XML 44 R34.htm IDEA: XBRL DOCUMENT v3.25.1
Investments (Tables)
 3 Months Ended
Mar. 31, 2025
Schedule of Investments [Abstract]  
Schedule of Composition of Investment Portfolio

The following table shows the composition of our investment portfolio as of March 31, 2025, with the fair value disaggregated into the three levels of the fair value hierarchy in accordance with ASC 820:

 

 

 

 

 

 

 

 

Fair Value Hierarchy

 

 

 

Cost

 

 

Fair Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

First Lien Secured Debt

 

$

2,997,085

 

 

$

2,954,954

 

 

$

—

 

 

$

58,230

 

 

$

2,896,724

 

Second Lien Secured Debt

 

 

14,983

 

 

 

8,345

 

 

 

—

 

 

 

4,124

 

 

 

4,221

 

Unsecured Debt

 

 

6,080

 

 

 

3,409

 

 

 

—

 

 

 

3,300

 

 

 

109

 

Structured Products and Other

 

 

51,491

 

 

 

38,385

 

 

 

—

 

 

 

14,893

 

 

 

23,492

 

Preferred Equity

 

 

15,917

 

 

 

23,664

 

 

 

—

 

 

 

—

 

 

 

23,664

 

Common Equity/Interests

 

 

271,256

 

 

 

159,649

 

 

 

283

 

 

 

—

 

 

 

159,366

 

Warrants

 

 

965

 

 

 

215

 

 

 

—

 

 

 

—

 

 

 

215

 

Total Investments before Cash Equivalents

 

$

3,357,777

 

 

$

3,188,621

 

 

$

283

 

 

$

80,547

 

 

$

3,107,791

 

Money Market Fund

 

$

1,853

 

 

$

1,853

 

 

$

1,853

 

 

$

—

 

 

$

—

 

Total Cash Equivalents

 

$

1,853

 

 

$

1,853

 

 

$

1,853

 

 

$

—

 

 

$

—

 

Total Investments after Cash Equivalents

 

$

3,359,630

 

 

$

3,190,474

 

 

$

2,136

 

 

$

80,547

 

 

$

3,107,791

 

Foreign currency forward transactions

 

$

—

 

 

$

33

 

 

$

—

 

 

$

33

 

 

$

—

 

Total Assets and Liabilities at Fair Value

 

$

3,359,630

 

 

$

3,190,507

 

 

$

2,136

 

 

$

80,580

 

 

$

3,107,791

 

The following table shows the composition of our investment portfolio as of December 31, 2024, with the fair value disaggregated into the three levels of the fair value hierarchy in accordance with ASC 820:

 

 

 

 

 

 

 

 

Fair Value Hierarchy

 

 

 

Cost

 

 

Fair Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

First Lien Secured Debt

 

$

2,804,070

 

 

$

2,765,156

 

 

$

—

 

 

$

88,903

 

 

$

2,676,253

 

Second Lien Secured Debt

 

 

23,454

 

 

 

17,798

 

 

 

—

 

 

 

12,034

 

 

 

5,764

 

Unsecured Debt

 

 

6,059

 

 

 

3,502

 

 

 

—

 

 

 

3,385

 

 

 

117

 

Structured Products and Other

 

 

53,671

 

 

 

41,125

 

 

 

—

 

 

 

15,024

 

 

 

26,101

 

Preferred Equity

 

 

16,069

 

 

 

24,831

 

 

 

—

 

 

 

—

 

 

 

24,831

 

Common Equity/Interests

 

 

273,109

 

 

 

161,868

 

 

 

220

 

 

 

—

 

 

 

161,648

 

Warrants

 

 

965

 

 

 

136

 

 

 

—

 

 

 

—

 

 

 

136

 

Total Investments

 

$

3,177,397

 

 

$

3,014,416

 

 

$

220

 

 

$

119,346

 

 

$

2,894,850

 

Money Market Fund

 

$

2,810

 

 

$

2,810

 

 

$

2,810

 

 

$

—

 

 

$

—

 

Total Cash Equivalents

 

$

2,810

 

 

$

2,810

 

 

$

2,810

 

 

$

—

 

 

$

—

 

Total Investments after Cash Equivalents

 

$

3,180,207

 

 

$

3,017,226

 

 

$

3,030

 

 

$

119,346

 

 

$

2,894,850

 

 
Schedule of Changes in Fair Value of Investments

The following table shows changes in the fair value of our Level 3 investments during the three months ended March 31, 2025:

 

 

First Lien Secured Debt (2)

 

 

Second Lien Secured Debt (2)

 

 

Unsecured Debt

 

 

Structured Products and Other

 

 

Preferred Equity

 

 

Common Equity/Interests

 

 

Warrants

 

 

Total

 

Fair value as of December 31, 2024

 

