost—$835,250,686 and $915,874,757, respectively)

 

$

866,861,275

 

 

$

910,552,309

 

Non-controlled, affiliated investments (cost—$26,156,024 and $21,964,181, respectively)

 

 

6,841,460

 

 

 

11,086,834

 

Controlled, affiliated investments (cost—$203,046,955 and $179,112,500, respectively)

 

 

195,434,406

 

 

 

165,289,324

 

Total of investments (cost—$1,064,453,665 and $1,116,951,438, respectively)

 

 

1,069,137,141

 

 

 

1,086,928,467

 

Cash and cash equivalents (cost—$66,572,341 and $57,534,421, respectively)

 

 

66,572,811

 

 

 

57,511,928

 

Interest receivable

 

 

2,818,433

 

 

 

3,673,502

 

Prepaid expenses and other assets

 

 

 

 

 

173,318

 

Total assets

 

 

1,138,528,385

 

 

 

1,148,287,215

 

Liabilities

 

 

 

 

 

 

 

 

Distributions payable

 

 

3,683,347

 

 

 

3,683,347

 

Payable for investments purchased

 

 

50,469,362

 

 

 

3,800,000

 

Credit Facility payable, at fair value (cost—$146,900,000 and $308,598,500, respectively) (See Notes 5 and 10)

 

 

146,205,500

 

 

 

299,047,275

 

2023 Notes payable, at fair value (par—$117,792,879 and $138,579,858, respectively) (See Notes 5 and 10)

 

 

114,200,197

 

 

 

129,295,008

 

2026 Notes payable, net (par—$100,000,000) (See Notes 5 and 10)

 

 

96,856,485

 

 

 

 

2031 Asset-Backed Debt, net (par—$228,000,000) (See Notes 5 and 10)

 

 

225,181,755

 

 

 

224,866,334

 

Interest payable on debt

 

 

3,026,964

 

 

 

3,601,479

 

Base management fee payable (See Note 3)

 

 

2,633,715

 

 

 

2,776,477

 

Performance-based incentive fee payable (See Note 3)

 

 

1,302,025

 

 

 

2,071,622

 

Accrued other expenses

 

 

1,994,792

 

 

 

1,875,281

 

Total liabilities

 

 

645,554,142

 

 

 

671,016,823

 

Commitments and contingencies (See Note 11)

 

 

 

 

 

 

 

 

Net assets

 

 

 

 

 

 

 

 

Common stock, 38,772,074 shares issued and outstanding Par value $0.001 per share and 100,000,000

   shares authorized

 

 

38,772

 

 

 

38,772

 

Paid-in capital in excess of par value

 

 

538,151,528

 

 

 

538,151,528

 

Accumulated distributable net loss

 

 

(45,216,057

)

 

 

(60,919,908

)

Total net assets

 

$

492,974,243

 

 

$

477,270,392

 

Total liabilities and net assets

 

$

1,138,528,385

 

 

$

1,148,287,215

 

Net asset value per share

 

$

12.71

 

 

$

12.31

 

 

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

 

4


 

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

 

 

 

Three Months Ended March 31,

 

 

Six Months Ended March 31,

 

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Investment income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

From non-controlled, non-affiliated investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest

 

$

13,724,538

 

 

$

20,307,380

 

 

$

29,025,969

 

 

$

39,217,274

 

Other income

 

 

490,763

 

 

 

1,140,500

 

 

 

1,372,548

 

 

 

1,913,603

 

From non-controlled, affiliated investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest

 

 

183,438

 

 

 

233,772

 

 

 

279,900

 

 

 

459,125

 

Other income

 

 

102,263

 

 

 

 

 

 

122,570

 

 

 

 

From controlled, affiliated investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest

 

 

2,659,019

 

 

 

3,069,785

 

 

 

5,321,895

 

 

 

6,225,109

 

Dividend

 

 

2,275,000

 

 

 

1,575,000

 

 

 

3,850,000

 

 

 

3,150,000

 

Other income

 

 

 

 

 

 

 

 

195,630

 

 

 

 

Total investment income

 

 

19,435,021

 

 

 

26,326,437

 

 

 

40,168,512

 

 

 

50,965,111

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Base management fee (See Note 3)

