10-Q 1 tm2213676d1_10q.htm FORM 10-Q

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION 

Washington, D.C. 20549

 

FORM 10-Q

 

(Mark One)

 

 

x

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

 

For the quarterly period ended March 31, 2022

 

OR

 

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

 

Commission file number: 814-01175

 

BAIN CAPITAL SPECIALTY FINANCE, INC.

(Exact name of registrant as specified in its charter)

 

Delaware   81-2878769
(State or other jurisdiction of   (I.R.S. Employer
incorporation or organization)   Identification No.)

 

200 Clarendon Street, 37th Floor
Boston, MA

(Address of principal executive offices)
  02116
(Zip Code)

 

(617) 516-2000

(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   BCSF   New York Stock Exchange

 

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 x 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 x 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 x

 

As of May 5, 2022 the registrant had 64,562,265.27 shares of common stock, $0.001 par value, outstanding.

 

 

 

 

 

 

TABLE OF CONTENTS

 

    Page
PART I FINANCIAL INFORMATION 2
     
Item 1. Consolidated Financial Statements 2
     
  Consolidated Statements of Assets and Liabilities as of March 31, 2022 (unaudited) and December 31, 2021 2
     
  Consolidated Statements of Operations for the three months ended March 31, 2022 and 2021 (unaudited) 3
     
  Consolidated Statements of Changes in Net Assets for the three months ended March 31, 2022 and 2021 (unaudited) 4
     
  Consolidated Statements of Cash Flows for the three months ended March 31, 2022 and 2021 (unaudited) 5
     
  Consolidated Schedules of Investments as of March 31, 2022 (unaudited) and December 31, 2021 6
     
  Notes to Consolidated Financial Statements (unaudited) 23
     
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations 71
     
Item 3. Quantitative and Qualitative Disclosures About Market Risk 112
     
Item 4. Controls and Procedures 113
     
PART II OTHER INFORMATION 114
     
Item 1. Legal Proceedings 114
     
Item 1A. Risk Factors 114
     
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 114
     
Item 3. Defaults Upon Senior Securities 114
     
Item 4. Mine Safety Disclosures 114
     
Item 5. Other Information 114
     
Item 6. Exhibits 114
     
Signatures 118

 

 

 

 

FORWARD-LOOKING STATEMENTS

 

Statements contained in this Quarterly Report on Form 10-Q (the “Quarterly Report”) (including those relating to current and future market conditions and trends in respect thereof) that are not historical facts are based on current expectations, estimates, projections, opinions and/or beliefs of the Company, BCSF Advisors, LP (the “Advisor”) and/or Bain Capital Credit, LP and its affiliated advisers (collectively, “Bain Capital Credit”). Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. Certain information contained in this Quarterly Report constitutes “forward-looking statements,” which can be identified by the use of forward-looking terminology such as “may,” “will,” “should,” “seek,” “expect,” “anticipate,” “project,” “estimate,” “intend,” “continue,” “target,” or “believe” or the negatives thereof or other variations thereon or comparable terminology. Due to various risks and uncertainties, actual events or results or the actual performance of the Company may differ materially from those reflected or contemplated in such 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 our control and are difficult to predict, that could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors we identify in the section entitled Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K (the “Annual Report”) for the fiscal year ended December 31, 2021 and in our filings with the Securities and Exchange Commission (the “SEC”).

 

Although we believe that the assumptions on which these forward-looking statements are based are reasonable, some of those assumptions may be based on the work of third parties and any of those assumptions could prove to be inaccurate; as a result, the forward-looking statements based on those assumptions also could prove to be inaccurate. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this Quarterly Report should not be regarded as a representation by us that our plans and objectives will be achieved. These risks and uncertainties include those described or identified in the section entitled Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2021. Investors should not place undue reliance on these forward-looking statements, which apply only as of the date of this Quarterly Report. We do not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law. The safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which preclude civil liability for certain forward-looking statements, do not apply to the forward-looking statements in this Quarterly Report because we are an investment company.

 

 

 

 

PART I. FINANCIAL INFORMATION

 

Item 1. Consolidated Financial Statements

 

Bain Capital Specialty Finance, Inc.
 
Consolidated Statements of Assets and Liabilities
(in thousands, except share and per share data)

 

   As of   As of 
   March 31, 2022   December 31, 2021 
         
   (Unaudited)   
Assets          
Investments at fair value:          
Non-controlled/non-affiliate investments (amortized cost of $1,703,867 and $1,921,970, respectively)  $1,677,843   $1,901,054 
Non-controlled/affiliate investment (amortized cost of $122,015 and $100,888, respectively)   140,084    113,290 
Controlled affiliate investment (amortized cost of $343,260 and $288,526, respectively)   336,745    274,761 
Cash and cash equivalents   55,963    87,443 
Foreign cash (cost of $25,588 and $30,877, respectively)   24,844    29,979 
Restricted cash and cash equivalents   34,032    86,159 
Collateral on forward currency exchange contracts   584    2,815 
Deferred financing costs   2,070    2,178 
Interest receivable on investments   20,785    19,269 
Receivable for sales and paydowns of investments   4,212    30,334 
Prepaid Insurance   15    193 
Unrealized appreciation on forward currency exchange contracts   6,972    5,321 
Dividend receivable   6,479    18,397 
Total Assets  $2,310,628   $2,571,193 
           
Liabilities          
Debt (net of unamortized debt issuance costs of $13,323 and $15,718, respectively)  $1,090,677   $1,414,982 
Interest payable   7,649    7,058 
Payable for investments purchased   64,589    7,594 
Base management fee payable   8,369    8,792 
Incentive fee payable   3,311    4,727 
Accounts payable and accrued expenses   2,346    6,083 
Distributions payable   21,951    21,951 
Total Liabilities   1,198,892    1,471,187 
           
