0001278752-22-000019.txt : 20220802 0001278752-22-000019.hdr.sgml : 20220802 20220802060214 ACCESSION NUMBER: 0001278752-22-000019 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 5 CONFORMED PERIOD OF REPORT: 20220630 FILED AS OF DATE: 20220802 DATE AS OF CHANGE: 20220802 FILER: COMPANY DATA: COMPANY CONFORMED NAME: APOLLO INVESTMENT CORP CENTRAL INDEX KEY: 0001278752 IRS NUMBER: 522439556 STATE OF INCORPORATION: MD FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 814-00646 FILM NUMBER: 221126753 MAIL ADDRESS: STREET 1: 1301 AVENUE OF THE AMERICAS STREET 2: 38TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10019 FORMER COMPANY: FORMER CONFORMED NAME: APOLLO CAPITAL CORP DATE OF NAME CHANGE: 20040204 10-Q 1 ainv2023q110-q.htm 10-Q Document

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2022
OR
¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Commission File Number: 814-00646
APOLLO INVESTMENT CORPORATION
(Exact name of Registrant as specified in its charter)
Maryland52-2439556
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)
9 West 57th Street
37th Floor
New York, New York
10019
(Address of principal executive offices)(Zip Code)
(212) 515-3450
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of each exchange on which registered
Common Stock, $0.001 par valueAINVNASDAQ Global Select Market
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes x  No ¨
Indicate by check mark whether the Registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted 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 and post such files).    Yes ¨  No ¨
Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
Large accelerated filerxAccelerated filer
¨
Non-accelerated filer
¨
Smaller reporting company
¨
(Do not check if a smaller reporting company)
Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes ¨  No x
The number of shares of the registrant’s common stock, $0.001 par value per share, outstanding as of August 1, 2022 was 63,518,718.



APOLLO INVESTMENT CORPORATION
Table of Contents
Page
PART I. FINANCIAL INFORMATION
Item 1.
Item 2.
Item 3.
Item 4.
PART II. OTHER INFORMATION
Item 1.
Item 1A.
Item 2.
Item 3.
Item 4.
Item 5.
Item 6.



PART I. FINANCIAL INFORMATION
In this report, the terms the “Company,” “Apollo Investment,” “AIC,” “we,” “us,” and “our” refer to Apollo Investment Corporation unless the context specifically states otherwise.
Item 1. Financial Statements

APOLLO INVESTMENT CORPORATION
STATEMENTS OF ASSETS AND LIABILITIES
(In thousands, except share and per share data)
June 30, 2022March 31, 2022
(Unaudited)
Assets
Investments at fair value:
Non-controlled/non-affiliated investments (cost — $2,060,771 and $2,001,907, respectively)$2,025,196 $1,977,647 
Non-controlled/affiliated investments (cost — $130,855 and $130,866, respectively)60,208 63,709 
Controlled investments (cost — $602,913 and $613,056, respectively)464,100 481,817 
Cash and cash equivalents34,512 30,033 
Foreign currencies (cost — $1,027 and $601, respectively)
950 565 
Receivable for investments sold8,244 7,989 
Interest receivable18,842 15,554 
Dividends receivable5,393 5,083 
Deferred financing costs15,811 17,005 
Prepaid expenses and other assets1,825 719 
Total Assets$2,635,081 $2,600,121 
Liabilities
Debt$1,597,563 $1,550,608 
Payable for investments purchased206 — 
Distributions payable22,867 22,913 
Management and performance-based incentive fees payable10,270 9,912 
Interest payable9,341 3,335 
Accrued administrative services expense1,290 897 
Other liabilities and accrued expenses7,557 7,624 
Total Liabilities$1,649,094 $1,595,289 
Commitments and contingencies (Note 8)
Net Assets$985,987 $1,004,832 
Net Assets
Common stock, $0.001 par value (130,000,000 shares authorized; 63,518,718 and 63,647,240 shares issued and outstanding, respectively)$62 $62 
Capital in excess of par value2,077,124 2,078,760 
Accumulated under-distributed (over-distributed) earnings(1,091,199)(1,073,990)
Net Assets$985,987 $1,004,832 
Net Asset Value Per Share$15.52 $15.79 
See notes to financial statements.
1


