UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 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 March 31, 2024

o Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

_________________________________________________________________________________

Commission File Number	Exact name of registrant as specified in its charter, address of principal executive offices, telephone number and states or other jurisdictions of incorporation or organization	I.R.S. Employer Identification Number
000-56072	New Mountain Guardian III BDC, L.L.C. 1633 Broadway, 48th Floor New York, New York 10019 Telephone: (212) 720-0300 State of Organization: Delaware	84-1918127

_________________________________________________________________________________

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

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
None	N/A	N/A

_________________________________________________________________________________

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 (the "Exchange Act") 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 o

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 ý    No o

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 ý	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. o

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

_________________________________________________________________________________

The number of the registrant's limited liability company units outstanding as of May 14, 2024 was 114,906,527. As of March 31, 2024, there was no established public market for the registrant's limited liability company common units.

1

FORM 10-Q FOR THE QUARTER ENDED MARCH 31, 2024

TABLE OF CONTENTS

		PAGE
PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements
	New Mountain Guardian III BDC, L.L.C.
	Consolidated Statements of Assets, Liabilities and Members' Capital as of March 31, 2024 (unaudited) and December 31, 2023	3
	Consolidated Statements of Operations for the three months ended March 31, 2024 (unaudited) and March 31, 2023 (unaudited)	4
	Consolidated Statements of Changes in Members' Capital for the three months ended March 31, 2024 (unaudited) and March 31, 2023 (unaudited)	5
	Consolidated Statements of Cash Flows for the three months ended March 31, 2024 (unaudited) and March 31, 2023 (unaudited)	6
	Consolidated Schedule of Investments as of March 31, 2024 (unaudited)	7
	Consolidated Schedule of Investments as of December 31, 2023	23
	Notes to the Consolidated Financial Statements of New Mountain Guardian III BDC, L.L.C. (unaudited)	40
	Report of Independent Registered Public Accounting Firm	61
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	62
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	73
Item 4.	Controls and Procedures	74
PART II. OTHER INFORMATION
Item 1.	Legal Proceedings	75
Item 1A.	Risk Factors	75
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	75
Item 3.	Defaults Upon Senior Securities	75
Item 4.	Mine Safety Disclosures	75
Item 5.	Other Information	75
Item 6.	Exhibits	76
	Signatures	77

2

PART I. FINANCIAL INFORMATION

Item 1.    Financial Statements

New Mountain Guardian III BDC, L.L.C.

Consolidated Statements of Assets, Liabilities and Members' Capital

(in thousands, except units and per unit data)

(unaudited)

	March 31, 2024		December 31, 2023
Assets
Non-controlled/non-affiliated investments at fair value (cost of $1,963,001 and $2,025,054, respectively)	$	1,940,900	$	1,991,345
Cash and cash equivalents	48,236		69,873
Receivable from unsettled securities sold	21,319		—
Interest and dividend receivable	19,172		15,468
Deferred tax asset	—		150
Other assets	740		686
Total assets	$	2,030,367	$	2,077,522
Liabilities
Borrowings
GS Credit Facility	$	638,000	$	646,800
Unsecured Notes	275,000		275,000
Deferred financing costs (net of accumulated amortization of $8,983 and $7,959, respectively)	(8,188)		(9,211)
Net borrowings	904,812		912,589
Distribution payable	32,059		35,506
Interest payable	15,399		9,690
Incentive fee payable	5,730		6,013
Management fee payable	3,145		2,792
Payable to affiliate	356		520
Deferred tax liability	87		—
Other liabilities	1,511		1,661
Total liabilities	963,099		968,771
Commitments and contingencies (See Note 8)
Members' Capital
Common units, 114,906,527 and 114,906,527 units issued and outstanding, respectively	1,095,392		1,145,376
Accumulated overdistributed earnings	(28,124)		(36,625)
Total members' capital	$	1,067,268	$	1,108,751
Total liabilities and members' capital	$	2,030,367	$	2,077,522
Members' capital per unit	$	9.29	$	9.65

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

3

New Mountain Guardian III BDC, L.L.C.

Consolidated Statements of Operations

(in thousands, except units and per unit data)

(unaudited)

	Three Months Ended
	March 31, 2024		March 31, 2023
Investment income
Interest income (excluding Payment-in-kind ("PIK") interest income)	$	52,021	$	52,837
PIK interest income	4,238		2,631
Dividend income	2,741		2,336
Fee income	466		651
Total investment income	59,466		58,455
Expenses
Interest and other financing expenses	16,865		14,946
Incentive fee	5,730		5,817
Management fee	3,145		3,299
Administrative expenses	702		685
Professional fees	366		558
Other general and administrative expenses	62		166
Total expenses	26,870		25,471
Net investment income before income taxes	32,596		32,984
Income tax expense (benefit)	121		16
Net investment income	32,475		32,968
Net realized gains (losses) on investments	(3,285)		(495)
Net change in unrealized appreciation (depreciation) of investments	11,608		3,144
Benefit (provision) for taxes	(238)		(52)
Net realized and unrealized gains (losses)	8,085		2,597
Net increase in members' capital resulting from operations	$	40,560	$	35,565
Earnings per unit (basic & diluted)	$	0.35	$	0.31
Weighted average common units outstanding - basic & diluted (See Note 10)	114,906,527		114,906,527

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

4

New Mountain Guardian III BDC, L.L.C.

Consolidated Statements of Changes in Members' Capital

(in thousands, except units)

(unaudited)

	Three Months Ended
	March 31, 2024		March 31, 2023
Increase in members' capital resulting from operations:
Net investment income	$	32,475	$	32,968
Net realized gains (losses) on investments	(3,285)		(495)
Net change in unrealized appreciation (depreciation) of investments	11,608		3,144
Benefit (provision) for taxes	(238)		(52)
Net increase in members' capital resulting from operations	40,560		35,565
Capital transactions
Return of capital distributions	(49,984)		—
Distributions declared to unitholders from net investment income	(32,059)		(32,748)
Total net (decrease) increase in members' capital resulting from capital transactions	(82,043)		(32,748)
Net (decrease) increase in members' capital	(41,483)		2,817
Members' capital at the beginning of the period	1,108,751		1,091,425
Members' capital at the end of the period	$	1,067,268	$	1,094,242

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

5

New Mountain Guardian III BDC, L.L.C.

Consolidated Statements of Cash Flows

(in thousands)

(unaudited)

	Three Months Ended
	March 31, 2024		March 31, 2023
Cash flows from operating activities
Net increase in members' capital resulting from operations	$	40,560	$	35,565
Adjustments to reconcile net increase in members' capital resulting from operations to net cash used in operating activities:
Net realized losses on investments	3,285		495
Net change in unrealized (appreciation) depreciation of investments	(11,608)		(3,144)
Amortization of purchase discount	(755)		(805)
Amortization of deferred financing costs	1,025		556
Non-cash investment income	(6,958)		(5,286)
(Increase) decrease in operating assets:
Purchase of investments and delayed draw facilities	(5,904)		(25,337)
Proceeds from sales and paydowns of investments	75,351		34,957
Cash received for purchase of undrawn portion of revolving credit or delayed draw facilities	—		35
Cash paid on drawn revolvers	(11,441)		(11,326)
Cash repayments on drawn revolvers	8,475		9,198
Receivable from unsettled securities sold	(21,319)		—
Interest and dividend receivable	(3,704)		761
Deferred tax asset	150		—
Other assets	(54)		(42)
Increase (decrease) in operating liabilities:
Interest payable	5,709		(2,208)
Incentive fee payable	(283)		316
Management fee payable	353		(2)
Deferred tax liability	87		53
Payable to affiliates	(164)		199
Other liabilities	(150)		(168)
Net cash flows provided by (used in) operating activities	72,655		33,817
Cash flows from financing activities
Distributions from net investment income	(35,506)		(28,956)
Return of capital distributions	(49,984)		—
Proceeds from Wells Credit Facility	—		49,000
Repayment of Wells Credit Facility	—		(52,000)
Proceeds from GS Credit Facility	33,000		—
Repayment of GS Credit Facility	(41,800)		—
Deferred financing costs paid	(2)		—
Net cash flows (used in) provided by financing activities	(94,292)		(31,956)
Net increase (decrease) in cash and cash equivalents	(21,637)		1,861
Cash and cash equivalents at the beginning of the period	69,873		28,266
Cash and cash equivalents at the end of the period	$	48,236	$	30,127
Supplemental disclosure of cash flow information
Cash interest paid	$	10,022	$	16,459
Income taxes received	47		—
Non-cash operating activities:
Non-cash activity on investments	$	6,137	$	—
Non-cash financing activities:
Distributions declared and payable	$	32,059	$	32,748
Accrual for deferred credit facility costs	—		1

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

6

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Non-Controlled/Non-Affiliated Investments
Funded Debt Investments - United States
Recorded Future, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.66%	12/2021	07/2025	$	41,544	$	41,463	$	41,544
	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.66%	08/2019	07/2025	13,210		13,181		13,210
								54,754		54,644		54,754		5.13	%
GS Acquisitionco, Inc.
Software	First Lien(2)	SOFR(Q)	+	5.00%	10.30%	02/2020	05/2028	52,718		52,574		52,851		4.95	%
Paw Midco, Inc.
AAH Topco, LLC
Consumer Services	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	12/2021	12/2027	20,122		20,001		20,122
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	12/2021	12/2027	19,929		19,794		19,929
	Subordinated(4)	Fixed(Q)*	+	11.50%/PIK	11.50%	12/2021	12/2031	12,372		12,258		11,751
								52,423		52,053		51,802		4.86	%
OA Buyer, Inc.
Healthcare	First Lien(2)(4)	SOFR(M)	+	5.50%	10.83%	12/2021	12/2028	45,748		45,411		45,748
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.83%	05/2022	12/2028	2,896		2,874		2,896
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.83%	12/2021	12/2028	795		806		795
								49,439		49,091		49,439		4.63	%
Legal Spend Holdings, LLC (fka Bottomline Technologies, Inc.)
Software	First Lien(2)(4)	SOFR(M)	+	5.25%	10.58%	05/2022	05/2029	49,125		48,739		49,125		4.60	%
Al Altius US Bidco, Inc.
Business Services	First Lien(2)(4)	SOFR(S)	+	5.08%	10.43%	12/2021	12/2028	38,500		38,211		38,500
	First Lien(2)(4)	SOFR(S)	+	5.08%	10.43%	12/2021	12/2028	9,300		9,231		9,300
								47,800		47,442		47,800		4.48	%
KWOR Acquisition, Inc.
Business Services	First Lien(2)(4)	SOFR(M)	+	5.25%	10.68%	12/2021	12/2028	40,088		39,866		40,088
	First Lien(2)(4)(5) - Drawn	P(Q)	+	4.25%	12.75%	12/2021	12/2027	3,194		3,185		3,194
								43,282		43,051		43,282		4.06	%
Notorious Topco, LLC
Consumer Products	First Lien(2)(4)	SOFR(Q)	+	6.75%	12.21%	11/2021	11/2027	40,743		40,536		37,797
	First Lien(2)(4)	SOFR(Q)	+	6.75%	12.21%	11/2021	11/2027	3,551		3,533		3,293
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.75%	12.22%	11/2021	05/2027	1,205		1,207		1,118
								45,499		45,276		42,208		3.95	%
Diamondback Acquisition, Inc.
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	09/2021	09/2028	42,088		41,793		41,920		3.93	%
GraphPAD Software, LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.96%	12/2021	04/2027	17,800		17,744		17,800
	First Lien(2)(4)	SOFR(S)	+	5.50%	11.19%	04/2021	04/2027	10,211		10,182		10,211
	First Lien(2)(4)	SOFR(S)	+	5.50%	11.13%	12/2021	04/2027	9,932		9,903		9,932
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.96%	10/2021	04/2027	1,570		1,565		1,570
	First Lien(2)(4)(5) - Drawn	P(Q)	+	5.00%	11.46%	04/2021	04/2027	1,500		1,496		1,500
								41,013		40,890		41,013		3.84	%

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

7

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
CCBlue Bidco, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	6.50%/PIK	11.91%	12/2021	12/2028	$	43,086	$	42,801	$	38,872
	First Lien(4)	SOFR(Q)*	+	6.50%/PIK	11.91%	12/2021	12/2028	2,239		2,235		2,020
								45,325		45,036		40,892		3.83	%
Anaplan, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	6.50%	11.81%	06/2022	06/2029	40,440		40,112		40,440		3.79	%
IG Investments Holdings, LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	6.00%	11.41%	09/2021	09/2028	38,842		38,567		38,842		3.64	%
WEG Sub Intermediate Holdings, LLC
Wealth Enhancement Group, LLC
Financial Services	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.82%	08/2021	10/2027	29,795		29,731		29,795
	Subordinated(4)	Fixed(Q)*	+	15.00%/PIK	15.00%	05/2023	05/2033	3,647		3,601		3,647
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.84%	01/2022	10/2027	3,051		3,031		3,051
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.81%	01/2022	10/2027	2,046		2,032		2,046
								38,539		38,395		38,539		3.61	%
Associations, Inc.
Business Services	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.09%	07/2021	07/2027	18,425		18,376		18,425
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.07%	07/2021	07/2027	4,536		4,523		4,536
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.08%	07/2021	07/2027	4,536		4,523		4,536
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.08%	07/2021	07/2027	2,739		2,731		2,739
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.08%	07/2021	07/2027	2,179		2,173		2,179
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.50%	12.09%	07/2021	07/2027	909		909		909
								33,324		33,235		33,324		3.12	%
Ocala Bidco, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	3.50% +2.75%/PIK	11.84%	12/2021	11/2028	31,657		31,382		31,657
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	3.50%+2.75%/PIK	11.84%	12/2021	11/2028	1,497		1,479		1,497
								33,154		32,861		33,154		3.11	%
Auctane Inc. (fka Stamps.com Inc.)
Software	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.16%	10/2021	10/2028	19,527		19,388		19,209
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.16%	12/2021	10/2028	14,150		14,047		13,919
								33,677		33,435		33,128		3.10	%
DECA Dental Holdings LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.16%	08/2021	08/2028	28,303		28,106		27,873
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.16%	08/2021	08/2028	2,979		2,973		2,934
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.75%	11.16%	08/2021	08/2027	2,292		2,278		2,257
								33,574		33,357		33,064		3.10	%

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

8

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
iCIMS, Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	3.38%+3.88%/PIK	12.58%	08/2022	08/2028	$	27,829	$	27,656	$	28,107
	First Lien(4)	SOFR(Q)	+	7.25%	12.58%	10/2022	08/2028	4,508		4,476		4,553
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.75%	12.05%	08/2022	08/2028	169		173		169
								32,506		32,305		32,829		3.08	%
Pioneer Topco I, L.P. (13)
Pioneer Buyer I, LLC
Software	First Lien(4)	SOFR(Q)*	+	7.00%/PIK	12.31%	11/2021	11/2028	28,383		28,230		28,383
	First Lien(4)	SOFR(Q)*	+	7.00%/PIK	12.31%	03/2022	11/2028	3,890		3,868		3,890
								32,273		32,098		32,273		3.02	%
FS WhiteWater Borrower, LLC
Consumer Services	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.21%	12/2021	12/2027	17,476		17,357		17,476
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.21%	12/2021	12/2027	5,866		5,827		5,866
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.21%	12/2021	12/2027	5,829		5,789		5,829
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.75%	11.23%	12/2021	12/2027	2,205		2,192		2,205
								31,376		31,165		31,376		2.94	%
Sun Acquirer Corp.
Consumer Services	First Lien(2)(4)	SOFR(M)	+	5.75%	11.19%	12/2021	09/2028	24,438		24,257		24,438
	First Lien(2)(4)	SOFR(M)	+	5.75%	11.19%	09/2021	09/2028	3,935		3,910		3,935
	First Lien(2)(4)	SOFR(M)	+	5.75%	11.19%	09/2021	09/2028	2,781		2,757		2,781
								31,154		30,924		31,154		2.92	%
Foreside Financial Group, LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.74%	05/2022	09/2027	30,769		30,548		30,769		2.88	%
IG IntermediateCo LLC
Infogain Corporation
Business Services	Subordinated(4)	SOFR(Q)	+	8.25%	13.66%	07/2022	07/2029	20,105		19,897		20,105
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	07/2021	07/2028	9,036		8,989		9,036
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	07/2022	07/2028	1,560		1,548		1,560
								30,701		30,434		30,701		2.88	%
Fortis Solutions Group, LLC
Packaging	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.90%	10/2021	10/2028	29,224		29,027		29,224
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.90%	06/2022	10/2028	758		751		758
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.90%	10/2021	10/2027	146		157		146
	First Lien(4)	SOFR(Q)	+	5.50%	10.90%	10/2021	10/2028	83		74		83
								30,211		30,009		30,211		2.83	%
Galway Borrower LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.65%	09/2021	09/2028	29,665		29,445		29,665
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.25%	10.66%	09/2021	09/2028	306		310		306
								29,971		29,755		29,971		2.81	%

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

9

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
CFS Management, LLC
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	6.25% +2.75%/PIK	14.56%	08/2019	07/2024	$	23,829	$	23,816	$	21,982
	First Lien(2)(4)	SOFR(Q)*	+	6.25% +2.75%/PIK	14.56%	09/2021	07/2024	5,617		5,614		5,181
	First Lien(4)	SOFR(Q)*	+	6.25% +2.75%/PIK	14.56%	08/2019	07/2024	2,128		2,128		1,963
	First Lien(2)(4)	SOFR(Q)*	+	6.25% +2.75%/PIK	14.56%	02/2022	07/2024	365		365		337
								31,939		31,923		29,463		2.76	%
Icebox Holdco III, Inc.
Distribution & Logistics	Second Lien(2)	SOFR(Q)	+	6.75%	12.32%	12/2021	12/2029	30,000		29,881		29,400		2.75	%
Pye-Barker Fire & Safety, LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.96%	11/2021	11/2027	23,756		23,583		23,756
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.96%	05/2021	11/2027	4,875		4,855		4,875
								28,631		28,438		28,631		2.68	%
OEC Holdco, LLC (12)
OEConnection LLC
Software	Second Lien(2)	SOFR(M)	+	7.00%	12.43%	12/2021	09/2027	19,234		19,106		19,234
	Second Lien(2)	SOFR(M)	+	7.00%	12.43%	09/2019	09/2027	7,677		7,636		7,677
								26,911		26,742		26,911		2.52	%
Knockout Intermediate Holdings I Inc. (14)
Kaseya Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	3.50%+2.50%/PIK	11.31%	06/2022	06/2029	26,234		26,079		26,234
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.83%	06/2022	06/2029	399		399		399
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.81%	06/2022	06/2029	98		98		98
								26,731		26,576		26,731		2.50	%
Idera, Inc.
Software	Second Lien(4)	SOFR(Q)	+	6.75%	12.21%	03/2021	03/2029	26,250		26,289		26,250		2.46	%
MRI Software LLC
Software	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.90%	01/2020	02/2027	16,632		16,591		16,632
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.90%	03/2021	02/2027	8,874		8,862		8,874
								25,506		25,453		25,506		2.39	%
Businessolver.com, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.91%	12/2021	12/2027	24,103		24,022		24,103
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.91%	12/2021	12/2027	861		860		861
								24,964		24,882		24,964		2.34	%
TRC Companies L.L.C. (fka Energize Holdco LLC)
Business Services	Second Lien(2)(4)	SOFR(M)	+	6.75%	12.19%	11/2021	12/2029	24,900		24,802		24,703		2.31	%
Bullhorn, Inc.
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	09/2019	09/2026	18,605		18,546		18,605
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	10/2021	09/2026	3,845		3,840		3,845
	First Lien(4)	SOFR(M)	+	5.50%	10.93%	09/2019	09/2026	861		858		861
	First Lien(4)	SOFR(M)	+	5.50%	10.93%	09/2019	09/2026	386		385		386
	First Lien(4)	SOFR(M)	+	5.50%	10.93%	09/2019	09/2026	308		307		308
								24,005		23,936		24,005		2.25	%

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

10

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
USRP Holdings, Inc.
Business Services	First Lien(2)(4)	SOFR(S)	+	5.75%	11.18%	07/2021	07/2027	$	23,278	$	23,130	$	23,278	2.18	%
MED Parentco, LP
Healthcare	Second Lien(2)	SOFR(M)	+	8.25%	13.69%	08/2019	08/2027	22,000		21,913		22,000		2.06	%
Avalara, Inc.
Software	First Lien(4)	SOFR(Q)	+	7.25%	12.56%	10/2022	10/2028	21,654		21,432		21,654		2.03	%
DOCS, MSO, LLC
Healthcare	First Lien(2)(4)	SOFR(M)	+	5.75%	11.17%	06/2022	06/2028	20,929		20,929		20,764		1.95	%
OB Hospitalist Group, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.95%	09/2021	09/2027	19,026		18,903		18,790
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.93%	09/2021	09/2027	976		976		964
								20,002		19,879		19,754		1.85	%
Foundational Education Group, Inc.
Education	Second Lien(4)	SOFR(Q)	+	6.50%	12.07%	08/2021	08/2029	19,706		19,645		19,706		1.85	%
Diamond Parent Holdings Corp. (9)
Diligent Corporation
Software	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.21%	03/2021	08/2025	8,266		8,252		8,266
	First Lien(2)(4)	SOFR(Q)	+	6.25%	11.71%	08/2020	08/2025	7,279		7,251		7,279
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.21%	03/2021	08/2025	2,020		2,016		2,020
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.25%	11.71%	08/2020	08/2025	1,027		1,039		1,027
	First Lien(4)	SOFR(Q)	+	6.25%	11.71%	08/2020	08/2025	609		607		609
	First Lien(4)	SOFR(Q)	+	6.25%	11.71%	08/2020	08/2025	384		383		384
								19,585		19,548		19,585		1.84	%
TigerConnect, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	3.38%+3.38%/PIK	12.21%	02/2022	02/2028	18,409		18,283		18,409
	First Lien(2)(4)(5) - Drawn	SOFR(Q)*	+	3.38% +3.38%/PIK	12.21%	02/2022	02/2028	1,001		1,001		1,001
								19,410		19,284		19,410		1.82	%
Daxko Acquisition Corporation
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	10/2021	10/2028	17,524		17,399		17,524
	First Lien(4)	SOFR(M)	+	5.50%	10.93%	10/2021	10/2028	1,476		1,469		1,476
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.93%	10/2021	10/2028	88		84		88
	First Lien(2)(4)(5) - Drawn	P(Q)	+	4.50%	13.00%	10/2021	10/2027	78		82		78
								19,166		19,034		19,166		1.80	%
HS Purchaser, LLC / Help/Systems Holdings, Inc.
Software	Second Lien(4)	SOFR(Q)	+	6.75%	12.19%	05/2021	11/2027	18,882		18,882		17,493		1.64	%
Relativity ODA LLC
Software	First Lien(4)	SOFR(M)	+	6.50%	11.93%	05/2021	05/2027	16,848		16,743		16,848		1.58	%
Project Essential Topco, Inc. (8)
Project Essential Bidco, Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	3.00% +3.25%/PIK	11.72%	04/2021	04/2028	17,690		17,591		15,830		1.48	%

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

11

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
NMC Crimson Holdings, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	6.09%	11.57%	03/2021	03/2028	$	11,101	$	10,996	$	11,101
	First Lien(2)(4)	SOFR(Q)	+	6.09%	11.57%	03/2021	03/2028	2,302		2,296		2,302
								13,403		13,292		13,403		1.26	%
ACI Parent Inc. (11)
ACI Group Holdings, Inc.
Healthcare	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	08/2021	08/2028	10,681		10,609		10,397
	First Lien(4)	SOFR(M)	+	5.50%	10.93%	08/2021	08/2028	1,892		1,887		1,842
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.93%	08/2021	08/2028	992		977		965
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.93%	08/2021	08/2027	172		175		167
								13,737		13,648		13,371		1.25	%
DCA Investment Holding, LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	6.41%	11.71%	03/2021	04/2028	9,388		9,343		9,258
	First Lien(2)(4)	SOFR(Q)	+	6.41%	11.71%	02/2022	04/2028	2,073		2,066		2,044
	First Lien(4)	SOFR(Q)	+	6.41%	11.71%	03/2021	04/2028	1,571		1,563		1,550
	First Lien(2)(4)	SOFR(Q)	+	6.50%	11.80%	12/2022	04/2028	493		487		487
								13,525		13,459		13,339		1.25	%
Syndigo LLC
Software	Second Lien(4)	SOFR(M)	+	8.00%	13.44%	12/2020	12/2028	12,500		12,434		12,500		1.17	%
Allworth Financial Group, L.P.
Financial Services	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	01/2022	12/2026	5,062		5,033		5,062
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	01/2022	12/2026	5,031		5,001		5,031
	First Lien(4)	SOFR(M)	+	5.50%	10.93%	01/2022	12/2026	1,522		1,512		1,522
								11,615		11,546		11,615		1.09	%
DG Investment Intermediate Holdings 2, Inc.
Business Services	Second Lien	SOFR(M)	+	6.75%	12.19%	03/2021	03/2029	12,188		12,166		11,436		1.07	%
Specialtycare, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.34%	06/2021	06/2028	11,580		11,486		11,157
	First Lien(4)	SOFR(Q)	+	5.75%	11.33%	06/2021	06/2028	83		83		80
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	4.00%	9.44%	06/2021	06/2026	50		52		48
								11,713		11,621		11,285		1.06	%
PDQ.com Corporation
Software	First Lien(2)(4)	SOFR(M)	+	5.21%	10.64%	12/2021	08/2027	5,586		5,567		5,586
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.21%	10.64%	12/2021	08/2027	5,375		5,359		5,375
								10,961		10,926		10,961		1.03	%
AmeriVet Partners Management, Inc.
Consumer Services	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.70%	02/2022	02/2028	7,975		7,948		7,975
	First Lien(4)	SOFR(Q)	+	5.25%	10.70%	02/2022	02/2028	2,219		2,217		2,219
	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.70%	02/2022	02/2028	292		291		292
								10,486		10,456		10,486		0.98	%
GC Waves Holdings, Inc.
Financial Services	First Lien(2)(4)	SOFR(M)	+	5.25%	10.68%	08/2021	08/2029	10,419		10,357		10,419		0.98	%

