10-Q 1 main-20220630x10q.htm 10-Q
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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 June 30, 2022

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: 001-33723

Main Street Capital Corporation

(Exact name of registrant as specified in its charter)

Maryland
(State or other jurisdiction of
incorporation or organization)

41-2230745
(I.R.S. Employer
Identification No.)

1300 Post Oak Boulevard, 8th Floor
Houston, TX
(Address of principal executive offices)

77056
(Zip Code)

(713350-6000

(Registrant’s telephone number including area code)

n/a

(Former name, former address and former fiscal year, if changed since last report)

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

Title of Each Class

  

Trading Symbol

 

Name of Each Exchange on Which
Registered

Common Stock, par value $0.01 per share

MAIN

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  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 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 outstanding of the issuer’s common stock as of August 4, 2022 was 73,905,636.

TABLE OF CONTENTS

PART I

FINANCIAL INFORMATION

Item 1.

Consolidated Financial Statements

Consolidated Balance Sheets—June 30, 2022 (unaudited) and December 31, 2021

1

Consolidated Statements of Operations (unaudited)—Three and six months ended June 30, 2022 and 2021

2

Consolidated Statements of Changes in Net Assets (unaudited)—Six months ended June 30, 2022 and 2021

3

Consolidated Statements of Cash Flows (unaudited)—Six months ended June 30, 2022 and 2021

4

Consolidated Schedule of Investments (unaudited)—June 30, 2022

5

Consolidated Schedule of Investments—December 31, 2021

28

Notes to Consolidated Financial Statements (unaudited)

51

Consolidated Schedules of Investments in and Advances to Affiliates (unaudited)—Six months ended June 30, 2022 and 2021

88

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

99

Item 3.

Quantitative and Qualitative Disclosures about Market Risk

122

Item 4.

Controls and Procedures

122

PART II

OTHER INFORMATION

Item 1.

Legal Proceedings

123

Item 1A.

Risk Factors

123

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

123

Item 6.

Exhibits

124

Signatures

125

MAIN STREET CAPITAL CORPORATION

Consolidated Balance Sheets

(in thousands, except shares and per share amounts)

June 30, 

December 31, 

    

2022

    

2021

(Unaudited)

ASSETS

 

  

 

  

Investments at fair value:

 

  

 

  

Control investments (cost: $1,145,692 and $1,107,597 as of June 30, 2022 and December 31, 2021, respectively)

$

1,538,158

$

1,489,257

Affiliate investments (cost: $540,457 and $578,539 as of June 30, 2022 and December 31, 2021, respectively)

 

518,061

 

549,214

Non‑Control/Non‑Affiliate investments (cost: $1,737,243 and $1,573,110 as of June 30, 2022 and December 31, 2021, respectively)

 

1,661,551

 

1,523,360

Total investments (cost: $3,423,392 and $3,259,246 as of June 30, 2022 and December 31, 2021, respectively)

 

3,717,770

 

3,561,831

Cash and cash equivalents

 

43,383

 

32,629

Interest and dividend receivable and other assets

 

59,421

 

56,488

Receivable for securities sold

 

1,441

 

35,125

Deferred financing costs (net of accumulated amortization of $9,948 and $9,462 as of June 30, 2022 and December 31, 2021, respectively)

 

3,730

 

4,217

Total assets

$

3,825,745

$

3,690,290

LIABILITIES

 

 

Credit facility

$

380,000

$

320,000

3.00% Notes due 2026 (par: $500,000 as of both June 30, 2022 and December 31, 2021)

 

497,872

 

497,609

5.20% Notes due 2024 (par: $450,000 as of both June 30, 2022 and December 31, 2021)

 

450,999

 

451,272

SBIC debentures (par: $350,000 as of both June 30, 2022 and December 31, 2021)

 

343,323

 

342,731

4.50% Notes due 2022 (par: $185,000 as of both June 30, 2022 and December 31, 2021)

 

184,747

 

184,444

Accounts payable and other liabilities

 

29,978

 

40,469

Payable for securities purchased

 

 

5,111

Interest payable

 

14,968

 

14,926

Dividend payable

 

15,673

 

15,159

Deferred tax liability, net

 

43,022

 

