Attached files
| file | filename |
|---|---|
| EX-32.1 - EX-32.1 - PhenixFIN Corp | exhibit321063020.htm |
| EX-31.2 - EX-31.2 - PhenixFIN Corp | exhibit312063020.htm |
| EX-31.1 - EX-31.1 - PhenixFIN Corp | exhibit311063020.htm |
| EX-21.1 - EX-21.1 - PhenixFIN Corp | exhibit211063020.htm |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
Form 10-Q
| ý | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | ||||
| For the Quarterly Period Ended June 30, 2020 | |||||
| or | |||||
| ¨ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | ||||
For the transition period from to
Commission file number: 1-35040
MEDLEY CAPITAL CORPORATION
(Exact Name of Registrant as Specified in its Charter)
| Delaware | 27-4576073 | |||||||
| (State or Other Jurisdiction of | (I.R.S. Employer | |||||||
| Incorporation or Organization) | Identification No.) | |||||||
| 280 Park Avenue, 6th Floor East, New York, NY 10017 | 10017 | |||||||
| (Address of Principal Executive Offices) | (Zip Code) | |||||||
(212) 759-0777
(Registrant’s Telephone Number, Including Area Code)
_____________________________________________________________________________________________________
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
| Common Stock, par value $0.001 per share | MCC | The New York Stock Exchange | ||||||||||||
| 6.500% Notes due 2021 | MCX | The New York Stock Exchange | ||||||||||||
| 6.125% Notes due 2023 | MCV | The New York Stock Exchange | ||||||||||||
Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý No ¨
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ¨ No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer ¨ Accelerated filer ý Non-accelerated filer ¨ Smaller reporting company ¨ Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Securities Exchange Act of 1934). Yes ¨ No ý
The Registrant had 2,723,711 shares of common stock, $0.001 par value, outstanding as of August 7, 2020.
MEDLEY CAPITAL CORPORATION
TABLE OF CONTENTS
| Part I. Financial Information | |||||
| Item 1. Financial Statements | |||||
Item 4. Controls and Procedures | |||||
| Part II. Other Information | |||||
Item 1. Legal Proceedings | |||||
Item 1A. Risk Factors | |||||
Item 3. Defaults Upon Senior Securities | |||||
Item 4. Mine Safety Disclosures | |||||
Item 5. Other Information | |||||
Item 6. Exhibits | |||||
| SIGNATURES | |||||
Medley Capital Corporation
Consolidated Statements of Assets and Liabilities
| June 30, 2020 | September 30, 2019 | ||||||||||
| (unaudited) | |||||||||||
| ASSETS | |||||||||||
| Investments at fair value | |||||||||||
| Non-controlled/non-affiliated investments (amortized cost of $139,960,645 and $204,736,370, respectively) | $ | 116,696,866 | $ | 189,895,466 | |||||||
| Affiliated investments (amortized cost of $86,468,874 and $108,310,029, respectively) | 80,256,929 | 99,539,605 | |||||||||
| Controlled investments (amortized cost of $117,874,821 and $154,601,177, respectively) | 53,665,259 | 107,453,927 | |||||||||
| Total investments at fair value | 250,619,054 | 396,888,998 | |||||||||
| Cash and cash equivalents | 52,203,301 | 68,245,213 | |||||||||
| Restricted cash (see Note 2) | — | 16,038,690 | |||||||||
| Other assets | 2,041,805 | 2,973,731 | |||||||||
| Interest receivable | 662,860 | 1,592,406 | |||||||||
| Receivable for dispositions and investments sold | 1,302,278 | 419,299 | |||||||||
| Fees receivable | 119,028 | 108,305 | |||||||||
| Total assets | $ | 306,948,326 | $ | 486,266,642 | |||||||
| LIABILITIES | |||||||||||
| Notes payable (net of debt issuance costs of $1,134,394 and $5,274,164, respectively) | $ | 150,732,566 | $ | 251,731,729 | |||||||
| Accounts payable and accrued expenses | 4,375,939 | 11,956,755 | |||||||||
| Interest and fees payable | 801,805 | 2,904,748 | |||||||||
| Management and incentive fees payable (see Note 6) | 1,317,223 | 2,231,175 | |||||||||
| Administrator expenses payable (see Note 6) | 265,108 | 861,785 | |||||||||
| Deferred revenue | 29,006 | 103,583 | |||||||||
| Due to affiliate | 30,939 | 44,337 | |||||||||
| Deferred tax liability | 49,694 | — | |||||||||
| Total liabilities | $ | 157,602,280 | $ | 269,834,112 | |||||||
| Guarantees and Commitments (see Note 8) | |||||||||||
| NET ASSETS | |||||||||||
Common stock, par value $0.001 per share, 5,000,000 common shares authorized, 2,723,711 and 2,723,711 common shares issued and outstanding, respectively(1) | $ | 2,724 | $ | 2,724 | |||||||
| Capital in excess of par value | 673,584,468 | 673,584,468 | |||||||||
| Total distributable earnings/(loss) | (524,241,146) | (457,154,662) | |||||||||
| Total net assets | 149,346,046 | 216,432,530 | |||||||||
| Total liabilities and net assets | $ | 306,948,326 | $ | 486,266,642 | |||||||
NET ASSET VALUE PER SHARE(1) | $ | 54.83 | $ | 79.46 | |||||||
(1)Authorized, issued and outstanding common shares and net asset value per share have been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.