Commitments and Contingencies (See Note 10)          
           
Net Assets          
Common stock, par value $0.001 per share, 100,000,000,000 and 100,000,000,000 shares authorized, 64,562,265 and 64,562,265 shares issued and outstanding as of March 31, 2022 and December 31, 2021, respectively   65    65 
Paid in capital in excess of par value   1,168,384    1,168,384 
Total distributable earnings (loss)   (56,713)   (68,443)
Total Net Assets   1,111,736    1,100,006 
Total Liabilities and Total Net assets  $2,310,628   $2,571,193 
           
Net asset value per share  $17.22   $17.04 

 

See Notes to Consolidated Financial Statements

 

2 

 

 

Bain Capital Specialty Finance, Inc.
 
Consolidated Statements of Operations
(in thousands, except share and per share data)
(Unaudited)

 

   For the Three Months
Ended March 31
   For the Three Months
Ended March 31
 
   2022   2021 
Income          
Investment income from non-controlled/non-affiliate investments:          
Interest from investments  $34,287   $39,913 
Dividend income   108    - 
PIK income   2,508    980 
Other income   465    3,456 
Total investment income from non-controlled/non-affiliate investments   37,368    44,349 
           
Investment income from non-controlled/affiliate investments:          
Interest from investments   324    424 
PIK income   1,404    1,385 
Total investment income from non-controlled/affiliate investments   1,728    1,809 
           
Investment income from controlled affiliate investments:          
Interest from investments   3,422    1,637 
Dividend income   3,493    2,036 
Total investment income from controlled affiliate investments   6,915    3,673 
Total investment income   46,011    49,831 
           
Expenses          
Interest and debt financing expenses   10,643    11,833 
Base management fee   8,369    8,698 
Incentive fee   3,311    6,728 
Professional fees   390    959 
Directors fees   175    171 
Other general and administrative expenses   1,420    1,390 
Total expenses before fee waivers   24,308    29,779 
Base management fee waiver   -    (2,113)
Total expenses, net of fee waivers   24,308    27,666 
Net investment income   21,703    22,165 
           
Net realized and unrealized gains (losses)          
Net realized gain on non-controlled/non-affiliate investments   1,417    18,413 
Net realized loss on controlled affiliate investments   -    (3,237)
Net realized loss on foreign currency transactions   (488)   (3,026)
Net realized gain (loss) on forward currency exchange contracts   1,243    (3,292)
Net change in unrealized appreciation on foreign currency translation   346    386 
Net change in unrealized appreciation on forward currency exchange contracts   1,651    4,577 
Net change in unrealized depreciation on non-controlled/non-affiliate investments   (5,108)   (3,224)
Net change in unrealized appreciation (depreciation) on non-controlled/affiliate investments   5,667    (372)
Net change in unrealized appreciation (depreciation) on controlled affiliate investments   7,250    (637)
Total net gains   11,978    9,588 
           
Net increase in net assets resulting from operations  $33,681   $31,753 
           
Basic and diluted net investment income per common share  $0.34   $0.34 
Basic and diluted increase in net assets resulting from operations per common share  $0.52   $0.49 
Basic and diluted weighted average common shares outstanding   64,562,265    64,562,265 

 

See Notes to Consolidated Financial Statements

 

3 

 

 

Bain Capital Specialty Finance, Inc.
 
Consolidated Statements of Changes in Net Assets
(in thousands, except share and per share data)
(Unaudited)

 

   For the Three Months
Ended March 31
   For the Three Months
Ended March 31
 
   2022   2021 
Operations:          
Net investment income  $21,703   $22,165 
Net realized gain   2,172    8,858 
Net change in unrealized appreciation   9,806    730 
Net increase in net assets resulting from operations   33,681    31,753 
Stockholder distributions:          
Distributions from distributable earnings   (21,951)   (21,951)
Net decrease in net assets resulting from stockholder distributions   (21,951)   (21,951)
           
Total increase in net assets   11,730    9,802 
Net assets at beginning of period   1,100,006    1,068,004 
Net assets at end of period  $1,111,736   $1,077,806 
           
Net asset value per common share  $17.22   $16.69 
Common stock outstanding at end of period   64,562,265    64,562,265 

 

See Notes to Consolidated Financial Statements

 

4 

 

 

Bain Capital Specialty Finance, Inc.
 
Consolidated Statements of Cash Flows
(in thousands, except share and per share data)
(Unaudited)

 

   For the Three Months
Ended March 31
   For the Three Months
Ended March 31
 
   2022   2021 
Cash flows from operating activities          
Net increase in net assets resulting from operations  $33,681    31,753 
Adjustments to reconcile net increase in net assets from operations to net cash used in operating activities:          
Purchases of investments   (241,809)   (262,104)
Proceeds from principal payments and sales of investments   111,524    415,738 
Net realized gain from investments   (1,417)   (15,176)
Net realized loss on foreign currency transactions   488    3,026 
Net change in unrealized appreciation on forward currency exchange contracts   (1,651)   (4,577)
Net change in unrealized (appreciation) depreciation on investments   (7,809)   4,233 
Net change in unrealized appreciation on foreign currency translation   (346)   (386)
Increase in investments due to PIK   (3,912)   (2,365)
Accretion of discounts and amortization of premiums   (1,523)   (1,698)
Amortization of deferred financing costs and debt issuance costs   1,009    2,600 
Changes in operating assets and liabilities:          
Collateral on forward currency exchange contracts   2,231    1,582 
Interest receivable on investments   (1,516)   608 
Prepaid Insurance   178    - 
Dividend receivable   11,918    (2,268)
Interest payable   591    (118)
Base management fee payable   (423)   295 
Incentive fee payable   (1,416)   2,929 
Accounts payable and accrued expenses   (1,550)   734 
Net cash provided by (used in) operating activities   (101,752)   174,806 
           