 

 

2,633,715

 

 

 

2,948,941

 

 

 

5,349,887

 

 

 

5,779,100

 

Performance-based incentive fee (See Note 3)

 

 

1,302,025

 

 

 

2,937,024

 

 

 

3,063,899

 

 

 

5,252,859

 

Interest and expenses on debt (See Note 10)

 

 

4,781,114

 

 

 

7,626,550

 

 

 

10,122,455

 

 

 

14,933,814

 

Administrative services expenses (See Note 3)

 

 

300,000

 

 

 

350,000

 

 

 

600,000

 

 

 

700,000

 

Other general and administrative expenses

 

 

400,000

 

 

 

616,077

 

 

 

800,000

 

 

 

1,232,153

 

Expenses before provision for taxes:

 

 

9,416,854

 

 

 

14,478,592

 

 

 

19,936,241

 

 

 

27,897,926

 

Provision for taxes

 

 

100,000

 

 

 

100,000

 

 

 

200,000

 

 

 

200,000

 

Total expenses

 

 

9,516,854

 

 

 

14,578,592

 

 

 

20,136,241

 

 

 

28,097,926

 

Net investment income

 

 

9,918,167

 

 

 

11,747,845

 

 

 

20,032,271

 

 

 

22,867,185

 

Realized and unrealized gain (loss) on investments and debt:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized gain (loss) on investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-controlled, non-affiliated investments

 

 

473,661

 

 

 

(1,599,285

)

 

 

(1,234,038

)

 

 

(586,972

)

Non-controlled and controlled, affiliated investments

 

 

 

 

 

 

 

 

(1,052,048

)

 

 

 

Net realized gain (loss) on investments

 

 

473,661

 

 

 

(1,599,285

)

 

 

(2,286,086

)

 

 

(586,972

)

Net change in unrealized appreciation (depreciation) on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-controlled, non-affiliated investments

 

 

12,150,548

 

 

 

(40,004,484

)

 

 

34,687,828

 

 

 

(37,625,126

)

Controlled and non-controlled, affiliated investments

 

 

(333,952

)

 

 

(24,782,772

)

 

 

(81,186

)

 

 

(30,682,477

)

Debt (appreciation) depreciation (See Notes 5 and 10)

 

 

(10,535,079

)

 

 

33,537,647

 

 

 

(14,548,894

)

 

 

34,899,235

 

Net change in unrealized appreciation (depreciation) on investments and debt

 

 

1,281,517

 

 

 

(31,249,609

)

 

 

20,057,748

 

 

 

(33,408,368

)

Net realized and unrealized gain (loss) from investments and debt

 

 

1,755,178

 

 

 

(32,848,894

)

 

 

17,771,662

 

 

 

(33,995,340

)

Net increase (decrease) in net assets resulting from operations

 

$

11,673,345

 

 

$

(21,101,049

)

 

$

37,803,933

 

 

$

(11,128,155

)

Net increase (decrease) in net assets resulting from operations per common share (See Note 7)

 

$

0.30

 

 

$

(0.54

)

 

$

0.98

 

 

$

(0.29

)

Net investment income per common share

 

$

0.26

 

 

$

0.30

 

 

$

0.52

 

 

$

0.59

 

 

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

 

5


 

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS

(Unaudited)

 

 

 

Three Months Ended March 31,

 

 

Six Months Ended March 31,

 

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Net increase (decrease) in net assets resulting from operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

$

9,918,167

 

 

$

11,747,845

 

 

$

20,032,271

 

 

$

22,867,185

 

Net realized gain (loss) on investments

 

 

473,661

 

 

 

(1,599,285

)

 

 

(2,286,086

)

 

 

(586,972

)

Net change in unrealized appreciation (depreciation) on investments

 

 

11,816,596

 

 

 

(64,787,256

)

 

 

34,606,642

 

 

 

(68,307,603

)

Net change in unrealized (appreciation) depreciation on debt

 

 

(10,535,079

)

 

 

33,537,647

 

 

 

(14,548,894

)

 

 

34,899,235

 

Net increase (decrease) in net assets resulting from operations

 

 

11,673,345

 

 

 

(21,101,049

)

 

 

37,803,933

 

 

 

(11,128,155

)