See accompanying notes to consolidated financial statements.
F-1
Medley Capital Corporation
Consolidated Statements of Operations
| For the three months ended June 30 | For the nine months ended June 30 | ||||||||||||||||||||||
| 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
| (unaudited) | (unaudited) | (unaudited) | (unaudited) | ||||||||||||||||||||
| INVESTMENT INCOME | |||||||||||||||||||||||
| Interest from investments | |||||||||||||||||||||||
| Non-controlled/non-affiliated investments: | |||||||||||||||||||||||
| Cash | $ | 1,961,009 | $ | 5,663,055 | $ | 7,499,171 | $ | 21,250,292 | |||||||||||||||
| Payment-in-kind | 138,018 | 306,022 | 465,339 | 1,484,205 | |||||||||||||||||||
| Affiliated investments: | |||||||||||||||||||||||
| Cash | 291,569 | 495,962 | 691,010 | 1,707,679 | |||||||||||||||||||
| Payment-in-kind | 487,065 | 668,601 | 2,141,327 | 2,284,966 | |||||||||||||||||||
| Controlled investments: | |||||||||||||||||||||||
| Cash | — | 85,759 | 84,505 | 249,217 | |||||||||||||||||||
| Payment-in-kind | — | 819,580 | 500,767 | 2,608,437 | |||||||||||||||||||
| Total interest income | 2,877,661 | 8,038,979 | 11,382,119 | 29,584,796 | |||||||||||||||||||
| Dividend income | 1,225,000 | 2,012,500 | 4,725,000 | 6,104,027 | |||||||||||||||||||
| Interest from cash and cash equivalents | 4,319 | 139,981 | 376,747 | 512,510 | |||||||||||||||||||
| Fee income (see Note 9) | 202,122 | 1,202,563 | 617,654 | 1,981,400 | |||||||||||||||||||
| Total investment income | 4,309,102 | 11,394,023 | 17,101,520 | 38,182,733 | |||||||||||||||||||
| EXPENSES | |||||||||||||||||||||||
| Base management fees (see Note 6) | 1,317,223 | 2,688,946 | 4,966,728 | 8,958,472 | |||||||||||||||||||
| Incentive fees (see Note 6) | — | — | — | — | |||||||||||||||||||
| Interest and financing expenses | 2,736,136 | 6,833,680 | 12,312,183 | 18,741,485 | |||||||||||||||||||
| General and administrative | 540,066 | 1,161,988 | 3,140,305 | 4,646,854 | |||||||||||||||||||
| Administrator expenses (see Note 6) | 614,535 | 762,428 | 1,742,419 | 2,462,204 | |||||||||||||||||||
| Insurance | 333,816 | 127,446 | 988,394 | 363,623 | |||||||||||||||||||
| Directors fees | 347,500 | 419,725 | 960,000 | 1,088,575 | |||||||||||||||||||
| Professional fees, net (see Note 8) | (511,519) | 3,222,912 | (4,796,964) | 14,580,192 | |||||||||||||||||||
| Expenses before expense support reimbursement and management and incentive fee waivers | 5,377,757 | 15,217,125 | 19,313,065 | 50,841,405 | |||||||||||||||||||
| Expense support reimbursement (see Note 6) | (349,427) | — | (349,427) | — | |||||||||||||||||||
| Management fee waiver (see Note 6) | — | — | — | — | |||||||||||||||||||
| Incentive fee waiver (see Note 6) | — | — | — | — | |||||||||||||||||||
| Total expenses net of expense support reimbursement and management and incentive fee waivers | 5,028,330 | 15,217,125 | 18,963,638 | 50,841,405 | |||||||||||||||||||
| NET INVESTMENT INCOME/(LOSS) | (719,228) | (3,823,102) | (1,862,118) | (12,658,672) | |||||||||||||||||||
| REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS | |||||||||||||||||||||||
| Net realized gain/(loss) from investments | |||||||||||||||||||||||
| Non-controlled/non-affiliated investments | (532,253) | (8,962,845) | (690,167) | (24,762,224) | |||||||||||||||||||
| Affiliated investments | — | — | — | — | |||||||||||||||||||
| Controlled investments | (37,389,588) | — | (39,076,425) | (51,538,556) | |||||||||||||||||||