Cash flows from financing activities          
Borrowings on debt   55,000    375,500 
Repayments on debt   (16,000)   (486,774)
Payments of financing costs   (2,186)   - 
Payments of debt issuance costs   -    (5,657)
Stockholder distributions paid   (21,951)   (21,951)
Net cash (used in) provided by financing activities   14,863   (138,882)
           
Net increase (decrease) in cash, foreign cash, restricted cash and cash equivalents   (86,889)   35,924 
Effect of foreign currency exchange rates   (1,853)   (3,235)
Cash, foreign cash, restricted cash and cash equivalents, beginning of period   203,581    81,702 
Cash, foreign cash, restricted cash and cash equivalents, end of period  $114,839   $114,391 
           
Supplemental disclosure of cash flow information:          
Cash interest paid during the period  $9,042   $10,886 
Supplemental disclosure of non-cash information:          
Debt investment sold by the Company to ISLP  $-   $317,077 
Company investment into ISLP in exchange for investments sold  $-   $128,970 
Company investment into SLP  $5,584   $- 
Deconsolidation of 2018-1 Issuer          
Disposition of assets  $470,616   $- 
Reduction of liabilities  $390,448   $- 

 

   2022   2021 
Cash  $55,963   $36,248 
Restricted cash   34,032    76,730 
Foreign cash   24,844    1,413 
Total cash, foreign cash, restricted cash, and cash equivalents shown in the consolidated statements of cash flows  $114,839   $114,391 

  

See Notes to Consolidated Financial Statements

 

5 

 

Bain Capital Specialty Finance, Inc.

Consolidated Schedule of Investments

As of March 31, 2022

(In thousands)

(unaudited)

 

Control Type  Industry  Portfolio
Company
  Investment
Type
   Spread
Above
Index (1)
    Interest
Rate
    Maturity Date   Principal/
Shares (9)
    Cost    Market
Value
    % of NAV (4)
                                           
                                            
Non-Controlled/Non-Affiliate Investments                                   
   Aerospace & Defense  Ansett Aviation Training (6)(18)(19)  First Lien Senior Secured Loan   BBSY+ 4.69%    4.87%   9/24/2031    AUD21,215    15,931    15,931      
      Ansett Aviation Training (6)(14)(19)(25)  Equity Interest              AUD15,357    11,531    11,531      
      Forming Machining Industries Holdings, LLC (18)(19)  Second Lien Senior Secured Loan   L+ 8.25%    9.26%   10/9/2026   $6,540    6,497    5,853      
      Forming Machining Industries Holdings, LLC (18)  First Lien Senior Secured Loan   L+ 4.25%    4.47%   10/9/2025   $16,397    16,317    15,375      
      GSP Holdings, LLC (15)(19)(26)(29)  First Lien Senior Secured Loan   L+ 5.75% (0.25% PIK)    6.79%   11/6/2025   $35,559    35,483    32,892      
      GSP Holdings, LLC(3)(15)(19)(26)  First Lien Senior Secured Loan - Revolver   L+ 5.75% (0.25% PIK)    6.79%   11/6/2025   $2,736    2,720    2,531      
      Kellstrom Aerospace Group, Inc (14)(19)(25)  Equity Interest              $1    1,963    792      
      Kellstrom Commercial Aerospace, Inc. (3)(15)(19)  First Lien Senior Secured Loan - Revolver   SOFR+ 6.00%    7.00%   7/1/2025   $3,305    3,252    3,017      
      Kellstrom Commercial Aerospace, Inc. (15)(19)  First Lien Senior Secured Loan   SOFR+ 6.00%    7.00%   7/1/2025   $30,407    30,046    28,583      
      Mach Acquisition R/C (2)(3)(5)(18)(19)  First Lien Senior Secured Loan - Revolver           10/18/2026   $    (183)   (176)     
      Mach Acquisition T/L (15)(19)  First Lien Senior Secured Loan   L+ 7.50%    8.50%   10/18/2026   $32,558    31,961    31,989      
      Precision Ultimate Holdings, LLC (14)(19)(25)  Equity Interest              $1,417    1,417    1,245      
      WCI-HSG HOLDCO, LLC (14)(19)(25)  Preferred Equity              $675    675    2,097      
      WCI-HSG Purchaser, Inc. (3)(15)(19)(29)  First Lien Senior Secured Loan - Revolver   L+ 4.75%    5.75%   2/22/2025   $309    305    309      
      WCI-HSG Purchaser, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 4.75%    5.75%   2/24/2025   $8,688    8,625    8,688      
      Whitcraft LLC (2)(3)(5)(19)  First Lien Senior Secured Loan - Revolver           4/3/2023   $    (6)   (59)     
      Whitcraft LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 6.00%    7.01%   4/3/2023   $28,908    28,807    27,968      
      WP CPP Holdings, LLC. (15)  Second Lien Senior Secured Loan   L+ 7.75%    8.75%   4/30/2026   $11,724    11,653    11,479      
                           Aerospace & Defense Total $206,994   $200,045    18.0%
                                             