29,723

Total liabilities

 

1,960,582

 

1,901,444

Commitments and contingencies (Note K)

 

 

NET ASSETS

 

 

Common stock, $0.01 par value per share (150,000,000 shares authorized; 73,455,801 and 70,700,885 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively)

 

735

 

707

Additional paid‑in capital

 

1,837,305

 

1,736,346

Total undistributed earnings

 

27,123

 

51,793

Total net assets

 

1,865,163

 

1,788,846

Total liabilities and net assets

$

3,825,745

$

3,690,290

NET ASSET VALUE PER SHARE

$

25.37

$

25.29

The accompanying notes are an integral part of these consolidated financial statements

1

MAIN STREET CAPITAL CORPORATION

Consolidated Statements of Operations

(in thousands, except shares and per share amounts)

(Unaudited)

Three Months Ended

Six Months Ended

    

June 30, 

June 30, 

    

    

2022

    

2021

    

2022

    

2021

INVESTMENT INCOME:

 

  

 

  

 

  

 

  

 

Interest, fee and dividend income:

 

  

 

  

 

  

 

  

 

Control investments

$

36,808

$

27,027

$

69,385

$

51,052

Affiliate investments

 

11,893

 

11,005

 

25,810

 

22,511

Non‑Control/Non‑Affiliate investments

 

36,499

 

29,262

 

69,401

 

56,539

Total investment income

 

85,200

 

67,294

 

164,596

 

130,102

EXPENSES:

 

 

 

 

Interest

 

(17,295)

 

(14,400)

 

(33,982)

 

(28,206)

Compensation

 

(8,807)

 

(6,895)

 

(16,076)

 

(13,216)

General and administrative

 

(4,238)

 

(3,417)

 

(7,464)

 

(6,392)

Share‑based compensation

 

(3,596)

 

(2,759)

 

(6,414)

 

(5,092)

Expenses allocated to the External Investment Manager

 

3,462

 

2,572

 

6,279

 

4,952

Total expenses

 

(30,474)

 

(24,899)

 

(57,657)

 

(47,954)

NET INVESTMENT INCOME

 

54,726

 

42,395

 

106,939

 

82,148

NET REALIZED GAIN (LOSS):

 

 

 

 

Control investments

 

 

(2,320)

 

 

(13,245)

Affiliate investments

 

47

 

13,913

 

739

 

9,110

Non‑Control/Non‑Affiliate investments

 

(5,111)

 

6,407

 

(2,467)

 

6,405

Total net realized gain (loss)

 

(5,064)

 

18,000

 

(1,728)

 

2,270

NET UNREALIZED APPRECIATION (DEPRECIATION):

 

 

 

 

Control investments

 

4,822

 

30,824

 

13,101

 

45,084

Affiliate investments

 

1,731

 

9,816

 

4,772

 

16,232

Non‑Control/Non‑Affiliate investments

 

(31,146)

 

3,801

 

(27,714)

 

17,124

Total net unrealized appreciation (depreciation)

 

(24,593)

 

44,441

 

(9,841)

 

78,440

INCOME TAXES:

 

 

 

 

Federal and state income, excise and other taxes

 

(809)

 

(656)

 

(2,118)

 

(1,289)

Deferred taxes

 

(9,511)

 

(9,070)

 

(13,299)

 

(9,118)

Income tax benefit (provision)

 

(10,320)

 

(9,726)

 

(15,417)

 

(10,407)

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS

$

14,749

$

95,110

$

79,953

$

152,451

NET INVESTMENT INCOME PER SHARE—BASIC AND DILUTED

$

0.75

$

0.62

$

1.47

$

1.20

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS PER SHARE—BASIC AND DILUTED

$

0.20

$

1.39

$

1.10

$

2.23

WEIGHTED AVERAGE SHARES
OUTSTANDING—BASIC AND DILUTED

 

73,304,619

 

68,514,683

 

72,512,793

 

68,321,701

The accompanying notes are an integral part of these consolidated financial statements

2

MAIN STREET CAPITAL CORPORATION

Consolidated Statements of Changes in Net Assets

(in thousands, except shares)

(Unaudited)

Total

Common Stock

Additional

Undistributed

Number of

Par

PaidIn

(Overdistributed)