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

12

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Beacon Pointe Harmony, LLC
Financial Services	First Lien(2)(4)	SOFR(M)	+	5.50%	10.83%	12/2021	12/2028	$	6,975	$	6,921	$	6,975
	First Lien(4)	SOFR(M)	+	5.50%	10.83%	12/2021	12/2028	2,735		2,719		2,735
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.83%	12/2021	12/2028	515		510		515
								10,225		10,150		10,225		0.96	%
Maverick Bidco Inc.
Software	Second Lien(4)	SOFR(Q)	+	6.75%	12.21%	04/2021	05/2029	10,200		10,179		10,200		0.96	%
CRCI Longhorn Holdings, Inc.
Business Services	Second Lien(2)(4)	SOFR(M)	+	7.25%	12.68%	07/2021	08/2026	10,000		9,987		10,000		0.94	%
Trinity Air Consultants Holdings Corporation
Business Services	First Lien(2)(4)	SOFR(S)	+	5.75%	11.29%	06/2021	06/2027	7,449		7,404		7,449
	First Lien(2)(4)(5) - Drawn	SOFR(S)	+	5.75%	11.08%	06/2021	06/2027	2,080		2,067		2,080
								9,529		9,471		9,529		0.89	%
KPSKY Acquisition Inc.
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.66%	10/2021	10/2028	8,481		8,420		8,481
	First Lien(4)	SOFR(Q)	+	5.25%	10.68%	10/2021	10/2028	972		965		972
								9,453		9,385		9,453		0.89	%
CG Group Holdings, LLC
Specialty Chemicals & Materials	First Lien(2)(4)	SOFR(Q)*	+	6.75% +2.00%/PIK	14.05%	07/2021	07/2027	8,425		8,369		8,313
	First Lien(2)(4)(5) - Drawn	SOFR(M)*	+	6.75% +2.00%/PIK	14.08%	07/2021	07/2026	940		936		927
								9,365		9,305		9,240		0.87	%
Radwell Parent, LLC
Distribution & Logistics	First Lien(2)(4)	SOFR(Q)	+	6.53%	11.93%	03/2022	04/2029	8,721		8,667		8,721
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.75%	12.05%	03/2022	04/2029	90		90		90
								8,811		8,757		8,811		0.83	%
Huskies Parent, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.96%	12/2021	11/2028	8,355		8,309		8,285
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.96%	12/2021	11/2027	468		467		464
								8,823		8,776		8,749		0.82	%
Smile Doctors LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.90%	11.24%	02/2022	12/2028	7,862		7,831		7,806
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.90%	11.34%	06/2023	12/2028	189		186		187
								8,051		8,017		7,993		0.75	%
Ministry Brands Holdings, LLC
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	12/2021	12/2028	6,921		6,895		6,804
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	12/2021	12/2028	700		699		688
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.93%	12/2021	12/2027	68		69		67
								7,689		7,663		7,559		0.71	%

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

13

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
EAB Global, Inc.
Education	Second Lien(2)(4)	SOFR(M)	+	6.50%	11.94%	08/2021	08/2029	$	7,354	$	7,272	$	7,354	0.69	%
Safety Borrower Holdings LLC
Software	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.82%	09/2021	09/2027	6,904		6,883		6,904
	First Lien(2)(4)(5) - Drawn	P(Q)	+	4.25%	12.75%	09/2021	09/2027	77		77		77
								6,981		6,960		6,981		0.65	%
Community Brands ParentCo, LLC
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.93%	02/2022	02/2028	7,073		7,022		6,943		0.65	%
YLG Holdings, Inc.
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.00%	10.42%	10/2021	10/2025	6,063		6,047		6,063
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.87%	10/2021	10/2025	403		394		403
								6,466		6,441		6,466		0.61	%
RealPage, Inc.
Software	Second Lien	SOFR(M)	+	6.50%	11.94%	02/2021	04/2029	6,388		6,354		6,356		0.60	%
Calabrio, Inc.
Software	First Lien(4)	SOFR(M)	+	7.13%	12.45%	04/2021	04/2027	5,979		5,953		5,923		0.55	%
Therapy Brands Holdings LLC
Healthcare	Second Lien(2)(4)	SOFR(M)	+	6.75%	12.19%	05/2021	05/2029	6,000		5,970		5,875		0.55	%
IMO Investor Holdings, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	6.00%	11.36%	05/2022	05/2029	5,211		5,170		5,172
	First Lien(2)(4)(5) - Drawn	SOFR(S)	+	6.00%	11.38%	05/2022	05/2029	521		517		517
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.00%	11.31%	05/2022	05/2028	101		102		100
								5,833		5,789		5,789		0.54	%
Ambrosia Holdco Corp (15)
TMK Hawk Parent, Corp.
Distribution & Logistics	First Lien(2)(4)	SOFR(M)*	+	5.25%/PIK	10.58%	01/2024	06/2029	5,265		5,265		4,790
	Subordinated(2) (4)	Fixed(Q)*	+	11.00%/PIK	11.00%	01/2024	12/2031	166		166		166
								5,431		5,431		4,956		0.46	%
Bamboo Health Holdings, Inc. (f/k/a Appriss Health Holdings,Inc.) (7)
Bamboo Health Holdings, LLC (f/k/a Appriss Health, LLC)
Healthcare	First Lien(4)	SOFR(Q)	+	7.00%	12.48%	05/2021	05/2027	4,629		4,602		4,629
	First Lien(2)(4)(5) - Drawn	P(Q)	+	6.00%	14.50%	05/2021	05/2027	31		32		31
								4,660		4,634		4,660		0.44	%
Mamba Purchaser, Inc.
Healthcare	Second Lien(4)	SOFR(M)	+	6.50%	11.94%	09/2021	10/2029	4,354		4,336		4,327		0.41	%
Cloudera, Inc.
Software	Second Lien	SOFR(M)	+	6.00%	11.43%	08/2021	10/2029	4,006		3,999		3,982		0.37	%
AG Parent Holdings, LLC
Healthcare	First Lien(2)	SOFR(Q)	+	5.00%	10.60%	07/2019	07/2026	1,965		1,961		1,922		0.18	%

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

14

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
MH Sub I, LLC (Micro Holding Corp.)
Business Services	Second Lien	SOFR(M)	+	6.25%	11.58%	02/2021	02/2029	$	1,865	$	1,862	$	1,803	0.17	%
Kele Holdco, Inc.
Distribution & Logistics	First Lien(2)(4)	SOFR(M)	+	5.25%	10.68%	12/2021	02/2026	1,735		1,730		1,735		0.16	%
Virtusa Corporation
Business Services	Subordinated	Fixed(S)	+	7.13%	7.13%	07/2022	12/2028	1,000		841		899		0.07	%
New Trojan Parent, Inc.
Healthcare	Second Lien	SOFR(M) (16)*	+	9.25%/PIK	14.69%	01/2021	01/2029	13,238		13,190		166		0.01	%
Total Funded Debt Investments - United States								$	1,835,985	$	1,826,061	$	1,803,624	169.00	%
Funded Debt Investments - United Kingdom
Aston FinCo S.a r.l. / Aston US Finco, LLC**
Software	Second Lien(2)(4)	SOFR(M)	+	8.25%	13.69%	10/2019	10/2027	$	22,500	$	22,409	$	22,500	2.11	%
Total Funded Debt Investments - United Kingdom								$	22,500	$	22,409	$	22,500	2.11	%
Funded Debt Investments - Canada
Project Boost Purchaser, LLC**
Business Services	Second Lien(2)(4)	SOFR(M)	+	8.00%	13.44%	09/2019	05/2027	$	12,000	$	12,000	$	12,000	1.12	%
Total Funded Debt Investments - Canada								$	12,000	$	12,000	$	12,000	1.12	%
Total Funded Debt Investments								$	1,870,485	$	1,860,470	$	1,838,124	172.23	%
Equity - United States
Dealer Tire Holdings, LLC(10)
Distribution & Logistics	Preferred shares (4)	Fixed(S)*		7.00%/PIK	7.00%	09/2021	—	30,082		$	37,626	$	40,398	3.79	%
OEC Holdco, LLC (12)
Software	Preferred shares (3)	Fixed(S)*		11.00%/PIK	11.00%	12/2021	—	17,786		21,963		22,141		2.07	%
ACI Parent Inc. (11)
Healthcare	Preferred shares (4)	Fixed(Q)*		11.75%/PIK	11.75%	08/2021	—	12,500		16,897		15,288		1.43	%
Knockout Intermediate Holdings I Inc. (14)
Software	Preferred shares (4)	SOFR(S)*	+	10.75%/PIK	16.07%	06/2022	—	9,061		10,670		10,783		1.01	%
Project Essential Topco, Inc. (8)
Project Essential Super Parent, Inc.
Software	Preferred shares (4)	SOFR(Q)*	+	9.50%/PIK	14.80%	04/2021	—	5,000		7,138		6,240		0.58	%
Diamond Parent Holdings Corp. (9)
Diligent Preferred Issuer, Inc.
Software	Preferred shares (4)	Fixed(S)*		10.50%/PIK	10.50%	04/2021	—	5,000		6,386		6,232		0.58	%

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

15

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Bamboo Health Holdings, Inc. (f/k/a Appriss Health Holdings,Inc.) (7)
Bamboo Health Intermediate Holdings (fka Appriss Health Intermediate Holdings, Inc.)
Healthcare	Preferred shares (4)	Fixed(Q)*	11.00%/PIK	11.00%	05/2021	—	1,167		$	1,538	$	1,473	0.14	%
Ambrosia Holdco Corp (15)
Distribution & Logistics	Ordinary shares (4)	—	—	—	01/2024	—	55,984		596		596
	Ordinary shares (4)	—	—	—	01/2024	—	19,197		205		205
							75,181		801		801		0.08	%
Pioneer Topco I, L.P. (13)
Software	Ordinary shares (4)	—	—	—	11/2021	—	10		—		—		—	%
Total Shares - United States									$	103,019	$	103,356	9.68	%
Total Shares									$	103,019	$	103,356	9.68	%
Total Funded Investments									$	1,963,489	$	1,941,480	181.91	%
Unfunded Debt Investments - United States
KWOR Acquisition, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	$	2,459	$	(18)	$	—	—	%
Paw Midco, Inc.
AAH Topco, LLC
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	2,427		(15)		—		—	%
Allworth Financial Group, L.P.
Financial Services	First Lien(2)(4)(5) - Undrawn	—	—	—	01/2022	12/2026	1,573		(9)		—		—	%
AmeriVet Partners Management, Inc.
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2028	1,214		(4)		—		—	%
Bamboo Health Holdings, Inc. (f/k/a Appriss Health Holdings,Inc.) (7)
Bamboo Health Holdings, LLC (f/k/a Appriss Health, LLC)
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2021	05/2027	281		(3)		—		—	%
Associations, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2027	862		(4)		—		—	%
Avalara, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2022	10/2028	2,165		(21)		—		—	%

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

16

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Beacon Pointe Harmony, LLC
Financial Services	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	09/2024	$	389	$	—	$	—
	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	736		(5)		—
							1,125		(5)		—		—	%
Bullhorn, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2019	09/2026	964		(3)		—		—	%
Businessolver.com, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2024	2,724		—		—		—	%
Daxko Acquisition Corporation
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	04/2024	619		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	10/2027	1,254		(13)		—
							1,873		(13)		—		—	%
Diamond Parent Holdings Corp. (9)
Diligent Corporation
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2020	08/2025	1,308		(16)		—		—	%
Foreside Financial Group, LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2024	2,133		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	09/2027	1,790		(12)		—
							3,923		(12)		—		—	%
Fortis Solutions Group, LLC
Packaging	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	10/2027	2,782		(28)		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2024	3,923		—		—
							6,705		(28)		—		—	%
Galway Borrower LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2028	1,588		(16)		—		—	%
iCIMS, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2022	08/2024	5,361		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2022	08/2028	2,354		(21)		—
							7,715		(21)		—		—	%

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

17

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
IG IntermediateCo LLC
Infogain Corporation
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2026	$	1,854	$	(7)	$	—	—	%
Ocala Bidco, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	05/2024	1,699		—		—		—	%
IG Investments Holdings, LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	3,103		(18)		—		—	%
Knockout Intermediate Holdings I Inc. (14)
Kaseya Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2024	1,481		(1)		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2029	1,183		(9)		—
							2,664		(10)		—		—	%
MRI Software LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	01/2020	02/2027	1,170		(2)		—		—	%
OA Buyer, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2028	5,165		(52)		—		—	%
Pioneer Topco I, L.P. (13)
Pioneer Buyer I, LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	11/2021	11/2027	4,009		(24)		—		—	%
PDQ.com Corporation
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	01/2024	8,857		—		—		—	%
Pye-Barker Fire & Safety, LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	11/2021	11/2026	1,998		(28)		—		—	%
Radwell Parent, LLC
Distribution & Logistics	First Lien(2)(4)(5) - Undrawn	—	—	—	03/2022	04/2024	682		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	03/2022	04/2029	360		(3)		—
							1,042		(3)		—		—	%
Recorded Future, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2019	07/2025	1,630		(3)		—		—	%
Relativity ODA LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2021	05/2027	1,439		(9)		—		—	%

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

18

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Safety Borrower Holdings LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	$	435	$	(2)	$	—	—	%
Sun Acquirer Corp.
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	559		(3)		—		—	%
TigerConnect, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2025	379		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2028	2,630		(17)		—
							3,009		(17)		—		—	%
Trinity Air Consultants Holdings Corporation
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2021	06/2024	464		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2021	06/2027	727		(4)		—
							1,191		(4)		—		—	%
USRP Holdings, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2027	432		(2)		—		—	%
WEG Sub Intermediate Holdings, LLC
Wealth Enhancement Group, LLC
Financial Services	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	10/2027	1,885		(3)		—		—	%
FS WhiteWater Borrower, LLC
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	179		(2)		—		—	%
YLG Holdings, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	12/2024	3,963		—		—		—	%
Huskies Parent, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	11/2027	255		(2)		(2)		(0.00)	%
CG Group Holdings, LLC
Specialty Chemicals & Materials	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2026	226		(3)		(3)		(0.00)	%
Smile Doctors LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2023	03/2025	716		—		(5)		(0.00)	%
GS Acquisitionco, Inc.
Software	First Lien(2)(5) - Undrawn	—	—	—	02/2020	05/2028	2,362		(6)		(6)		(0.00)	%
Calabrio, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	04/2021	04/2027	719		(3)		(7)		(0.00)	%

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

19

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

Portfolio Company, Location and Industry (1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Community Brands ParentCo, LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2028	$	425	$	(3)	$	(8)	(0.00)	%
Specialtycare, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2021	06/2026	229		(3)		(8)		(0.00)	%
IMO Investor Holdings, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2028	529		(5)		(3)
	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2024	734		—		(6)
							1,263		(5)		(9)		(0.00)	%
Ministry Brands Holdings, LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	610		(3)		(10)		(0.00)	%
DOCS, MSO, LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2028	1,976		—		(16)		(0.00)	%
OB Hospitalist Group, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	1,548		(15)		(19)		(0.00)	%
Legal Spend Holdings, LLC (fka Bottomline Technologies, Inc.)
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2028	4,156		(30)		(21)		(0.00)	%
ACI Parent Inc. (11)
ACI Group Holdings, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	08/2027	973		(10)		(26)
	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	08/2024	1,100		—		(29)
							2,073		(10)		(55)		(0.01)	%
Notorious Topco, LLC
Consumer Products	First Lien(2)(4)(5) - Undrawn	—	—	—	11/2021	05/2027	2,408		(18)		(174)		(0.02)	%
Project Essential Topco, Inc. (8)
Project Essential Bidco, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	04/2021	04/2027	2,259		(10)		(237)		(0.02)	%
Total Unfunded Debt Investments - United States							$	106,414	$	(488)	$	(580)	(0.05)	%
Total Unfunded Debt Investments							$	106,414	$	(488)	$	(580)	(0.05)	%
Total Non-Controlled/Non-Affiliated Investments									$	1,963,001	$	1,940,900	181.86	%
Total Investments									$	1,963,001	$	1,940,900	181.86	%

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

20

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(in thousands, except shares)

(unaudited)

(1)New Mountain Guardian III BDC, L.L.C. (the "Company") generally acquires its investments in private transactions exempt from registration under the Securities Act of 1933, as amended (the "Securities Act"). These investments are generally subject to certain limitations on resale, and may be deemed to be "restricted securities" under the Securities Act.

(2)Investment is pledged as collateral for the GS Credit Facility, a revolving credit facility among the Company as Collateral Manager, New Mountain Guardian III SPV, L.L.C. as the Borrower, Goldman Sachs Bank USA as the Syndication Agent and Administrative Agent, and Western Alliance Trust Company, N.A. as Collateral Agent, Collateral Custodian and Collateral Administrator. See Note 6. Borrowings, for details.

(3)Investment is held by New Mountain Guardian III OEC, Inc.

(4)The fair value of the Company's investment is determined using unobservable inputs that are significant to the overall fair value measurement. See Note 4. Fair Value, for details.

(5)Par value amounts represent the drawn or undrawn (as indicated in type of investment) portion of revolving credit facilities or delayed draws. Cost amounts represent the cash received at settlement date net of the impact of paydowns and cash paid for drawn revolvers or delayed draws.

(6)All interest is payable in cash unless otherwise indicated. A majority of the variable rate debt investments bear interest at a rate that may be determined by reference to the, Secured Overnight Financing Rate (SOFR), the Prime Rate (P) and the alternative base rate (Base) and which resets monthly (M), quarterly (Q), semi-annually (S) or annually (A). For each investment, the current interest rate provided reflects the rate in effect as of March 31, 2024.

(7)The Company holds investments in two wholly-owned subsidiaries of Bamboo Health Holdings, Inc. (f/k/a Appriss Health Holdings, Inc.). The Company holds a first lien term loan and a first lien revolver in Bamboo Health Holdings, LLC (f/k/a Appriss Health, LLC) and preferred equity in Bamboo Health Intermediate Holdings (fka Appriss Health Intermediate Holdings, Inc.).

(8)The Company holds investments in two subsidiaries of Project Essential Topco, Inc. The Company holds a first lien term loan and first lien revolver in Project Essential Bidco, Inc. and preferred equity in Project Essential Super Parent, Inc.

(9)The Company holds investments in two wholly-owned subsidiaries of Diamond Parent Holdings Corp. The Company holds three first lien term loans, two first lien delayed draws and a first lien revolver in Diligent Corporation and preferred equity in Diligent Preferred Issuer Inc.

(10)The Company holds preferred equity in Dealer Tire Holdings, LLC, that is entitled to receive cumulative preferential dividends at a rate of 7.00% per annum.

(11)The Company holds investments in ACI Parent Inc. and a wholly-owned subsidiary of ACI Parent Inc. The Company holds a first lien term loan, two first lien delayed draws and a first lien revolver in ACI Group Holdings, Inc. and preferred equity in ACI Parent Inc.

(12)The Company holds investments in OEC Holdco, LLC, and a wholly-owned subsidiary of OEC Holdco, LLC. The Company holds two second lien term loans in OEConnection LLC, and preferred equity in OEC Holdco, LLC.

(13)The Company holds investments in Pioneer Topco I, L.P. and a wholly-owned subsidiary of Pioneer Topco I, L.P. The Company holds two first lien term loans and a first lien revolver in Pioneer Buyer I, LLC, and common equity in Pioneer Topco I, L.P.

(14)The Company holds preferred equity in Knockout Intermediate Holdings I Inc. and a first lien term loan, a first lien revolver and two first lien delayed draws in Kaseya Inc., a wholly-owned subsidiary of Knockout Intermediate Holdings I Inc.

(15)The Company holds ordinary shares in Ambrosia Holdco Corp., a first lien term loan and a subordinated loan in TMK Hawk Parent, Corp., a wholly-owned subsidiary of Ambrosia Holdco Corp.

(16)Investment in on non-accrual status. See Note 3. Investments, for details.

*    All or a portion of interest contains payment-in-kind ("PIK") interest for details.

**    Indicates assets that the Company deems to be "non-qualifying assets" under Section 55(a) of the Investment Company Act of 1940, as amended. Qualifying assets must represent at least 70.0% of the Company's total assets at the time of acquisition of any additional non-qualifying assets. As of March 31, 2024, 1.70% of the Company's total assets are represented by investments at fair value that are considered non-qualifying assets.

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

21

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

March 31, 2024

(unaudited)

	March 31, 2024
Investment Type	Percent of Total Investments at Fair Value
First lien	78.62	%
Second lien	14.17	%
Subordinated	1.88	%
Equity and other	5.33	%
Total investments	100.00	%

	March 31, 2024
Industry Type	Percent of Total Investments at Fair Value
Software	38.64	%
Healthcare	21.01	%
Business Services	20.24	%
Consumer Services	6.43	%
Distribution & Logistics	4.44	%
Financial Services	3.65	%
Consumer Products	2.17	%
Packaging	1.55	%
Education	1.39	%
Specialty Chemicals & Materials	0.48	%
Total investments	100.00	%

	March 31, 2024
Interest Rate Type	Percent of Total Investments at Fair Value
Floating rates	94.70	%
Fixed rates	5.30	%
Total investments	100.00	%

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

22

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Non-Controlled/Non-Affiliated Investments
Funded Debt Investments - United States
Recorded Future, Inc.
Software	First Lien(2)(4)	SOFR(M)	+	5.25%	10.71%	12/2021	07/2025	$	41,650	$	41,554	$	41,650
	First Lien(2)(4)	SOFR(M)	+	5.25%	10.71%	08/2019	07/2025	13,244		13,209		13,244
								54,894		54,763		54,894		4.95	%
GS Acquisitionco, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	02/2020	05/2026	52,856		52,744		52,856		4.77	%
Paw Midco, Inc.
AAH Topco, LLC
Consumer Services	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	12/2021	12/2027	20,173		20,046		20,173
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	12/2021	12/2027	19,980		19,837		19,980
	Subordinated(4)	Fixed(Q)*	+	11.50%/PIK	11.50%	12/2021	12/2031	12,023		11,905		11,515
								52,176		51,788		51,668		4.66	%
Legal Spend Holdings, LLC (fka Bottomline Technologies, Inc.)
Software	First Lien(2)(4)	SOFR(M)	+	5.25%	10.61%	05/2022	05/2029	49,250		48,848		49,250		4.44	%
OA Buyer, Inc.
Healthcare	First Lien(2)(4)	SOFR(M)	+	5.50%	10.86%	12/2021	12/2028	45,865		45,513		45,865
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.86%	05/2022	12/2028	2,903		2,880		2,903
								48,768		48,393		48,768		4.40	%
WEG Sub Intermediate Holdings, LLC
Wealth Enhancement Group, LLC
Financial Services	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.11%	08/2021	10/2027	39,275		39,187		39,275
	Subordinated(4)	Fixed(Q)*	+	15.00%/PIK	15.00%	05/2023	05/2033	3,513		3,465		3,460
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.23%	01/2022	10/2027	3,059		3,037		3,059
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.23%	01/2022	10/2027	2,052		2,037		2,052
								47,899		47,726		47,846		4.32	%
Al Altius US Bidco, Inc.
Business Services	First Lien(2)(4)	SOFR(S)	+	5.08%	10.43%	12/2021	12/2028	38,500		38,200		38,500
	First Lien(2)(4)	SOFR(S)	+	5.08%	10.43%	12/2021	12/2028	9,300		9,228		9,300
								47,800		47,428		47,800		4.31	%
KWOR Acquisition, Inc.
Business Services	First Lien(2)(4)	SOFR(M)	+	5.25%	10.71%	12/2021	12/2028	40,190		39,959		40,190
	First Lien(2)(4)(5) - Drawn	P(Q)	+	4.25%	12.75%	12/2021	12/2027	2,431		2,426		2,431
								42,621		42,385		42,621		3.84	%
CCBlue Bidco, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	3.50% +2.75%/PIK	11.70%	12/2021	12/2028	41,867		41,568		39,732
	First Lien(4)	SOFR(Q)*	+	3.50% +2.75%/PIK	11.75%	12/2021	12/2028	2,176		2,172		2,065
								44,043		43,740		41,797		3.77	%
Diamondback Acquisition, Inc.
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	09/2021	09/2028	42,196		41,887		41,605		3.75	%