   Automotive  American Trailer Rental Group (19)(26)  Subordinated Debt   9.00% (2.00% PIK)    11.00%   12/1/2027   $4,924    4,856    4,924      
      American Trailer Rental Group (19)(26)  Subordinated Debt   9.00% (2.00% PIK)    11.00%   12/1/2027   $15,192    14,885    15,193      
      American Trailer Rental Group (19)(26)  Subordinated Debt   9.00% (2.00% PIK)    11.00%   12/1/2027   $10,000    9,785    10,000      
      American Trailer Rental Group (19)(26)  Subordinated Debt   9.00% (2.00% PIK)    11.00%   12/1/2027   $9,000    8,799    9,000      
      Cardo (6)(17)(19)  First Lien Senior Secured Loan   L+ 6.00%    6.50%   5/12/2028   $98    97    98      
      CST Buyer Company (3)(5)(19)  First Lien Senior Secured Loan - Revolver           10/3/2025   $    (9)         
      CST Buyer Company (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.55%    6.50%   10/3/2025   $13,638    13,573    13,638      
      JHCC Holdings, LLC (15)(19)(28)  First Lien Senior Secured Loan - Delayed Draw   P+ 4.75%    8.25%   9/9/2025   $2,635    2,619    2,503      
      JHCC Holdings, LLC (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.75%    6.75%   9/9/2025   $1,673    1,643    1,532      
      JHCC Holdings, LLC (15)(19)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.75%    6.76%   9/9/2025   $5,782    5,777    5,493      
      JHCC Holdings, LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.76%   9/9/2025   $21,428    21,236    20,357      
                           Automotive Total $83,261   $82,738    7.4%
                                             
   Banking  Green Street Parent, LLC (3)(5)(19)(29)  First Lien Senior Secured Loan - Revolver           8/27/2025   $    (27)         
      Green Street Parent, LLC (16)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.50%   8/27/2026   $3,428    3,382    3,428      
      Green Street Parent, LLC (16)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.50%   8/27/2026   $4,489    4,404    4,489      
                           Banking Total   $7,759   $7,917    0.7%
                                            
                                             
   Beverage, Food & Tobacco  NPC International, Inc. (14)(19)(25)(27)  Equity Interest              $564    843    213      
                           Beverage, Food & Tobacco Total $843   $213    0.0%
                                             
   Capital Equipment  ClockSpring (15)(19)  Second Lien Senior Secured Loan   SOFR+ 6.50%    7.50%   8/1/2025   $5,100    4,998    4,998      
      East BCC Coinvest II, LLC (14)(19)(25)  Equity Interest              $1,419    1,419    1,135      
      FCG Acquisitions, Inc. (14)(19)(25)  Preferred Equity              $4              
      Jonathan Acquisition Company (15)(19)  Second Lien Senior Secured Loan   L+ 9.00%    10.00%   12/22/2027   $8,000    7,828    8,000      
      TCFIII Owl Finance, LLC (19)  First Lien Senior Secured Loan   12.00%   12.00%   1/30/2027   $4,420    4,356    4,354      
                           Capital Equipment Total  $18,601   $18,487    1.7%
                                             
   Chemicals, Plastics & Rubber  V Global Holdings LLC (16)(19)(29)  First Lien Senior Secured Loan   SOFR+ 5.25%    6.00%   12/22/2027   $14,391    14,069    14,391      
      V Global Holdings LLC (3)(5)(16)(19)  First Lien Senior Secured Loan - Revolver   SOFR+ 5.25%    6.00%   12/22/2025   $    (147)         
                           Chemicals, Plastics & Rubber Total  $13,922   $14,391    1.3%
                                             
   Construction & Building  Chase Industries, Inc. (15)(19)(26)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.50% PIK    6.50%   5/12/2025   $1,253    1,251    977      
      Chase Industries, Inc. (15)(19)(26)  First Lien Senior Secured Loan   L+ 5.50% PIK    6.50%   5/12/2025   $13,058    13,027    10,185      
      Elk Parent Holdings, LP (14)(19)(25)  Equity Interest              $1    12    568      
      Elk Parent Holdings, LP (14)(19)(25)  Preferred Equity              $120    1,202    1,455      
      Regan Development Holdings Limited (6)(17)(19)  First Lien Senior Secured Loan   EURIBOR+ 6.50%    7.00%   4/18/2022   2,087    2,274    2,244      
      Regan Development Holdings Limited (6)(17)(19)  First Lien Senior Secured Loan   EURIBOR+ 6.50%    7.00%   4/18/2022   677    768    727      
      Regan Development Holdings Limited (6)(17)(19)  First Lien Senior Secured Loan   EURIBOR+ 6.50%    7.00%   4/18/2022   6,335    6,902    6,775      
      ServiceMaster LP Interest Class B Preferred Units (14)(19)(25)  Equity Interest              $327    327    341      
      Service Master Revolving Loan (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 7.50%    8.50%   8/16/2027   $1,888    1,808    1,888      
      Service Master Term Note (3)(15)(19)  First Lien Senior Secured Loan   L+ 7.50%    8.50%   8/16/2027   $936    919    936      
      YLG Holdings, Inc. (19)(21)  First Lien Senior Secured Loan - Delayed Draw   L+ 6.00%    6.25%   10/31/2025   $5,047    5,042    5,047      
      YLG Holdings, Inc. (3)(5)(19)  First Lien Senior Secured Loan - Revolver           10/31/2025   $    (51)         
      YLG Holdings, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.25%    6.25%   10/31/2025   $27,361    27,231    27,361      
                           Construction & Building Total   $60,712   $58,504    5.3%
                                             