| Net realized gain/(loss) from investments | (37,921,841) | (8,962,845) | (39,766,592) | (76,300,780) | |||||||||||||||||||
| Net unrealized appreciation/(depreciation) on investments | |||||||||||||||||||||||
| Non-controlled/non-affiliated investments | 7,379,695 | 5,159,471 | (8,422,875) | 25,323,391 | |||||||||||||||||||
| Affiliated investments | 8,137,213 | (653,138) | 2,558,480 | (6,126,691) | |||||||||||||||||||
| Controlled investments | 31,389,160 | (20,155,432) | (17,062,311) | 6,764,059 | |||||||||||||||||||
| Net unrealized appreciation/(depreciation) on investments | 46,906,068 | (15,649,099) | (22,926,706) | 25,960,759 | |||||||||||||||||||
| Change in provision for deferred taxes on unrealized (appreciation)/depreciation on investments | 35,970 | — | (49,694) | — | |||||||||||||||||||
| Loss on extinguishment of debt (see Note 5) | (697,191) | (1,805,802) | (2,481,374) | (1,928,773) | |||||||||||||||||||
| Net realized and unrealized gain/(loss) on investments | 8,323,006 | (26,417,746) | (65,224,366) | (52,268,794) | |||||||||||||||||||
| NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 7,603,778 | $ | (30,240,848) | $ | (67,086,484) | $ | (64,927,466) | |||||||||||||||
WEIGHTED AVERAGE - BASIC AND DILUTED EARNINGS PER COMMON SHARE(1) | $ | 2.79 | $ | (11.10) | $ | (24.63) | $ | (23.84) | |||||||||||||||
WEIGHTED AVERAGE - BASIC AND DILUTED NET INVESTMENT INCOME/(LOSS) PER COMMON SHARE(1) | $ | (0.26) | $ | (1.40) | $ | (0.68) | $ | (4.65) | |||||||||||||||
WEIGHTED AVERAGE COMMON STOCK OUTSTANDING - BASIC AND DILUTED (SEE NOTE 11)(1) | 2,723,711 | 2,723,711 | 2,723,711 | 2,723,711 | |||||||||||||||||||
DIVIDENDS DECLARED PER COMMON SHARE(2) | $ | — | $ | — | $ | — | $ | 3.00 | |||||||||||||||
F-2
(1)Basic and diluted shares has been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.
(2)Dividends declared per common share has been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.
See accompanying notes to consolidated financial statements.
F-3
Medley Capital Corporation
Consolidated Statements of Changes in Net Assets
(unaudited)
| Common Stock | Total Distributable Earnings/(Loss) | Total Net Assets | |||||||||||||||||||||||||||
Shares(1) | Par Amount | Capital in Excess of Par Value | |||||||||||||||||||||||||||
| Balance at March 31, 2019 | 2,723,711 | $ | 2,724 | $ | 698,638,520 | $ | (420,320,268) | $ | 278,320,976 | ||||||||||||||||||||
| OPERATIONS | |||||||||||||||||||||||||||||
| Net investment income/(loss) | — | — | — | (3,823,102) | (3,823,102) | ||||||||||||||||||||||||
| Net realized gain/(loss) from investments | — | — | — | (8,962,845) | (8,962,845) | ||||||||||||||||||||||||
| Net unrealized appreciation/(depreciation) on investments | — | — | — | (15,649,099) | (15,649,099) | ||||||||||||||||||||||||
| Net loss on extinguishment of debt | — | — | — | (1,805,802) | (1,805,802) | ||||||||||||||||||||||||
| SHAREHOLDER DISTRIBUTIONS | |||||||||||||||||||||||||||||
| Distributions from earnings | — | — | — | — | — | ||||||||||||||||||||||||
| Total increase/(decrease) in net assets | — | — | — | (30,240,848) | (30,240,848) | ||||||||||||||||||||||||
| Balance at June 30, 2019 | 2,723,711 | $ | 2,724 | $ | 698,638,520 | $ | (450,561,116) | $ | 248,080,128 | ||||||||||||||||||||
| Balance at March 31, 2020 | 2,723,711 | $ | 2,724 | $ | 673,584,468 | $ | (531,844,924) | $ | 141,742,268 | ||||||||||||||||||||
| OPERATIONS | |||||||||||||||||||||||||||||