APOLLO INVESTMENT CORPORATION
STATEMENTS OF OPERATIONS (Unaudited)
(In thousands, except per share data)
Three Months Ended June 30,
20222021
Investment Income
Non-controlled/non-affiliated investments:
Interest income (excluding Payment-in-kind (“PIK”) interest income)$42,448 $40,244 
Dividend income25 72 
PIK interest income414 1,201 
Other income276 1,187 
Non-controlled/affiliated investments:
Interest income (excluding PIK interest income)48 45 
Dividend income311 312 
PIK interest income19 16 
Other income— — 
Controlled investments:
Interest income (excluding PIK interest income)9,101 7,157 
Dividend income— — 
PIK interest income522 319 
Other income240 — 
Total Investment Income$53,404 $50,553 
Expenses
Management fees$8,949 $8,813 
Performance-based incentive fees1,396 — 
Interest and other debt expenses16,377 12,662 
Administrative services expense1,286 1,271 
Other general and administrative expenses2,206 2,538 
Total expenses30,214 25,284 
Management and performance-based incentive fees waived— — 
Management fee offset rebate(75)— 
Expense reimbursements(228)(76)
Net Expenses$29,911 $25,208 
Net Investment Income$23,493 $25,345 
Net Realized and Change in Unrealized Gains (Losses)
Net realized gains (losses):
Non-controlled/non-affiliated investments$314 $279 
Non-controlled/affiliated investments— — 
Controlled investments— — 
Foreign currency transactions(22)(184)
Net realized gains (losses)292 95 
Net change in unrealized gains (losses):
Non-controlled/non-affiliated investments(11,315)6,826 
Non-controlled/affiliated investments(3,490)9,998 
Controlled investments(7,575)(10,026)
Foreign currency translations4,254 (94)
Net change in unrealized gains (losses)(18,126)6,704 
Net Realized and Change in Unrealized Gains (Losses)$(17,834)$6,799 
Net Increase (Decrease) in Net Assets Resulting from Operations$5,659 $32,144 
Earnings (Loss) Per Share — Basic$0.09 $0.49 
See notes to financial statements.
2


APOLLO INVESTMENT CORPORATION
STATEMENTS OF CHANGES IN NET ASSETS (Unaudited)
(In thousands, except share data)
Three Months Ended June 30,
20222021
Operations
Net investment income$23,493 $25,345 
Net realized gains (losses)292 95 
Net change in unrealized gains (losses)(18,126)6,704 
Net Increase (Decrease) in Net Assets Resulting from Operations$5,659 $32,144 
Distributions to Stockholders
Distribution of net investment income$(22,867)$(23,441)
Distribution of return of capital— — 
Net Increase (Decrease) in Net Assets Resulting from Distributions to Stockholders$(22,867)$(23,441)
Capital Share Transactions
Repurchase of common stock$(1,638)$(2,026)
Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions$(1,638)$(2,026)
Net Assets
Net decrease in net assets during the period$(18,845)$6,675 
Net assets at beginning of period1,004,832 1,036,330 
Net Assets at End of Period$985,987 $1,043,005 
Capital Share Activity
Shares repurchased during the period(128,522)(145,572)
Shares issued and outstanding at beginning of period63,647,240 65,259,176 
Shares Issued and Outstanding at End of Period63,518,718 65,113,604 
See notes to financial statements.
3


APOLLO INVESTMENT CORPORATION
STATEMENTS OF CASH FLOWS (Unaudited)
(In thousands)
Three Months Ended June 30,
20222021
Operating Activities
Net increase (decrease) in net assets resulting from operations$5,659 $32,144 
Net realized (gains) losses(292)(95)
Net change in unrealized (gains) losses18,126 (6,704)
Net amortization of premiums and accretion of discounts on investments(2,368)(2,415)
Accretion of discount on notes151 148 
Amortization of deferred financing costs1,292 1,289 
Increase in gains (losses) from foreign currency transactions(22)(178)
PIK interest and dividends capitalized(731)(1,786)
Changes in operating assets and liabilities:
Purchases of investments(227,216)(288,628)
Proceeds from sales and repayments of investments181,870 258,801 
Decrease (increase) in interest receivable(3,287)(595)
Decrease (increase) in dividends receivable(310)(311)
Decrease (increase) in prepaid expenses and other assets(1,106)(750)
Increase (decrease) in management and performance-based incentive fees payable358 147 
Increase (decrease) in interest payable6,006 4,685 
Increase (decrease) in accrued administrative services expense393 457 
Increase (decrease) in other liabilities and accrued expenses(67)(1,088)
Net Cash Used in/Provided by Operating Activities$(21,544)$(4,879)
Financing Activities
Issuances of debt$148,000 $88,540 
Payments of debt(97,000)(65,402)
Financing costs paid and deferred— — 
Repurchase of common stock(1,638)(2,026)
Distributions paid(22,913)(23,493)
Net Cash Used in/Provided by Financing Activities$26,449 $(2,381)
Cash, Cash Equivalents and Foreign Currencies
Net increase (decrease) in cash, cash equivalents and foreign currencies during the period$4,905 $(7,260)
Effect of foreign exchange rate changes on cash and cash equivalents(41)(47)
Cash, cash equivalents and foreign currencies at beginning of period30,598 54,624 
Cash, Cash Equivalents and Foreign Currencies at the End of Period$35,462 $47,317 
Supplemental Disclosure of Cash Flow Information
Cash interest paid$8,814 $6,538 
Non-Cash Activity
PIK income$956 $1,536 
See notes to financial statements.
4