   Consumer Goods: Durable  New Milani Group LLC (15)(19)  First Lien Senior Secured Loan   L+ 6.50%    7.51%   6/6/2024   $20,873    20,372    20,665      
      Stanton Carpet T/L 2nd Lien (15)(19)  Second Lien Senior Secured Loan   L+ 9.00%    10.00%   4/1/2028   $14,664    14,387    14,445      
      Tangent Technologies Acquisition, LLC (15)(19)  Second Lien Senior Secured Loan   SOFR+ 8.75%    9.75%   5/30/2028   $8,915    8,743    8,737      
      TLC Holdco LP (14)(19)(25)  Equity Interest              $1,188    1,186    446      
      TLC Purchaser, Inc. (2)(3)(5)(19)  First Lien Senior Secured Loan - Delayed Draw           10/13/2025   $    (42)   (854)     
      TLC Purchaser, Inc. (3)(19)  First Lien Senior Secured Loan - Revolver   P+ 5.25%    8.75%   10/13/2025   $6,408    6,303    5,340      
      TLC Purchaser, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 6.25%    7.25%   10/13/2025   $31,371    30,978    27,607      
                           Consumer Goods: Durable Total   $81,927   $76,386    6.9%
                                             
   Consumer Goods: Non-Durable  Fineline Technologies, Inc. (14)(19)(25)  Equity Interest              $939    939    1,300      
      FL Hawk Intermediate Holdings, Inc. (15)(19)  Second Lien Senior Secured Loan   L+ 9.00%    10.00%   8/22/2028   $21,125    20,563    21,125      
      RoC Opco LLC (3)(5)(19)  First Lien Senior Secured Loan - Revolver           2/25/2025   $    (103)         
      RoC Opco LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 8.50%    9.50%   2/25/2025   $31,157    30,733    31,157      
      Solaray, LLC (15)(19)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.50%    6.50%   9/9/2023   $14,276    14,276    14,276      
      Solaray, LLC (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 4.50%    5.50%   9/9/2022   $2,267    2,259    2,267      
      Solaray, LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.50%    6.50%   9/11/2023   $30,926    30,926    30,926      
      WU Holdco, Inc. (3)(18)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.50%    5.72%   3/26/2025   $563    532    563      
      WU Holdco, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.50%    6.50%   3/26/2026   $37,895    37,409    37,895      
      WU Holdco, Inc. (15)(19)(28)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.50%    6.50%   3/26/2026   $1,708    1,679    1,708      
                           Consumer Goods: Non-Durable Total $139,213   $141,217    12.7%

 

6 

 

 

Control Type  Industry  Portfolio
Company
  Investment
Type
   Spread
Above
Index (1)
    Interest
Rate
    Maturity Date   Principal/
Shares (9)
    Cost    Market
Value
    % of NAV (4) 
   Consumer Goods: Wholesale  WSP LP Interest (14)(19)(25)  Equity Interest              $2,898    2,898    2,182      
      WSP Initial Term Loan (15)(19)(29)  First Lien Senior Secured Loan   L+ 6.25%    7.25%   4/27/2027   $6,048    5,938    5,851      
      WSP Initial Term Loan (2)(3)(5)(19)  First Lien Senior Secured Loan - Delayed Draw           4/27/2023   $    (28)   (58)     
      WSP Revolving Loan (3)(18)(19)  First Lien Senior Secured Loan - Revolver   L+ 6.25%    6.25%   4/27/2027   $47    39    33      
                           Consumer Goods: Wholesale Total $8,847   $8,008    0.7%
                                             
   Containers, Packaging, & Glass  ASP-r-pac Acquisition Co LLC (3)(5)(19)  First Lien Senior Secured Loan - Revolver           12/29/2027   $    (62)         
      ASP-r-pac Acquisition Co LLC (16)(19)(29)  First Lien Senior Secured Loan   L+ 6.00%    6.75%   12/29/2027   $14,139    13,869    14,139      
                           Containers, Packaging, & Glass Total $13,807   $14,139    1.3%
                                             
   Energy: Oil & Gas  Amspec Services, Inc. (3)(18)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.75%    5.75%   7/2/2024   $708    681    708      
      Amspec Services, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.76%   7/2/2024   $33,249    33,051    33,248      
      Amspec Services, Inc. (15)(19)  First Lien Senior Secured Loan   L+ 5.75%    6.75%   7/2/2024   $2,791    2,765    2,791      
                            Energy: Oil & Gas Total $36,497   $36,747    3.3%
                                             
   FIRE: Finance  Allworth Financial Group, L.P. (3)(15)(19)(29)  First Lien Senior Secured Loan - Delayed Draw   SOFR+ 4.75%    5.75%   12/23/2026   $2,522    2,472    2,522      
      Allworth Financial Group, L.P. (15)(19)(29)  First Lien Senior Secured Loan   SOFR+ 4.75%    5.75%   12/23/2026   $8,618    8,520    8,618      
      Allworth Financial Group, L.P. (3)(5)(19)  First Lien Senior Secured Loan - Revolver           12/23/2026   $    (14)         
      TA/Weg Holdings (15)(19)(29)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.75%    6.75%   10/2/2025   $9,471    9,471    9,471      
      TA/Weg Holdings (15)(19)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.75%    6.75%   10/2/2025   $2,391    2,380    2,391      
                           FIRE: Finance Total  $22,829   $23,002    2.1%
                                             