$

2,676,253

 

 

$

5,764

 

 

$

117

 

 

$

26,101

 

 

$

24,831

 

 

$

161,648

 

 

$

136

 

 

$

2,894,850

 

Net realized gains (losses)

 

 

1,434

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,979

 

 

 

—

 

 

 

3,413

 

Net change in unrealized gains (losses)

 

 

(2,089

)

 

 

(1,549

)

 

 

(8

)

 

 

(431

)

 

 

(1,017

)

 

 

(368

)

 

 

79

 

 

 

(5,383

)

Net amortization on investments

 

 

1,687

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,687

 

Purchases, including capitalized PIK (3)

 

 

391,001

 

 

 

6

 

 

 

—

 

 

 

—

 

 

 

100

 

 

 

697

 

 

 

—

 

 

 

391,804

 

Sales (3)

 

 

(164,998

)

 

 

—

 

 

 

—

 

 

 

(2,178

)

 

 

(250

)

 

 

(4,590

)

 

 

—

 

 

 

(172,016

)

Transfers out of Level 3 (1)

 

 

(6,564

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(6,564

)

Transfers into Level 3 (1)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Fair value as of March 31, 2025

 

$

2,896,724

 

 

$

4,221

 

 

$

109

 

 

$

23,492

 

 

$

23,664

 

 

$

159,366

 

 

$

215

 

 

$

3,107,791

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net change in unrealized gains (losses) on Level 3 investments still held as of March 31, 2025

 

$

(1,528

)

 

$

(4,533

)

 

$

65

 

 

$

(431

)

 

$

(1,017

)

 

$

2,798

 

 

$

79

 

 

$

(4,567

)
(1)
Transfers out (if any) of Level 3 are due to an increase in the quantity and reliability of broker quotes obtained and transfers into (if any) Level 3 are due to a decrease in the quantity and reliability of broker quotes obtained as assessed by the Investment Adviser. Transfers are assumed to have occurred at the end of the period. There were no transfers between Level 1 and Level 2 fair value measurements during the period shown.
(2)
Includes unfunded commitments measured at fair value of $(5,105).
(3)
Includes reorganizations and restructuring of investments. Includes all activities from the Mergers.

The following table shows changes in the fair value of our Level 3 investments during the three months ended March 31, 2024:

 

 

First Lien Secured Debt (2)

 

 

Second Lien Secured Debt (2)

 

 

Unsecured Debt

 

 

Structured Products and Other

 

 

Preferred Equity

 

 

Common Equity/Interests

 

 

Warrants

 

 

Total

 

Fair value as of December 31, 2023

 

$

2,075,031

 

 

$

31,887

 

 

$

—

 

 

$

41,333

 

 

$

32,405

 

 

$

152,127

 

 

$

199

 

 

$

2,332,982

 

Net realized gains (losses)

 

 

(6,464

)

 

 

273

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

359

 

 

 

—

 

 

 

(5,832

)

Net change in unrealized gains (losses)

 

 

4,581

 

 

 

12,296

 

 

 

(2,335

)

 

 

(3,347

)

 

 

231

 

 

 

(7,138

)

 

 

(517

)

 

 

3,771

 

Net amortization on investments

 

 

1,933

 

 

 

6

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,939

 

Purchases, including capitalized PIK (3)

 

 

154,876

 

 

 

146

 

 

 

—

 

 

 

—

 

 

 

116

 

 

 

1

 

 

 

—

 

 

 

155,139

 

Sales (3)

 

 

(118,479

)

 

 

(31,339

)

 

 

2,664

 

 

 

(2,347

)

 

 

—

 

 

 

12,057

 

 

 

576

 

 

 

(136,868

)

Transfers out of Level 3 (1)

 

 

—

 

 

 

(7,710

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(7,710

)

Transfers into Level 3 (1)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Fair value as of March 31, 2024

 

$

2,111,478

 

 

$

5,559

 

 

$

329

 

 

$

35,639

 

 

$

32,752

 

 

$

157,406

 

 

$

258

 

 

$

2,343,421

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net change in unrealized gains (losses) on Level 3 investments still held as of March 31, 2024

 

$

(3,233

)

 

$

(594

)

 

$

(2,335

)

 

$

(3,346

)

 

$

231

 

 

$

5,856

 

 

$

(517

)

 

$

(3,938

)

 

(1)
Transfers out (if any) of Level 3 are due to an increase in the quantity and reliability of broker quotes obtained and transfers into (if any) Level 3 are due to a decrease in the quantity and reliability of broker quotes obtained as assessed by the Investment Adviser. Transfers are assumed to have occurred at the end of the period. There were no transfers between Level 1 and Level 2 fair value measurements during the period shown.
(2)
Includes unfunded commitments measured at fair value of (3,976).
(3)
Includes reorganizations and restructuring of investments.
Summary of Unobservable Inputs Used in Fair Value Measurements of Level 3 Investments

The following tables summarize the significant unobservable inputs the Company used to value its investments categorized within Level 3 as of March 31, 2025 and December 31, 2024. In addition to the techniques and inputs noted in the tables below, according to our valuation policy we may also use other valuation techniques and methodologies when determining our fair value measurements. The below tables are not intended to be all-inclusive, but rather provide information on the significant unobservable inputs as they relate to the Company’s determination of fair values.