Total Net

    

Shares

    

Value

    

Capital

    

Earnings

    

Asset Value

Balances at December 31, 2020

 

67,762,032

$

677

$

1,615,940

$

(101,850)

$

1,514,767

Public offering of common stock, net of offering costs

117,388

 

2

 

3,626

 

 

3,628

Share‑based compensation

 

 

2,333

 

 

2,333

Purchase of vested stock for employee payroll tax withholding

(180)

 

 

(7)

 

 

(7)

Dividend reinvestment

106,651

 

1

 

3,698

 

 

3,699

Amortization of directors’ deferred compensation

 

 

195

 

 

195

Issuance of restricted stock

15,007

 

 

 

 

Dividends to stockholders

 

 

96

 

(41,893)

 

(41,797)

Net increase resulting from operations

 

 

 

57,346

 

57,346

Balances at March 31, 2021

68,000,898

$

680

$

1,625,881

$

(86,397)

$

1,540,164

Public offering of common stock, net of offering costs

231,795

 

2

 

9,396

 

 

9,398

Share‑based compensation

 

 

2,759

 

 

2,759

Purchase of vested stock for employee payroll tax withholding

(114,357)

 

(1)

 

(4,464)

 

 

(4,465)

Dividend reinvestment

91,632

 

1

 

3,755

 

 

3,756

Amortization of directors’ deferred compensation

 

 

163

 

 

163

Issuance of restricted stock, net of forfeited shares

321,821

 

3

 

(3)

 

 

Dividends to stockholders

 

 

96

 

(42,140)

 

(42,044)

Net increase resulting from operations

 

 

 

95,110

 

95,110

Balances at June 30, 2021

68,531,789

$

685

$

1,637,583

$

(33,427)

$

1,604,841

Balances at December 31, 2021

70,737,021

$

707

$

1,736,346

$

51,793

$

1,788,846

Public offering of common stock, net of offering costs

1,502,430

 

15

 

63,507

 

 

63,522

Share‑based compensation

 

 

2,818

 

 

2,818

Dividend reinvestment

114,043

 

1

 

4,812

 

 

4,813

Amortization of directors’ deferred compensation

 

 

147

 

 

147

Issuance of restricted stock, net of forfeited shares

16,913

 

 

 

 

Dividends to stockholders

 

 

109

 

(51,804)

 

(51,695)

Net increase resulting from operations

 

 

 

65,203

 

65,203

Balances at March 31, 2022

72,370,407

$

723

$

1,807,739

$

65,192

$

1,873,654

Public offering of common stock, net of offering costs

662,828

 

7

 

25,626

 

 

25,633

Share‑based compensation

 

 

3,596

 

 

3,596

Purchase of vested stock for employee payroll tax withholding

(115,071)

 

(1)

 

(4,894)

 

 

(4,895)

Dividend reinvestment

132,156

 

1

 

4,999

 

 

5,000

Amortization of directors’ deferred compensation

 

 

130

 

 

130

Issuance of restricted stock, net of forfeited shares

467,238

 

5

 

(5)

 

 

Dividends to stockholders

 

 

114

 

(52,818)

 

(52,704)

Net increase resulting from operations

 

 

 

14,749

 

14,749

Balances at June 30, 2022

73,517,558

$

735

$

1,837,305

$

27,123

$

1,865,163

The accompanying notes are an integral part of these consolidated financial statements

3

MAIN STREET CAPITAL CORPORATION

Consolidated Statements of Cash Flows

(in thousands)

(Unaudited)

Six Months Ended

    

June 30, 

2022

   

2021

CASH FLOWS FROM OPERATING ACTIVITIES

Net increase in net assets resulting from operations

$

79,953

$

152,451

Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:

Investments in portfolio companies

(540,429)

(520,706)

Proceeds from sales and repayments of debt investments in portfolio companies

381,697

279,303

Proceeds from sales and return of capital of equity investments in portfolio companies

30,293

55,915

Net unrealized (appreciation) depreciation

9,841

(78,440)

Net realized (gain) loss

1,728

(2,270)

Accretion of unearned income

(7,354)

(6,391)

Payment-in-kind interest

(2,364)

(4,672)