   FIRE: Insurance  Margaux Acquisition Inc. (15)(19)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.75%    6.68%   12/19/2024   $9,175    9,152    9,175      
      Margaux Acquisition Inc. (3)(5)(19)  First Lien Senior Secured Loan - Revolver           12/19/2024   $    (26)         
      Margaux Acquisition Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.68%   12/19/2024   $17,728    17,535    17,728      
      Margaux UK Finance Limited (2)(3)(5)(6)(19)  First Lien Senior Secured Loan - Revolver           12/19/2024   £    (5)   (3)     
      Margaux UK Finance Limited (6)(16)(19)  First Lien Senior Secured Loan   SONIA+ 5.75%    6.50%   12/19/2024   £7,551    9,747    9,871      
      MRHT Facility A (6)(18)(19)  First Lien Senior Secured Loan   EURIBOR+ 5.50%    5.50%   7/26/2028   216    249    239      
      MRHT Acquisition Facility (3)(6)(18)(19)  First Lien Senior Secured Loan   EURIBOR+ 5.50%    5.50%   7/26/2028   267    297    296      
      Paisley Bidco Limited (6)(18)(19)  First Lien Senior Secured Loan   EURIBOR+ 5.50%    5.50%   11/26/2028   £3,210    3,584    3,558      
      Paisley Bidco Limited (3)(5)(6)(18)(19)  First Lien Senior Secured Loan - Revolver           11/26/2028   £    (81)         
      World Insurance (15)(19)(29)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.75%    6.75%   4/1/2026   $8,337    8,271    8,337      
      World Insurance (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.75%    6.75%   4/1/2026   $70    55    70      
      World Insurance (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.76%   4/1/2026   $3,137    3,084    3,137      
                           FIRE: Insurance Total   $51,862   $52,408    4.7%
                                             
   Healthcare & Pharmaceuticals  CB Titan Holdings, Inc. (14)(19)(25)  Preferred Equity               $1,953    1,953    1,053      
      CPS Group Holdings, Inc. (3)(5)(19)  First Lien Senior Secured Loan - Revolver           3/3/2025   $    (49)         
      CPS Group Holdings, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.25%    6.00%   3/3/2025   $44,902    44,654    44,902      
      Datix Bidco Limited (6)(18)(19)  First Lien Senior Secured Loan - Revolver   SONIA+ 4.50%    4.96%   10/28/2024   £10    13    13      
      Datix Bidco Limited (6)(18)(19)  Second Lien Senior Secured Loan   L+ 7.75%    8.21%   4/27/2026   £121    164    160      
      Datix Bidco Limited (6)(18)(19)  First Lien Senior Secured Loan   BBSW+ 4.00%    4.25%   4/28/2025   £42    32    32      
      Great Expressions Dental Center PC (3)(13)(15)(19)(26)  First Lien Senior Secured Loan - Revolver   L+ 4.25% (0.50% PIK)    5.75%   9/28/2022   $966    964    871      
      Great Expressions Dental Center PC (15)(19)(26)  First Lien Senior Secured Loan   L+ 4.25% (0.50% PIK)    5.75%   9/28/2023   $7,841    7,860    7,214      
      Mertus 522. GmbH (6)(18)(19)  First Lien Senior Secured Loan   EURIBOR+ 6.25%    6.25%   5/28/2026   131    142    146      
      Mertus 522. GmbH (6)(18)(19)  First Lien Senior Secured Loan   EURIBOR+ 6.25%    6.25%   5/28/2026   225    247    249      
      Premier Imaging, LLC (3)(15)(19)  First Lien Senior Secured Loan - Delayed Draw   L+ 6.00%    7.00%   1/2/2025   $1,532    1,437    1,430      
      Premier Imaging, LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 6.00%    7.00%   1/2/2025   $7,195    7,094    7,087      
      SunMed Group Holdings, LLC (3)(16)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.75%    6.50%   6/16/2027   $197    178    197      
      SunMed Group Holdings, LLC (16)(19)(29)  First Lien Senior Secured Loan   L+ 5.75%    6.50%   6/16/2028   $8,760    8,622    8,760      
      TecoStar Holdings, Inc. (15)(19)  Second Lien Senior Secured Loan   L+ 8.50%    9.50%   11/1/2024   $9,472    9,362    8,880      
                           Healthcare & Pharmaceuticals Total  $82,673   $80,994    7.3%
                                             