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Advertising, Printing & Publishing      
FingerPaint Marketing      
KL Charlie Acquisition CompanyFirst Lien Secured DebtL+625, 1.00% Floor12/30/26$30,760 $22,344 $22,298 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverP+57512/30/261,962 128 128 (9)(21)(23)
(25)
KL Charlie Co-Invest, L.P.Common Equity - Common StockN/AN/A 218,978 Shares 219 269 (9)(13)
  22,691 22,695 
Hero Digital      
HRO (Hero Digital) Holdings, LLCFirst Lien Secured DebtL+600, 1.00% Floor11/18/2827,137 19,052 19,140 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverP+50011/18/262,553 806 819 (9)(20)(21)
(23)(25)
HRO Holdings I LPCommon Equity - Common StockN/AN/A 213 Shares 213 207 (9)(13)(24)
  20,071 20,166 
Total Advertising, Printing & Publishing$42,762 $42,861 
Aerospace & Defense      
Erickson Inc      
Erickson IncFirst Lien Secured Debt - RevolverSOFR+800, 1.00% Floor05/20/24$33,000 $26,096 $25,811 (9)(20)(21)
(23)(31)
Total Aerospace & Defense$26,096 $25,811 
Automotive      
Club Car Wash      
Club Car Wash Operating, LLCFirst Lien Secured DebtL+600, 1.00% Floor06/16/27$29,872 $25,014 $25,011 (9)(21)(23)
(26)(29)
First Lien Secured Debt - RevolverL+650, 1.00% Floor06/16/272,438 (36)(37)(8)(9)(21)
(23)
  24,978 24,974 
Crowne Automotive      
Vari-Form Group, LLCFirst Lien Secured Debt11.00% (7.00% Cash plus 4.00% PIK)02/02/235,860 893 264 (9)(14)
Vari-Form Inc.First Lien Secured Debt11.00% (7.00% Cash plus 4.00% PIK)02/02/232,110 391 95 (9)(14)
  1,284 359 
K&N Parent, Inc.      
K&N Parent, Inc.Second Lien Secured DebtL+875, 1.00% Floor10/21/2423,765 23,621 19,546 (28)
Truck-Lite Co., LLC      
TL Lighting Holdings, LLCCommon Equity - EquityN/AN/A 350 Shares 350 379 (9)(13)
Truck-Lite Co., LLCFirst Lien Secured DebtSOFR+625, 1.00% Floor12/14/2631,899 31,387 31,262 (9)(33)
First Lien Secured Debt - RevolverSOFR+625, 1.00% Floor12/13/243,052 (11)(34)(8)(9)(20)
(21)(23)
  31,726 31,607 
Total Automotive$81,609 $76,486 
Aviation and Consumer Transport      
Merx Aviation Finance, LLC      
Merx Aviation Finance, LLC (5)First Lien Secured Debt - Revolver10.00%10/31/23$275,177 $275,000 $275,000 (20)(23)
Common Equity - Membership InterestsN/AN/A N/A 35,800 9,395 (13)(24)
  310,800 284,395 
Primeflight      
PrimeFlight Aviation Services, Inc.First Lien Secured DebtL+625, 1.00% Floor05/09/2417,322 17,162 17,235 (9)(26)(28)
Total Aviation and Consumer Transport$327,962 $301,630 
See notes to financial statements.
5