| Net investment income/(loss) | — | — | — | (719,228) | (719,228) | ||||||||||||||||||||||||
| Net realized gain/(loss) from investments | — | — | — | (37,921,841) | (37,921,841) | ||||||||||||||||||||||||
| Net unrealized appreciation/(depreciation) on investments | — | — | — | 46,906,068 | 46,906,068 | ||||||||||||||||||||||||
| Change in provision for deferred taxes on unrealized (appreciation)/depreciation on investments | — | — | — | 35,970 | 35,970 | ||||||||||||||||||||||||
| Net loss on extinguishment of debt | — | — | — | (697,191) | (697,191) | ||||||||||||||||||||||||
| Total increase/(decrease) in net assets | — | — | — | 7,603,778 | 7,603,778 | ||||||||||||||||||||||||
| Balance at June 30, 2020 | 2,723,711 | $ | 2,724 | $ | 673,584,468 | $ | (524,241,146) | $ | 149,346,046 | ||||||||||||||||||||
(1)Shares of Common Stock have been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.
See accompanying notes to consolidated financial statements.
F-4
Medley Capital Corporation
Consolidated Statements of Changes in Net Assets
(unaudited) (continued)
| Common Stock | Total Distributable Earnings/(Loss) | Total Net Assets | |||||||||||||||||||||||||||
Shares(1) | Par Amount | Capital in Excess of Par Value | |||||||||||||||||||||||||||
| Balance at September 30, 2018 | 2,723,711 | $ | 2,724 | $ | 698,638,520 | $ | (377,462,517) | $ | 321,178,727 | ||||||||||||||||||||
| OPERATIONS | |||||||||||||||||||||||||||||
| Net investment income/(loss) | — | — | — | (12,658,672) | (12,658,672) | ||||||||||||||||||||||||
| Net realized gain/(loss) from investments | — | — | — | (76,300,780) | (76,300,780) | ||||||||||||||||||||||||
| Net unrealized appreciation/(depreciation) on investments | — | — | — | 25,960,759 | 25,960,759 | ||||||||||||||||||||||||
| Net loss on extinguishment of debt | — | — | — | (1,928,773) | (1,928,773) | ||||||||||||||||||||||||
| SHAREHOLDER DISTRIBUTIONS | |||||||||||||||||||||||||||||
| Distributions from earnings | — | — | — | (8,171,133) | (8,171,133) | ||||||||||||||||||||||||
| Total increase/(decrease) in net assets | — | — | — | (73,098,599) | (73,098,599) | ||||||||||||||||||||||||
| Balance at June 30, 2019 | 2,723,711 | $ | 2,724 | $ | 698,638,520 | $ | (450,561,116) | $ | 248,080,128 | ||||||||||||||||||||
| Balance at September 30, 2019 | 2,723,711 | $ | 2,724 | $ | 673,584,468 | $ | (457,154,662) | $ | 216,432,530 | ||||||||||||||||||||
| OPERATIONS | |||||||||||||||||||||||||||||
| Net investment income/(loss) | — | — | — | (1,862,118) | (1,862,118) | ||||||||||||||||||||||||
| Net realized gain/(loss) from investments | — | — | — | (39,766,592) | (39,766,592) | ||||||||||||||||||||||||
| Net unrealized appreciation/(depreciation) on investments | — | — | — | (22,926,706) | (22,926,706) | ||||||||||||||||||||||||
| Change in provision for deferred taxes on unrealized (appreciation)/depreciation on investments | — | — | — | (49,694) | (49,694) | ||||||||||||||||||||||||
| Net loss on extinguishment of debt | — | — | — | (2,481,374) | (2,481,374) | ||||||||||||||||||||||||
| Total increase/(decrease) in net assets | — | — | — | (67,086,484) | (67,086,484) | ||||||||||||||||||||||||
| Balance at June 30, 2020 | 2,723,711 | $ | 2,724 | $ | 673,584,468 | $ | (524,241,146) | $ | 149,346,046 | ||||||||||||||||||||
(1)Shares of Common Stock have been adjusted for the periods shown to reflect the one-for-twenty reverse stock split effected on July 24, 2020 on a retroactive basis, as described in Note 1.