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

23

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Notorious Topco, LLC
Consumer Products	First Lien(2)(4)	SOFR(Q)	+	6.75%	12.28%	11/2021	11/2027	$	40,847	$	40,628	$	37,833
	First Lien(2)(4)	SOFR(Q)	+	6.75%	12.28%	11/2021	11/2027	3,560		3,541		3,297
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.75%	12.28%	11/2021	05/2027	241		249		223
								44,648		44,418		41,353		3.73	%
Anaplan, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	6.50%	11.85%	06/2022	06/2029	40,440		40,102		40,440		3.65	%
GraphPAD Software, LLC
Healthcare	First Lien(2)(4)	SOFR(S)	+	5.50%	11.22%	12/2021	04/2027	17,845		17,786		17,845
	First Lien(2)(4)	SOFR(S)	+	5.50%	11.19%	04/2021	04/2027	10,237		10,206		10,238
	First Lien(2)(4)	SOFR(S)	+	5.50%	11.13%	12/2021	04/2027	9,932		9,901		9,932
	First Lien(2)(4)	SOFR(S)	+	5.50%	11.22%	10/2021	04/2027	1,574		1,569		1,574
	First Lien(2)(4)(5) - Drawn	P(Q)	+	5.00%	13.50%	04/2021	04/2027	750		750		750
								40,338		40,212		40,339		3.64	%
IG Investments Holdings, LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	6.00%	11.48%	09/2021	09/2028	38,942		38,654		38,942		3.51	%
Auctane Inc. (fka Stamps.com Inc.)
Software	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.23%	10/2021	10/2028	19,577		19,432		19,242
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.23%	12/2021	10/2028	14,186		14,078		13,943
								33,763		33,510		33,185		2.99	%
Associations, Inc.
Business Services	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.18%	07/2021	07/2027	18,351		18,299		18,351
	First Lien(2)(4)	SOFR(Q)*	+	4.00%+2.50%/PIK	12.15%	07/2021	07/2027	4,518		4,504		4,518
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.13%	07/2021	07/2027	4,518		4,505		4,518
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.13%	07/2021	07/2027	2,728		2,720		2,728
	First Lien(2)(4)	SOFR(Q)*	+	4.00% +2.50%/PIK	12.17%	07/2021	07/2027	2,170		2,164		2,170
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.50%	12.14%	07/2021	07/2027	626		626		626
								32,911		32,818		32,911		2.97	%
DECA Dental Holdings LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.20%	08/2021	08/2028	28,376		28,169		27,857
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.20%	08/2021	08/2028	2,987		2,981		2,932
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.75%	11.20%	08/2021	08/2027	1,986		1,975		1,949
								33,349		33,125		32,738		2.95	%

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

24

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
iCIMS, Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	3.38% +3.88%/PIK	12.62%	08/2022	08/2028	$	27,556	$	27,373	$	27,757
	First Lien(4)	SOFR(Q)	+	7.25%	12.62%	10/2022	08/2028	4,508		4,475		4,553
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.75%	12.10%	08/2022	08/2028	421		422		421
								32,485		32,270		32,731		2.95	%
Ocala Bidco, Inc.
Healthcare	First Lien(2)(4)	SOFR(M)*	+	3.50% +2.75%/PIK	11.72%	12/2021	11/2028	31,584		31,298		31,584		2.85	%
Pioneer Topco I, L.P. (13)
Pioneer Buyer I, LLC
Software	First Lien(4)	SOFR(Q)*	+	7.00%/PIK	12.35%	11/2021	11/2028	27,534		27,372		27,534
	First Lien(4)	SOFR(Q)*	+	7.00%/PIK	12.35%	03/2022	11/2028	3,774		3,750		3,774
								31,308		31,122		31,308		2.82	%
Sun Acquirer Corp.
Consumer Services	First Lien(2)(4)	SOFR(M)	+	5.75%	11.22%	12/2021	09/2028	24,500		24,312		24,088
	First Lien(2)(4)	SOFR(M)	+	5.75%	11.22%	09/2021	09/2028	3,945		3,919		3,878
	First Lien(2)(4)	SOFR(M)	+	5.75%	11.22%	09/2021	09/2028	2,788		2,761		2,742
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.75%	11.22%	09/2021	09/2027	112		113		110
								31,345		31,105		30,818		2.78	%
IG IntermediateCo LLC
Infogain Corporation
Business Services	Subordinated(4)	SOFR(Q)	+	8.25%	13.70%	07/2022	07/2029	20,105		19,891		20,105
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	07/2021	07/2028	9,059		9,010		9,059
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	07/2022	07/2028	1,564		1,551		1,564
								30,728		30,452		30,728		2.77	%
Foreside Financial Group, LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.04%	05/2022	09/2027	29,087		28,870		29,087
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	11.02%	05/2022	09/2027	859		856		859
								29,946		29,726		29,946		2.70	%
Galway Borrower LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.70%	09/2021	09/2028	29,741		29,511		29,741		2.68	%
Fortis Solutions Group, LLC
Packaging	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.95%	10/2021	10/2028	29,299		29,092		29,115
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.95%	10/2021	10/2027	146		156		145
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.98%	06/2022	10/2028	142		139		141
	First Lien(4)	SOFR(Q)	+	5.50%	10.95%	10/2021	10/2028	82		74		82
								29,669		29,461		29,483		2.66	%

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

25

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
FS WhiteWater Borrower, LLC
Consumer Services	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.25%	12/2021	12/2027	$	17,521	$	17,395	$	17,239
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.28%	12/2021	12/2027	5,881		5,839		5,786
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.25%	12/2021	12/2027	5,844		5,802		5,750
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.75%	11.26%	12/2021	12/2027	536		539		528
								29,782		29,575		29,303		2.64	%
Pye-Barker Fire & Safety, LLC
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	11/2021	11/2027	23,817		23,635		23,817
	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	05/2021	11/2027	4,888		4,865		4,888
								28,705		28,500		28,705		2.59	%
Icebox Holdco III, Inc.
Distribution & Logistics	Second Lien(2)(4)	SOFR(Q)	+	6.75%	12.36%	12/2021	12/2029	30,000		29,877		28,641		2.58	%
CFS Management, LLC
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	6.25% +0.75%/PIK	12.61%	08/2019	07/2024	23,817		23,792		20,809
	First Lien(2)(4)	SOFR(Q)*	+	6.25% +0.75%/PIK	12.61%	09/2021	07/2024	5,610		5,604		4,901
	First Lien(4)	SOFR(Q)*	+	6.25% +0.75%/PIK	12.61%	08/2019	07/2024	2,127		2,126		1,859
	First Lien(2)(4)(5) - Drawn	SOFR(Q)*	+	6.25% +0.75%/PIK	13.36%	02/2022	07/2024	365		369		319
								31,919		31,891		27,888		2.52	%
OEC Holdco, LLC (12)
OEConnection LLC
Software	Second Lien(2)(4)	SOFR(M)	+	7.00%	12.46%	12/2021	09/2027	19,234		19,098		19,234
	Second Lien(2)(4)	SOFR(M)	+	7.00%	12.46%	09/2019	09/2027	7,677		7,633		7,677
								26,911		26,731		26,911		2.43	%
Knockout Intermediate Holdings I Inc. (14)
Kaseya Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	3.50% +2.50%/PIK	11.38%	06/2022	06/2029	26,068		25,906		26,068
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.86%	06/2022	06/2029	399		398		399
	First Lien(2)(4)(5) - Drawn	SOFR(Q)*	+	3.50% +2.50%/PIK	11.38%	06/2022	06/2029	97		97		97
								26,564		26,401		26,564		2.40	%
Idera, Inc.
Software	Second Lien(4)	SOFR(Q)	+	6.75%	12.28%	03/2021	03/2029	26,250		26,291		26,250		2.37	%
MRI Software LLC
Software	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.95%	01/2020	02/2027	16,675		16,631		16,632
	First Lien(2)(4)	SOFR(Q)	+	5.50%	10.95%	03/2021	02/2027	8,897		8,885		8,874
								25,572		25,516		25,506		2.30	%

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

26

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Businessolver.com, Inc.
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	12/2021	12/2027	$	24,164	$	24,078	$	24,164
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.96%	12/2021	12/2027	560		559		560
								24,724		24,637		24,724		2.23	%
TRC Companies L.L.C. (fka Energize Holdco LLC)
Business Services	Second Lien(2)(4)	SOFR(M)	+	6.75%	12.22%	11/2021	12/2029	24,900		24,799		24,148		2.18	%
Bullhorn, Inc.
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	09/2019	09/2026	18,653		18,589		18,653
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	10/2021	09/2026	3,855		3,849		3,855
	First Lien(4)	SOFR(M)	+	5.50%	10.96%	09/2019	09/2026	863		860		863
	First Lien(4)	SOFR(M)	+	5.50%	10.96%	09/2019	09/2026	387		386		387
	First Lien(4)	SOFR(M)	+	5.50%	10.96%	09/2019	09/2026	308		307		308
								24,066		23,991		24,066		2.17	%
USRP Holdings, Inc.
Business Services	First Lien(2)(4)	SOFR(S)	+	5.75%	11.18%	07/2021	07/2027	23,338		23,180		23,338		2.10	%
Avalara, Inc.
Software	First Lien(4)	SOFR(Q)	+	7.25%	12.60%	10/2022	10/2028	21,654		21,423		21,654		1.95	%
MED Parentco, LP
Healthcare	Second Lien(2)(4)	SOFR(M)	+	8.25%	13.72%	08/2019	08/2027	22,000		21,908		21,221		1.91	%
DOCS, MSO, LLC
Healthcare	First Lien(2)(4)	SOFR(M)	+	5.75%	11.20%	06/2022	06/2028	20,982		20,982		20,605		1.86	%
KAMC Holdings, Inc
Business Services	Second Lien(2)(4)	SOFR(Q)	+	8.00%	13.63%	08/2019	08/2027	22,500		22,406		20,495		1.85	%
OB Hospitalist Group, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	09/2021	09/2027	19,075		18,945		18,588
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.96%	09/2021	09/2027	976		975		951
								20,051		19,920		19,539		1.76	%
Diamond Parent Holdings Corp. (9)
Diligent Corporation
Software	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.28%	03/2021	08/2025	8,288		8,271		8,095
	First Lien(2)(4)	SOFR(Q)	+	6.25%	11.78%	08/2020	08/2025	7,298		7,265		7,155
	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.28%	03/2021	08/2025	2,025		2,021		1,978
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.25%	11.76%	08/2020	08/2025	1,261		1,268		1,236
	First Lien(4)	SOFR(Q)	+	6.25%	11.78%	08/2020	08/2025	611		608		599
	First Lien(4)	SOFR(Q)	+	6.25%	11.78%	08/2020	08/2025	385		383		377
								19,868		19,816		19,440		1.75	%
Foundational Education Group, Inc.
Education	Second Lien(4)	SOFR(Q)	+	6.50%	12.14%	08/2021	08/2029	19,706		19,643		19,355		1.75	%

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

27

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Daxko Acquisition Corporation
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	10/2021	10/2028	$	17,569	$	17,438	$	17,569
	First Lien(4)	SOFR(M)	+	5.50%	10.96%	10/2021	10/2028	1,480		1,473		1,480
	First Lien(2)(4)(5) - Drawn	P(Q)	+	4.50%	13.00%	10/2021	10/2027	89		93		89
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.96%	10/2021	10/2028	88		84		88
								19,226		19,088		19,226		1.73	%
TigerConnect, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)*	+	3.38% +3.38%/PIK	12.28%	02/2022	02/2028	18,409		18,274		18,253
	First Lien(2)(4)(5) - Drawn	SOFR(Q)*	+	3.38% +3.38%/PIK	12.28%	02/2022	02/2028	835		835		828
								19,244		19,109		19,081		1.72	%
HS Purchaser, LLC / Help/Systems Holdings, Inc.
Software	Second Lien(4)	SOFR(S)	+	6.75%	12.35%	05/2021	11/2027	18,882		18,882		17,671		1.59	%
Relativity ODA LLC
Software	First Lien(4)	SOFR(M)	+	6.50%	11.96%	05/2021	05/2027	16,848		16,736		16,848		1.52	%
Project Essential Topco, Inc. (8)
Project Essential Bidco, Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	3.00% +3.25%/PIK	11.78%	04/2021	04/2028	17,541		17,438		16,225		1.46	%
Granicus, Inc.
Software	First Lien(2)(4)	SOFR(Q)*	+	5.50% +1.50%/PIK	12.48%	01/2021	01/2027	13,672		13,613		13,672
	First Lien(4)	SOFR(Q)	+	6.00%	11.48%	04/2021	01/2027	2,271		2,258		2,271
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	6.50%	11.96%	01/2021	01/2027	252		254		252
								16,195		16,125		16,195		1.46	%
AmeriVet Partners Management, Inc.
Consumer Services	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	02/2022	02/2028	11,809		11,765		11,809
	First Lien(4)	SOFR(Q)	+	5.50%	11.00%	02/2022	02/2028	3,286		3,282		3,286
	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	02/2022	02/2028	431		431		431
								15,526		15,478		15,526		1.40	%
NMC Crimson Holdings, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	6.09%	11.64%	03/2021	03/2028	11,101		10,990		11,029
	First Lien(2)(4)	SOFR(Q)	+	6.09%	11.62%	03/2021	03/2028	2,302		2,296		2,287
								13,403		13,286		13,316		1.20	%
DCA Investment Holding, LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	6.41%	11.75%	03/2021	04/2028	9,415		9,367		9,132
	First Lien(2)(4)	SOFR(Q)	+	6.41%	11.75%	02/2022	04/2028	2,078		2,071		2,016
	First Lien(4)	SOFR(Q)	+	6.41%	11.75%	03/2021	04/2028	1,575		1,567		1,528
	First Lien(2)(4)	SOFR(Q)	+	6.50%	11.85%	12/2022	04/2028	494		488		480
								13,562		13,493		13,156		1.19	%

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

28

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
ACI Parent Inc. (11)
ACI Group Holdings, Inc.
Healthcare	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	08/2021	08/2028	$	10,709	$	10,632	$	10,453
	First Lien(4)	SOFR(M)	+	5.50%	10.96%	08/2021	08/2028	1,898		1,891		1,853
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.96%	08/2021	08/2028	679		667		662
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.96%	08/2021	08/2027	172		174		168
								13,458		13,364		13,136		1.18	%
Syndigo LLC
Software	Second Lien(4)	SOFR(M)	+	8.00%	13.48%	12/2020	12/2028	12,500		12,432		12,500		1.13	%
Allworth Financial Group, L.P.
Financial Services	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	01/2022	12/2026	5,075		5,043		5,075
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	01/2022	12/2026	5,044		5,011		5,044
	First Lien(4)	SOFR(M)	+	5.50%	10.96%	01/2022	12/2026	1,526		1,515		1,526
								11,645		11,569		11,645		1.05	%
Specialtycare, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.75%	11.41%	06/2021	06/2028	11,609		11,511		11,145
	First Lien(4)	SOFR(Q)	+	5.75%	11.41%	06/2021	06/2028	84		83		80
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	4.00%	9.46%	06/2021	06/2026	39		41		38
								11,732		11,635		11,263		1.02	%
DG Investment Intermediate Holdings 2, Inc.
Business Services	Second Lien	SOFR(M)	+	6.75%	12.22%	03/2021	03/2029	12,188		12,165		10,999		0.99	%
PDQ.com Corporation
Software	First Lien(2)(4)	SOFR(Q)	+	5.21%	10.66%	12/2021	08/2027	5,600		5,580		5,600
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.21%	10.68%	12/2021	08/2027	5,389		5,371		5,389
								10,989		10,951		10,989		0.99	%
GC Waves Holdings, Inc.
Financial Services	First Lien(2)(4)	SOFR(M)	+	6.00%	11.46%	08/2021	08/2028	10,445		10,382		10,445		0.94	%
Maverick Bidco Inc.
Software	Second Lien(4)	SOFR(Q)	+	6.75%	12.28%	04/2021	05/2028	10,200		10,178		10,039		0.91	%
CRCI Longhorn Holdings, Inc.
Business Services	Second Lien(2)(4)	SOFR(M)	+	7.25%	12.71%	07/2021	08/2026	10,000		9,986		9,956		0.90	%
Beacon Pointe Harmony, LLC
Financial Services	First Lien(2)(4)	SOFR(M)	+	5.50%	10.86%	12/2021	12/2028	6,991		6,937		6,921
	First Lien(4)	SOFR(M)	+	5.50%	10.86%	12/2021	12/2028	2,742		2,726		2,715
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	10.86%	12/2021	12/2028	222		220		220
								9,955		9,883		9,856		0.89	%
Trinity Air Consultants Holdings Corporation
Business Services	First Lien(2)(4)	SOFR(S)	+	5.75%	11.29%	06/2021	06/2027	7,449		7,401		7,449
	First Lien(2)(4)(5) - Drawn	SOFR(S)	+	5.75%	11.19%	06/2021	06/2027	1,971		1,958		1,971
								9,420		9,359		9,420		0.85	%

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

29

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Coyote Buyer, LLC
Specialty Chemicals & Materials	First Lien(2)	SOFR(Q)	+	6.00%	11.53%	03/2020	02/2026	$	7,978	$	7,962	$	7,978
	First Lien(2)	SOFR(Q)	+	8.00%	13.54%	10/2020	08/2026	1,436		1,428		1,436
								9,414		9,390		9,414		0.85	%
KPSKY Acquisition Inc.
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.25%	10.73%	10/2021	10/2028	8,502		8,439		8,337
	First Lien(4)	SOFR(Q)	+	5.25%	10.76%	10/2021	10/2028	974		967		955
								9,476		9,406		9,292		0.84	%
CG Group Holdings, LLC
Specialty Chemicals & Materials	First Lien(2)(4)	SOFR(Q)*	+	6.75% +2.00%/PIK	14.10%	07/2021	07/2027	8,403		8,344		8,038
	First Lien(2)(4)(5) - Drawn	SOFR(M)*	+	6.75% +2.00%/PIK	14.11%	07/2021	07/2026	935		931		894
								9,338		9,275		8,932		0.81	%
Huskies Parent, Inc.
Software	First Lien(2)(4)	SOFR(Q)	+	5.50%	11.00%	12/2021	11/2028	8,376		8,328		8,160
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	11.00%	12/2021	11/2027	724		720		705
								9,100		9,048		8,865		0.80	%
Radwell Parent, LLC
Distribution & Logistics	First Lien(2)(4)	SOFR(Q)	+	6.53%	11.97%	03/2022	04/2029	8,301		8,250		8,301
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.75%	12.10%	03/2022	04/2028	90		90		90
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	6.53%	11.91%	03/2022	04/2029	67		61		67
								8,458		8,401		8,458		0.76	%
Ministry Brands Holdings, LLC
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	12/2021	12/2028	6,939		6,912		6,814
	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	12/2021	12/2028	702		701		689
	First Lien(2)(4)(5) - Drawn	SOFR(M)	+	5.50%	11.28%	12/2021	12/2027	362		361		355
								8,003		7,974		7,858		0.71	%
Smile Doctors LLC
Healthcare	First Lien(2)(4)	SOFR(Q)	+	5.90%	11.30%	02/2022	12/2028	7,883		7,849		7,779		0.70	%
EAB Global, Inc.
Education	Second Lien(2)(4)	SOFR(M)	+	6.50%	11.97%	08/2021	08/2029	7,354		7,270		7,354		0.66	%
Safety Borrower Holdings LLC
Software	First Lien(2)(4)	SOFR(M)	+	5.25%	10.75%	09/2021	09/2027	6,904		6,881		6,904
	First Lien(2)(4)(5) - Drawn	P(Q)	+	4.25%	12.75%	09/2021	09/2027	384		383		384
								7,288		7,264		7,288		0.66	%
Community Brands ParentCo, LLC
Software	First Lien(2)(4)	SOFR(M)	+	5.50%	10.96%	02/2022	02/2028	7,091		7,038		6,899		0.62	%
USIC Holdings, Inc.
Business Services	Second Lien	SOFR(Q)	+	6.50%	12.11%	05/2021	05/2029	7,000		6,974		6,550		0.59	%

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

30

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
YLG Holdings, Inc.
Business Services	First Lien(2)(4)	SOFR(Q)	+	5.00%	10.48%	10/2021	10/2025	$	6,079	$	6,060	$	6,079
	First Lien(2)(4)(5) - Drawn	SOFR(Q)	+	5.50%	10.99%	10/2021	10/2025	404		394		404
								6,483		6,454		6,483		0.58	%
TMK Hawk Parent, Corp.
Distribution & Logistics	First Lien(2)(4)	SOFR(Q)	+	3.50%	9.14%	09/2019	08/2024	9,666		9,047		5,800
	First Lien(2)	SOFR(M)	+	9.50%	14.98%	12/2023	05/2024	457		457		457
	First Lien	SOFR(M)	+	9.50%	14.98%	12/2023	05/2024	157		157		157
								10,280		9,661		6,414		0.58	%
RealPage, Inc.
Software	Second Lien	SOFR(M)	+	6.50%	11.97%	02/2021	04/2029	6,388		6,353		6,404		0.58	%
Calabrio, Inc.
Software	First Lien	SOFR(M)	+	7.13%	12.48%	04/2021	04/2027	5,979		5,953		5,920
	First Lien(2)(5) - Drawn	SOFR(M)	+	7.13%	12.48%	04/2021	04/2027	411		411		407
								6,390		6,364		6,327		0.57	%
Therapy Brands Holdings LLC
Healthcare	Second Lien(2)(4)	SOFR(M)	+	6.75%	12.22%	05/2021	05/2029	6,000		5,970		5,693		0.51	%
IMO Investor Holdings, Inc.
Healthcare	First Lien(2)(4)	SOFR(Q)	+	6.00%	11.40%	05/2022	05/2029	5,224		5,181		5,182
	First Lien(2)(4)(5) - Drawn	SOFR(S)	+	6.00%	11.39%	05/2022	05/2029	463		459		459
	First Lien(2)(4)(5) - Drawn	SOFR(S)	+	6.00%	11.42%	05/2022	05/2028	25		27		25
								5,712		5,667		5,666		0.51	%
Appriss Health Holdings, Inc. (7)
Appriss Health, LLC
Healthcare	First Lien(4)	SOFR(Q)	+	6.75%	12.32%	05/2021	05/2027	4,641		4,612		4,641		0.42	%
Mamba Purchaser, Inc.
Healthcare	Second Lien(4)	SOFR(M)	+	6.50%	11.97%	09/2021	10/2029	4,354		4,336		4,347		0.39	%
Cloudera, Inc.
Software	Second Lien	SOFR(M)	+	6.00%	11.46%	08/2021	10/2029	4,006		3,998		3,860		0.35	%
Alegeus Technologies Holdings Corp.
Healthcare	First Lien(2)(4)	SOFR(S)	+	8.25%	13.75%	08/2019	09/2024	2,134		2,131		2,134		0.19	%
AG Parent Holdings, LLC
Healthcare	First Lien(2)	SOFR(Q)	+	5.00%	10.65%	07/2019	07/2026	1,970		1,966		1,938		0.17	%
MH Sub I, LLC (Micro Holding Corp.)
Business Services	Second Lien	SOFR(M)	+	6.25%	11.61%	02/2021	02/2029	1,865		1,862		1,753		0.16	%
Kele Holdco, Inc.
Distribution & Logistics	First Lien(2)(4)	SOFR(M)	+	5.25%	10.71%	12/2021	02/2026	1,739		1,735		1,739		0.16	%
Virtusa Corporation
Business Services	Subordinated	Fixed(S)	+	7.13%	7.13%	07/2022	12/2028	1,000		834		859		0.09	%
New Trojan Parent, Inc.
Healthcare	Second Lien(4)	SOFR(M)	+	7.25%	12.72%	01/2021	01/2029	13,238		13,189		703		0.07	%
Total Funded Debt Investments - United States								$	1,902,756	$	1,891,533	$	1,858,847	167.65	%

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

31

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)		Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Funded Debt Investments - United Kingdom
Aston FinCo S.a r.l. / Aston US Finco, LLC**
Software	Second Lien(2)(4)	SOFR(M)	+	8.25%	13.72%	10/2019	10/2027	$	22,500	$	22,404	$	22,500	2.03	%
Total Funded Debt Investments - United Kingdom								$	22,500	$	22,404	$	22,500	2.03	%
Funded Debt Investments - Canada
Project Boost Purchaser, LLC**
Business Services	Second Lien(2)(4)	SOFR(M)	+	8.00%	13.47%	09/2019	05/2027	$	12,000	$	12,000	$	11,982	1.08	%
Total Funded Debt Investments - Canada								$	12,000	$	12,000	$	11,982	1.08	%
Total Funded Debt Investments								$	1,937,256	$	1,925,937	$	1,893,329	170.76	%
Equity - United States
Dealer Tire Holdings, LLC(10)
Distribution & Logistics	Preferred shares (4)	Fixed(S)*		7.00%/PIK	7.00%	09/2021	—	30,082		$	37,626	$	39,970	3.60	%
OEC Holdco, LLC (12)
Software	Preferred shares (3)(4)	Fixed(S)*		11.00%/PIK	11.00%	12/2021	—	17,786		20,782		20,008		1.80	%
ACI Parent Inc. (11)
Healthcare	Preferred shares (4)	Fixed(Q)*		11.75%/PIK	11.75%	08/2021	—	12,500		16,414		15,040		1.36	%
Knockout Intermediate Holdings I Inc. (14)
Software	Preferred shares (4)	Fixed(S)*		11.75%/PIK	11.75%	06/2022	—	9,061		10,066		10,179		0.92	%
Project Essential Topco, Inc. (8)
Project Essential Super Parent, Inc.
Software	Preferred shares (4)	SOFR(Q)*	+	9.50%/PIK	14.85%	04/2021	—	5,000		6,877		6,191		0.56	%
Diamond Parent Holdings Corp. (9)
Diligent Preferred Issuer, Inc.
Software	Preferred shares (4)	Fixed(S)*		10.50%/PIK	10.50%	04/2021	—	5,000		6,386		6,082		0.55	%
Appriss Health Holdings, Inc. (7)
Appriss Health Intermediate Holdings, Inc.
Healthcare	Preferred shares (4)	Fixed(Q)*		11.00%/PIK	11.00%	05/2021	—	1,167		1,497		1,432		0.13	%
Pioneer Topco I, L.P. (13)
Software	Ordinary shares (4)	—		—	—	11/2021	—	10		—		—		—	%
Total Shares - United States										$	99,648	$	98,902	8.92	%
Total Shares										$	99,648	$	98,902	8.92	%
Total Funded Investments										$	2,025,585	$	1,992,231	179.68	%
Unfunded Debt Investments - United States
KWOR Acquisition, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—		—	—	12/2021	12/2027	$	3,222	$	(24)	$	—	—	%
Paw Midco, Inc.
AAH Topco, LLC
Consumer Services	First Lien(2)(4)(5) - Undrawn	—		—	—	12/2021	12/2027	2,427		(16)		—		—	%