Distributions to stockholders

 

 

(11,050,041

)

 

 

(11,050,041

)

 

 

(22,100,082

)

 

 

(22,100,082

)

Net increase (decrease) in net assets

 

 

623,304

 

 

 

(32,151,090

)

 

 

15,703,851

 

 

 

(33,228,237

)

Net assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning of period

 

 

492,350,939

 

 

 

501,980,364

 

 

 

477,270,392

 

 

 

503,057,511

 

End of period

 

$

492,974,243

 

 

$

469,829,274

 

 

$

492,974,243

 

 

$

469,829,274

 

 

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

 

6


 

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

 

 

Six Months Ended March 31,

 

 

 

2021

 

 

2020

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net increase (decrease) in net assets resulting from operations

 

$

37,803,933

 

 

$

(11,128,155

)

Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash

   provided by (used in) operating activities:

 

 

 

 

 

 

 

 

Net change in unrealized (appreciation) depreciation on investments

 

 

(34,606,642

)

 

 

68,307,603

 

Net change in unrealized appreciation (depreciation) on debt

 

 

14,548,894

 

 

 

(34,899,235

)

Net realized loss on investments

 

 

2,286,086

 

 

 

586,972

 

Net accretion of discount and amortization of premium

 

 

(1,355,492

)

 

 

(887,519

)

Purchases of investments

 

 

(227,201,031

)

 

 

(406,983,072

)

Payment-in-kind interest

 

 

(2,055,853

)

 

 

(1,089,736

)

Proceeds from dispositions of investments

 

 

281,669,989

 

 

 

243,107,247

 

Amortization of deferred financing costs

 

 

330,906

 

 

 

229,072

 

Decrease (increase) in interest receivable

 

 

855,069

 

 

 

(254,533

)

Increase in receivable for investments sold

 

 

 

 

 

(6,052,454

)

Decrease (increase) in prepaid expenses and other assets

 

 

173,318

 

 

 

(22,842

)

Increase (decrease) in payable for investments purchased

 

 

46,669,362

 

 

 

(12,033,794

)

(Decrease) increase in interest payable on debt

 

 

(574,515

)

 

 

1,627,778

 

(Decrease) increase in base management fee payable

 

 

(142,763

)

 

 

220,921

 

(Decrease) increase in performance-based incentive fee payable

 

 

(769,597

)

 

 

404,820

 

Increase (decrease) in accrued other expenses

 

 

119,512

 

 

 

(82,519

)

Net cash provided by (used in) operating activities

 

 

117,751,176

 

 

 

(158,949,446

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Distributions paid to stockholders

 

 

(22,100,082

)

 

 

(22,100,082

)

Repayment of 2023 Notes (See Notes 5 and 10)

 

 

(20,786,979

)

 

 

 

Proceeds from 2026 Notes issuance (See Note 10)

 

 

96,841,000

 

 

 

 

Borrowings under Credit Facility (See Notes 5 and 10)

 

 

113,500,000

 

 

 

245,000,000

 

Repayments under Credit Facility (See Notes 5 and 10)

 

 

(275,198,500

)

 

 

(97,000,000

)

Net cash (used in) provided by financing activities

 

 

(107,744,561

)

 

 

125,899,918

 

Net increase (decrease) in cash and cash equivalents

 

 

10,006,615

 

 

 

(33,049,528

)

Effect of exchange rate changes on cash

 

 

(945,732

)

 

 

(294,448

)

Cash and cash equivalents, beginning of period

 

 

57,511,928

 

 

 

63,337,728

 

Cash and cash equivalents, end of period

 

$

66,572,811

 

 

$

29,993,752

 

Supplemental disclosure of cash flow information:

 

 

 

 

 

 

 

 

Interest paid

 

$

10,366,064

 

 

$

13,076,964

 

Taxes paid

 

$

403,761

 

 

$

501,633

 

Non-cash exchanges and conversions

 

$

20,334,379

 

 

$

8,025,882

 

 

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

 

7


 

PENNANTPARK FLOATING RATE CAPITAL LTD. AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS

MARCH 31, 2021

(Unaudited)

 

Issuer Name

 

Maturity

 

Industry

 

Current

Coupon

 

 