Cumulative dividends

(1,062)

(858)

Share-based compensation expense

6,414

5,092

Amortization of deferred financing costs

1,372

1,494

Deferred tax (benefit) provision

13,299

9,118

Changes in other assets and liabilities:

Interest and dividend receivable and other assets

(3,686)

(5,047)

Interest payable

42

3,220

Accounts payable and other liabilities

(10,216)

1,234

Deferred fees and other

1,037

2,363

Net cash used in operating activities

(39,435)

(108,194)

CASH FLOWS FROM FINANCING ACTIVITIES

Proceeds from public offering of common stock, net of offering costs

89,155

13,026

Proceeds from public offering of 3.00% Notes due 2026

-

300,000

Dividends paid

(94,071)

(76,221)

Proceeds from issuance of SBIC debentures

-

52,200

Repayments of SBIC debentures

-

(40,000)

Proceeds from credit facility

303,000

446,000

Repayments on credit facility

(243,000)

(546,000)

Debt issuance premiums (costs), net

-

(9,462)

Purchases of vested stock for employee payroll tax withholding

(4,895)

(4,472)

Net cash provided by financing activities

50,189

135,071

Net increase in cash and cash equivalents

10,754

26,877

CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD

32,629

31,919

CASH AND CASH EQUIVALENTS AT END OF PERIOD

$

43,383

$

58,796

Supplemental cash flow disclosures:

Interest paid

$

32,505

$

23,427

Taxes paid

$

4,920

$

1,609

Non-cash financing activities:

Value of shares issued pursuant to the DRIP

$

9,813

$

7,455

The accompanying notes are an integral part of these consolidated financial statements

4

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments

June 30, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Business Description

Type of Investment (2) (3) (15)

Investment Date (24)

Shares/Units

Rate (39)

Maturity Date

Principal (4)

Cost (4)

Fair Value (18)

Control Investments (5)

Analytical Systems Keco Holdings, LLC

Manufacturer of Liquid and Gas Analyzers

Secured Debt

(9)

8/16/2019

12.00% (L+10.00%, Floor 2.00%)

8/16/2024

$

4,805

$

4,641

$

4,641

Preferred Member Units

8/16/2019

3,200

3,200

-

Preferred Member Units

5/20/2021

2,427

2,426

4,318

Warrants

(27)

8/16/2019

420

8/16/2029

316

-

10,583

8,959

ASC Interests, LLC

Recreational and Educational Shooting Facility

Secured Debt

12/31/2019

13.00%

7/31/2024

170

170

170

Secured Debt

8/1/2013

13.00%

7/31/2024

1,650

1,648

1,648

Member Units

8/1/2013

1,500

1,500

800

3,318

2,618

ATS Workholding, LLC

(10)

Manufacturer of Machine Cutting Tools and Accessories

Secured Debt

(14)

11/16/2017

5.00%

8/16/2023

4,728

4,570

2,939

Preferred Member Units

11/16/2017

3,725,862

3,726

-

8,296

2,939

Barfly Ventures, LLC

(10)

Casual Restaurant Group

Secured Debt

10/15/2020

7.00%

10/31/2024

711

711

711

Member Units

10/26/2020

37

1,584

2,400

2,295

3,111

Batjer TopCo, LLC

HVAC Mechanical Contractor

Secured Debt

3/7/2022

11.00%

3/31/2027

11,025

10,913

10,913

Preferred Stock

3/7/2022

4,073

4,073

4,073

14,986

14,986

Bolder Panther Group, LLC

Consumer Goods and Fuel Retailer

Secured Debt

(9)

12/31/2020

10.50% (L+9.00%, Floor 1.50%)

12/31/2025

49,194

48,920

49,194

Class B Preferred Member Units

(8)

12/31/2020

140,000

8.00%

14,000

25,930

62,920

75,124

Brewer Crane Holdings, LLC

Provider of Crane Rental and Operating Services

Secured Debt

(9)

1/9/2018

11.06% (L+10.00%, Floor 1.00%)

1/9/2023

7,812

7,801

7,801

Preferred Member Units

(8)