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

32

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Allworth Financial Group, L.P.
Financial Services	First Lien(2)(4)(5) - Undrawn	—	—	—	01/2022	12/2026	$	1,572	$	(10)	$	—	—	%
AmeriVet Partners Management, Inc.
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2028	1,213		(4)		—		—	%
Coyote Buyer, LLC
Specialty Chemicals & Materials	First Lien(2)(5) - Undrawn	—	—	—	03/2020	02/2025	592		(1)		—		—	%
Appriss Health Holdings, Inc. (7)
Appriss Health, LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2021	05/2027	313		(2)		—		—	%
Associations, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2027	1,146		(6)		—		—	%
Avalara, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2022	10/2028	2,165		(22)		—		—	%
Legal Spend Holdings, LLC (fka Bottomline Technologies, Inc.)
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2028	4,156		(30)		—		—	%
Bullhorn, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2019	09/2026	964		(3)		—		—	%
Businessolver.com, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2024	3,027		—		—		—	%
Daxko Acquisition Corporation
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	04/2024	619		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	10/2027	1,242		(12)		—
							1,861		(12)		—		—	%
Foreside Financial Group, LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2024	3,894		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	09/2027	931		(9)		—
							4,825		(9)		—		—	%
Galway Borrower LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	1,894		(12)		—		—	%
Granicus, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	01/2021	01/2027	955		(7)		—		—	%

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

33

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
iCIMS, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2022	08/2024	$	5,634	$	—	$	—
	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2022	08/2028	2,101		(18)		—
							7,735		(18)		—		—	%
IG IntermediateCo LLC
Infogain Corporation
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2026	1,854		(7)		—		—	%
Ocala Bidco, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	05/2024	3,196		—		—		—	%
IG Investments Holdings, LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	3,103		(20)		—		—	%
GraphPAD Software, LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	04/2021	04/2027	750		(4)		—		—	%
GS Acquisitionco, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2020	05/2026	2,362		(6)		—		—	%
Knockout Intermediate Holdings I Inc. (14)
Kaseya Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2024	1,481		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2029	1,183		(9)		—
							2,664		(9)		—		—	%
OA Buyer, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2028	5,959		(43)		—		—	%
Pioneer Topco I, L.P. (13)
Pioneer Buyer I, LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	11/2021	11/2027	4,009		(26)		—		—	%
PDQ.com Corporation
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	01/2024	8,857		—		—		—	%
Pye-Barker Fire & Safety, LLC
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	11/2021	11/2026	1,998		(31)		—		—	%

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

34

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Radwell Parent, LLC
Distribution & Logistics	First Lien(2)(4)(5) - Undrawn	—	—	—	03/2022	04/2024	$	1,056	$	—	$	—
	First Lien(2)(4)(5) - Undrawn	—	—	—	03/2022	04/2028	360		(3)		—
							1,416		(3)		—		—	%
Recorded Future, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2019	07/2025	1,630		(4)		—		—	%
Relativity ODA LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2021	05/2027	1,439		(10)		—		—	%
Safety Borrower Holdings LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	128		(1)		—		—	%
Trinity Air Consultants Holdings Corporation
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2021	06/2024	572		—		—
	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2021	06/2027	727		(5)		—
							1,299		(5)		—		—	%
USRP Holdings, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2027	432		(3)		—		—	%
WEG Sub Intermediate Holdings, LLC
Wealth Enhancement Group, LLC
Financial Services	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	10/2027	2,480		(5)		—		—	%
YLG Holdings, Inc.
Business Services	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	12/2024	3,963		—		—		—	%
Calabrio, Inc.
Software	First Lien(2)(5) - Undrawn	—	—	—	04/2021	04/2027	309		(2)		(3)		(0.00)	%
MRI Software LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	01/2020	02/2027	1,170		(3)		(3)		(0.00)	%
DECA Dental Holdings LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	08/2027	306		(3)		(6)		(0.00)	%
Ministry Brands Holdings, LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	316		(2)		(6)		(0.00)	%
Specialtycare, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2021	06/2026	240		(4)		(8)		(0.00)	%

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

35

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Sun Acquirer Corp.
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	$	447	$	(4)	$	(8)	(0.00)	%
CG Group Holdings, LLC
Specialty Chemicals & Materials	First Lien(2)(4)(5) - Undrawn	—	—	—	07/2021	07/2026	226		(3)		(10)		(0.00)	%
IMO Investor Holdings, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2028	605		(6)		(5)
	First Lien(2)(4)(5) - Undrawn	—	—	—	05/2022	05/2024	794		—		(6)
							1,399		(6)		(11)		(0.00)	%
Smile Doctors LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2023	03/2025	905		—		(12)		(0.00)	%
Beacon Pointe Harmony, LLC
Financial Services	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	09/2024	683		—		(7)
	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	736		(5)		(7)
							1,419		(5)		(14)		(0.00)	%
Diamond Parent Holdings Corp. (9)
Diligent Corporation
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2020	08/2025	1,074		(13)		(21)		(0.00)	%
TigerConnect, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2024	545		—		(5)
	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2028	2,630		(18)		(22)
							3,175		(18)		(27)		(0.00)	%
FS WhiteWater Borrower, LLC
Consumer Services	First Lien(2)(4)(5) - Undrawn	—	—	—	12/2021	12/2027	1,847		(18)		(30)		(0.00)	%
Community Brands ParentCo, LLC
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2028	425		(3)		(11)
	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2024	849		—		(23)
							1,274		(3)		(34)		(0.00)	%
DOCS, MSO, LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2028	1,977		—		(36)		(0.00)	%
OB Hospitalist Group, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	09/2021	09/2027	1,548		(15)		(39)		(0.00)	%

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

36

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

Portfolio Company, Location and Industry(1)	Type of Investment	Reference (6)	Spread (6)	Interest Rate (6)	Acquisition Date	Maturity/Expiration Date	Principal Amount, Par Value or Shares		Cost		Fair Value		Percent of Members' Capital
Fortis Solutions Group, LLC
Packaging	First Lien(2)(4)(5) - Undrawn	—	—	—	10/2021	10/2027	$	2,782	$	(28)	$	(18)
	First Lien(2)(4)(5) - Undrawn	—	—	—	06/2022	06/2024	4,539		—		(29)
							7,321		(28)		(47)		(0.00)	%
ACI Parent Inc. (11)
ACI Group Holdings, Inc.
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	08/2027	973		(10)		(23)
	First Lien(2)(4)(5) - Undrawn	—	—	—	08/2021	08/2024	1,415		—		(34)
							2,388		(10)		(57)		(0.01)	%
CFS Management, LLC
Healthcare	First Lien(2)(4)(5) - Undrawn	—	—	—	02/2022	02/2024	764		(5)		(96)		(0.02)	%
Project Essential Topco, Inc. (8)
Project Essential Bidco, Inc.
Software	First Lien(2)(4)(5) - Undrawn	—	—	—	04/2021	04/2027	2,259		(11)		(169)		(0.02)	%
Notorious Topco, LLC
Consumer Products	First Lien(2)(4)(5) - Undrawn	—	—	—	11/2021	05/2027	3,373		(25)		(249)		(0.03)	%
Total Unfunded Debt Investments - United States							$	119,343	$	(531)	$	(886)	(0.08)	%
Total Unfunded Debt Investments							$	119,343	$	(531)	$	(886)	(0.08)	%
Total Non-Controlled/Non-Affiliated Investments									$	2,025,054	$	1,991,345	179.60	%
Total Investments									$	2,025,054	$	1,991,345	179.60	%

(1)New Mountain Guardian III BDC, L.L.C. (the "Company") generally acquires its investments in private transactions exempt from registration under the Securities Act of 1933, as amended (the "Securities Act"). These investments are generally subject to certain limitations on resale, and may be deemed to be "restricted securities" under the Securities Act.

(2)Investment is pledged as collateral for the GS Credit Facility, a revolving credit facility among the Company as Collateral Manager, New Mountain Guardian III SPV, L.L.C. as the Borrower, Goldman Sachs Bank USA as the Syndication Agent and Administrative Agent, and Western Alliance Trust Company, N.A. as Collateral Agent, Collateral Custodian and Collateral Administrator. See Note 6. Borrowings, for details.

(3)Investment is held by New Mountain Guardian III OEC, Inc.

(4)The fair value of the Company's investment is determined using unobservable inputs that are significant to the overall fair value measurement. See Note 4. Fair Value, for details.

(5)Par value amounts represent the drawn or undrawn (as indicated in type of investment) portion of revolving credit facilities or delayed draws. Cost amounts represent the cash received at settlement date net of the impact of paydowns and cash paid for drawn revolvers or delayed draws.

(6)All interest is payable in cash unless otherwise indicated. A majority of the variable rate debt investments bear interest at a rate that may be determined by reference to the Secured Overnight Financing Rate (SOFR), the Prime Rate (P) and the alternative base rate (Base) and which resets monthly (M), quarterly (Q), semi-annually (S) or annually (A). For each investment the current interest rate provided reflects the rate in effect as of December 31, 2023.

(7)The Company holds investments in two wholly-owned subsidiaries of Appriss Health Holdings, Inc. The Company holds a first lien term loan and a first lien revolver in Appriss Health, LLC, and preferred equity in Appriss Health Intermediate Holdings, Inc. The preferred equity in Appriss Health Intermediate Holdings, Inc. is entitled to receive cumulative preferential dividends at a rate of 11.00% per annum.

(8)The Company holds investments in two subsidiaries of Project Essential Topco, Inc. The Company holds a first lien term loan and first lien revolver in Project Essential Bidco, Inc. and preferred equity in Project Essential Super Parent, Inc. The preferred equity in Project Essential Super Parent, Inc. is entitled to receive cumulative preferential dividends at a rate of SOFR + 9.50% per annum.

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

37

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

(in thousands, except shares)

(9)The Company holds investments in two wholly-owned subsidiaries of Diamond Parent Holdings Corp. The Company holds three first lien term loans, two first lien delayed draws and a first lien revolver in Diligent Corporation and preferred equity in Diligent Preferred Issuer Inc. The preferred equity in Diligent Preferred Issuer, Inc. is entitled to receive cumulative preferential dividends at a rate of 10.50% per annum.

(10)The Company holds preferred equity in Dealer Tire Holdings, LLC., that is entitled to receive cumulative preferential dividends at a rate of 7.00% per annum.

(11)The Company holds investments in ACI Parent Inc. and a wholly-owned subsidiary of ACI Parent Inc. The Company holds a first lien term loan, a first lien delayed draw and a first lien revolver in ACI Group Holdings, Inc. and preferred equity in ACI Parent Inc. The preferred equity in ACI Parent Inc. is entitled to receive cumulative preferential dividends at a rate of 11.75% per annum.

(12)The Company holds investments in OEC Holdco, LLC, and a wholly-owned subsidiary of OEC Holdco, LLC. The Company holds two second lien term loans in OEConnection LLC, and preferred equity in OEC Holdco, LLC. The preferred equity is entitled to receive preferential dividends at a rate of 11.00% per annum.

(13)The Company holds investments in Pioneer Topco I, L.P. and a wholly-owned subsidiary of Pioneer Topco I, L.P. The Company holds a first lien term loan and a first lien revolver in Pioneer Buyer I, LLC, and common equity in Pioneer Topco I, L.P.

(14)The Company holds preferred equity in Knockout Intermediate Holdings I Inc. and a first lien term loan, a first lien revolver and a first lien delayed draw in Kaseya Inc., a wholly-owned subsidiary of Knockout Intermediate Holdings I Inc. The preferred equity is entitled to receive cumulative preferential dividends at a rate of 11.75% per annum.

*    All or a portion of interest or dividends contains PIK interest or dividends.

**    Indicates assets that the Company deems to be "non-qualifying assets" under Section 55(a) of the 1940 Act. Qualifying assets must represent at least 70.0% of the Company's total assets at the time of acquisition of any additional non-qualifying assets. As of December 31, 2023, 1.66% of the Company's total assets are represented by investments at fair value that are considered non-qualifying assets.

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

38

New Mountain Guardian III BDC, L.L.C.

Consolidated Schedule of Investments (Continued)

December 31, 2023

	December 31, 2023
Investment Type	Percent of Total Investments at Fair Value
First lien	78.20	%
Second lien	15.03	%
Subordinated	1.80	%
Equity and other	4.97	%
Total investments	100.00	%

	December 31, 2023
Industry Type	Percent of Total Investments at Fair Value
Software	38.33	%
Business Services	20.92	%
Healthcare	20.26	%
Consumer Services	6.39	%
Distribution & Logistics	4.28	%
Financial Services	4.01	%
Consumer Products	2.06	%
Packaging	1.49	%
Education	1.34	%
Specialty Chemicals & Materials	0.92	%
Total investments	100.00	%

	December 31, 2023
Interest Rate Type	Percent of Total Investments at Fair Value
Floating rates	94.55	%
Fixed rates	5.45	%
Total investments	100.00	%

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

39

Notes to the Consolidated Financial Statements of

New Mountain Guardian III BDC, L.L.C.

March 31, 2024

(in thousands, except unit data)

(unaudited)

Note 1. Formation and Business Purpose

New Mountain Guardian III BDC, L.L.C. (the "Company") is a Delaware limited liability company formed on May 22, 2019. The Company is a closed-end, non-diversified management investment company that has elected to be regulated as a business development company ("BDC") under the Investment Company Act of 1940, as amended (the "1940 Act"). The Company has elected to be treated for U.S. federal income tax purposes, and intends to continue to comply with the requirements to qualify annually, as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code").

New Mountain Finance Advisers BDC, L.L.C. (the "Investment Adviser") is a wholly-owned subsidiary of New Mountain Capital Group, L.P. (together with New Mountain Capital, L.L.C. and its affiliates, "New Mountain Capital"), whose ultimate owners include Steven B. Klinsky, other current and former New Mountain Capital professionals and related vehicles and a minority investor. New Mountain Capital is a global investment firm with approximately $50 billion of assets under management and a track record of investing in the middle market. New Mountain Capital focuses on investing in defensive growth companies across its private equity, credit and net lease investment strategies. The Investment Adviser manages the Company's day-to-day operations and provides it with investment advisory and management services. The Investment Adviser also manages other funds that may have investment mandates that are similar, in whole or in part, to the Company's. New Mountain Finance Administration, L.L.C. (the "Administrator"), a wholly-owned subsidiary of New Mountain Capital, provides the administrative services necessary to conduct the Company's day-to-day operations. The Administrator has hired a third-party sub-administrator to assist with the provision of administrative services.

The Company conducted a private offering (the "Private Offering") of units of the Company's limited liability company interests (the "Units"). Units were offered for subscription continuously throughout the Closing Period (as defined below). Each investor in the Private Offering made a capital commitment (each, a "Capital Commitment") to purchase Units pursuant to a subscription agreement entered into with the Company (each, a "Subscription Agreement"). Closings of the Private Offering occurred, from time to time, in the Investment Adviser's sole discretion, during the 18-month period following the initial closing of Capital Commitments, which occurred on July 15, 2019 (the "Closing Period"). Pursuant to the Limited Liability Company Agreement the Closing Period was previously extended to and ended on October 15, 2021. The Company accepted and drew down on Capital Commitments from investors throughout the Closing Period and drew down on Capital Commitments throughout the Investment Period (as defined below). At the end of the Closing Period, the Company had aggregate Capital Commitments from investors of $1,149,065. The Company commenced loan origination and investment activities contemporaneously with the initial drawdown from investors in the Private Offering (the "Initial Drawdown"), which occurred on August 2, 2019 (the "Initial Drawdown Date"). The "Investment Period" began on July 15, 2019 and ended on July 15, 2023, the four-year anniversary of such date. The term of the Company was initially until July 15, 2025, six years from the beginning of the Investment Period, subject to (i) a one-year extension as determined by the Investment Adviser in its sole discretion and (ii) an additional one-year extension as determined by the Company's board of directors ("the Board"). Pursuant to the Limited Liability Company Agreement, as most recently amended and restated on June 28, 2023 (the "Fourth A&R LLC Agreement'), the Investment Adviser extended the Term of the Company for an additional one-year period, to July 15, 2026.

The Company established New Mountain Guardian III SPV, L.L.C. ("GIII SPV") as a wholly-owned direct subsidiary, whose assets are used to secure GIII SPV's credit facility. The Company established New Mountain Guardian III OEC, Inc. ("GIII OEC") as a wholly-owned direct subsidiary, which is treated as a corporation for U.S. federal income tax purposes and is intended to facilitate the Company's compliance with the requirements to be treated as a RIC under the Code by holding equity or equity-like investments in one of the Company's portfolio companies organized as a limited liability company (or other form of pass through entities). The Company consolidates this corporation for accounting purposes, but the corporation is not consolidated for U.S. federal income tax purposes, and may incur U.S. federal income tax expense as a result of its ownership of the portfolio company.

The Company focuses on providing direct lending solutions to U.S. upper middle market companies backed by top private equity sponsors. The Company's investment objective is to generate current income and capital appreciation through the sourcing and origination of senior secured loans and select junior capital positions, to growing businesses in defensive industries that offer attractive risk-adjusted returns. The Company's differentiated investment approach leverages the deep sector knowledge and operating resources of New Mountain Capital.

The Company primarily invests in senior secured debt of U.S. sponsor-backed, middle market companies. The Company defines middle market companies as those with annual earnings before interest, taxes, depreciation, and amortization

40

("EBITDA") between $10,000 and $200,000. The Company focuses on defensive growth businesses that generally exhibit the following characteristics: (i) acyclicality, (ii) sustainable secular growth drivers, (iii) niche market dominance and high barriers to competitive entry, (iv) recurring revenue and strong free cash flow, (v) flexible cost structures and (vi) seasoned management teams.

Senior secured loans may include traditional first lien loans or unitranche loans. The Company invests a significant portion of its portfolio in unitranche loans, which are loans that combine both senior and subordinated debt, generally in a first-lien position. Because unitranche loans combine characteristics of senior and subordinated debt, they have risks similar to the risks associated with secured debt and subordinated debt. Certain unitranche loan investments may include “last-out” positions, which generally heighten the risk of loss. In some cases, the Company’s investments may also include equity interests.

As of March 31, 2024, the Company's top five industry concentrations were software, healthcare, business services, consumer services and distribution & logistics.

Note 2. Summary of Significant Accounting Policies

Basis of accounting—The Company's consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States ("GAAP"). The Company is an investment company following accounting and reporting guidance in Accounting Standards Codification Topic 946, Financial Services—Investment Companies ("ASC 946"). The Company consolidates its wholly-owned direct subsidiaries GIII SPV and GIII OEC.

The Company's consolidated financial statements reflect all adjustments and reclassifications which, in the opinion of management, are necessary for the fair presentation of the results of operations and financial condition for the period(s) presented. All intercompany transactions have been eliminated. Revenues are recognized when earned and expenses when incurred. The financial results of the Company's portfolio investments are not consolidated in the financial statements.

The Company's interim consolidated financial statements are prepared in accordance with GAAP and pursuant to the requirements for reporting on Form 10-Q and Articles 6 and 10 of Regulation S-X. Accordingly, the Company’s interim consolidated financial statements do not include all of the information and notes required by GAAP for annual financial statements. In the opinion of management, all adjustments, consisting solely of normal recurring accruals considered necessary for the fair presentation of financial statements for the interim period, have been included. The current period's results of operations will not necessarily be indicative of results that ultimately may be achieved for the fiscal year ending December 31, 2024.

Investments—The Company applies fair value accounting in accordance with GAAP. Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Investments are reflected on the Company's Consolidated Statements of Assets, Liabilities and Members' Capital at fair value, with changes in unrealized gains and losses resulting from changes in fair value reflected in the Company's Consolidated Statements of Operations as "Net change in unrealized appreciation (depreciation) of investments" and realizations on portfolio investments reflected in the Company's Consolidated Statements of Operations as "Net realized gains (losses) on investments".

The Company values its assets on a quarterly basis, or more frequently if required under the 1940 Act. In all cases, the Board is ultimately and solely responsible for determining the fair value of the Company's portfolio investments on a quarterly basis in good faith, including investments that are not publicly traded, those whose market prices are not readily available and any other situation where its portfolio investments require a fair value determination. Security transactions are accounted for on a trade date basis. The Company's quarterly valuation procedures are set forth in more detail below:

(1)Investments for which market quotations are readily available on an exchange are valued at such market quotations based on the closing price indicated from independent pricing services.

(2)Investments for which indicative prices are obtained from various pricing services and/or brokers or dealers are valued through a multi-step valuation process, as described below, to determine whether the quote(s) obtained is representative of fair value in accordance with GAAP.

a.Bond quotes are obtained through independent pricing services. Internal reviews are performed by the investment professionals of the Investment Adviser to ensure that the quote obtained is representative of fair value in accordance with GAAP and, if so, the quote is used. If the Investment Adviser is unable to sufficiently validate the quote(s) internally and if the investment's par value or its fair value exceeds the materiality threshold, the investment is valued similarly to those assets with no readily available quotes (see (3) below); and

b.For investments other than bonds, the Company looks at the number of quotes readily available and performs the following procedures:

i.Investments for which two or more quotes are received from a pricing service are valued using the mean of the mean of the bid and ask of the quotes obtained. The Company will evaluate the reasonableness of the

41

quote, and if the quote is determined to not be representative of fair value, the Company will use one or more of the methodologies outlined below to determine fair value; and

ii.Investments for which one quote is received from a pricing service are validated internally. The investment professionals of the Investment Adviser analyze the market quotes obtained using an array of valuation methods (further described below) to validate the fair value. If the Investment Adviser is unable to sufficiently validate the quote internally and if the investment's par value or its fair value exceeds the materiality threshold, the investment is valued similarly to those assets with no readily available quotes (see (3) below).

(3)Investments for which quotations are not readily available through exchanges, pricing services, brokers, or dealers are valued through a multi-step valuation process:

a.Each portfolio company or investment is initially valued by the investment professionals of the Investment Adviser responsible for the credit monitoring;

b.Preliminary valuation conclusions will then be documented and discussed with the Company's senior management;

c.If an investment falls into (3) above for four consecutive quarters and if the investment's par value or its fair value exceeds the materiality threshold, then at least once each fiscal year, the valuation for each portfolio investment for which the Company does not have a readily available market quotation will be reviewed by an independent valuation firm engaged by the Board; and

d.When deemed appropriate by the Company's management, an independent valuation firm may be engaged to review and value investment(s) of a portfolio company, without any preliminary valuation being performed by the Investment Adviser. The investment professionals of the Investment Adviser will review and validate the value provided.

For investments in revolving credit facilities and delayed draw commitments, the cost basis of the funded investments purchased is offset by any costs/netbacks received for any unfunded portion on the total balance committed. The fair value is also adjusted for the price appreciation or depreciation on the unfunded portion. As a result, the purchase of a commitment not completely funded may result in a negative fair value until it is called and funded.

The values assigned to investments are based upon available information and do not necessarily represent amounts which might ultimately be realized, since such amounts depend on future circumstances and cannot be reasonably determined until the individual positions are liquidated. Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of the Company's investments may fluctuate from period to period and the fluctuations could be material.

See Note 3. Investments, for further discussion relating to investments.

Cash and cash equivalents—Cash and cash equivalents include cash and short-term, highly liquid investments. The Company defines cash equivalents as securities that are readily convertible into known amounts of cash and so near maturity that there is insignificant risk of changes in value. These securities have original maturities of three months or less. The Company did not hold any cash equivalents as of March 31, 2024 and December 31, 2023.

Revenue recognition

Sales and paydowns of investments: Realized gains and losses on investments are determined on the specific identification method.

Interest and dividend income: Interest income, including amortization of premium and discount using the effective interest method, is recorded on the accrual basis and periodically assessed for collectability. Interest income also includes interest earned from cash on hand. Upon the prepayment of a loan or debt security, any prepayment penalties are recorded as part of interest income. The Company has loans and certain preferred equity investments in its portfolio that contain a payment-in-kind ("PIK") interest or dividend provision. PIK interest and dividends are accrued and recorded as income at the contractual rates, if deemed collectible. The PIK interest and dividends are added to the principal or share balances on the capitalization dates and are generally due at maturity or when redeemed by the issuer. For the three months ended March 31, 2024 and March 31, 2023, the Company recognized PIK interest from investments of $4,238 and $2,631, respectively, and PIK dividends from investments of $2,741 and $2,336, respectively.

Dividend income on preferred securities is recorded as dividend income on an accrual basis to the extent that such amounts are deemed collectible.

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Non-accrual income: Investments are placed on non-accrual status when principal or interest payments are past due for 30 days or more and when there is reasonable doubt that principal or interest will be collected. Accrued cash and un-capitalized PIK interest or dividends are reversed when an investment is placed on non-accrual status. Previously capitalized PIK interest or dividends are not reversed when an investment is placed on non-accrual status. Interest or dividend payments received on non-accrual investments may be recognized as income or applied to principal depending upon management's judgment of the ultimate collectability. Non-accrual investments are restored to accrual status when past due principal and interest is paid and, in management's judgment, are likely to remain current.