See accompanying notes to consolidated financial statements.
F-5
Medley Capital Corporation
Consolidated Statements of Cash Flows
| For the nine months ended June 30 | |||||||||||
| 2020 | 2019 | ||||||||||
| (unaudited) | (unaudited) | ||||||||||
| Cash flows from operating activities | |||||||||||
| NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (67,086,484) | $ | (64,927,466) | |||||||
| ADJUSTMENTS TO RECONCILE NET INCREASE/(DECREASE) IN NET ASSETS FROM OPERATIONS TO NET CASH PROVIDED/(USED) BY OPERATING ACTIVITIES: | |||||||||||
| Investment increases due to payment-in-kind interest | (3,539,584) | (7,510,243) | |||||||||
| Net amortization of premium/(discount) on investments | (91,980) | (254,750) | |||||||||
| Amortization of debt issuance costs | 2,642,386 | 1,989,860 | |||||||||
| Net realized (gain)/loss from investments | 39,766,592 | 76,300,780 | |||||||||
| Net deferred income taxes | 49,694 | — | |||||||||
| Net unrealized (appreciation)/depreciation on investments | 22,926,706 | (25,960,759) | |||||||||
| Proceeds from sale and settlements of investments | 103,367,413 | 196,207,945 | |||||||||
| Purchases, originations and participations | (16,159,203) | (59,132,412) | |||||||||
| Loss on extinguishment of debt | 2,481,374 | 1,928,773 | |||||||||
| (Increase)/decrease in operating assets: | |||||||||||
| Other assets | 931,926 | (1,183,192) | |||||||||
| Interest receivable | 929,546 | 2,929,704 | |||||||||
| Receivable for dispositions and investments sold | (882,979) | (101,014) | |||||||||
| Fees receivable | (10,723) | 24,180 | |||||||||
| Increase/(decrease) in operating liabilities: | |||||||||||
| Accounts payable and accrued expenses | (7,580,816) | 9,023,022 | |||||||||
| Interest and fees payable | (2,102,943) | 1,087,978 | |||||||||
| Management and incentive fees payable, net | (913,952) | (658,728) | |||||||||
| Administrator expenses payable | (596,677) | (46,118) | |||||||||
| Deferred revenue | (74,577) | (112,999) | |||||||||
| Due to affiliate | (13,398) | 3,736 | |||||||||
| NET CASH PROVIDED/(USED) BY OPERATING ACTIVITIES | 74,042,321 | 129,608,297 | |||||||||
| Cash flows from financing activities | |||||||||||
| Paydowns on debt | (106,122,923) | (147,999,337) | |||||||||
| Debt issuance costs paid | — | (14,361) | |||||||||
| Payments of cash dividends | — | (8,171,133) | |||||||||
| Offering costs paid | — | 354,753 | |||||||||
| NET CASH PROVIDED/(USED) BY FINANCING ACTIVITIES | (106,122,923) | (155,830,078) | |||||||||
| NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS | (32,080,602) | (26,221,781) | |||||||||
| CASH, RESTRICTED CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 84,283,903 | 75,665,981 | |||||||||
| CASH, RESTRICTED CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | 52,203,301 | $ | 49,444,200 | |||||||
| Supplemental Information: | |||||||||||
| Interest paid during the period | $ | 11,772,739 | $ | 15,663,647 | |||||||
| Supplemental non-cash information: | |||||||||||
| Payment-in-kind interest income | $ | 3,107,433 | $ | 6,377,608 | |||||||
| Net amortization of premium/(discount) on investments | $ | 91,980 | $ | 254,750 | |||||||
| Amortization of debt issuance costs | $ | (2,642,386) | $ | (1,989,860) | |||||||
| Non-cash purchase of investments | $ | — | $ | 19,192,916 | |||||||
| Reconciliation to the Consolidated Statement of Assets and Liabilities | June 30, 2020 | September 30, 2019 | |||||||||
| (unaudited) | |||||||||||
| Cash and cash equivalents | $ | 52,203,301 | $ | 68,245,213 | |||||||
| Restricted cash | — | 16,038,690 | |||||||||
| Total cash and cash equivalents and restricted cash | $ | 52,203,301 | $ | 84,283,903 | |||||||
See accompanying notes to consolidated financial statements.