1/9/2018

2,950

4,279

7,050

12,080

14,851

Bridge Capital Solutions Corporation

Financial Services and Cash Flow Solutions Provider

Secured Debt

7/25/2016

13.00%

12/11/2024

8,813

8,813

8,813

Secured Debt

(30)

7/25/2016

13.00%

12/11/2024

1,000

1,000

1,000

Preferred Member Units

(8) (30)

7/25/2016

17,742

1,000

1,000

Warrants

(27)

7/25/2016

82

7/25/2026

2,132

4,260

12,945

15,073

Café Brazil, LLC

Casual Restaurant Group

Member Units

(8)

6/9/2006

1,233

1,742

2,520

California Splendor Holdings LLC

Processor of Frozen Fruits

Secured Debt

(9)

3/30/2018

11.00% (L+10.00%, Floor 1.00%)

7/29/2026

28,000

27,944

28,000

5

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

June 30, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Business Description

Type of Investment (2) (3) (15)

Investment Date (24)

Shares/Units

Rate (39)

Maturity Date

Principal (4)

Cost (4)

Fair Value (18)

Preferred Member Units

(8) (19)

7/31/2019

3,671

15.00% PIK

3,713

3,713

Preferred Member Units

(8)

3/30/2018

6,157

10,775

19,295

42,432

51,008

CBT Nuggets, LLC

Produces and Sells IT Training Certification Videos

Member Units

(8)

6/1/2006

416

1,300

47,900

Centre Technologies Holdings, LLC

Provider of IT Hardware Services and Software Solutions

Secured Debt

(9)

1/4/2019

12.00% (L+10.00%, Floor 2.00%)

1/4/2026

15,030

14,941

14,941

Preferred Member Units

1/4/2019

13,309

6,122

6,890

21,063

21,831

Chamberlin Holding LLC

Roofing and Waterproofing Specialty Contractor

Secured Debt

(9)

2/26/2018

9.13% (L+8.00%, Floor 1.00%)

2/26/2023

17,466

17,422

17,466

Member Units

(8)

2/26/2018

4,347

11,440

22,510

Member Units

(8) (30)

11/2/2018

1,047,146

1,322

1,540

30,184

41,516

Charps, LLC

Pipeline Maintenance and Construction

Unsecured Debt

8/26/2020

10.00%

1/31/2026

5,694

4,626

5,694

Preferred Member Units

(8)

2/3/2017

1,829

1,963

13,450

6,589

19,144

Clad-Rex Steel, LLC

Specialty Manufacturer of Vinyl-Clad Metal

Secured Debt

(9)

12/20/2016

10.63% (L+9.50%, Floor 1.00%)

1/15/2024

10,480

10,421

10,421

Secured Debt

12/20/2016

10.00%

12/20/2036

1,065

1,055

1,055

Member Units

(8)

12/20/2016

717

7,280

10,250

Member Units

(30)

12/20/2016

800

210

610

18,966

22,336

CMS Minerals Investments

Oil & Gas Exploration & Production

Member Units

(8) (30)

4/1/2016

100

1,691

2,274

Cody Pools, Inc.

Designer of Residential and Commercial Pools

Secured Debt

(9)

3/6/2020

12.25% (L+10.50%, Floor 1.75%)

12/17/2026

41,649

41,315

41,637

Preferred Member Units

(8) (30)

3/6/2020

587

8,317

51,190

49,632

92,827

Colonial Electric Company LLC

Provider of Electrical Contracting Services

Secured Debt

3/31/2021

12.00%

3/31/2026

25,540

25,351

25,351

Preferred Member Units

(8)

3/31/2021

17,280

7,680

8,940

33,031

34,291

CompareNetworks Topco, LLC

Internet Publishing and Web Search Portals

Secured Debt

(9)

1/29/2019

10.13% (L+9.00%, Floor 1.00%)

1/29/2024

5,741

5,726

5,741

Preferred Member Units

(8)

1/29/2019

1,975

1,975

17,230

7,701

22,971

6

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

June 30, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Business Description

Type of Investment (2) (3) (15)

Investment Date (24)

Shares/Units

Rate (39)

Maturity Date

Principal (4)

Cost (4)

Fair Value (18)

Copper Trail Fund Investments

(12) (13)

Investment Partnership

LP Interests (CTMH, LP)