The unobservable inputs used in the fair value measurement of our Level 3 investments as of March 31, 2025 were as follows:

 

 

 

 

 

 

Quantitative Information about Level 3 Fair Value Measurements

Asset Category

 

 

Fair Value

 

 

Valuation Techniques/Methodologies

Unobservable Input

Range

Weighted Average (1)

First Lien Secured Debt

 

$

 

2,519,084

 

 

Yield Analysis

Discount Rate

4.1%

33.3%

11.3%

 

 

 

 

123,436

 

 

Recovery Analysis

Recoverable Amount

N/A

N/A

N/A

 

 

 

 

242,564

 

 

Recent Transaction

Recent Transaction

N/A

N/A

N/A

 

 

 

 

11,566

 

 

Market Comparable Technique

Comparable Multiple

0.4x

6.1x

3.2x

 

 

 

 

74

 

 

Broker Quote

Broker Quote

N/A

N/A

N/A

Second Lien Secured Debt

 

 

 

4,053

 

 

Market Comparable Technique

Comparable Multiple

6.1x

6.1x

6.1x

 

 

 

 

34

 

 

Recovery Analysis

Recoverable Amount

N/A

N/A

N/A

 

 

 

 

134

 

 

Yield Analysis

Discount Rate

17.7%

17.7%

17.7%

Unsecured Debt

 

 

 

109

 

 

Market Comparable Technique

Comparable Multiple

4.3x

19.5x

7.2x

Structured Products and Other

 

 

 

23,492

 

 

Yield Analysis

Discount Rate

11.3%

12.9%

11.9%

Preferred Equity

 

 

 

23,350

 

 

Market Comparable Technique

Comparable Multiple

1.8x

17.5x

12.2x

 

 

 

 

120

 

 

Recent Transaction

Recent Transaction

N/A

N/A

N/A

 

 

 

 

194

 

 

Yield Analysis

Discount Rate

14.0%

14.0%

14.0%

Common Equity/Interests

 

 

 

126,158

 

 

Yield Analysis

Discount Rate

9.6%

14.0%

9.6%

 

 

 

 

18,824

 

 

Estimated Proceeds

Estimated Proceeds

N/A

N/A

N/A

 

 

 

 

13,211

 

 

Market Comparable Technique

Comparable Multiple

0.7x

19.5x

9.7x

 

 

 

 

150

 

 

Option Pricing Model

Expected Volatility

20.0%

85.0%

43.8%

 

 

 

 

1,023

 

 

Recent Transaction

Recent Transaction

N/A

N/A

N/A

Warrants

 

 

 

201

 

 

Option Pricing Model

Expected Volatility

50.0%

50.0%

50.0%

 

 

 

 

14

 

 

Market Comparable Technique

Comparable Multiple

4.3x

4.3x

7.2x

Total Level 3 Investments

 

$

 

3,107,791

 

 

 

 

 

 

 

_________________

(1)
The weighted average information is generally derived by assigning each disclosed unobservable input a proportionate weight based on the fair value of the related investment. For the commodity price unobservable input, the weighted average price is an undiscounted price based upon the estimated production level from the underlying reserves.

The unobservable inputs used in the fair value measurement of our Level 3 investments as of December 31, 2024 were as follows:

 

 

 

 

 

 

Quantitative Information about Level 3 Fair Value Measurements

Asset Category

 

 

Fair Value

 

 

Valuation Techniques/Methodologies

Unobservable Input

Range

Weighted Average (1)

First Lien Secured Debt

 

$

 

2,409,833

 

 

Yield Analysis

Discount Rate

4.1%

31.4%

11.3%

 

 

 

 

136,535

 

 

Recovery Analysis

Recoverable Amount

N/A

N/A

N/A

 

 

 

 

119,051

 

 

Recent Transaction

Recent Transaction

N/A

N/A

N/A

 

 

 

 

10,765

 

 

Market Comparable Technique

Comparable Multiple

3.5x

3.5x

3.5x

 

 

 

 

69

 

 

Broker Quote

Broker Quote

N/A

N/A

N/A

Second Lien Secured Debt

 

 

 

4,718

 

 

Market Comparable Technique

Comparable Multiple

6.2x

6.2x

6.2x

 

 

 

 

914

 

 