   High Tech Industries  AMI US Holdings Inc. (6)(15)(19)(29)  First Lien Senior Secured Loan   L+ 5.25%    6.25%   4/1/2025   $11,886    11,754    11,886      
      Appriss Holdings, Inc. (15)(19)  First Lien Senior Secured Loan   L+ 7.25%    8.25%   5/6/2027   $11,292    11,092    11,095      
      Appriss Holdings, Inc. (3)(5)(19)  First Lien Senior Secured Loan - Revolver           5/6/2027   $    (13)         
      Appriss Holdings, Inc. (14)(19)(25)  Equity Interest              $2,136    1,606    1,519      
      AQ Software Corporation (14)(18)(19)(25)  Preferred Equity              $1    1,029    1,032      
      AQ Software Corporation (14)(18)(19)(25)  Preferred Equity              $2    1,715    1,719      
      Armstrong Bidco Limited (6)(18)(19)  First Lien Senior Secured Loan   SONIA+ 5.25%    6.06%   4/30/2025   £56    78    74      
      Armstrong Bidco Limited (3)(6)(18)(19)  First Lien Senior Secured Loan   SONIA+ 5.25%    6.06%   4/30/2025   £1,589    1,964    2,088      
      CB Nike IntermediateCo Ltd (3)(5)(6)(19)  First Lien Senior Secured Loan - Revolver           10/31/2025   $    (1)         
      CB Nike IntermediateCo Ltd (6)(15)(19)  First Lien Senior Secured Loan   L+ 4.75%    5.75%   10/31/2025   $346    342    346      
      Drilling Info Holdings, Inc (18)  First Lien Senior Secured Loan   L+ 4.25%    4.71%   7/30/2025   $11,236    11,216    11,117      
      Eagle Rock Capital Corporation (14)(18)(19)(25)  Preferred Equity              $3,345    3,345    3,345      
      Element Buyer, Inc. (15)(19)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.50%    6.50%   7/19/2025   $11,059    11,076    11,059      
      Element Buyer, Inc. (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.50%    6.50%   7/19/2024   $1,700    1,675    1,700      
      Element Buyer, Inc. (15)(19)  First Lien Senior Secured Loan   L+ 5.50%    6.50%   7/18/2025   $36,912    37,100    36,912      
      Gluware T/L (6)(19)(26)  First Lien Senior Secured Loan   9.00% (3.50% PIK)    12.50%   10/15/2025   $18,898    18,271    18,301      
      Gluware Warrant (6)(14)(19)(25)  Warrants              $3,328    478    466      
      MRI Software LLC (15)(19)(28)  First Lien Senior Secured Loan   L+ 5.50%    6.51%   2/10/2026   $25,860    25,792    25,860      
      MRI Software LLC (3)(19)  First Lien Senior Secured Loan - Revolver           2/10/2026   $    49          
      Revalize, Inc. (2)(3)(5)(19)  First Lien Senior Secured Loan - Delayed Draw           4/15/2027   $    (127)   (100)     
      Revalize, Inc. (3)(18)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.75%    5.75%   4/15/2027   $838    825    827      
      Revalize, Inc. (19)(29)(32)  First Lien Senior Secured Loan - Delayed Draw   L+ 5.25%    6.76%   4/15/2027   $5,117    5,070    5,079      
      Superna Inc. (6)(15)(19)(29)  First Lien Senior Secured Loan   SOFR+ 6.25%    7.25%   3/6/2028   $26,033    25,507    25,773      
      Superna Inc. (2)(3)(5)(6)(19)  First Lien Senior Secured Loan - Delayed Draw           3/6/2028   $    (26)   (26)     
      Superna Inc. (2)(3)(5)(6)(19)  First Lien Senior Secured Loan - Revolver           3/6/2028   $    (26)   (26)     
      Superna Inc. (6)(19)(25)  Equity Interest              $1,463    1,463    1,463      
      Swoogo LLC (2)(3)(5)(18)(19)  First Lien Senior Secured Loan - Revolver           12/9/2026   $    (23)   (25)     
      Swoogo LLC (15)(19)  First Lien Senior Secured Loan   L+ 8.00%    9.00%   12/9/2026   $2,330    2,286    2,283      
      Utimaco, Inc. (6)(18)(19)  First Lien Senior Secured Loan   L+ 4.00%    4.36%   8/9/2027   $148    146    148      
      Ventiv Holdco, Inc. (3)(5)(18)(19)  First Lien Senior Secured Loan - Revolver           9/3/2025   $    (36)         
      Ventiv Topco, Inc. (14)(19)(25)  Equity Interest              $28    2,833    2,514      
      Ventiv Holdco, Inc. (15)(19)(29)  First Lien Senior Secured Loan   L+ 5.50%    6.50%   9/3/2025   $13,883    13,754    13,883      
      VPARK BIDCO AB (6)(16)(19)  First Lien Senior Secured Loan   CIBOR+ 4.00%    4.75%   3/10/2025   DKK570    92    85      
      VPARK BIDCO AB (6)(16)(19)  First Lien Senior Secured Loan   NIBOR+ 4.00%    5.42%   3/10/2025   NOK740    93    84      
                           High Tech Industries Total   $190,399   $190,481    17.1%
                                             
   Hospitality Holdings  PPX Class A Units (14)(19)(25)  Preferred Equity              $33        163      
      PPX Class B Units (14)(19)(25)  Preferred Equity              $33    5,000    5,424      
                           Hospitality Holdings Total   $5,000   $5,587    0.5%
                                             
   Hotel, Gaming & Leisure  Aimbridge Acquisition Co., Inc. (18)(19)  Second Lien Senior Secured Loan   L+ 7.50%    7.73%   2/1/2027   $20,193    19,794    18,678      
      Captain D's LLC (3)(5)(19)  First Lien Senior Secured Loan - Revolver           12/15/2023   $    (5)         
      Captain D's LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 4.50%    5.50%   12/15/2023   $6,830    6,828    6,830      

 

7 

 

 

Control Type  Industry  Portfolio
Company
  Investment
Type
   Spread
Above
Index (1)
    Interest
Rate
    Maturity Date   Principal/
Shares (9)
    Cost    Market
Value
    % of NAV (4) 
      Captain D's LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 4.50%    5.50%   12/15/2023   $2,315    2,293    2,315      
      Concert Golf Partners Holdco T/L (18)(19)(29)  First Lien Senior Secured Loan   SOFR+ 5.75%    6.59%   3/30/2029   $27,664    27,111    27,111      
      Concert Golf Partners Holdco DD T/L (2)(3)(5)(19)  First Lien Senior Secured Loan - Delayed Draw           3/30/2029   $    (84)   (84)     
      Concert Golf Partners Holdco R/C (3)(16)(19)  First Lien Senior Secured Loan - Revolver   SOFR+ 5.75%    6.50%   3/31/2028   $356    306    306      
      Quidditch Acquisition, Inc. (15)(29)  First Lien Senior Secured Loan   L+ 7.00%    8.00%   3/21/2025   $9,151    9,214    8,923      
                           Hotel, Gaming & Leisure Total   $65,457   $64,079    5.8%
                                             