(31)

7/17/2017

38.8%

710

710

Datacom, LLC

Technology and Telecommunications Provider

Secured Debt

3/31/2021

7.50%

12/31/2025

8,757

8,245

7,617

Preferred Member Units

(8)

3/31/2021

9,000

2,610

2,670

10,855

10,287

Digital Products Holdings LLC

Designer and Distributor of Consumer Electronics

Secured Debt

(9)

4/1/2018

11.13% (L+10.00%, Floor 1.00%)

4/1/2023

16,193

16,163

16,163

Preferred Member Units

(8)

4/1/2018

3,857

9,501

9,835

25,664

25,998

Direct Marketing Solutions, Inc.

Provider of Omni-Channel Direct Marketing Services

Secured Debt

(9)

2/13/2018

12.13% (L+11.00%, Floor 1.00%)

2/13/2024

24,678

24,561

24,678

Preferred Stock

(8)

2/13/2018

8,400

8,400

21,550

32,961

46,228

Flame King Holdings, LLC

Propane Tank and Accessories Distributor

Secured Debt

(9)

10/29/2021

7.50% (L+6.50%, Floor 1.00%)

10/31/2026

7,600

7,532

7,600

Secured Debt

(9)

10/29/2021

12.00% (L+11.00%, Floor 1.00%)

10/31/2026

21,200

21,017

21,200

Preferred Equity

(8)

10/29/2021

9,360

10,400

13,410

38,949

42,210

Gamber-Johnson Holdings, LLC

Manufacturer of Ruggedized Computer Mounting Systems

Secured Debt

(9)

6/24/2016

10.00% (L+8.00%, Floor 2.00%)

1/1/2025

21,598

21,545

21,598

Member Units

(8)

6/24/2016

9,042

17,692

46,300

39,237

67,898

Garreco, LLC

Manufacturer and Supplier of Dental Products

Secured Debt

(9)

7/15/2013

9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%)

7/31/2023

4,196

4,196

4,196

Member Units

(8)

7/15/2013

1,200

1,200

2,490

5,396

6,686

GRT Rubber Technologies LLC

Manufacturer of Engineered Rubber Products

Secured Debt

12/19/2014

9.06% (L+8.00%)

10/29/2026

38,885

38,694

38,885

Member Units

(8)

12/19/2014

5,879

13,065

46,190

51,759

85,075

Gulf Manufacturing, LLC

Manufacturer of Specialty Fabricated Industrial Piping Products

Member Units

(8)

8/31/2007

438

2,980

5,510

Gulf Publishing Holdings, LLC

Energy Industry Focused Media and Publishing

Secured Debt

(9) (17) (19)

9/29/2017

10.60% (5.25% Cash, 5.25% PIK)

9/30/2020

257

257

257

7

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

June 30, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Business Description

Type of Investment (2) (3) (15)

Investment Date (24)

Shares/Units

Rate (39)

Maturity Date

Principal (4)

Cost (4)

Fair Value (18)

(L+9.50%, Floor 1.00%)

Secured Debt

(17) (19)

4/29/2016

12.50% (6.25% Cash, 6.25% PIK)

4/29/2021

13,565

13,565

7,529

Member Units

4/29/2016

3,681

3,681

-

17,503

7,786

Harris Preston Fund Investments

(12) (13)

Investment Partnership

LP Interests (2717 MH, L.P.)

(31)

10/1/2017

49.3%

3,877

6,554

LP Interests (2717 HPP-MS, L.P.)

(31)

3/11/2022

49.3%

244

244

4,121

6,798

Harrison Hydra-Gen, Ltd.

Manufacturer of Hydraulic Generators

Common Stock

6/4/2010

107,456

718

3,330

Jensen Jewelers of Idaho, LLC

Retail Jewelry Store

Secured Debt

(9)

11/14/2006

10.75% (Prime+6.75%, Floor 2.00%)

11/14/2023

2,450

2,441

2,450

Member Units

(8)

11/14/2006

627

811

15,120

3,252

17,570

Johnson Downie Opco, LLC

Executive Search Services

Secured Debt

(9)

12/10/2021

13.00% (L+11.50%, Floor 1.50%)

12/10/2026

10,437

10,328

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