Fee income: Fee income represents delayed compensation, amendment fees, revolver fees, consent fees and other miscellaneous fees received and are typically non-recurring in nature. Delayed compensation is income earned from counterparties on trades that do not settle within a set number of business days after the trade date. Fee income may also include fees from bridge loans. The Company may from time to time enter into bridge financing commitments, an obligation to provide interim financing to a counterparty until permanent credit can be obtained. These commitments are short-term in nature and may expire unfunded. A fee is received by the Company for providing such commitments. Structuring fees and upfront fees are recognized as income when earned, usually when paid at the closing of the investment, and are non-refundable. Income received in exchange for the provision of services such as recurring administration services are also recognized as fee income in the period in which it was earned.

Interest and other financing expenses—Interest and other financing fees are recorded on an accrual basis by the Company. See Note 6. Borrowings, for details.

Organizational expenses—Organizational expenses include costs and expenses incurred in connection with the formation and organization of the Company and are expensed as incurred in the Consolidated Statements of Operations. Any organizational and offering expenses paid by the Company in excess of the lesser of $2,000 or 0.50% of the aggregate Capital Commitments will be applied as a reduction to the base management fee paid to the Investment Adviser and cannot be recouped by the Investment Adviser.

Deferred financing costs—The deferred financing costs of the Company consist of capitalized expenses related to the origination and amending of the Company's borrowings. The Company amortizes these costs into expense over the stated life of the related borrowing. See Note 6. Borrowings, for details.

Income taxes—The Company has elected to be treated as a RIC for U.S. federal income tax purposes under Subchapter M of the Code and intends to comply with the requirements to qualify and maintain its status as a RIC annually. As a RIC, the Company is not subject to U.S. federal income tax on the portion of taxable income and gains timely distributed to its unitholders.

To continue to qualify and be subject to tax treatment as a RIC, the Company is required to meet certain income and asset diversification tests in addition to timely distributing at least 90.0% of its investment company taxable income, as defined by the Code. Since U.S. federal income tax regulations differ from GAAP, distributions in accordance with tax regulations may differ from net investment income and realized gains recognized for financial reporting purposes.

Differences between taxable income and the results of operations for financial reporting purposes may be permanent or temporary in nature. Permanent differences are reclassified among capital accounts in the consolidated financial statements to reflect their tax character. Differences in classification may also result from the treatment of short-term gains as ordinary income for U.S. federal income tax purposes.

For U.S. federal income tax purposes, distributions paid to unitholders of the Company are reported as ordinary income, return of capital, long term capital gains or a combination thereof.

The Company will be subject to a 4.0% nondeductible federal excise tax on certain undistributed income unless the Company distributes, in a timely manner as required by the Code, an amount at least equal to the sum of (1) 98.0% of its respective net ordinary income earned for the calendar year and (2) 98.2% of its respective capital gain net income for the one-year period ending October 31 in the calendar year.

Certain consolidated subsidiaries of the Company are subject to U.S. federal and state income taxes. These taxable entities are not consolidated for U.S. federal income tax purposes and may generate income tax liabilities or assets from permanent and temporary differences in the recognition of items for financial reporting and U.S. federal income tax purposes.

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The following table summarizes the total income tax provision, income tax expense and deferred income tax provision for the three months ended March 31, 2024 and March 31, 2023:

	Three Months Ended
	March 31, 2024		March 31, 2023
Deferred income tax provision	$	238	$	52
Current income tax expense	121		16
Total income tax provision	$	359	$	68

As of March 31, 2024 and December 31, 2023, the Company had $(87) and $150, respectively, of deferred tax (liabilities) assets primarily relating to deferred taxes attributable to certain differences between the computation of income for the U.S. federal income tax purposes as compared to GAAP.

Based on its analysis, the Company has determined that there were no uncertain tax positions that do not meet the more likely than not threshold as defined by Accounting Standards Codification Topic 740, Income Taxes (“ASC 740”) through December 31, 2023. The 2019 through 2023 tax years and forward remain subject to examination by the U.S. federal, state, and local tax authorities.

Distributions—Distributions to the Company's unitholders are recorded on the record date as set by the Board. The Company intends to make timely distributions to its unitholders that will be sufficient to enable the Company to qualify and maintain its status as a RIC. The Company intends to distribute approximately all of its net investment income on a quarterly basis and substantially all of its taxable income on an annual basis, except that the Company may retain certain net capital gains for reinvestment.    

Earnings per Unit—The Company's earnings per unit ("EPU") amounts have been computed based on the weighted-average number of Units outstanding for the period. Basic EPU is computed by dividing net increase (decrease) in members' capital resulting from operations by the weighted average number of Units outstanding during the period of computation. Diluted EPU is computed by dividing net increase (decrease) in members' capital resulting from operations by the weighted average number of Units assuming all potential Units had been issued, and its related net impact to members' capital accounted for, and the additional Units were dilutive. Diluted EPU reflects the potential dilution, using the as-if-converted method for convertible debt, which could occur if all potentially dilutive securities were exercised.

Foreign securities—The accounting records of the Company are maintained in U.S. dollars. Investment securities denominated in foreign currencies are translated into U.S. dollars based on the rate of exchange of such currencies on the date of valuation. Purchases and sales of investment securities and income and expense items denominated in foreign currencies are translated into U.S. dollars based on the rate of exchange of such currencies on the respective dates of the transactions. The Company does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with "Net change in unrealized appreciation (depreciation) of investments" and "Net realized gains (losses) on investments" in the Company's Consolidated Statements of Operations.

Investments denominated in foreign currencies may be negatively affected by movements in the rate of exchange between the U.S. dollar and such foreign currencies. This movement is beyond the control of the Company and cannot be predicted.

Use of estimates—The preparation of the Company's consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the Company's consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Changes in the economic environment, financial markets, and other metrics used in determining these estimates could cause actual results to differ from the estimates used, and the differences could be material.

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Note 3. Investments

At March 31, 2024, the Company's investments consisted of the following:

Investment Cost and Fair Value by Type

	Cost		Fair Value
First lien	$	1,532,907	$	1,526,014
Second lien	290,312		274,962
Subordinated	36,763		36,568
Equity and other	103,019		103,356
Total investments	$	1,963,001	$	1,940,900

Investment Cost and Fair Value by Industry

	Cost		Fair Value
Software	$	751,459	$	750,022
Healthcare	429,410		407,732
Business Services	391,446		392,887
Consumer Services	124,574		124,818
Distribution & Logistics	84,223		86,101
Financial Services	70,431		70,798
Consumer Products	45,258		42,034
Packaging	29,981		30,211
Education	26,917		27,060
Specialty Chemicals & Materials	9,302		9,237
Total investments	$	1,963,001	$	1,940,900

At December 31, 2023, the Company's investments consisted of the following:

Investment Cost and Fair Value by Type

	Cost		Fair Value
First lien	$	1,569,657	$	1,557,172
Second lien	319,654		299,332
Subordinated	36,095		35,939
Equity and other	99,648		98,902
Total investments	$	2,025,054	$	1,991,345

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Investment Cost and Fair Value by Industry

	Cost		Fair Value
Software	$	766,254	$	763,302
Business Services	418,782		416,669
Healthcare	425,877		403,512
Consumer Services	127,904		127,277
Distribution & Logistics	87,297		85,222
Financial Services	79,540		79,778
Consumer Products	44,393		41,104
Packaging	29,433		29,436
Education	26,913		26,709
Specialty Chemicals & Materials	18,661		18,336
Total investments	$	2,025,054	$	1,991,345

During the quarter ended March 31, 2024, the Company placed its second lien term loan in New Trojan Parent, Inc.("Careismatic") on non-accrual status. As of March 31, 2024, the Company's second lien term loan in Careismatic had an aggregate cost basis of $13,190, an aggregate fair value of $166 and total unearned interest income of $491 for the three months then ended.

As of March 31, 2024, the Company had unfunded commitments on revolving credit facilities of $71,190 and no unfunded commitments on bridge facilities. As of March 31, 2024, the Company had unfunded commitments in the form of delayed draws or other future funding commitments of $35,224. The unfunded commitments on revolving credit facilities and delayed draws are disclosed on the Company's Consolidated Schedule of Investments as of March 31, 2024.

As of December 31, 2023, the Company had unfunded commitments on revolving credit facilities of $76,550 and no unfunded commitments on bridge facilities. As of December 31, 2023, the Company had unfunded commitments in the form of delayed draws or other future funding commitments of $42,793. The unfunded commitments on revolving credit facilities and delayed draws are disclosed on the Company's Consolidated Schedule of Investments as of December 31, 2023.

Investment Risk Factors—First and second lien debt that the Company invests in is almost entirely rated below investment grade or may be unrated. Debt investments rated below investment grade are often referred to as "leveraged loans", "high yield" or "junk" debt investments, and may be considered "high risk" compared to debt investments that are rated investment grade. These debt investments are considered speculative because of the credit risk of the issuers. Such issuers are considered more likely than investment grade issuers to default on their payments of interest and principal, and such risk of default could reduce the members' capital and income distributions of the Company. In addition, some of the Company's debt investments will not fully amortize during their lifetime, which could result in a loss or a substantial amount of unpaid principal and interest due upon maturity. First and second lien debt may also lose significant market value before a default occurs. Furthermore, an active trading market may not exist for these first and second lien debt investments. This illiquidity may make it more difficult to value the debt.

Subordinated debt is generally subject to similar risks as those associated with first and second lien debt, except that such debt is subordinated in payment and/or lower in lien priority. Subordinated debt is subject to the additional risk that the cash flow of the borrower and the property securing the debt, if any, may be insufficient to meet scheduled payments after giving effect to the senior secured and unsecured obligations of the borrower.

The Company may directly invest in the equity of private companies or, in some cases, equity investments could be made in connection with a debt investment. Equity investments may or may not fluctuate in value, resulting in recognized realized gains or losses upon disposition.

Note 4. Fair Value

Pursuant to Rule 2a-5, a market quotation is readily available for purposes of Section 2(a)(41) of the 1940 Act with respect to a security only when that "quotation is a quoted price (unadjusted) in active markets for identical investments that the fund can access at the measurement date, provided that a quotation will not be readily available if it is not reliable." Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosure ("ASC 820") establishes a fair value hierarchy that prioritizes and ranks the inputs to valuation techniques used in measuring investments at fair value. The hierarchy classifies the inputs used in measuring fair value into three levels as follows:    

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Level I—Quoted prices (unadjusted) are available in active markets for identical investments and the Company has the ability to access such quotes as of the reporting date. The type of investments which would generally be included in Level I include active exchange-traded equity securities and exchange-traded derivatives. As required by ASC 820, the Company, to the extent that it holds such investments, does not adjust the quoted price for these investments, even in situations where the Company holds a large position and a sale could reasonably impact the quoted price.

Level II—Pricing inputs are observable for the investments, either directly or indirectly, as of the reporting date, but are not the same as those used in Level I. Level II inputs include the following:

•Quoted prices for similar assets or liabilities in active markets;

•Quoted prices for identical or similar assets or liabilities in non-active markets (examples include corporate and municipal bonds, which trade infrequently);

•Pricing models whose inputs are observable for substantially the full term of the asset or liability (examples include most over-the-counter derivatives, including foreign exchange forward contracts); and

•Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability.

Level III—Pricing inputs are unobservable for the investment and include situations where there is little, if any, market activity for the investment.

The inputs used to measure fair value may fall into different levels. In all instances when the inputs fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level of input that is significant to the fair value measurement in its entirety. As such, a Level III fair value measurement may include inputs that are both observable and unobservable. Gains and losses for such assets categorized within the Level III table below may include changes in fair value that are attributable to both observable inputs and unobservable inputs.

The inputs into the determination of fair value require significant judgment or estimation by management and consideration of factors specific to each investment. A review of the fair value hierarchy classifications is conducted on a quarterly basis. Changes in the observability of valuation inputs may result in the transfer of certain investments within the fair value hierarchy from period to period.

The following table summarizes the levels in the fair value hierarchy that the Company's portfolio investments fall into as of March 31, 2024:

	Total		Level I		Level II		Level III
First lien	$	1,526,014	$	—	$	1,922	$	1,524,092
Second lien	274,962		—		17,221		257,741
Subordinated	36,568		—		899		35,669
Equity and other	103,356		—		—		103,356
Total investments	$	1,940,900	$	—	$	20,042	$	1,920,858

The following table summarizes the levels in the fair value hierarchy that the Company's portfolio investments fall into as of December 31, 2023:

	Total		Level I		Level II		Level III
First lien	$	1,557,172	$	—	$	1,938	$	1,555,234
Second lien	299,332		—		29,566		269,766
Subordinated	35,939		—		859		35,080
Equity and other	98,902		—		—		98,902
Total investments	$	1,991,345	$	—	$	32,363	$	1,958,982

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The following table summarizes the changes in fair value of Level III portfolio investments for the three months ended March 31, 2024, as well as the portion of appreciation (depreciation) included in income attributable to the net change in unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at March 31, 2024:

	Total		First Lien		Second Lien		Subordinated		Equity and other
Fair Value, December 31, 2023	$	1,958,982	$	1,555,234	$	269,766	$	35,080	$	98,902
Total gains or losses included in earnings:
Net realized gains (losses) on investments	(3,249)		(3,249)		—		—		—
Net change in unrealized appreciation (depreciation) of investments	11,301		6,208		4,071		(61)		1,083
Purchases, including capitalized PIK and revolver fundings(1)	30,439		26,418		—		650		3,371
Proceeds from sales and paydowns of investments(1)	(83,019)		(60,519)		(22,500)		—		—
Transfers into Level III(2)	6,404		—		6,404		—		—
Fair Value, March 31, 2024	$	1,920,858	$	1,524,092	$	257,741	$	35,669	$	103,356
Net change in unrealized appreciation (depreciation) for the period relating to those Level III assets that were still held by the Company at the end of the period:	$	6,011	$	2,924	$	2,065	$	(61)	$	1,083

(1)Includes non-cash reorganizations and restructurings.

(2)As of March 31, 2024, portfolio investments were transferred into Level III from Level II at fair value as of the beginning of the period in which the reclassification occurred.    

The following table summarizes the changes in fair value of Level III portfolio investments for the three months ended March 31, 2023, as well as the portion of appreciation (depreciation) included in income attributable to the net change in unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at March 31, 2023:

	Total		First Lien		Second Lien		Subordinated		Equity and other
Fair Value, December 31, 2022	$	1,997,931	$	1,579,814	$	299,769	$	29,858	$	88,490
Total gains or losses included in earnings:
Net realized gains (losses) on investments	(339)		(339)		—		—		—
Net change in unrealized appreciation (depreciation) of investments	3,171		3,374		752		(160)		(795)
Purchases, including capitalized PIK and revolver fundings	41,915		38,995		—		311		2,609
Proceeds from sales and paydowns of investments	(38,327)		(38,327)		—		—		—
Transfers out of Level III(1)	(7,695)		—		(7,695)		—		—
Fair Value, March 31, 2023	$	1,996,656	$	1,583,517	$	292,826	$	30,009	$	90,304
Net change in unrealized appreciation (depreciation) for the period relating to those Level III assets that were still held by the Company at the end of the period:	$	2,151	$	2,354	$	752	$	(160)	$	(795)

(1)As of March 31, 2023, portfolio investments were transferred out of Level III into Level II at fair value as of the beginning of the period in which the reclassification occurred.    

Except as noted in the tables above, there were no other transfers in or out of Level I, II, or III during the three months ended March 31, 2024 and March 31, 2023. Transfers into Level III occur as quotations obtained through pricing services are deemed not representative of fair value as of the balance sheet date, and such assets are internally valued. As quotations obtained through pricing services are substantiated through additional market sources, investments are transferred out of Level III. In addition, transfers out of Level III and transfers into Level III occur based on the increase or decrease in the availability of certain observable inputs. Investments will be transferred into Level III from Level II and out of Level III into Level II at fair value as of the beginning of the period in which the reclassification occurred.

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The Company invests in revolving credit facilities. These investments are categorized as Level III investments as these assets are not actively traded and their fair values are often implied by the term loans of the respective portfolio companies.

The Company generally uses the following framework when determining the fair value of investments where there are little, if any, market activity or observable pricing inputs. The Company typically determines the fair value of its performing debt investments utilizing an income approach. Additional consideration is given using a market based approach, as well as reviewing the overall underlying portfolio company's performance and associated financial risks. The following outlines additional details on the approaches considered:

Company Performance, Financial Review, and Analysis: Prior to investment, as part of its due diligence process, the Company evaluates the overall performance and financial stability of the portfolio company. Post investment, the Company analyzes each portfolio company's current operating performance and relevant financial trends versus prior year and budgeted results, including, but not limited to, factors affecting its revenue and EBITDA growth, margin trends, liquidity position, covenant compliance and changes to its capital structure. The Company also attempts to identify and subsequently track any developments at the portfolio company within its customer or vendor base, or within the industry or the macroeconomic environment generally, that may alter any material element of its original investment thesis. This analysis is specific to each portfolio company. The Company leverages the knowledge gained from its original due diligence process, augmented by this subsequent monitoring, to continually refine its outlook for each of its portfolio companies and ultimately form the valuation of its investment in each portfolio company. When an external event such as a purchase transaction, public offering or subsequent sale occurs, the Company will consider the pricing indicated by the external event to corroborate the private valuation.

For debt investments, the Company may employ the Market Based Approach (as described below) to assess the total enterprise value of the portfolio company, in order to evaluate the enterprise value coverage of the Company's debt investment. For equity investments or in cases where the Market Based Approach implies a lack of enterprise value coverage for the debt investment, the Company may additionally employ a discounted cash flow analysis based on the free cash flows of the portfolio company to assess the total enterprise value. After enterprise value coverage is demonstrated for the Company's debt investments through the method(s) above, the Income Based Approach (as described below) may be employed to estimate the fair value of the investment.

Market Based Approach: The Company may estimate the total enterprise value of each portfolio company by utilizing EBITDA or revenue multiples of publicly traded comparable companies and comparable transactions. The Company considers numerous factors when selecting the appropriate companies whose trading multiples are used to value its portfolio companies. These factors include, but are not limited to, the type of organization, similarity to the business being valued, and relevant risk factors, as well as size, profitability and growth expectations. The Company may apply an average of various relevant comparable company EBITDA or revenue multiples to the portfolio company's latest twelve month ("LTM") EBITDA or revenue or projected EBITDA or revenue to calculate the enterprise value of the portfolio company. Significant increases or decreases in the EBITDA or revenue multiples will result in an increase or decrease in enterprise value, which may result in an increase or decrease in the fair value estimate of the investment. In applying the market based approach as of March 31, 2024 and December 31, 2023, the Company used the relevant EBITDA or revenue multiple ranges set forth in the table below to determine the enterprise value of its portfolio companies. The Company believes these were reasonable ranges in light of current comparable company trading levels and the specific portfolio companies involved.

Income Based Approach: The Company also may use a discounted cash flow analysis to estimate the fair value of the investment. Projected cash flows represent the relevant security's contractual interest, fee and principal payments plus the assumption of full principal recovery at the investment's expected maturity date. These cash flows are discounted at a rate established utilizing a combination of a yield calibration approach and a comparable investment approach. The yield calibration approach incorporates changes in the credit quality (as measured by relevant statistics) of the portfolio company, as compared to changes in the yield associated with comparable credit quality market indices, between the date of origination and the valuation date. The comparable investment approach utilizes an average yield-to-maturity of a selected set of high-quality, liquid investments to determine a comparable investment discount rate. Significant increases or decreases in the discount rate would result in a decrease or increase in the fair value measurement. In applying the income based approach as of March 31, 2024 and December 31, 2023, the Company used the discount ranges set forth in the table below to value investments in its portfolio companies.

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The unobservable inputs used in the fair value measurement of the Company's Level III investments as of March 31, 2024 were as follows:

					Range
Type	Fair Value as of March 31, 2024		Approach	Unobservable Input	Low		High		Weighted Average (1)
First lien	$	1,471,247	Market & income approach	EBITDA multiple	9.5x		65.0x		19.4x
				Revenue multiple	4.0x		18.5x		10.6x
				Discount rate	8.8	%	21.1	%	10.7	%
	52,845		Other	N/A (2)	N/A		N/A		N/A
Second lien	172,908		Market & income approach	EBITDA multiple	14.0x		20.0x		17.8x
				Discount rate	9.4	%	13.7	%	11.3	%
	29,400		Market quote	Broker quote	N/A		N/A		N/A
	55,433		Other	N/A (2)	N/A		N/A		N/A
Subordinated	35,503		Market & income approach	EBITDA multiple	14.0x		24.5x		19.7x
				Discount rate	12.6	%	15.4	%	13.6	%
	166		Other	N/A (2)	N/A		N/A		N/A
Equity and other	81,215		Market & income approach	EBITDA multiple	6.4x		26.5x		13.9x
				Revenue multiple	4.0x		18.5x		6.4x
				Discount rate	9.6	%	18.4	%	12.8	%
	22,141		Other	N/A (2)	N/A		N/A		N/A
	$	1,920,858

(1)Unobservable inputs were weighted by the relative fair value of the investments.

(2)Fair value was determined based on transaction pricing or recent acquisition or sale as the best measure of fair value with no material changes in operations of the related portfolio company since the transaction date.

The unobservable inputs used in the fair value measurement of the Company's Level III investments as of December 31, 2023 were as follows:

					Range
Type	Fair Value as of December 31, 2023		Approach	Unobservable Input	Low		High		Weighted Average (1)
First lien	$	1,533,082	Market & income approach	EBITDA multiple	9.5x		44.0x		18.3x
				Revenue multiple	7.5x		19.5x		10.1x
				Discount rate	8.7	%	21.3	%	10.3	%
	22,152		Other	N/A (2)	N/A		N/A		N/A
Second lien	269,766		Market & income approach	EBITDA multiple	9.5x		20.0x		15.7x
				Discount rate	9.2	%	30.0	%	12.2	%
Subordinated	35,080		Market & income approach	EBITDA multiple	15.0x		22.0x		20.2x
				Discount rate	12.9%		15.8%		13.6%
Equity and other	98,902		Market & income approach	EBITDA multiple	11.0x		34.0x		15.8x
				Revenue multiple	9.0x		11.0x		10.0x
				Discount rate	9.8	%	16.5	%	12.5	%
	$	1,958,982

(1)Unobservable inputs were weighted by the relative fair value of the investments.

(2)Fair value was determined based on transaction pricing or recent acquisition or sale as the best measure of fair value with no material changes in operations of the related portfolio company since the transaction date.

The GS Credit Facility (as defined below) and the Unsecured Notes (as defined below) are considered Level III investments. See Note 6. Borrowings for details.

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The following are the principal amounts and fair values of the Company’s borrowings as of March 31, 2024 and December 31, 2023. Fair value is estimated by discounting remaining payments using applicable current market rates, which take into account changes in the Company’s marketplace credit ratings, or market quotes, if available.

	As of
	March 31, 2024				December 31, 2023
	Principal Amount		Fair Value		Principal Amount		Fair Value
GS Credit Facility	$	638,000	$	644,299	$	646,800	$	650,933
Unsecured Notes	275,000		258,927		275,000		257,529
Total Borrowings	$	913,000	$	903,226	$	921,800	$	908,462

Fair value risk factors—The Company seeks investment opportunities that offer the possibility of attaining substantial capital appreciation. Certain events particular to each industry in which the Company's portfolio companies conduct their operations, as well as general economic, political and health conditions, may have a significant negative impact on the operations and profitability of the Company's investments and/or on the fair value of the Company's investments. The Company's investments are subject to the risk of non-payment of scheduled interest or principal, resulting in a reduction in income to the Company and their corresponding fair valuations. Also, there may be risk associated with the concentration of investments in one geographic region or in certain industries. These events are beyond the control of the Company and cannot be predicted. Furthermore, the ability to liquidate investments and realize value is subject to uncertainties.

Note 5. Agreements and Related Parties

The Company entered into an investment advisory and management agreement (the “Investment Management Agreement") with the Investment Adviser, which was most recently re-approved by the Board on January 30, 2024, at an in-person meeting, for a period of 12 months commencing on March 1, 2024. Under the Investment Management Agreement, the Investment Adviser manages the day-to-day operations of, and provides investment advisory services to, the Company. For providing these services, the Investment Adviser receives an annual base management fee and incentive fee from the Company.

Pursuant to the Investment Management Agreement, the base management fee is payable quarterly in arrears at an annual rate of 1.15% of the aggregate contributed capital from all unitholders (including any outstanding borrowings under any subscription line drawn in lieu of capital calls) less any return of capital distributions and less any cumulative realized losses since inception (calculated net of any subsequently reversed realized losses and net of any realized gains) as of the last day of the applicable quarter. The base management fee could also be reduced by any voluntary fee waivers made by the Investment Adviser. The management fee will be reduced, but not below zero, by any amounts paid by the Company or its subsidiaries to a placement agent, any organizational and offering expenses in excess of the lesser of $2,000 or 0.50% of the aggregate Capital Commitments and any fund expenses in excess of the Specified Expenses Cap (as defined below).

The incentive fee consists of two components that are independent of each other, with the result that one component may be payable even if the other is not. A portion of the incentive fee is based on a percentage of the Company's income and a portion is based on a percentage of the Company's capital gains, each as described below.