Recovery Analysis

Recoverable Amount

3.5x

3.5x

3.5x

 

 

 

 

132

 

 

Yield Analysis

Discount Rate

17.6%

17.6%

17.6%

Unsecured Debt

 

 

 

117

 

 

Market Comparable Technique

Comparable Multiple

4.3x

4.3x

4.3x

Structured Products and Other

 

 

 

26,101

 

 

Yield Analysis

Discount Rate

11.3%

12.3%

11.6%

Preferred Equity

 

 

 

24,119

 

 

Market Comparable Technique

Comparable Multiple

2.3x

17.8x

10.8x

 

 

 

 

519

 

 

Recent Transaction

Recent Transaction

N/A

N/A

N/A

 

 

 

 

193

 

 

Yield Analysis

Discount Rate

13.5%

13.5%

13.5%

 

 

 

 

—

 

 

Recovery Analysis

Recoverable Amount

N/A

N/A

N/A

Common Equity/Interests

 

 

 

124,215

 

 

Yield Analysis

Discount Rate

9.6%

13.5%

9.6%

 

 

 

 

18,933

 

 

Estimated Proceeds

Estimated Proceeds

N/A

N/A

N/A

 

 

 

 

17,838

 

 

Market Comparable Technique

Comparable Multiple

0.7x

22.0x

11.3x

 

 

 

 

444

 

 

Option Pricing Model

Expected Volatility

25.0%

85.0%

34.3%

 

 

 

 

218

 

 

Recent Transaction

Recent Transaction

N/A

N/A

N/A

 

 

 

 

—

 

 

Recovery Analysis

Recoverable Amount

N/A

N/A

N/A

Warrants

 

 

 

136

 

 

Option Pricing Model

Expected Volatility

50.0%

50.0%

50.0%

 

 

 

 

—

 

 

Market Comparable Technique

Comparable Multiple

4.3x

4.3x

4.3x

Total Level 3 Investments

 

$

 

2,894,850

 

 

 

 

 

 

 

 

(1)
The weighted average information is generally derived by assigning each disclosed unobservable input a proportionate weight based on the fair value of the related investment. For the commodity price unobservable input, the weighted average price is an undiscounted price based upon the estimated production level from the underlying reserves.
Summary of Change in Capitalized PIK balance

The following table shows the change in capitalized PIK balance for the three months ended March 31, 2025 and 2024:

 

 

 

 

 

 

Three Months Ended March 31,

 

 

 

 

 

 

 

 

2025

 

 

 

2024

 

PIK balance at beginning of period

 

 

 

 

 

$

 

36,655

 

 

$

 

24,485

 

PIK income capitalized

 

 

 

 

 

 

 

4,055

 

 

 

 

2,349

 

Adjustments due to investments exited or written off

 

 

 

 

 

 

 

(922

)

 

 

 

—

 

PIK income received in cash

 

 

 

 

 

 

 

—

 

 

 

 

—

 

PIK balance at end of period

 

 

 

 

 

$

 

39,788

 

 

$

 

26,834

 
Schedule of Foreign Currency Forward Contracts Certain information related to the Company’s foreign currency forward contracts is presented below as of March 31, 2025.

Counterparty

 

Notional amount to be purchased

 

 

Notional amount to be sold

 

 

Settlement Date

 

 

Fair Value

 

 

Balance Sheet Location of Net Amounts

JP MORGAN CHASE BANK N.A

 

$

 

2,877

 

 

€

 

(2,636

)

 

6/18/2025

 

 

 

14

 

 

Unrealized (appreciation) depreciation on foreign currency forward contracts

JP MORGAN CHASE BANK N.A

 

 

 

6,451

 

 

£

 

(4,986

)

 

6/18/2025

 

 

 

11

 

 

Unrealized (appreciation) depreciation on foreign currency forward contracts

JP MORGAN CHASE BANK N.A

 

 

 

1,447

 

 

C$

 

(2,062

)

 

6/18/2025

 

 

 

9

 

 

Unrealized (appreciation) depreciation on foreign currency forward contracts

 

 

 

 

 

 

 

 

 

 

 

 

 $

 

33

 

 

 
Schedule of Derivative Instruments, Gain (Loss)

The Company’s foreign currency forward contracts are not designated in a qualifying hedge accounting relationship. Net realized and unrealized gains and losses for the three months ended March 31, 2025, for the Company’s foreign currency forward contracts, are in the following locations in the Consolidated Statement of Operations:

 

 

 

 

 

Three Months Ended March 31,

 

Derivative Instrument

 

 

Financial Statement Location

 

2025

 

 

2024

 

Foreign currency forward contracts

 

 

Net change in unrealized appreciation (depreciation) on foreign currency forward contracts

 

$

 

24

 

 

$

 

-

 

 

 

 

 

 

$

 

24

 

 

$

 

-