Basis Point

Spread

Above

Index (1)

 

 

Par /

Shares

 

 

Cost

 

 

Fair Value (2)

 

Investments in Non-Controlled, Non-Affiliated Portfolio Companies—175.8% (3), (4)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Lien Secured Debt—154.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

18 Freemont Street Acquisition, LLC

 

08/11/2025

 

Hotels, Restaurants and Leisure

 

 

9.50

%

 

1M L+800

 

 

 

6,697,697

 

 

$

6,590,489

 

 

$

6,764,674

 

Altamira Technologies, LLC

 

07/24/2025

 

IT Services

 

 

8.00

%

 

3M L+700

 

 

 

5,206,625

 

 

 

5,146,716

 

 

 

5,011,376

 

Altamira Technologies, LLC (Revolver) (7)

 

07/24/2025

 

IT Services

 

 

8.00

%

 

3M L+700

 

 

 

575,000

 

 

 

575,000

 

 

 

553,437

 

Altamira Technologies, LLC (Revolver) (7), (9)

 

07/24/2025

 

IT Services

 

 

 

 

 

 

 

 

1,581,250

 

 

 

 

 

 

(59,297

)

American Auto Auction Group, LLC

 

01/02/2024

 

Transportation: Consumer

 

 

5.75

%

 

3M L+475

 

 

 

6,829,816

 

 

 

6,776,332

 

 

 

6,624,922

 

American Insulated Glass, LLC

 

12/21/2023

 

Building Products

 

 

6.50

%

 

3M L+550

 

 

 

8,950,175

 

 

 

8,845,668

 

 

 

8,860,673

 

American Teleconferencing Services, Ltd.

 

06/08/2023

 

Telecommunications

 

 

7.50

%

 

3M L+650

 

 

 

9,642,556

 

 

 

9,553,435

 

 

 

7,521,194

 

Apex Service Partners, LLC

 

07/31/2025

 

Energy Equipment and Services

 

 

6.25

%

 

1M L+525

 

 

 

7,110,037

 

 

 

7,047,848

 

 

 

7,110,037

 

Apex Service Partners, LLC Term Loan B

 

07/31/2025

 

Energy Equipment and Services

 

 

6.50

%

 

1M L+550

 

 

 

1,253,880

 

 

 

1,245,348

 

 

 

1,253,880

 

Apex Service Partners, LLC Term Loan B (9)

 

07/31/2021

 

Energy Equipment and Services

 

 

 

 

 

 

 

 

612,116

 

 

 

 

 

 

 

API Technologies Corp.

 

05/11/2026

 

Electronic Equipment, Instruments, and Components

 

 

4.36

%

 

1M L+425

 

 

 

5,895,000

 

 

 

5,869,364

 

 

 

5,791,838

 

Applied Technical Services, LLC

 

12/29/2026

 

Commercial Services & Supplies

 

 

6.75

%

 

3M L+575

 

 

 

4,987,500

 

 

 

4,880,541

 

 

 

4,912,688

 

Applied Technical Services, LLC (7), (9)

 

06/29/2022

 

Commercial Services & Supplies

 

 

 

 

 

 

 

 

3,181,818

 

 

 

 

 

 

(11,932

)

Applied Technical Services, LLC (Revolver) (7), (9)

 

12/29/2026

 

Commercial Services & Supplies

 

 

 

 

 

 

 

 

1,272,727

 

 

 

 

 

 

(19,091

)

BEI Precision Systems & Space Company, Inc.

 

04/28/2023

 

Aerospace and Defense

 

 

6.50

%

 

3M L+550

 

 

 

6,433,162

 

 

 

6,385,809

 

 

 

6,433,162

 

By Light Professional IT Services, LLC

 

05/16/2022

 

High Tech Industries

 

 

7.25

%

 

3M L+625

 

 

 

28,373,444

 

 

 

28,266,763

 

 

 

28,373,444

 

By Light Professional IT Services, LLC (Revolver)

 

05/16/2022

 

High Tech Industries

 

 

7.25

%

 

3M L+625

 

 

 

600,982

 

 

 

600,982

 

 

 

600,982

 

By Light Professional IT Services, LLC (Revolver) (9)

 

05/16/2022

 

High Tech Industries

 

 

 

 