   Media: Advertising, Printing & Publishing  Ansira Holdings, Inc. (15)(19)(33)  First Lien Senior Secured Loan - Delayed Draw   L+ 6.50%    7.50%   12/20/2024   $5,068    5,070    3,801      
      Ansira Holdings, Inc. (3)(15)(19)(23)  First Lien Senior Secured Loan - Revolver   P+ 5.75%    6.75%   12/20/2024   $5,383    5,383    3,613      
      Ansira Holdings, Inc. (15)(19)  First Lien Senior Secured Loan   L+ 6.50%    7.51%   12/20/2024   $40,780    40,759    30,584      
      TGI Sport Bidco Pty Ltd (6)(17)(19)  First Lien Senior Secured Loan   BBSY+ 7.00%    7.50%   4/30/2026   AUD 97    75    69      
      TGI Sport Bidco Pty Ltd (2)(3)(6)(19)  First Lien Senior Secured Loan - Revolver           4/30/2026   AUD-        (156)     
                           Media: Advertising, Printing & Publishing Total   $51,287   $37,911    3.4%
                                             
   Media: Broadcasting & Subscription  Lightning Finco Limited (6)(16)(19)  First Lien Senior Secured Loan   L+ 5.75%    6.50%   7/14/2028   $1,443    1,406    1,406      
      Lightning Finco Limited (6)(16)(19)  First Lien Senior Secured Loan   L+ 5.75%    6.50%   7/14/2028   1,300    1,415    1,404      
                           Media: Broadcasting & Subscription Total   $2,821   $2,810    0.3%
                                             
   Media: Diversified & Production  9 Story Media Group Inc. (3)(6)(19)  First Lien Senior Secured Loan - Revolver           4/30/2026   CAD-              
      9 Story Media Group Inc. (6)(16)(19)  First Lien Senior Secured Loan   CDOR+ 5.50%    6.25%   4/30/2026   CAD69    52    55      
      9 Story Media Group Inc. (6)(18)(19)  First Lien Senior Secured Loan   EURIBOR+ 5.25%    5.25%   4/30/2026   37    43    41      
      Aptus 1724 Gmbh (6)(19)(21)  First Lien Senior Secured Loan   L+ 6.25%    6.50%   2/23/2028   $9,971    9,971    9,971      
      Efficient Collaborative Retail Marketing Company, LLC (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 5.25%    6.25%   6/15/2022   $1,275    1,275    1,275      
      Efficient Collaborative Retail Marketing Company, LLC (15)(19)  First Lien Senior Secured Loan   L+ 6.75%    7.76%   6/15/2022   $15,095    15,104    14,189      
      Efficient Collaborative Retail Marketing Company, LLC (15)(19)  First Lien Senior Secured Loan   L+ 6.75%    7.76%   6/15/2022   $9,788    9,795    9,201      
      International Entertainment Investments Limited (6)(18)(19)  First Lien Senior Secured Loan   SONIA+ 4.75%    5.06%   5/31/2023   £87    107    114      
      Music Creation Group Bidco GmbH (6)(19)(21)  First Lien Senior Secured Loan   L+ 6.25%    6.50%   2/23/2028   4,065    3,968    4,065      
                           Media: Diversified & Production Total   $40,315   $38,911    3.5%
                                             
   Retail  Batteries Plus Holding Corporation (3)(15)(19)  First Lien Senior Secured Loan - Revolver   L+ 6.75%    7.75%   7/6/2022   $1,559    1,559    1,559      
      Batteries Plus Holding Corporation (15)(19)(29)  First Lien Senior Secured Loan   L+ 6.75%    7.75%   7/6/2022   $18,172    18,172    18,172      
      New Look Vision Group (3)(6)(15)(19)  First Lien Senior Secured Loan - Delayed Draw   CDOR+ 5.25%    6.43%   5/26/2028   CAD2,414    1,897    1,934      
      New Look Vision Group (3)(6)(15)(19)  First Lien Senior Secured Loan - Revolver   CDOR+ 5.25%    6.25%   5/26/2026   CAD1,173    906    939      
      New Look (Delaware) Corporation (3)(15)(19)  First Lien Senior Secured Loan - Delayed Draw   CDOR+ 5.25%    6.25%   5/26/2028   $321    310    321      
      New Look (Delaware) Corporation (15)(19)(29)  First Lien Senior Secured Loan   CDOR+ 5.50%    6.25%   5/26/2028   $9,726    9,633    9,726      
      Thrasio, LLC (15)(19)(29)  First Lien Senior Secured Loan   L+ 7.00%    8.00%   12/18/2026   $8,550    8,347    8,550      
      Walker Edison Initial Term Loan (15)(19)(26)(29)  First Lien Senior Secured Loan   L+ 5.75% (3.00% PIK)    9.75%   8/5/2027   $20,692    20,505    19,709      
                                             
                           Retail Total   $61,329   $60,910    5.5%
                                             
   Services: Business  AMCP Clean Acquisition Company, LLC (18)  First Lien Senior Secured Loan - Delayed Draw   L+ 4.25%    4.71%   7/10/2025   $3,806    3,801    3,108      
      AMCP Clean Acquisition Company, LLC (18)  First Lien Senior Secured Loan   L+ 4.25%    4.71%   7/10/2025   $15,727    15,710    12,844      
      Avalon Acquiror, Inc. (15)(19)(29)  First Lien Senior Secured Loan   SOFR+ 6.25%    7.25%   3/10/2028   $48,722    48,237    48,235      
      Avalon Acquiror, Inc. (3)(15)(19)  First Lien Senior Secured Loan - Revolver   SOFR+ 6.25%    7.25%   3/10/2028   $1,050    862    861      
      ACAMS (14)(19)(25)  Equity Interest              $3,337    3,337    3,337      
      Brook Bidco Series A Preferred Units (6)(14)(19)(25)  Preferred Equity              £5,675    7,783    8,367      
      Brook Bidco Facility B (6)(18)(19)  First Lien Senior Secured Loan   L+ 6.00%    6.31%   7/7/2028   £643    879    845      
      Caribou Bidco Limited (6)(18)(19)  First Lien Senior Secured Loan   SONIA+ 6.00%    6.20%