F-6
Medley Capital Corporation
Consolidated Schedule of Investments
June 30, 2020
(unaudited)
Company(1) | Industry | Type of Investment | Maturity | Par Amount(2) | Cost(3) | Fair Value(6) | % of Net Assets(4) | |||||||||||||||||||||||||||||||||||||
Non-Controlled/Non-Affiliated Investments: | ||||||||||||||||||||||||||||||||||||||||||||
| Alpine SG, LLC | High Tech Industries | Senior Secured First Lien Term Loan (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13) | 11/16/2022 | $ | 4,715,809 | $ | 4,715,809 | $ | 4,459,269 | 3.0 | % | |||||||||||||||||||||||||||||||||
Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13) | 11/16/2022 | 2,277,293 | 2,277,293 | 2,153,408 | 1.4 | % | ||||||||||||||||||||||||||||||||||||||
Revolving Credit Facility (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)(15) | 11/16/2022 | 1,000,000 | 1,000,000 | 996,500 | 0.7 | % | ||||||||||||||||||||||||||||||||||||||
| 7,993,102 | 7,993,102 | 7,609,177 | ||||||||||||||||||||||||||||||||||||||||||
| American Dental Partners, Inc. | Healthcare & Pharmaceuticals | Senior Secured Second Lien Term Loan (LIBOR + 8.50% Cash, 1.00% LIBOR Floor)(13) | 9/25/2023 | 4,387,500 | 4,387,500 | 3,290,625 | 2.2 | % | ||||||||||||||||||||||||||||||||||||
| 4,387,500 | 4,387,500 | 3,290,625 | ||||||||||||||||||||||||||||||||||||||||||
| Autosplice, Inc. | High Tech Industries | Senior Secured First Lien Term Loan (LIBOR + 8.00% Cash, 1.00% LIBOR Floor)(13) | 12/17/2021 | 12,780,349 | 12,780,349 | 12,009,694 | 8.0 | % | ||||||||||||||||||||||||||||||||||||
| 12,780,349 | 12,780,349 | 12,009,694 | ||||||||||||||||||||||||||||||||||||||||||
Avantor, Inc.(10) | Wholesale | Equity - 764,040 Common Units(16) | — | 13,370,700 | 12,458,382 | 8.3 | % | |||||||||||||||||||||||||||||||||||||
| — | 13,370,700 | 12,458,382 | ||||||||||||||||||||||||||||||||||||||||||
| Be Green Packaging, LLC | Containers, Packaging & Glass | Equity - 417 Common Units | — | 416,250 | — | 0.0 | % | |||||||||||||||||||||||||||||||||||||
| — | 416,250 | — | ||||||||||||||||||||||||||||||||||||||||||
| Black Angus Steakhouses, LLC | Hotel, Gaming & Leisure | Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(13) | 12/31/2020 | 625,000 | 625,000 | 625,000 | 0.4 | % | ||||||||||||||||||||||||||||||||||||
Senior Secured First Lien Term Loan (LIBOR + 9.00% PIK, 1.00% LIBOR Floor)(9)(13) | 12/31/2020 | 8,201,220 | 7,767,533 | 5,863,872 | 3.9 | % | ||||||||||||||||||||||||||||||||||||||
| 8,826,220 | 8,392,533 | 6,488,872 | ||||||||||||||||||||||||||||||||||||||||||
| CPI International, Inc. | Aerospace & Defense | Senior Secured Second Lien Term Loan (LIBOR + 7.25% Cash, 1.00% LIBOR Floor)(12) | 7/28/2025 | 2,608,688 | 2,599,447 | 2,165,211 | 1.5 | % | ||||||||||||||||||||||||||||||||||||
| 2,608,688 | 2,599,447 | 2,165,211 | ||||||||||||||||||||||||||||||||||||||||||
| Crow Precision Components, LLC | Aerospace & Defense | Equity - 350 Common Units | — | 700,000 | 723,132 | 0.5 | % | |||||||||||||||||||||||||||||||||||||
| — | 700,000 | 723,132 | ||||||||||||||||||||||||||||||||||||||||||
CT Technologies Intermediate Holdings, Inc.(11) | Healthcare & Pharmaceuticals | Senior Secured Second Lien Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(12) | 12/1/2022 | 7,500,000 | 7,500,000 | 6,677,250 | 4.5 | % | ||||||||||||||||||||||||||||||||||||
| 7,500,000 | 7,500,000 | 6,677,250 | ||||||||||||||||||||||||||||||||||||||||||