Incentive Fee on Pre-Incentive Fee Net Investment Income

The portion based on the Company's income (the "Income Incentive Fee") is based on pre-incentive fee net investment income ("Pre-Incentive Fee Net Investment Income"). Pre-Incentive Fee Net Investment Income means interest income, dividend income and any fee income (including any other fees (other than fees for providing managerial assistance), such as commitment, origination, structuring, upfront, diligence and consulting fees or other fees that the Company receives from portfolio companies) accrued during the calendar quarter, minus the Company's operating expenses for the quarter (including the management fee, expenses payable under the Administration Agreement, and any interest expense and distributions paid on any issued and outstanding preferred units, but excluding the incentive fee). Pre-Incentive Fee Net Investment Income includes, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with PIK interest and zero coupon securities), accrued income that we have not yet received in cash. Pre-Incentive Fee Net Investment Income does not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation.

Pre-Incentive Fee Net Investment Income, expressed as a rate of return on the value of the Company's members' capital at the end of the immediately preceding quarter, is compared to a "hurdle rate" of return of 1.75% per quarter (7.0% annualized).

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The Company will pay the Investment Adviser an incentive fee quarterly in arrears with respect to the Company's Pre-Incentive Fee Net Investment Income in each calendar quarter as follows:

•no incentive fee based on Pre-Incentive Fee Net Investment Income in any calendar quarter in which the Company's Pre-Incentive Fee Net Investment Income does not exceed the hurdle rate of 1.75% (7.0% annualized);

•100% of the dollar amount of our Pre-Incentive Fee Net Investment Income with respect to that portion of such Pre-Incentive Fee Net Investment Income, if any, that exceeds the hurdle rate but is less than or equal to a rate of return of 2.059% (8.235% annualized). The Company refers to this portion of the Company's Pre-Incentive Fee Net Investment Income (which exceeds the hurdle rate but is less than 2.059%) as the "catch-up." The "catch-up" is meant to provide the Investment Adviser with approximately 15.0% of the Company's Pre-Incentive Fee Net Investment Income as if a hurdle rate did not apply if this net investment income exceeds 2.059% in any calendar quarter; and

•15.0% of the dollar amount of the Company's Pre-Incentive Fee Net Investment Income, if any, that exceeds a rate of return of 2.059% (8.235% annualized). This reflects that once the hurdle rate is reached and the catch-up is achieved, 15.0% of all Pre-Incentive Fee Net Investment Income thereafter is allocated to the Investment Adviser.

For the three months ended March 31, 2024 and March 31, 2023, there were no incentive fees waived. The fees that are payable under the Investment Management Agreement for any partial period will be appropriately prorated.

Incentive Fee on Capital Gains

The second component of the incentive fee is the capital gains incentive fee. The Company will pay the Investment Adviser an incentive fee with respect to the Company's cumulative realized capital gains computed net of all realized capital losses and unrealized capital depreciation since inception ("Cumulative Net Realized Gains") based on the waterfall below:

a.First, no incentive fee is payable to the Investment Adviser on Cumulative Net Realized Gains until total return of capital distributions, distributions of net investment income and distributions of net realized capital gains to unitholders is equal to total capital contributions;

b.Second, no incentive is payable to the Investment Adviser on Cumulative Net Realized Gains until the Company has paid cumulative distributions equal to an annualized, cumulative internal rate of return of 7.0% on the total contributed capital to the Company calculated from the date that each such amount was due to be contributed to the Company until the date each such distribution is paid;

c.Third, upon a distribution that results in cumulative distributions exceeding the amounts in clause (a) and (b) above, an incentive fee on capital gains payable to the Investment Adviser equal to 100.0% of the amount of Cumulative Net Realized Gains until the Investment Adviser has received (together with amounts the Investment Adviser has received under Income Incentive Fees) an amount equal to 15.0% of the sum of (i) the cumulative distributions to unitholders made pursuant to clause (b) above, (ii) Income Incentive Fee paid to the Investment Adviser, and (iii) amounts paid to the Investment Adviser pursuant to this clause (c); and

d.Thereafter, an incentive fee on capital gains equal to 15.0% of additional undistributed Cumulative Net Realized Gains.

Upon termination of the Company, the Investment Adviser will be required to return incentive fees to the Company to the extent that: (i) the Investment Adviser has received cumulative incentive fees in excess of 15.0% of the sum of (A) the Company's cumulative distributions other than return of capital contributions and (B) the cumulative incentive fees paid to the Investment Adviser; or (ii) the unitholders have not received a 7.0% cumulative internal rate of return; provided that in no event will such restoration be more than the incentive fees received by the Investment Adviser.

In accordance with GAAP, the Company accrues a hypothetical capital gains incentive fee based upon the cumulative net realized capital gains and realized capital losses and the cumulative net unrealized capital appreciation and unrealized capital depreciation on investments held at the end of each period. The accrual for any capital gains incentive fee under GAAP in a given period may result in additional expense if such cumulative amount is greater than in the prior period or a reduction of previously recorded expense if such cumulative amount is less than the amount in the prior period. If such cumulative amount is negative, then there is no such accrual. Actual amounts paid to the Investment Adviser are consistent with the Investment Management Agreement and are based only on realized capital gains computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis from inception through the end of each calendar year.

Expense Limitation

Notwithstanding the foregoing, the Investment Adviser has agreed to reduce and/or waive its management fee (the "Specified Expenses Cap") each year such that the Company will not be required to pay Specified Expenses (as defined below)

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in excess of a maximum aggregate amount in any calendar year (prorated for partial years and portions of years for which each applicable prong of the cap applies) equal to: (1) during the Closing Period, 0.40% of the greater of (A) $750,000 or (B) actual aggregate Capital Commitments as of the end of such calendar year, (2) at the end of the Closing Period until the end of the Investment Period, 0.40% of aggregate committed capital and (3) after the end of the Investment Period, 0.40% of the Company's average Members' Capital for the calendar year. Further, if the actual Capital Commitments of the Company at the end of the Closing Period are less than $750,000, the prong of the Specified Expenses Cap in clause (1) above will be retroactively adjusted to equal 0.40% of aggregate committed capital at the end of the Closing Period, and the Investment Adviser has agreed to further reduce and/or waive its management fee for the year in which the Closing Period ends in an amount equal to the difference between (A) the amount that would have been required to be waived/reimbursed pursuant to clause (1) above as adjusted and (B) the amount previously waived/reimbursed pursuant to clause (1) above. "Specified Expenses" of the Company means all Company Expenses (as defined in the Fourth A&R LLC Agreement) incurred in the operation of the Company with the exception of: (i) the management fee, (ii) any incentive fees, (iii) Organizational and Offering Expenses (as defined in the Fourth A&R LLC Agreement) (which are subject to the Organizational and Offering Expenses Cap), (iv) Placement Fees (as defined in the Fourth A&R LLC Agreement), (v) interest on and fees and expenses arising out of all Company indebtedness and other financing, (vi) costs of any litigation and damages (including the costs of any indemnity or contribution right granted to any placement agent or third-party finder engaged by the Company or its affiliates) and (vii) for the avoidance of doubt, if applicable, any investor level withholding or other taxes.

If, while the Investment Adviser is the investment adviser to the Company, the annualized Specified Expenses for a given calendar year are less than the Specified Expenses Cap, the Investment Adviser shall be entitled to reimbursement by the Company of the compensation waived and other expenses borne by the Investment Adviser (the "Reimbursement Amount") on behalf of the Company pursuant to the expense limitation and reimbursement agreement between the Company and the Investment Adviser (the "Expense Limitation and Reimbursement Agreement") during any of the previous thirty-six months, and provided that such amount paid to the Investment Adviser will in no event exceed the total Reimbursement Amount and will not include any amounts previously reimbursed. The Reimbursement Amount plus the annualized Specified Expenses for a given calendar year shall not exceed the Specified Expenses Cap. The Investment Adviser may recapture a Specified Expense in any year within the thirty-six month period after the Investment Adviser bears the expense. For the three months ended March 31, 2024 and March 31, 2023, there were no reimbursements to the Investment Adviser pursuant to this provision.

The Expense Limitation and Reimbursement Agreement may be amended by mutual agreement of the parties, provided that any amendment that could result in an increase in expenses borne by the Company also must be approved by vote of a majority of the Company's outstanding Units.

The following table summarizes the management fees and incentive fees incurred by the Company for the three months ended March 31, 2024 and March 31, 2023.

	Three Months Ended
	March 31, 2024		March 31, 2023
Management fee	$	3,145	$	3,299
Incentive fee, excluding accrued incentive fees on capital gains	$	5,730	$	5,817

As of March 31, 2024 and December 31, 2023, no incentive fee on capital gains was accrued or owed under the Investment Management Agreement by the Company, as Cumulative Net Realized Capital Gains was less than zero.

The Company has entered into an administration agreement, as amended and restated, with the Administrator (the "Administration Agreement") under which the Administrator provides administrative services. The Administration Agreement was most recently re-approved by the Board on January 30, 2024 for a period of 12 months commencing on March 1, 2024. The Administrator maintains, or oversees the maintenance of, the Company's consolidated financial records, prepares reports filed with the U.S. Securities and Exchange Commission (the "SEC"), generally monitors the payment of the Company's expenses and oversees the performance of administrative and professional services rendered by others. The Administrator has hired a third-party sub-administrator to assist with the provision of administrative services. The Company reimburses the Administrator for the Company's allocable portion of overhead and other expenses incurred by the Administrator in performing its obligations to the Company under the Administration Agreement, including compensation of the Company's chief financial officer and chief compliance officer, and their respective staffs. Pursuant to the Administration Agreement and further restricted by the Company, the Administrator may, in its own discretion, submit to the Company for reimbursement some or all of the expenses that the Administrator has incurred on behalf of the Company during any quarterly period. As a result, the amount of expenses for which the Company will have to reimburse the Administrator may fluctuate in future quarterly periods and there can be no assurance given as to when, or if, the Administrator may determine to limit the expenses that the Administrator submits to the Company for reimbursement in the future. The Administrator cannot recoup any expenses that the Administrator has previously waived. For the three months ended March 31, 2024 and March 31, 2023, approximately $238 and $180,

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respectively, of indirect administrative expenses were included in administrative expenses, none of which were waived by the Administrator. As of March 31, 2024 and December 31, 2023, approximately $238 and $356, respectively, of indirect administrative expenses were included in payable to affiliates.

The Company, the Investment Adviser and the Administrator have also entered into a Trademark License Agreement, as amended (the "Trademark License Agreement"), with New Mountain Capital, pursuant to which New Mountain Capital has agreed to grant the Company, the Investment Adviser and the Administrator a non-exclusive, royalty-free license to use the "New Mountain Capital" name. Under the Trademark License Agreement, subject to certain conditions, the Company, the Investment Adviser and the Administrator will have a right to use the "New Mountain Capital" name, for so long as the Investment Adviser or one of its affiliates remains the investment adviser of the Company. Other than with respect to this limited license, the Company, the Investment Adviser and the Administrator will have no legal right to the "New Mountain Capital" name.

The Investment Adviser and its affiliates may also manage other funds in the future that may have investment mandates that are similar, in whole or in part, to the Company's investment mandate. The Investment Adviser and its affiliates may determine that an investment is appropriate for the Company or for one or more of those other funds. In such event, depending on the availability of such investment and other appropriate factors, the Investment Adviser or its affiliates may determine that the Company should invest side-by-side with one or more other funds. Any such investments will be made only to the extent permitted by applicable law and interpretive positions of the SEC and its staff and consistent with the Investment Adviser's allocation procedures. On October 8, 2019, the SEC issued an exemptive order (the "Exemptive Order") to the Investment Adviser and certain of its affiliates, which superseded a prior order issued on December 18, 2017, which permits the Company to co-invest in portfolio companies with certain funds or entities managed by the Investment Adviser or its affiliates in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act, subject to the conditions of the Exemptive Order. Pursuant to the Exemptive Order, the Company is permitted to co-invest with its affiliates if a "required majority" (as defined in Section 57(o) of the 1940 Act) of the Company's directors who are not interested persons, as that term is defined in Section 2(a)(19) of the 1940 Act (the "Independent Directors"), make certain conclusions in connection with a co-investment transaction, including, but not limited to, that (1) the terms of the potential co-investment transaction, including the consideration to be paid, are reasonable and fair to the Company and its unitholders and do not involve overreaching in respect of the Company or its unitholders on the part of any person concerned, and (2) the potential co-investment transaction is consistent with the interests of the Company's unitholders and is consistent with its then-current investment objective and strategies.

In addition, pursuant to an exemptive order issued by the SEC on April 8, 2020 and applicable to all BDCs through December 31, 2020 (the "Temporary Relief"), the Company was permitted, subject to the satisfaction of certain conditions, to complete follow-on investments in its existing portfolio companies with certain affiliates that are private funds if such private funds did not previously hold an investment in such existing portfolio company. Without the Temporary Relief, such private funds would not be able to participate in such follow-on investments with the Company unless the private funds had previously acquired securities of the portfolio company in a co-investment transaction with the Company. Although the Temporary Relief expired on December 31, 2020, the SEC’s Division of Investment Management had indicated that until March 31, 2022, it would not recommend enforcement action, to the extent that any BDC with an existing co-investment order continued to engage in certain transactions described in the Temporary Relief, pursuant to the same terms and conditions described therein. The Temporary Relief is no longer effective; however, on August 30, 2022, New Mountain Finance Corporation, an affiliate of the Company and the Investment Adviser, and certain other affiliated applicants, received an Order from the SEC that amended its existing Exemptive Order to permit the Company to complete follow-on investments in its existing portfolio companies with certain affiliates that are private funds if such private funds do not hold an investment in such existing portfolio company, subject to certain conditions.

Note 6. Borrowings

Wells Credit Facility—On August 30, 2019, the Company's wholly-owned subsidiary, GIII SPV, entered into the Loan and Security Agreement as the borrower, the Company as collateral manager and equityholder, the lenders from time to time party thereto, and Wells Fargo Bank, National Association ("Wells Fargo") as the administrative agent and the collateral custodian (as amended, from time to time, the "Loan and Security Agreement"), which was structured as a secured revolving credit facility (the "Wells Credit Facility"). The Wells Credit Facility had a maturity date of July 15, 2025 and had a maximum facility amount of $800,000. The revolving period of the Wells Credit Facility ended on July 15, 2023 (the "Revolving Period End Date").

On November 28, 2023, the Company repaid all amounts outstanding under the Wells Credit Facility, including outstanding borrowings and accrued interest, and terminated the Wells Credit Facility. Under the Wells Credit Facility, GIII SPV was permitted to borrow up to 25.0%, 45.0%, 55.0%, 70.0% or 75.0% of the purchase price of pledged assets, subject to approval by Wells Fargo. The Wells Credit Facility was non-recourse to the Company and was collateralized by all of the investments of GIII SPV on an investment by investment basis. All fees associated with the origination, amending or upsizing

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of the Wells Credit Facility were capitalized on the Company's Consolidated Statements of Assets, Liabilities and Members' Capital and charged against income as other financing expenses over the life of the Wells Credit Facility.

Since the amendment on March 11, 2022, the Wells Credit Facility bore interest at a rate of Daily Simple SOFR plus 1.80% per annum for Broadly Syndicated Loans (as defined in the Loan and Security Agreement) and Daily Simple SOFR plus 2.30% per annum for all other investments. The Wells Credit Facility also charged a non-usage fee, based on the unused facility amount multiplied by the Non-Usage Fee Rate (as defined in the Loan and Security Agreement).

For the three months ended March 31, 2023, interest expense, non-usage fee and amortization of financing costs incurred on the Wells Credit Facility were $11,693, $131 and $351, respectively. The weighted average interest rate and effective interest rate on the Wells Credit Facility for the three months ended March 31, 2023 were 6.7% and 7.1%, respectively.

Unsecured Notes—On August 4, 2021, the Company entered into a Master Note Purchase Agreement (the "Note Purchase Agreement") with certain institutional investors (the "Purchasers"). Pursuant to the Note Purchase Agreement, on August 4, 2021, the Company issued to the Purchasers, in a private placement, $125,000 in aggregate principal amount of 3.57% Series 2021A Senior Notes, Tranche A, due July 15, 2025 (the "2021A Tranche A Notes"), and on December 21, 2021, at a second closing, the Company issued $50,000 in aggregate principal amount of 3.62% Series 2021A Senior Notes, Tranche B, due July 15, 2025 (the "2021A Tranche B Notes" and, together with the 2021A Tranche A Notes, the "2021A Unsecured Notes"). On March 10, 2022, the Company entered into a first supplement (the "Supplement") to its Note Purchase Agreement with certain Purchasers. Pursuant to the Supplement, on March 10, 2022, the Company issued to the Purchasers $100,000 in aggregate principal amount of 3.95% Series 2022A Senior Notes due July 15, 2025 (the “2022A Unsecured Notes”).

All fees associated with the origination of the 2021A Unsecured Notes and the 2022A Unsecured Notes (together, the "Unsecured Notes") are capitalized on the Company's Consolidated Statements of Assets, Liabilities and Members' Capital and charged against income as other financing expenses over the life of the Unsecured Notes.

The 2021A Tranche A Notes and the 2021A Tranche B Notes bear interest at an annual rate of 3.57% and 3.62%, respectively, payable semi-annually on January 15 and July 15 of each year, which commenced on January 15, 2022. The 2022A Unsecured Notes bear interest at an annual rate of 3.95%, payable semi-annual on January 15 and July 15 of each year, which commenced on July 15, 2022. These interest rates are subject to increase in the event that: (i) subject to certain exceptions, the Unsecured Notes or the Company cease to have an investment grade rating or (ii) the Asset Coverage Ratio (as defined in the Note Purchase Agreement) is less than 1.83 to 1.00.

The Company is obligated to offer to prepay the Unsecured Notes (i) each time the Company receives an aggregate amount of net proceeds from the repayment, or sale, of loans or investments that constitute Company Level Assets (as defined in the Note Purchase Agreement) and (ii) each time the Company receives an aggregate amount of net proceeds, or if the Company is permitted to receive an aggregate amount of net proceeds, from the distribution of Wells Residual Equity (as defined in the Note Purchase Agreement), in each case that is at least equal to the lesser of (A) $25,000 and (B) 10% of the aggregate principal of Unsecured Notes issued under the Note Purchase Agreement and the Supplement.

The Note Purchase Agreement also contains customary terms and conditions for unsecured notes issued in a private placement, including, without limitation, affirmative and negative covenants such as information reporting, maintenance of the Company’s status as a BDC under the 1940 Act and a RIC under Subchapter M of the Code, minimum stockholders’ equity, and prohibitions on certain fundamental changes at the Company or any subsidiary guarantor, as well as customary events of default with customary cure and notice, including, without limitation, nonpayment, misrepresentation in a material respect, breach of covenant, cross-default under other indebtedness of the Company or certain subsidiaries, certain judgments and orders, and certain events of bankruptcy. The Note Purchase Agreement includes certain additional covenants and terms, including, without limitation, a requirement that the Company will not permit the Asset Coverage Ratio to be less than the greater of (x) 1.50 to 1.00 and (y) the minimum asset coverage required to be held by the Company to comply with the 1940 Act.

The Unsecured Notes are unsecured obligations and rank senior in right of payment to the Company’s existing and future indebtedness, if any, that is expressly subordinated in right of payment to the Unsecured Notes; equal in right of payment to the Company's existing and future unsecured indebtedness that is not so subordinated; and effectively junior in right of payment to any of the Company's secured indebtedness (including existing unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness; and structurally junior to all existing and future indebtedness (including trade payables) incurred by the Company's subsidiaries and financing vehicles.

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The following table summarizes the interest expense and amortization of financing costs incurred on the Unsecured Notes for the three months ended March 31, 2024 and March 31, 2023:

	Three Months Ended
	March 31, 2024			March 31, 2023
Interest expense	$	2,556		$	2,556
Amortization of financing costs	$	198		$	205
Weighted average interest rate	3.7		%	3.7		%
Effective interest rate	4.0		%	4.0		%
Average debt outstanding	$	275,000		$	275,000

As of March 31, 2024 and December 31, 2023, the outstanding balance on the Unsecured Notes was $275,000 and $275,000, respectively, and the Company was in compliance with the applicable covenants of the Note Purchase Agreement on such dates.

GS Credit Facility—On November 28, 2023, GIII SPV entered into a Credit Agreement (the “Credit Agreement”) by and among GIII SPV, as borrower, various lenders, Goldman Sachs Bank USA, as syndication agent and administrative agent, and Western Alliance Trust Company, N.A. (“WATC”), as collateral agent, collateral custodian, and collateral administrator, which is structured as a secured credit term loan and a secured revolving credit facility (the “GS Credit Facility”). The GS Credit Facility is collateralized by all of the investments of GIII SPV on an investment by investment basis and the initial proceeds from the GS Credit Facility were partially used for repayment of the Wells Credit Facility. Proceeds from the GS Facility may be used in the future for the funding of the Company's portfolio investments. The GS Credit Facility will mature on the earlier of either (a) May 28, 2028, or (b) 45 days prior to the expiration of the Term, and has a maximum facility amount of $785,000.

Under the Credit Agreement, GIII SPV is permitted to borrow at various advance rates depending on the type of portfolio investment. All fees associated with the origination, amending or upsizing of the GS Credit Facility are capitalized on the Company's Consolidated Statements of Assets, Liabilities and Members' Capital and charged against income as other financing expenses over the life of the GS Credit Facility.

The GS Credit Facility bears interest at a rate of SOFR plus 2.95% per annum. The GS Credit Facility also charges a 0.50% non-usage fee on the unused facility amount.

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the GS Credit Facility for the three months ended March 31, 2024:

	Three Months Ended
	March 31, 2024
Interest expense	$	13,036
Non-usage fee	205
Amortization of financing costs	826
Weighted average interest rate	8.3		%
Effective interest rate	8.9		%
Average debt outstanding	$	622,724

As of March 31, 2024 and December 31, 2023, the outstanding balance on the GS Credit Facility was $638,000 and $646,800, respectively, and GIII SPV was in compliance with the applicable covenants of the Credit Agreement on such dates.

Leverage risk factors—The Company utilizes and may utilize leverage to the maximum extent permitted by the law for investment and other general business purposes. The Company's lenders will have fixed dollar claims on certain assets that are superior to the claims of the Company's common unitholders, and the Company would expect such lenders to seek recovery against these assets in the event of a default. The use of leverage also magnifies the potential for gain or loss on amounts invested. Leverage may magnify interest rate risk (particularly on the Company's fixed-rate investments), which is the risk that the prices of portfolio investments will fall or rise if market interest rates for those types of securities rise or fall. As a result, leverage may cause greater changes in the Company's members' capital. Similarly, leverage may cause a sharper decline in the Company's income than if the Company had not borrowed. Such a decline could negatively affect the Company's ability to make distributions to its unitholders. Leverage is generally considered a speculative investment technique. The Company's ability to service any debt incurred will depend largely on financial performance and will be subject to prevailing economic conditions and competitive pressures.

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Note 7. Regulation

The Company has elected to be treated for U.S. federal income tax purposes as a RIC under Subchapter M of the Code, and intends to comply with the requirements to continue to qualify and maintain its status as a RIC annually. In order to continue to qualify and be subject to tax treatment as a RIC for U.S. federal income tax purposes, among other things, the Company is generally required to timely distribute to its unitholders at least 90.0% of its investment company taxable income, as defined by the Code, for each year. The Company, among other things, intends to make and will continue to make the requisite timely distributions to its unitholders, and as such, the Company will generally be relieved from U.S. federal, state, and local income taxes (excluding excise taxes which may be imposed under the Code).

Additionally, as a BDC, the Company must not acquire any assets other than "qualifying assets" as defined in Section 55(a) of the 1940 Act unless, at the time the acquisition is made, at least 70.0% of its total assets are qualifying assets (with certain limited exceptions). In addition, the Company must offer to make available to all "eligible portfolio companies" (as defined in the 1940 Act) significant managerial assistance.

Note 8. Commitments and Contingencies

In the normal course of business, the Company may enter into contracts that contain a variety of representations and warranties and which provide general indemnifications. The Company may also enter into future funding commitments such as revolving credit facilities, bridge financing commitments or delayed draw commitments. As of March 31, 2024, the Company had unfunded commitments on revolving credit facilities of $71,190, no outstanding bridge financing commitments, and other future funding commitments of $35,224. As of December 31, 2023, the Company had unfunded commitments on revolving credit facilities of $76,550, no outstanding bridge financing commitments and other future funding commitments of $42,793. The unfunded commitments on revolving credit facilities and delayed draws are disclosed on the Company's Consolidated Schedules of Investments.

The Company also had revolving borrowings available under the GS Credit Facility as of March 31, 2024 and December 31, 2023. See Note 6. Borrowings, for details.

The Company may from time to time enter into financing commitment letters. As of March 31, 2024 and December 31, 2023, the Company had no commitment letters to purchase investments which could require funding in the future.

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Note 9. Members' Capital

There have been no Units issued or proceeds received related to capital drawdowns delivered pursuant to the Subscription Agreements since March 31, 2022, as Capital Commitments had been fully drawn.

The following table reflects the distributions declared on the Company's Units for the three months ended March 31, 2024.

Date Declared	Record Date	Payment Date	Per Unit Amount
March 7, 2024	March 7, 2024	March 12, 2024	$	0.435	(1)
March 20, 2024	March 27, 2024	April 19, 2024	0.279
			$	0.714

(1)Return of capital distribution.

The following table reflects the distributions declared on the Company's Units for the three months ended March 31, 2023.