 

 

 

 

2,461,620

 

 

 

 

 

 

 

Cadence Aerospace, LLC (7)

 

11/14/2023

 

Aerospace and Defense

 

 

9.50

%

 

3M L+850

 

 

 

2,961,464

 

 

 

2,941,151

 

 

 

2,869,658

 

 

 

 

 

 

 

 

(PIK 9.50

%)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cardenas Markets LLC

 

11/29/2023

 

Beverage, Food and Tobacco

 

 

6.75

%

 

1M L+575

 

 

 

3,775,734

 

 

 

3,778,457

 

 

 

3,756,855

 

CHA Holdings, Inc.

 

04/10/2025

 

Environmental Industries

 

 

5.50

%

 

3M L+450

 

 

 

1,606,777

 

 

 

1,601,705

 

 

 

1,574,641

 

Challenger Performance Optimization, Inc. (Revolver) (7), (9)

 

08/31/2023

 

Business Services

 

 

 

 

 

 

 

 

711,447

 

 

 

 

 

 

(32,015

)

Compex Legal Services, Inc.

 

02/09/2026

 

Professional Services

 

 

6.75

%

 

3M L+575

 

 

 

7,691,774

 

 

 

7,555,914

 

 

 

7,437,176

 

Compex Legal Services, Inc. (Revolver) (7)

 

02/07/2025

 

Professional Services

 

 

6.75

%

 

3M L+575

 

 

 

983,962

 

 

 

983,962

 

 

 

951,393

 

Compex Legal Services, Inc. (Revolver) (7), (9)

 

02/07/2025

 

Professional Services

 

 

 

 

 

 

 

 

421,698

 

 

 

 

 

 

(13,958

)

Confluent Health, LLC

 

06/24/2026

 

Health Providers and Services

 

 

5.11

%

 

1M L+500

 

 

 

3,930,000

 

 

 

3,896,502

 

 

 

3,920,175

 

Datalot Inc.

 

01/24/2025

 

Insurance

 

 

6.25

%

 

3M L+525

 

 

 

9,445,616

 

 

 

9,292,410

 

 

 

9,445,616

 

Datalot Inc. (Revolver) (7), (9)

 

01/24/2025

 

Insurance

 

 

 

 

 

 

 

 

3,833,619

 

 

 

 

 

 

 

Digital Room Holdings, Inc.

 

05/22/2026

 

Media: Advertising, Printing and Publishing

 

 

5.20

%

 

1M L+500

 

 

 

6,580,487

 

 

 

6,494,335

 

 

 

6,437,888

 

Douglas Products and Packaging Company LLC

 

10/19/2022

 

Chemicals, Plastics and Rubber

 

 

6.75

%

 

3M L+575

 

 

 

6,579,004

 

 

 

6,534,437

 

 

 

6,513,213

 

Douglas Products and Packaging Company LLC

 

10/19/2022

 

Chemicals, Plastics and Rubber

 

 

8.00

%

 

P+475

 

 

 

2,049,216

 

 

 

2,049,216

 

 

 

2,028,723

 

(Revolver)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Douglas Products and Packaging Company LLC

 

10/19/2022

 

Chemicals, Plastics and Rubber

 

 

 

 

 

 

 

 

2,341,961

 

 

 

 

 

 

(23,420

)

(Revolver) (9)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Douglas Sewer Intermediate, LLC

 

10/19/2022

 

Chemicals, Plastics and Rubber

 

 

6.75

%

 

3M L+575

 

 

 

3,006,420

 

 

 

2,996,507

 

 

 

2,976,356

 

DRS Holdings III, Inc.

 

11/03/2025

 

Personal Products

 

 

6.75

%

 

3M L+575

 

 

 

4,937,500

 

 

 

4,896,911

 

 

 

4,986,875

 

DRS Holdings III, Inc. (Revolver) (7), (9)

 

11/03/2025

 

Personal Products

 

 

 

 

 

 

 

 

903,716

 

 

-

 

 

 

9,037

 

East Valley Tourist Development Authority

 

03/07/2022

 

Hotel, Gaming and Leisure

 

 

9.00

%

 

3M L+800

 

 

 

13,289,079

 

 

 

13,237,939

 

 

 

13,089,743