DataOnline Corp.(7) | High Tech Industries | Senior Secured First Lien Term Loan (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13) | 11/13/2025 | 4,975,000 | 4,975,000 | 4,756,100 | 3.2 | % | ||||||||||||||||||||||||||||||||||||
Revolving Credit Facility (LIBOR + 5.75% Cash, 1.00% LIBOR Floor)(13)(15) | 11/13/2025 | 535,714 | 535,714 | 504,286 | 0.3 | % | ||||||||||||||||||||||||||||||||||||||
| 5,510,714 | 5,510,714 | 5,260,386 | ||||||||||||||||||||||||||||||||||||||||||
| Dream Finders Homes, LLC | Construction & Building | Preferred Equity (8.00% PIK) | 4,441,903 | 4,441,903 | 3,495,778 | 2.3 | % | |||||||||||||||||||||||||||||||||||||
| 4,441,903 | 4,441,903 | 3,495,778 | ||||||||||||||||||||||||||||||||||||||||||
F-7
Company(1) | Industry | Type of Investment | Maturity | Par Amount(2) | Cost(3) | Fair Value(6) | % of Net Assets(4) | |||||||||||||||||||||||||||||||||||||
| Footprint Acquisition, LLC | Services: Business | Preferred Equity (8.75% PIK) | 3,884,252 | 3,884,252 | 3,884,252 | 2.6 | % | |||||||||||||||||||||||||||||||||||||
| Equity - 150 Common Units | — | — | 1,960,830 | 1.3 | % | |||||||||||||||||||||||||||||||||||||||
| 3,884,252 | 3,884,252 | 5,845,082 | ||||||||||||||||||||||||||||||||||||||||||
Global Accessories Group, LLC(11) | Consumer goods: Non-durable | Equity - 3.8% Membership Interest | — | 151,337 | — | 0.0 | % | |||||||||||||||||||||||||||||||||||||
| — | 151,337 | — | ||||||||||||||||||||||||||||||||||||||||||
| The Imagine Group, LLC | Media: Advertising, Printing & Publishing | Senior Secured Second Lien Term Loan (LIBOR + 8.75% Cash, 1.00% LIBOR Floor)(9)(12) | 6/21/2023 | 3,000,000 | 2,783,988 | 204,000 | 0.1 | % | ||||||||||||||||||||||||||||||||||||
| 3,000,000 | 2,783,988 | 204,000 | ||||||||||||||||||||||||||||||||||||||||||
| Impact Group, LLC | Services: Business | Senior Secured First Lien Term Loan (LIBOR + 7.37% Cash, 1.00% LIBOR Floor)(13) | 6/27/2023 | 3,228,629 | 3,228,629 | 2,821,821 | 1.9 | % | ||||||||||||||||||||||||||||||||||||
Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 7.37% Cash, 1.00% LIBOR Floor)(13) | 6/27/2023 | 9,355,044 | 9,355,044 | 8,176,309 | 5.5 | % | ||||||||||||||||||||||||||||||||||||||
| 12,583,673 | 12,583,673 | 10,998,130 | ||||||||||||||||||||||||||||||||||||||||||
| InterFlex Acquisition Company, LLC | Containers, Packaging & Glass | Senior Secured First Lien Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(12) | 8/18/2022 | 12,696,675 | 12,696,675 | 11,998,358 | 8.0 | % | ||||||||||||||||||||||||||||||||||||
| 12,696,675 | 12,696,675 | 11,998,358 | ||||||||||||||||||||||||||||||||||||||||||
| Lighting Science Group Corporation | Containers, Packaging & Glass | Warrants - 0.56% of Outstanding Equity(17) | 2/19/2024 | — | 955,680 | — | 0.0 | % | ||||||||||||||||||||||||||||||||||||
| — | 955,680 | — | ||||||||||||||||||||||||||||||||||||||||||
| Manna Pro Products, LLC | Consumer goods: Non-durable | Senior Secured First Lien Term Loan (LIBOR + 6.00% Cash, 1.00% LIBOR Floor)(12) | 12/8/2023 | 5,357,411 | 5,357,411 | 4,997,929 | 3.4 | % | ||||||||||||||||||||||||||||||||||||
Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 6.00% Cash, 1.00% LIBOR Floor)(12) | 12/8/2023 | 1,087,967 | 1,087,967 | 1,014,964 | 0.7 | % | ||||||||||||||||||||||||||||||||||||||
| 6,445,378 | 6,445,378 | 6,012,893 | ||||||||||||||||||||||||||||||||||||||||||