Date Declared	Record Date	Payment Date	Per Unit Amount
March 30, 2023	March 31, 2023	April 20, 2023	$	0.285

Note 10. Earnings Per Unit

The following information sets forth the computation of basic net increase in the Company's members' capital per Unit resulting from operations for the three months ended March 31, 2024 and March 31, 2023:

	Three Months Ended
	March 31, 2024		March 31, 2023
Earnings per unit—basic & diluted
Numerator for basic & diluted earnings per unit:	$	40,560	$	35,565
Denominator for basic & diluted weighted average unit:	114,906,527		114,906,527
Basic & diluted earnings per unit:	$	0.35	$	0.31

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Note 11. Financial Highlights

The following information sets forth the Company's financial highlights for the three months ended March 31, 2024 and March 31, 2023.

	Three Months Ended
	March 31, 2024			March 31, 2023
Per unit data(1):
Members' capital, December 31, 2023 and December 31, 2022, respectively	$	9.65		$	9.50
Net investment income	0.28			0.29
Net realized and unrealized gains (losses)	0.07			0.02
Total net increase	0.35			0.31
Distributions declared to unitholders from net investment income	(0.28)			(0.29)
Return of capital distributions	(0.43)			—
Members' capital, March 31, 2024 and March 31, 2023, respectively	$	9.29		9.52
Total return based on members' capital(2)	3.80		%	3.26		%
Units outstanding at end of period	114,906,527			114,906,527
Average weighted units outstanding for the period	114,906,527			114,906,527
Average members' capital for the period	$	1,097,859		$	1,091,456
Ratio to average members' capital:
Net investment income(3)	11.90		%	12.25		%
Total expenses, before waivers/reimbursements (3)	9.89		%	9.47		%
Total expenses, net of waivers/reimbursements (3)	9.89		%	9.47		%
Average debt outstanding—Unsecured Notes	$	275,000		$	275,000
Average debt outstanding—Wells Credit Facility	N/A			$	693,883
Average debt outstanding—GS Credit Facility	622,724			N/A
Asset coverage ratio	216.90		%	214.27		%
Portfolio turnover	0.30		%	1.23		%
Capital Commitments	$	1,149,065		$	1,149,065
Funded Capital Commitments	$	1,149,065		$	1,149,065
% of Capital Commitments funded	100.00		%	100.00		%

(1)Per unit data is based on weighted average units outstanding for the respective period (except for distributions declared to unitholders, which are based on actual rate per unit).

(2)Total return is calculated assuming a purchase at members' capital per Unit on the first day of the year and a sale at members' capital per Unit on the last day of the period. Dividends and distributions, if any, are assumed for purposes of this calculation, to be reinvested at members' capital per Unit on the last day of the respective quarter. Total return calculation is not annualized.

(3)Annualized.

N/A    Not Applicable.

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Note 12. Recent Accounting Standards Updates

In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting ("ASU 2020-04"). The amendments in ASU 2020-04 provide optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The standard was effective as of March 12, 2020 through December 31, 2022. Management is currently evaluating the impact of the optional guidance on the Company's consolidated financial statements and disclosures. The Company did not utilize the optional expedients and exceptions provided by ASU 2020-04 during the three months ended March 31, 2024. In December 2022, the FASB issued ASU No. 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848, which deferred the sunset day of this guidance to December 31, 2024. The Company is currently evaluating the impact of this guidance on its consolidated financial statements.

In December 2020, the SEC adopted a rule providing a framework for fund valuation practices. Rule 2a-5 under the 1940 Act (“Rule 2a-5”) establishes requirements for determining fair value in good faith for purposes of the 1940 Act. Rule 2a-5 permits boards, subject to board oversight and certain other conditions, to designate certain parties to perform fair value determinations. Rule 2a-5 also defines when market quotations are “readily available” for purposes of the 1940 Act and the threshold for determining whether a fund must determine the fair value of a security. Rule 31a-4 under the 1940 Act (“Rule 31a-4”), provides the recordkeeping requirements associated with fair value determinations. While the Board has not elected to designate the Investment Adviser as the valuation designee, the Company has adopted certain revisions to its valuation policies and procedures in order comply with the applicable requirements of Rule 2a-5 and Rule 31a-4.

Note 13. Subsequent Events

On April 23, 2024, the Board declared a return of capital distribution of $0.696 per share payable on April 30, 2024 to holders of record as of April 24, 2024.

On May 6, 2024, the Company caused notices to be issued to holders of the Company's Unsecured Notes regarding the Company's obligation to offer to prepay the Unsecured Notes (i) each time the Company receives an aggregate amount of net proceeds from the repayment or sale, of loans or investments that constitute Company Level Assets (as defined in the Note Purchase Agreement) and (ii) each time the Company receives an aggregate amount of net proceeds, or if the Company is permitted to receive an aggregate amount of net proceeds, from the distribution of Wells Residual Equity (as defined in the Note Purchase Agreement), in each case that is at least equal to the lesser of (A) $25,000 and (B) 10% of the aggregate principal of Unsecured Notes issued under the Note Purchase Agreement and the Supplement (the "Section 8.9 Proceeds"). As of May 6, 2024, the Company had received $50,651 in Section 8.9 Proceeds. Accordingly, the Company offered to prepay up to $50,651 in aggregate principle amount of the Unsecured Notes, including accrued and unpaid interest up to but not including the prepayment date, pursuant to the terms of the Note Purchase Agreement. Unsecured Notes accepted for prepayment will be redeemed on a pro rata basis up to the amount of Section 8.9 Proceeds, and will be redeemed on June 5, 2024.

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  Deloitte & Touche LLP   30 Rockefeller Plaza New York, NY 10112 USA   Tel:    212 492 4000 Fax:   212 489 1687 www.deloitte.com

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Unitholders and the Board of Directors of New Mountain Guardian III BDC, L.L.C.

Results of Review of Interim Financial Information

We have reviewed the accompanying consolidated statement of assets, liabilities and members’ capital of New Mountain Guardian III BDC, L.L.C. and subsidiaries (the "Company"), including the consolidated schedule of investments, as of March 31, 2024, and the related consolidated statements of operations, changes in members’ capital, and cash flows for the three-month periods ended March 31, 2024 and 2023, and the related notes (collectively referred to as the "interim financial information"). Based on our review, we are not aware of any material modifications that should be made to the accompanying interim financial information for it to be in conformity with accounting principles generally accepted in the United States of America.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated statement of assets, liabilities and members’ capital of the Company, including the consolidated schedule of investments, as of December 31, 2023, and the related consolidated statements of operations, changes in members’ capital and cash flows for the year then ended (not presented herein); and in our report dated March 6, 2024, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying consolidated statement of assets, liabilities, and members’ capital as of December 31, 2023, is fairly stated, in all material respects, in relation to the consolidated statement of assets, liabilities and members’ capital from which it has been derived.

Basis for Review Results

This interim financial information is the responsibility of the Company's management. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our reviews in accordance with standards of the PCAOB. A review of interim financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the PCAOB, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

/s/ DELOITTE & TOUCHE

May 14, 2024

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

The information in management's discussion and analysis of financial condition and results of operations relates to New Mountain Guardian III BDC, L.L.C., including its wholly-owned direct subsidiaries (collectively, "we", "us", "our", "GIII" or the "Company").

Forward-Looking Statements

The information contained in this section should be read in conjunction with the financial data and consolidated financial statements and notes thereto appearing elsewhere in this report. Some of the statements in this report (including in the following discussion) constitute forward-looking statements, which relate to future events or our future performance or our financial condition. The forward-looking statements contained in this section involve a number of risks and uncertainties, including:

•statements concerning the impact of a protracted decline in the liquidity of credit markets;

•the general economy, including fluctuating interest and inflation rates;

•the impact of interest rate volatility, including the replacement of LIBOR with alternative rates and rising interest rates, on our business and our portfolio companies;

•our future operating results, our business prospects, and the adequacy of our cash resources and working capital;

•the ability of our portfolio companies to achieve their objectives;

•our ability to make investments consistent with our investment objectives, including with respect to the size, nature and terms of our investments;

•the ability of New Mountain Finance Advisers BDC, L.L.C. (the "Investment Adviser") or its affiliates to attract and retain highly talented professionals;

•actual and potential conflicts of interest with the Investment Adviser and New Mountain Capital Group, L.P. (together with New Mountain Capital, L.L.C. and its affiliates, "New Mountain Capital"), whose ultimate owners include Steven B. Klinsky, other current and former New Mountain Capital professionals and related vehicles and a minority investor; and

•the risk factors set forth in Item 1A.—Risk Factors contained in our Annual Report on Form 10-K for the year ended December 31, 2023 and in this Quarterly Report on Form 10-Q.

Forward-looking statements are identified by their use of such terms and phrases such as "anticipate", "believe", "continue", "could", "estimate", "expect", "intend", "may", "plan", "potential", "project", "seek", "should", "target", "will", "would" or similar expressions. Actual results could differ materially from those projected in the forward-looking statements for any reason, including the factors set forth in Item 1A.—Risk Factors contained in our Annual Report on Form 10-K for the year ended December 31, 2023 and in this Quarterly Report on Form 10-Q.

We have based the forward-looking statements included in this report on information available to us on the date of this report. We assume no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Although we undertake no obligation to revise or update any forward-looking statements, you are advised to consult any additional disclosures that we may make directly to you or through reports that we have filed or in the future may file with the U.S. Securities and Exchange Commission (the "SEC"), including annual reports on Form 10-K, registration statements on Form 10, quarterly reports on Form 10-Q and current reports on Form 8-K.

Overview

We are a Delaware limited liability company formed on May 22, 2019. We are a closed-end, non-diversified management investment company that has elected to be regulated as a business development company ("BDC") under the Investment Company Act of 1940, as amended (the "1940 Act"). We have elected to be treated for U.S. federal income tax purposes, and intend to continue to comply with the requirements to qualify annually, as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code").

The Investment Adviser is a wholly-owned subsidiary of New Mountain Capital. New Mountain Capital is a global investment firm with approximately $50 billion of assets under management and a track record of investing in the middle market. New Mountain Capital focuses on investing in defensive growth companies across its private equity, credit and net lease investment strategies. The Investment Adviser manages our day-to-day operations and provides us with investment advisory and management services. The Investment Adviser also manages other funds that may have investment mandates that are similar, in whole or in part, to ours. New Mountain Finance Administration, L.L.C. (the "Administrator"), a wholly-owned

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subsidiary of New Mountain Capital, provides the administrative services necessary to conduct our day-to-day operations. The Administrator has hired a third-party sub-administrator to assist with the provision of administrative services.

We conducted a private offering (the "Private Offering") of units of our limited liability company interests (the "Units") to investors in reliance on exemptions from the registration requirements of the Securities Act of 1933, as amended (the "Securities Act"). Units were offered for subscription continuously throughout the Closing Period (as defined below). Each investor in the Private Offering made a capital commitment (each, a "Capital Commitment") to purchase Units pursuant to a subscription agreement entered into with us (each, a "Subscription Agreement"). Closings of the Private Offering occurred, from time to time, in the Investment Adviser's sole discretion, during the 18-month period following the initial closing of Capital Commitments, which occurred on July 15, 2019 (the "Closing Period"). Pursuant to the Limited Liability Company Agreement, the Closing Period was previously extended to and ended on October 15, 2021. We accepted and drew down on Capital Commitments from investors throughout the Closing Period and drew down on Capital Commitments throughout the Investment Period (as defined below). At the end of the Closing Period, we had aggregate Capital Commitments from investors of $1.15 billion. We commenced our loan origination and investment activities contemporaneously with the initial drawdown from investors in the Private Offering (the "Initial Drawdown"), which occurred on August 2, 2019 (the "Initial Drawdown Date"). The investment period began on July 15, 2019 and ended on July 15, 2023, the four-year anniversary of such date (the "Investment Period"). Our term was initially until July 15, 2025, six years from the beginning of the Investment Period, subject to (i) a one year extension as determined by the Investment Adviser in its sole discretion and (ii) an additional one year extension as determined by our board of directors. Pursuant to the Limited Liability Company Agreement, as most recently amended and restated on June 28, 2023 (the "Fourth A&R LLC Agreement"), the Investment Adviser extended our Term for an additional one-year period, to July 15, 2026.

We established New Mountain Guardian III SPV, L.L.C. ("GIII SPV") as a wholly-owned direct subsidiary whose assets are used to secure GIII SPV's credit facility. We established New Mountain Guardian III OEC, Inc. ("GIII OEC") as a wholly-owned direct subsidiary, which is treated as a corporation for U.S. federal income tax purposes and is intended to facilitate our compliance with the requirements to be treated as a RIC under the Code by holding equity or equity-like investments in one of our portfolio companies organized as a limited liability company (or other form of pass through entities). We consolidate GIII OEC for accounting purposes but it is not consolidated for U.S. federal income tax purposes and may incur U.S. federal income tax expense as a result of its ownership of the portfolio company.

We focus on providing direct lending solutions to U.S. upper middle market companies backed by top private equity sponsors. Our investment objective is to generate current income and capital appreciation through the sourcing and origination of senior secured loans and select junior capital positions, to growing businesses in defensive industries that offer attractive risk-adjusted returns. Our differentiated investment approach leverages the deep sector knowledge and operating resources of New Mountain Capital.

We primarily invest in senior secured debt of U.S. sponsor-backed, middle market companies. We define middle market companies as those with annual earnings before interest, taxes, depreciation and amortization ("EBITDA") of $10.0 million to $200.0 million. Our focus is on defensive growth businesses that generally exhibit the following characteristics: (i) acyclicality, (ii) sustainable secular growth drivers, (iii) niche market dominance and high barriers to competitive entry, (iv) recurring revenue and strong free cash flow, (v) flexible cost structures and (vi) seasoned management teams.

Senior secured loans may include traditional first lien loans or unitranche loans. We invest a significant portion of our portfolio in unitranche loans, which are loans that combine both senior and subordinated debt, generally in a first-lien position. Because unitranche loans combine characteristics of senior and subordinated debt, they have risks similar to the risks associated with secured debt and subordinated debt. Certain unitranche loan investments may include “last-out” positions, which generally heighten the risk of loss. In some cases, our investments may also include equity interests.

As of March 31, 2024, our top five industry concentrations were software, healthcare, business services, consumer services and distribution & logistics.

As of March 31, 2024, our members' capital was approximately $1,067.3 million and our portfolio had a fair value of approximately $1,940.9 million in 88 portfolio companies.

Recent Developments

On April 23, 2024, our board of directors declared a return of capital distribution of $0.696 per share payable on April 30, 2024 to holders of record as of April 24, 2024.

On May 6, 2024, we caused notices to be issued to holders of the Unsecured Notes regarding our obligation to offer to prepay the Unsecured Notes (as defined below) (i) each time we receive an aggregate amount of net proceeds from the repayment or sale, of loans or investments that constitute Company Level Assets (as defined in the Note Purchase Agreement (as defined below)) and (ii) each time the we receive an aggregate amount of net proceeds, or if we are permitted to receive an aggregate amount of net proceeds, from the distribution of Wells Residual Equity (as defined in the Note Purchase Agreement), in each case that is at least equal to the lesser of (A) $25.0 million and (B) 10% of the aggregate principal of Unsecured Notes

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issued under the Note Purchase Agreement and the Supplement (the "Section 8.9 Proceeds"). As of May 6, 2024, we had received $50.7 million in Section 8.9 Proceeds. Accordingly, we offered to prepay up to $50.7 million in aggregate principle amount of the Unsecured Notes, including accrued and unpaid interest up to but not including the prepayment date, pursuant to the terms of the Note Purchase Agreement. Unsecured Notes accepted for prepayment will be redeemed on a pro rata basis up to the amount of Section 8.9 Proceeds, and will be redeemed on June 5, 2024.

Critical Accounting Estimates

The preparation of financial statements and related disclosures in conformity with accounting principles generally accepted in the United States ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and revenues and expenses during the periods reported. Actual results could materially differ from those estimates. We have identified the following items as critical accounting estimates.

Basis of Accounting

We consolidate our wholly-owned direct subsidiaries GIII SPV and GIII OEC. We are an investment company following accounting and reporting guidance as described in Accounting Standards Codification Topic 946, Financial Services—Investment Companies ("ASC 946").

Valuation and Leveling of Portfolio Investments

At all times, consistent with GAAP and the 1940 Act, we conduct a valuation of our assets, which impacts our members' capital.

We value our assets on a quarterly basis, or more frequently if required under the 1940 Act. In all cases, our board of directors is ultimately and solely responsible for determining the fair value of our portfolio investments on a quarterly basis in good faith, including investments that are not publicly traded, those whose market prices are not readily available and any other situation where our portfolio investments require a fair value determination. Security transactions are accounted for on a trade date basis. Our quarterly valuation procedures are set forth in more detail below:

(1)Investments for which market quotations are readily available on an exchange are valued at such market quotations based on the closing price indicated from independent pricing services.

(2)Investments for which indicative prices are obtained from various pricing services and/or brokers or dealers are valued through a multi-step valuation process, as described below, to determine whether the quote(s) obtained is representative of fair value in accordance with GAAP.

a.    Bond quotes are obtained through independent pricing services. Internal reviews are performed by the investment professionals of the Investment Adviser to ensure that the quote obtained is representative of fair value in accordance with GAAP and, if so, the quote is used. If the Investment Adviser is unable to sufficiently validate the quote(s) internally and if the investment's par value or its fair value exceeds the materiality threshold, the investment is valued similarly to those assets with no readily available quotes (see (3) below); and

b.    For investments other than bonds, we look at the number of quotes readily available and perform the following procedures:

i.    Investments for which two or more quotes are received from a pricing service are valued using the mean of the mean of the bid and ask of the quotes obtained. We will evaluate the reasonableness of the quote, and if the quote is determined to not be representative of fair value, we will use one or more of the methodologies outlined below to determine fair value; and

ii.    Investments for which one quote is received from a pricing service are validated internally. The investment professionals of the Investment Adviser analyze the market quotes obtained using an array of valuation methods (further described below) to validate the fair value. If the Investment Adviser is unable to sufficiently validate the quote internally and if the investment's par value or its fair value exceeds the materiality threshold, the investment is valued similarly to those assets with no readily available quotes (see (3) below).

(3)Investments for which quotations are not readily available through exchanges, pricing services, brokers or dealers are valued through a multi-step valuation process:

a.    Each portfolio company or investment is initially valued by the investment professionals of the Investment Adviser responsible for the credit monitoring;

b.    Preliminary valuation conclusions will then be documented and discussed with our senior management;

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c.    If an investment falls into (3) above for four consecutive quarters and if the investment's par value or its fair value exceeds the materiality threshold, then at least once each fiscal year, the valuation for each portfolio investment for which we do not have a readily available market quotation will be reviewed by an independent valuation firm engaged by our board of directors; and

d.    When deemed appropriate by our management, an independent valuation firm may be engaged to review and value investment(s) of a portfolio company, without any preliminary valuation being performed by the Investment Adviser. The investment professionals of the Investment Adviser will review and validate the value provided.

For investments in revolving credit facilities and delayed draw commitments, the cost basis of the funded investments purchased is offset by any costs/netbacks received for any unfunded portion on the total balance committed. The fair value is also adjusted for the price appreciation or depreciation on the unfunded portion. As a result, the purchase of a commitment not completely funded may result in a negative fair value until it is called and funded.

The values assigned to investments are based upon available information and do not necessarily represent amounts which might ultimately be realized, since such amounts depend on future circumstances and cannot be reasonably determined until the individual positions are liquidated. Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of our investments may fluctuate from period to period and the fluctuations could be material.

GAAP fair value measurement guidance classifies the inputs used in measuring fair value into three levels as follows:

Level I—Quoted prices (unadjusted) are available in active markets for identical investments and we have the ability to access such quotes as of the reporting date. The type of investments which would generally be included in Level I include active exchange-traded equity securities and exchange-traded derivatives. As required by Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosures ("ASC 820"), we, to the extent that we hold such investments, do not adjust the quoted price for these investments, even in situations where we hold a large position and a sale could reasonably impact the quoted price.

Level II—Pricing inputs are observable for the investments, either directly or indirectly, as of the reporting date, but are not the same as those used in Level I. Level II inputs include the following:

•Quoted prices for similar assets or liabilities in active markets;

•Quoted prices for identical or similar assets or liabilities in non-active markets (examples include corporate and municipal bonds, which trade infrequently);

•Pricing models whose inputs are observable for substantially the full term of the asset or liability (examples include most over-the-counter derivatives, including foreign exchange forward contracts); and

•Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability.

Level III—Pricing inputs are unobservable for the investment and include situations where there is little, if any, market activity for the investment.

The inputs used to measure fair value may fall into different levels. In all instances when the inputs fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level of input that is significant to the fair value measurement in its entirety. As such, a Level III fair value measurement may include inputs that are both observable and unobservable. Gains and losses for such assets categorized within the Level III table below may include changes in fair value that are attributable to both observable inputs and unobservable inputs.

The inputs into the determination of fair value require significant judgment or estimation by management and consideration of factors specific to each investment. A review of the fair value hierarchy classifications is conducted on a quarterly basis. Changes in the observability of valuation inputs may result in the transfer of certain investments within the fair value hierarchy from period to period.

See Item 1.—Financial Statements—Note 4. Fair Value in this Quarterly Report on Form 10-Q for additional information on fair value hierarchy as of March 31, 2024.

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We generally use the following framework when determining the fair value of investments where there is little, if any, market activity or observable pricing inputs. We typically determine the fair value of our performing debt investments utilizing an income approach. Additional consideration is given using a market based approach, as well as reviewing the overall underlying portfolio company's performance and associated financial risks. The following outlines additional details on the approaches considered:

Company Performance, Financial Review, and Analysis: Prior to investment, as part of our due diligence process, we evaluate the overall performance and financial stability of the portfolio company. Post investment, we analyze each portfolio company's current operating performance and relevant financial trends versus prior year and budgeted results, including, but not limited to, factors affecting its revenue and EBITDA growth, margin trends, liquidity position, covenant compliance and changes to its capital structure. We also attempt to identify and subsequently track any developments at the portfolio company, within its customer or vendor base or within the industry or the macroeconomic environment, generally, that may alter any material element of our original investment thesis. This analysis is specific to each portfolio company. We leverage the knowledge gained from our original due diligence process, augmented by this subsequent monitoring, to continually refine our outlook for each of our portfolio companies and ultimately form the valuation of our investment in each portfolio company. When an external event such as a purchase transaction, public offering or subsequent sale occurs, we will consider the pricing indicated by the external event to corroborate the private valuation.

For debt investments, we may employ the Market Based Approach (as described below) to assess the total enterprise value of the portfolio company, in order to evaluate the enterprise value coverage of our debt investment. For equity investments or in cases where the Market Based Approach implies a lack of enterprise value coverage for the debt investment, we may additionally employ a discounted cash flow analysis based on the free cash flows of the portfolio company to assess the total enterprise value. After enterprise value coverage is demonstrated for our debt investments through the method(s) above, the Income Based Approach (as described below) may be employed to estimate the fair value of the investment.

Market Based Approach: We may estimate the total enterprise value of each portfolio company by utilizing EBITDA or revenue multiples of publicly traded comparable companies and comparable transactions. We consider numerous factors when selecting the appropriate companies whose trading multiples are used to value our portfolio companies. These factors include, but are not limited to, the type of organization, similarity to the business being valued, and relevant risk factors, as well as size, profitability and growth expectations. We may apply an average of various relevant comparable company EBITDA or revenue multiples to the portfolio company's latest twelve month ("LTM") EBITDA or revenue or projected EBITDA or revenue to calculate the enterprise value of the portfolio company. Significant increases or decreases in the EBITDA or revenue multiples will result in an increase or decrease in enterprise value, which may result in an increase or decrease in the fair value estimate of the investment.

Income Based Approach: We also may use a discounted cash flow analysis to estimate the fair value of the investment. Projected cash flows represent the relevant security's contractual interest, fee and principal payments plus the assumption of full principal recovery at the investment's expected maturity date. These cash flows are discounted at a rate established utilizing a combination of a yield calibration approach and a comparable investment approach. The yield calibration approach incorporates changes in the credit quality (as measured by relevant statistics) of the portfolio company, as compared to changes in the yield associated with comparable credit quality market indices, between the date of origination and the valuation date. The comparable investment approach utilizes and average yield-to-maturity of a selected set of high-quality, liquid investments to determine a comparable investment discount rate. Significant increases or decreases in the discount rate would result in a decrease or increase in the fair value measurement.

See Item 1.—Financial Statements—Note 4. Fair Value in this Quarterly Report on Form 10-Q for additional information on unobservable inputs used in the fair value measurement of our Level III investments as of March 31, 2024.

Revenue Recognition

Sales and paydowns of investments: Realized gains and losses on investments are determined on the specific identification method.

Interest and dividend income: Interest income, including amortization of premium and discount using the effective interest method, is recorded on the accrual basis and periodically assessed for collectability. Interest income also includes interest earned from cash on hand. Upon the prepayment of a loan or debt security, any prepayment penalties are recorded as part of interest income. We have loans and certain preferred equity investments in the portfolio that contain a payment-in-kind ("PIK") interest or dividend provision. PIK interest and dividends are accrued and recorded as income at the contractual rates, if deemed collectible. The PIK interest and dividends are added to the principal balance on the capitalization date and are generally due at maturity or when redeemed by the issuer. For the three months ended March 31, 2024 and March 31, 2023, we recognized PIK interest from investments of approximately $4.2 million and $2.6 million, respectively, and PIK dividends from investments of approximately $2.7 million and $2.3 million, respectively.

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Dividend income on preferred securities is recorded as dividend income on an accrual basis to the extent that such amounts are deemed collectible.

Non-accrual income: Investments are placed on non-accrual status when principal or interest payments are past due for 30 days or more and when there is reasonable doubt that principal or interest will be collected. Accrued cash and un-capitalized PIK interest or dividends are reversed when an investment is placed on non-accrual status. Previously capitalized PIK interest or dividends are not reversed when an investment is placed on non-accrual status. Interest or dividend payments received on non-accrual investments may be recognized as income or applied to principal depending upon management's judgment of the ultimate collectability. Non-accrual investments are restored to accrual status when past due principal and interest is paid and, in management's judgment, are likely to remain current.

Fee income: Fee income represents delayed compensation, amendment fees, revolver fees, consent fees and other miscellaneous fees received and are typically non-recurring in nature. Delayed compensation is income earned from counterparties on trades that do not settle within a set number of business days after trade date. Fee income may also include fees from bridge loans. We may from time to time enter into bridge financing commitments, an obligation to provide interim financing to a counterparty until permanent credit can be obtained. These commitments are short-term in nature and may expire unfunded. A fee is received by us for providing such commitments. Structuring fees and upfront fees are recognized as income when earned, usually when paid at the closing of the investment, and are non-refundable. Income received in exchange for the provision of services such as recurring administration services are also recognized as fee income in the period in which it was earned.

Monitoring of Portfolio Investments

We monitor the performance and financial trends of our portfolio companies on at least a quarterly basis. We attempt to identify any developments within the portfolio company, the industry or the macroeconomic environment that may alter any material element of our original investment strategy. Our portfolio monitoring procedures are designed to provide a simple yet comprehensive analysis of our portfolio companies based on their operating performance and underlying business characteristics, which in turn forms the basis of its Risk Rating (as defined below).

We use an investment risk rating system to characterize and monitor the credit profile and expected level of returns on each investment in the portfolio. As such, we assign each investment a composite score ("Risk Rating") based on two metrics – 1) Operating Performance and 2) Business Characteristics:

•Operating Performance assesses the health of the investment in context of its financial performance and the market environment it faces. The metric is expressed in Tiers of “4” to “1”, with “4” being the best and “1” being the worst:

◦Tier 4 – Business performance is in-line with or above expectations

◦Tier 3 – Moderate business underperformance and/or moderate market headwinds

◦Tier 2 – Significant business underperformance and/or significant market headwinds

◦Tier 1 – Severe business underperformance and/or severe market headwinds

•Business Characteristics assesses the health of the investment in context of the underlying portfolio company’s business and credit quality, the underlying portfolio company’s current balance sheet, and the level of support from the equity sponsor. The metric is expressed as on a qualitative scale of “A” to “C”, with “A” being the best and “C” being the worst.

The Risk Rating for each investment is a composite of these two metrics. The Risk Rating is expressed in categories of Green, Yellow, Orange and Red, with Green reflecting an investment that is in-line with or above expectations and Red reflecting an investment performing materially below expectations. The mapping of the composite scores to these categories are below:

•Green – 4C, 3B, 2A, 4B, 3A, and 4A (e.g., Tier 4 for Operating Performance and C for Business Characteristics)

•Yellow – 3C, 2B, and 1A

•Orange – 2C and 1B

•Red – 1C

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The following table shows the Risk Ratings of our portfolio companies as of March 31, 2024:

(in millions)	As of March 31, 2024
Risk Rating	Cost		Percent		Fair Value		Percent
Green	$	1,872.6	95.4	%	$	1,869.2	96.3	%
Yellow	45.3		2.3	%	42.0		2.2	%
Orange	31.9		1.6	%	29.5		1.5	%
Red	13.2		0.7	%	0.2		0.0	%
	$	1,963.0	100.0	%	$	1,940.9	100.0	%

As of March 31, 2024, all investments in our portfolio had a Green Risk Rating, with the exception of one portfolio company that had a Yellow Risk Rating, one portfolio company that had an Orange Risk Rating and one portfolio company that had a Red Risk Rating.

During the first quarter of 2024, we placed our investment in the second lien term loan in New Trojan Parent, Inc.("Careismatic") on non-accrual status. As of March 31, 2024, our investment had an aggregate cost of $13.2 million, an aggregate fair value of $0.2 million and total unearned interest income of $0.5 million for the three months then ended. As of March 31, 2024, our investment in Careismatic had a Red Risk Rating.

Portfolio and Investment Activity

The fair value of our investments, as determined in good faith by our board of directors, was approximately $1,940.9 million in 88 portfolio companies at March 31, 2024 and approximately $1,991.3 million in 93 portfolio companies at December 31, 2023.

The following table shows our portfolio and investment activity for the three months ended March 31, 2024 and March 31, 2023:

	Three Months Ended
(in millions)	March 31, 2024		March 31, 2023
New investments in 12 and 17 portfolio companies, respectively	$	5.9	$	25.3
Debt repayments in existing portfolio companies	(54.0)		(4.3)
Sales of securities in 3 and 3 portfolio companies, respectively	(21.3)		(30.7)
Change in unrealized appreciation on 48 and 53 portfolio companies, respectively	16.2		11.1
Change in unrealized depreciation on 45 and 45 portfolio companies, respectively	(4.6)		(8.0)

Recent Accounting Standards Updates

See Item 1.—Financial Statements—Note 12. Recent Accounting Standards Updates in this Quarterly Report on Form 10-Q for details on recent accounting standards updates.

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Results of Operations for the Three Months Ended March 31, 2024 and March 31, 2023

Revenue

	Three Months Ended
(in thousands)	March 31, 2024		March 31, 2023
Total interest income	$	56,259	$	55,468
Dividend income	2,741		2,336
Fee income	466		651
Total investment income	$	59,466	$	58,455

Our total investment income increased by approximately $1.0 million, or 2%, for the three months ended March 31, 2024 as compared to the three months ended March 31, 2023. For the three months ended March 31, 2024, total investment income of approximately $59.5 million consisted of approximately $51.3 million in cash interest from investments, approximately $4.2 million in PIK and non-cash interest from investments, net amortization of purchase premiums and discounts of approximately $0.8 million, approximately $2.7 million in PIK dividends from investments and approximately $0.5 million in fee income.

The increase in interest income of approximately $0.8 million during the three months ended March 31, 2024 as compared to the three months ended March 31, 2023 was primarily due to higher SOFR rates on our floating rate assets. The increase in dividend income for the three months ended March 31, 2024 as compared to the three months ended March 31, 2023 was primarily driven by an increase in the PIK dividend rate in one equity investment. Fee income during the three months ended March 31, 2024, which represents fees that are generally non-recurring in nature, was primarily attributable to amendment and consent fees received from seven different portfolio companies.

Operating Expenses

	Three Months Ended
(in thousands)	March 31, 2024		March 31, 2023
Management fee	$	3,145	$	3,299
Interest and other financing expenses	16,865		14,946
Incentive fee	5,730		5,817
Administrative expenses	702		685
Professional fees	366		558
Other general and administrative expenses	62		166
Net expenses before income taxes	26,870		25,471
Income tax expense (benefit)	121		16
Net expenses after income taxes	$	26,991	$	25,487

Our total net operating expenses increased by $1.4 million for the three months ended March 31, 2024 as compared to the three months ended March 31, 2023. Our incentive fee remained flat and our management fee decreased by approximately $0.2 million for the three months ended March 31, 2024 as compared to the three months ended March 31, 2023. The decrease in management fees was attributable to return of capital distributions made during the three months ended March 31, 2024.

Interest and other financing expenses increased by approximately $1.9 million during the three months ended March 31, 2024 as compared to the three months ended March 31, 2023, primarily due to higher SOFR rates on our floating rate borrowings on the GS Credit Facility.

Our total professional fees, administrative expenses and other general and administrative expenses each remained relatively flat for the three months ended March 31, 2024 as compared to the three months ended March 31, 2023, primarily due to the end of the Investment Period on July 15, 2023. Income tax benefit remained relatively flat.

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Net Realized Gains (Losses) and Net Change in Unrealized Appreciation (Depreciation)

	Three Months Ended
(in thousands)	March 31, 2024		March 31, 2023
Net realized losses on investments	$	(3,285)	$	(495)
Net change in appreciation (depreciation) of investments	11,608		3,144
(Provision) benefit for taxes	(238)		(52)
Net realized and unrealized gains (losses)	$	8,085	$	2,597

Our net realized losses and unrealized appreciation resulted in a net gain of approximately $8.1 million for the three months ended March 31, 2024 as compared to net realized losses and unrealized appreciation resulting in a net gain of approximately $2.6 million for the three months ended March 31, 2023. As movement in unrealized appreciation or depreciation can be the result of realizations, we look at net realized and unrealized gains or losses together. The net gain for the three months ended March 31, 2024 was primarily driven by the overall increase in market prices of our investments during the period, partially offset by a realized loss in TMK Hawk Parent, Corp. The provision for income taxes was attributable to the equity investment held as of March 31, 2024 in GIII OEC. The net gain for the three months ended March 31, 2023 was primarily driven by the overall increase in market prices of our investments during the period, slightly offset by realized losses on three positions.

Liquidity, Capital Resources, Off-Balance Sheet Arrangements, Borrowings and Contractual Obligations

Liquidity and Capital Resources

The primary use of existing funds and any funds raised in the future is expected to be for repayment of indebtedness, investments in portfolio companies, cash distributions to our unitholders or for other general corporate purposes.

We expect to generate cash from (1) cash flows from investments and operations and (2) borrowings from banks or other lenders. We will seek to enter into any bank debt, credit facility or other financing arrangements on at least customary market terms, however, we cannot assure you we will be able to do so. Any such incurrence or issuance would be subject to prevailing market conditions, our liquidity requirements, contractual and regulatory restrictions and other factors. Upon organization, the Investment Adviser, as our initial unitholder, authorized us to adopt the application of the modified asset coverage requirements set forth in Section 61(a) of the 1940 Act, as amended by the Small Business Credit Availability Act, which resulted in the reduction of the minimum asset coverage ratio applicable to us from 200.0% to 150.0%. In connection with their subscriptions for our Units, our unitholders were required to acknowledge our ability to operate with an asset coverage ratio that may be as low as 150.0%. In accordance with the 1940 Act, with certain limited exceptions, we are only allowed to borrow amounts such that our asset coverage, calculated pursuant to the 1940 Act, is at least 150.0% after such borrowing (which means we can borrow $2 for every $1 of our equity). As of March 31, 2024, our asset coverage ratio was 216.9%.

Since our inception on May 22, 2019, we have entered into Subscription Agreements with several investors on various dates. Closings of the Private Offering occurred, from time to time, in the Investment Adviser's sole discretion, during the Closing Period, which ended on October 15, 2021. On March 31, 2024 and December 31, 2023, we had aggregate capital commitments and undrawn capital commitments from investors as follows:

(in millions)	March 31, 2024			December 31, 2023
Capital Commitments	$	1,149.1		$	1,149.1
Unfunded Capital Commitments	—			—
% of Capital Commitments funded	100.0		%	100.0		%

As of March 31, 2024 and December 31, 2023, our outstanding borrowings consisted of the Unsecured Notes and the GS Credit Facility. See Item 1—Financial Statements—Note 6. Borrowings in this Quarterly Report on Form 10-Q for additional information.

As of March 31, 2024 and December 31, 2023, we had cash and cash equivalents of approximately $48.2 million and $69.9 million, respectively. Our cash provided by (used in) operating activities for the three months ended March 31, 2024 and March 31, 2023, was approximately $72.7 million and $33.8 million, respectively. We expect that all current liquidity needs will be met with cash flows from operations and borrowings from banks or other lenders.

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Off-Balance Sheet Arrangements

We may become a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financial needs of our portfolio companies. These instruments may include commitments to extend credit and involve, to varying degrees, elements of liquidity and credit risk in excess of the amount recognized in the balance sheet. As of March 31, 2024 and December 31, 2023, we had outstanding commitments to third parties to fund investments totaling $106.4 million and $119.3 million, respectively, under various undrawn revolving credit facilities, delayed draw commitments or other future funding commitments.

We may from time to time enter into financing commitment letters or bridge financing commitments, which could require funding in the future. As of March 31, 2024 and December 31, 2023, we had no commitment letters to purchase investments, which could require funding in the future. As of March 31, 2024 and December 31, 2023, we had not entered into any bridge financing commitments which could require funding in the future.

Contractual Obligations

A summary of our significant contractual payment obligations as of March 31, 2024 is as follows:

	Contractual Obligations Payments Due by Period
(in millions)	Total		Less than 1 Year		1 - 3 Years		3 - 5 Years		More than 5 Years
Unsecured Notes (1)	$	275.0	$	—	$	275.0	$	—	$	—
GS Credit Facility Line (2)	638.0		—		638.0				—
Total Contractual Obligations	$	913.0	$	—	$	913.0	$	—	$	—

(1)$175.0 million of the 2021A Unsecured Notes will mature on July 15, 2025 unless earlier redeemed or repurchased, and $100.0 million of the 2022A Unsecured Notes will mature on July 15, 2025 unless earlier redeemed or repurchased.

(2)Under the terms of the GS Credit Facility, all outstanding borrowings under that facility ($638.0 million as of March 31, 2024) must be repaid on or before (a) May 28, 2028, or (b) 45 days prior to the expiration of our Term. As of March 31, 2024, there was approximately $147.0 million capacity, subject to borrowing base limitations, remaining under the GS Credit Facility. See Item 1.—Financial Statements—Note 6. Borrowings in this Quarterly Report on Form 10-Q for material details on the GS Credit Facility.

We have entered into an investment advisory and management agreement (the "Investment Management Agreement") with the Investment Adviser in accordance with the 1940 Act. Under the Investment Management Agreement, the Investment Adviser has agreed to provide us with investment advisory and management services. We have agreed to pay for these services (1) a management fee and (2) an incentive fee based on our performance.    

We have also entered into an administration agreement (the "Administration Agreement") with the Administrator. Under the Administration Agreement, the Administrator has agreed to arrange office space for us and provide office equipment and clerical, bookkeeping and record keeping services and other administrative services necessary to conduct our respective day-to-day operations. The Administrator has also agreed to maintain, or oversee the maintenance of, our financial records, our reports to unitholders and reports filed with the SEC. The Administrator has hired a third-party sub-administrator to assist with the provision of administrative services.

If any of the contractual obligations discussed above are terminated, our costs under any new agreements that are entered into may increase. In addition, we would likely incur significant time and expense in locating alternative parties to provide the services we expect to receive under the Investment Management Agreement and the Administration Agreement.

Distributions and Dividends

Distributions declared to unitholders for the three months ended March 31, 2024 and March 31, 2023 were approximately $82.0 million and $32.7 million, respectively.

Tax characteristics of all distributions paid are reported to unitholders on Form 1099 or Form 1042 after the end of the calendar year. For the years ended December 31, 2023 and December 31, 2022, total distributions declared were $138.3 million and $102.3 million, respectively, of which the distributions were comprised of approximately 100.00% and 100.00%, respectively, of ordinary income, 0.00% and 0.00%, respectively, of long-term capital gains and 0.00% and 0.00%, respectively of a return of capital. Future quarterly distributions, if any, will be determined by our board of directors.

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We intend to pay quarterly distributions to our unitholders in amounts sufficient to qualify as and maintain our status as a RIC. We intend to distribute approximately all of our net investment income on a quarterly basis and substantially all of our taxable income on an annual basis, except that we may retain certain net capital gains for reinvestment.    

Related Parties

We have entered into a number of business relationships with affiliated or related parties, including the following:

•We have entered into the Investment Management Agreement with the Investment Adviser, a wholly-owned subsidiary of New Mountain Capital. Therefore, New Mountain Capital is entitled to any profits earned by the Investment Adviser, which includes any fees payable to the Investment Adviser under the terms of the Investment Management Agreement, less expenses incurred by the Investment Adviser in performing its services under the Investment Management Agreement.

•We have entered into the Expense Limitation and Reimbursement Agreement with the Investment Adviser. The Investment Adviser has agreed to reduce and/or waive its management fee (the "Specified Expenses Cap") each year such that we will not be required to pay certain expenses in excess of a maximum aggregate amount defined in the Expense Limitation and Reimbursement Agreement.

•We have entered into the Administration Agreement with the Administrator, a wholly-owned subsidiary of New Mountain Capital. The Administrator arranges our office space and provides office equipment and administrative services necessary to conduct our respective day-to-day operations pursuant to the Administration Agreement. The Administrator has hired a third-party sub-administrator to assist with the provision of administrative services. We reimburse the Administrator for the allocable portion of overhead and other expenses incurred by it in performing its obligations to us under the Administration Agreement, which includes the fees and expenses associated with performing administrative, finance, and compliance functions, and the compensation of our chief financial officer and chief compliance officer and their respective staffs. Pursuant to the Administration Agreement and further restricted by us, the Administrator may, in its own discretion, submit to us for reimbursement some or all of the expenses that the Administrator has incurred on our behalf during any quarterly period. As a result, the amount of expenses for which we will have to reimburse the Administrator may fluctuate in future quarterly periods and there can be no assurance given as to when, or if, the Administrator may determine to limit the expenses that the Administrator submits to us for reimbursement in the future. The Administrator cannot recoup any expenses that the Administrator has previously waived. For the three months ended March 31, 2024, approximately $0.2 million, of indirect administrative expenses were included in administrative expenses, none of which were waived by the Administrator. As of March 31, 2024, approximately $0.2 million of indirect administrative expenses were included in payable to affiliates on the Consolidated Statements of Assets, Liabilities and Members' Capital.

•We, the Investment Adviser and the Administrator have entered into a royalty-free Trademark License Agreement with New Mountain Capital, pursuant to which New Mountain Capital has agreed to grant us, the Investment Adviser and the Administrator a non-exclusive, royalty-free license to use the name "New Mountain Capital".

In addition, we have adopted a formal code of ethics that governs the conduct of our officers and directors. These officers and directors also remain subject to the duties imposed by the 1940 Act and the Delaware Limited Liability Company Act.

The Investment Adviser and its affiliates may also manage other funds in the future that may have investment mandates that are similar, in whole or in part, to our investment mandates. The Investment Adviser and its affiliates may determine that an investment is appropriate for us and for one or more of those other funds. In such event, depending on the availability of such investment and other appropriate factors, the Investment Adviser or its affiliates may determine that we should invest side-by-side with one or more other funds. Any such investments will be made only to the extent permitted by applicable law and interpretive positions of the SEC and its staff, and consistent with the Investment Adviser's allocation procedures. On August 30, 2022, the SEC issued an exemptive order (the "Exemptive Order") to the Investment Adviser and certain of its affiliates, which superseded a prior order issued on October 8, 2019 and December 18, 2017, which permits us to co-invest in portfolio companies with certain funds or entities managed by the Investment Adviser or its affiliates in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act, subject to the conditions of the Exemptive Order. Pursuant to the Exemptive Order, we are permitted to co-invest with our affiliates if a "required majority" (as defined in Section 57(o) of the 1940 Act) of our independent directors make certain conclusions in connection with a co-investment transaction, including, but not limited to, that (1) the terms of the potential co-investment transaction, including the consideration to be paid, are reasonable and fair to us and our unitholders and do not involve overreaching in respect of us or our unitholders on the part of any person concerned, and (2) the potential co-investment transaction is consistent with the interests of our unitholders and is consistent with our then-current investment objective and strategies.

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Item 3.    Quantitative and Qualitative Disclosures About Market Risk

We are subject to certain financial market risks, such as interest rate fluctuations. Because we fund a portion of our investments with borrowings, our net investment income is affected by the difference between the rate at which we invest and the rate at which we borrow. As a result, there can be no assurance that a significant change in market interest rates will not have a material adverse effect on our net investment income. Since March 2022, the Federal Reserve has been rapidly raising interest rates and has indicated that it would consider additional rate hikes in response to ongoing inflation concerns. In a rising interest rate environment, our net investment income would increase due to an increase in interest income generated by our investment portfolio. However, our cost of funds would also increase, which could also impact net investment income. It is possible that the Federal Reserve's tightening cycle could result in a recession in the United States, which would likely decrease interest rates. Alternatively, in a prolonged low interest rate environment, including a reduction of base rates, such as SOFR, to zero, the difference between the total interest income earned on interest earning assets and the total interest expense incurred on interest bearing liabilities may be compressed, reducing our net interest income and potentially adversely affecting our operating results. During the three months ended March 31, 2024, certain of the loans held in our portfolio had floating Prime rate or SOFR interest rates. As of March 31, 2024, approximately 94.7% of investments at fair value (excluding unfunded debt investments and non-interest bearing equity investments) represent floating-rate investments with a SOFR floor (includes investments bearing prime interest rate contracts) and approximately 5.3% of investments at fair value represent fixed-rate investments. Additionally, our senior secured revolving credit facility is also subject to floating interest rates and is currently paid based on floating SOFR rates and prime interest rates.

The following table estimates the potential changes in interest income net of interest expense, should interest rates increase by 100, 200 or 300 basis points, or decrease by 25 basis points. Interest income is calculated as revenue from interest generated from our portfolio of investments held on March 31, 2024. Interest expense is calculated based on the terms of our outstanding credit facility and unsecured notes. For our borrowings, we use the outstanding balance as of March 31, 2024. This analysis does not take into account the impact of the incentive fee or other expenses. The base interest rate case assumes the rates on our portfolio investments remain unchanged from the actual effective interest rates as of March 31, 2024. These hypothetical calculations are based on a model of the investments in our portfolio, held as of March 31, 2024, and are only adjusted for assumed changes in the underlying base interest rates.

Actual results could differ significantly from those estimated in the table.

Change in Interest Rates	Estimated Percentage Change in Interest Income Net of Interest Expense (unaudited)
–25 Basis Points	(1.69)	%
Base Interest Rate	—	%
+100 Basis Points	6.75	%
+200 Basis Points	13.50	%
+300 Basis Points	20.24	%

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Item 4.    Controls and Procedures

(a)Evaluation of Disclosure Controls and Procedures

As of March 31, 2024 (the end of the period covered by this report), we, including our Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) of the Securities Exchange Act of 1934, as amended). Based on that evaluation, our management, including the Chief Executive Officer and Chief Financial Officer, concluded that our disclosure controls and procedures were effective and provided reasonable assurance that information required to be disclosed in our periodic SEC filings is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms, and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. However, in evaluating the disclosure controls and procedures, management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of such possible controls and procedures.

(b)Changes in Internal Control Over Financial Reporting

There have been no changes in our internal control over financial reporting that occurred during our most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II. OTHER INFORMATION

The terms "we", "us", "our" and the "Company" refers to New Mountain Guardian III BDC, L.L.C. and its consolidated subsidiaries.

Item 1.    Legal Proceedings

We, and our consolidated subsidiaries, the Investment Adviser and the Administrator are not currently subject to any material legal proceedings as of March 31, 2024. From time to time, we or our consolidated subsidiary may be a party to certain legal proceedings incidental to the normal course of our business including the enforcement of our rights under contracts with our portfolio companies. While the outcome of these legal proceedings cannot be predicted with certainty, we do not expect that these proceedings will have a material effect upon our business, financial condition or results of operations.

Item 1A.    Risk Factors

In addition to the other information set forth in this report, you should carefully consider the factors discussed in Item 1A. Risk Factors in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023, which could materially affect our business, financial condition and/or operating results. The risks described in our Annual Report on Form 10-K are not the only risks we face. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially and adversely affect our business, financial condition and/or operating results. There have been no material changes during the three months ended March 31, 2024 to the risk factors discussed in Item 1A. Risk Factors in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023.

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

None, other than those already disclosed in certain current reports on Form 8-K filed with the SEC.

Item 3.    Defaults Upon Senior Securities.

None.

Item 4.    Mine Safety Disclosures

Not applicable.

Item 5.    Other Information

(a)     None.

(b)     None.

(c)     For the period covered by this Quarterly Report on Form 10-Q, no director or officer has adopted or terminated (i) any contract, instruction or written plan for the purchase or sale of securities intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act or (ii) any non-Rule 10b5-1 trading arrangement.

We have adopted insider trading policies and procedures governing the purchase, sale, and disposition of our

securities by our officers and directors that are reasonably designed to promote compliance with insider trading laws,

rules and regulations.

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Item 6.    Exhibits

The following exhibits are filed as part of this report or hereby incorporated by reference to exhibits previously filed with the U.S. Securities and Exchange Commission:

Exhibit Number	Description
3.1	Fourth Amended and Restated Limited Liability Company Agreement dated as of June 28, 2023(3)
3.2	Certificate of Formation(2)
4.1	Form of Subscription Agreement(1)
31.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended*
31.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended*
32.1	Certification of Chief Executive Officer pursuant to Section 906 of The Sarbanes-Oxley Act of 2002 (18 U.S.C. 1350)*
32.2	Certification of Chief Financial Officer pursuant to Section 906 of The Sarbanes-Oxley Act of 2002 (18 U.S.C. 1350)*
101.INS	Inline XBRL Instance Document.
101.SCH	Inline XBRL Taxonomy Extension Schema Document
101.CAL	Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE	Inline XBRL Taxonomy Extension Presentation Linkbase Document
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

(1)Previously filed in connection with New Mountain Guardian III BDC, L.L.C.'s registration statement on Form 10 (File No. 000-56072) filed on July 15, 2019.

(2)Previously filed in connection with New Mountain Guardian III BDC, L.L.C.'s Quarterly Report on Form 10-Q filed on November 13, 2019.

(3)Previously filed in connection with New Mountain Guardian III BDC, L.L.C.'s Current Report on Form 8-K filed on June 29, 2023.

* Filed herewith.

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SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized on May 14, 2024.

NEW MOUNTAIN GUARDIAN III BDC, L.L.C.
By:	/s/ JOHN R. KLINE
	John R. Kline President and Chief Executive Officer (Principal Executive Officer)
By:	/s/ KRIS CORBETT
	Kris Corbett Chief Financial Officer (Principal Financial and Accounting Officer), and Treasurer

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