| Point.360 | Services: Business | Senior Secured First Lien Term Loan (LIBOR + 6.00% PIK)(9)(14) | 7/8/2020 | 2,720,424 | 2,103,712 | 182,268 | 0.1 | % | ||||||||||||||||||||||||||||||||||||
| 2,720,424 | 2,103,712 | 182,268 | ||||||||||||||||||||||||||||||||||||||||||
| RateGain Technologies, Inc. | Hotel, Gaming & Leisure | Unsecured Debt(18) | 7/31/2020 | 704,106 | 704,106 | 352,053 | 0.2 | % | ||||||||||||||||||||||||||||||||||||
Unsecured Debt(18) | 7/31/2021 | 761,905 | 761,905 | 380,952 | 0.3 | % | ||||||||||||||||||||||||||||||||||||||
| 1,466,011 | 1,466,011 | 733,005 | ||||||||||||||||||||||||||||||||||||||||||
Redwood Services Group, LLC(7) | Services: Business | Revolving Credit Facility (LIBOR + 6.00% Cash, 1.00% LIBOR Floor)(13)(15) | 6/6/2023 | 1,225,000 | 1,225,000 | 1,063,475 | 0.7 | % | ||||||||||||||||||||||||||||||||||||
| 1,225,000 | 1,225,000 | 1,063,475 | ||||||||||||||||||||||||||||||||||||||||||
| Sendero Drilling Company, LLC | Energy: Oil & Gas | Unsecured Debt (8.00% Cash)(9) | 8/31/2021 | 531,250 | 519,282 | — | 0.0 | % | ||||||||||||||||||||||||||||||||||||
| 531,250 | 519,282 | — | ||||||||||||||||||||||||||||||||||||||||||
| Seotowncenter, Inc. | Services: Business | Equity - 3,434,169.6 Common Units | — | 566,475 | 686,834 | 0.5 | % | |||||||||||||||||||||||||||||||||||||
| — | 566,475 | 686,834 | ||||||||||||||||||||||||||||||||||||||||||
F-8
Company(1) | Industry | Type of Investment | Maturity | Par Amount(2) | Cost(3) | Fair Value(6) | % of Net Assets(4) | |||||||||||||||||||||||||||||||||||||
| SFP Holding, Inc. | Construction & Building | Senior Secured First Lien Term Loan (LIBOR + 6.25% Cash, 1.00% LIBOR Floor)(13) | 9/1/2022 | 4,787,867 | 4,787,867 | 4,680,140 | 3.1 | % | ||||||||||||||||||||||||||||||||||||
Senior Secured First Lien Delayed Draw Term Loan (LIBOR + 6.25% Cash, 1.00% LIBOR Floor)(13) | 9/1/2022 | 1,857,200 | 1,857,200 | 1,815,413 | 1.2 | % | ||||||||||||||||||||||||||||||||||||||
| Equity - 94,393.87 Common Units in CI (Summit) Investment Holdings LLC | — | 1,067,547 | 657,579 | 0.4 | % | |||||||||||||||||||||||||||||||||||||||
| 6,645,067 | 7,712,614 | 7,153,132 | ||||||||||||||||||||||||||||||||||||||||||
| Ship Supply Acquisition Corporation | Services: Business | Senior Secured First Lien Term Loan (LIBOR + 8.00% Cash, 1.00% LIBOR Floor)(9)(13) | 7/31/2020 | 7,369,067 | 7,175,125 | — | 0.0 | % | ||||||||||||||||||||||||||||||||||||
| 7,369,067 | 7,175,125 | — | ||||||||||||||||||||||||||||||||||||||||||
| SMART Financial Operations, LLC | Retail | Equity - 700,000 Class A Preferred Units | — | 700,000 | 343,000 | 0.2 | % | |||||||||||||||||||||||||||||||||||||
| — | 700,000 | 343,000 | ||||||||||||||||||||||||||||||||||||||||||
| Stancor, Inc. | Services: Business | Equity - 263,814.43 Class A Units | — | 263,814 | 150,374 | 0.1 | % | |||||||||||||||||||||||||||||||||||||
| — | 263,814 | 150,374 | ||||||||||||||||||||||||||||||||||||||||||
| Starfish Holdco, LLC | High Tech Industries | Senior Secured Second Lien Term Loan (LIBOR + 9.00% Cash, 1.00% LIBOR Floor)(12) | 8/18/2025 | 1,000,000 | 989,107 | 902,100 | 0.6 | % | ||||||||||||||||||||||||||||||||||||
| 1,000,000 | 989,107 | 902,100 | ||||||||||||||||||||||||||||||||||||||||||
| URT Acquisition Holdings Corporation | Services: Business | |||||||||||||||||||||||||||||||||||||||||||