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Beverage, Food & Tobacco      
Berner Foods      
Berner Food & Beverage, LLCFirst Lien Secured DebtL+650, 1.00% Floor07/30/27$30,885 $30,287 $30,422 (9)(29)
First Lien Secured Debt - RevolverL+650, 1.00% Floor07/30/261,613 547 552 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverP+55007/30/261,268 1,244 1,249 (9)(21)(23)
(25)
  32,078 32,223 
Bolthouse Farms      
Wm. Bolthouse Farms, Inc.Common Equity - Equity InterestsN/AN/A 1,000,000 Shares 1,000 1,090 (13)
Hive      
FCP-Hive Holdings, LLCPreferred Equity - Preferred EquityN/AN/A 589 Shares 448 488 (9)(13)(24)
Common Equity - Common StockN/AN/A 589 Shares — (9)(13)(24)
Hive Intermediate, LLCFirst Lien Secured DebtL+600, 1.00% Floor09/22/2717,080 16,790 16,824 (9)(26)
First Lien Secured Debt - RevolverL+600, 1.00% Floor09/22/272,326 (40)(35)(8)(9)(21)
(23)
  17,201 17,277 
Orgain, Inc.      
Butterfly Fighter Co-Invest, L.P.Common Equity - Membership InterestsN/AN/A 490,000 Shares 90 928 
Rise Baking      
Ultimate Baked Goods Midco LLCFirst Lien Secured DebtL+625, 1.00% Floor08/13/2726,623 26,048 25,864 (9)(26)
First Lien Secured Debt - RevolverL+625, 1.00% Floor08/13/273,243 1,876 1,854 (9)(20)(21)
(23)(26)
  27,924 27,718 
Turkey Hill      
IC Holdings LLCCommon Equity - Series A UnitsN/AN/A 169 Shares 169 141 (9)(13)
THLP CO. LLCFirst Lien Secured DebtL+600 Cash plus 2.00% PIK, 1.00% Floor05/31/2525,228 24,961 24,723 (9)(28)
First Lien Secured Debt - RevolverL+600 Cash plus 2.00% PIK, 1.00% Floor05/31/244,493 1,886 1,829 (9)(20)(21)
(23)(28)
  27,016 26,693 
Total Beverage, Food & Tobacco$105,309 $105,929 
Business Services      
Access Information      
Access CIG, LLCSecond Lien Secured DebtL+775, 0.00% Floor02/27/26$15,900 $15,833 $15,582 (28)
AlpineX      
Alpinex Opco, LLCFirst Lien Secured DebtL+575, 1.00% Floor12/27/2711,915 11,692 11,683 (9)(28)
First Lien Secured DebtL+600, 1.00% Floor12/27/274,468 1,687 1,655 (9)(21)(23)
(26)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/27/271,117 426 425 (9)(21)(23)
(28)
  13,805 13,763 
Ambrosia Buyer Corp.      
Ambrosia Buyer Corp.Second Lien Secured Debt8.00%08/28/2521,429 18,093 6,109 (14)
AML Rightsource      
Gabriel Partners, LLCFirst Lien Secured DebtL+600, 1.00% Floor09/21/2631,372 30,843 31,106 (9)(29)
First Lien Secured Debt - RevolverP+50009/21/26665 120 128 (9)(21)(23)
(25)
  30,963 31,234 
See notes to financial statements.
6

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Continuum      
Continuum Global Solutions, LLCPreferred Equity - Preferred EquityN/AN/A 775 Shares 78 78 (9)(13)
Electro Rent Corporation      
Electro Rent CorporationSecond Lien Secured DebtL+900, 1.00% Floor01/31/2534,235 33,839 33,978 (9)(28)
Elo Touch      
TGG TS Acquisition CompanyFirst Lien Secured Debt - RevolverL+650, 0.00% Floor12/14/231,750 — (25)(8)(21)(23)
Ensemble Health      
EHL Merger Sub, LLCFirst Lien Secured Debt - RevolverL+325, 0.00% Floor08/01/244,155 (160)(128)(8)(21)(23)
IRP      
Precision Refrigeration & Air Conditioning LLCFirst Lien Secured DebtSOFR+600, 1.00% Floor03/08/288,161 8,005 7,957 (9)(32)
First Lien Secured Debt - RevolverSOFR+600, 1.00% Floor03/08/271,705 (32)(43)(8)(9)(21)
(23)
SMC IR Holdings, LLCCommon Equity - Common StockN/AN/A 114 Shares 114 114 (9)(13)(24)
  8,087 8,028 
Jacent      
Jacent Strategic MerchandisingFirst Lien Secured DebtL+675, 1.00% Floor04/23/2422,116 21,993 21,226 (9)(28)
First Lien Secured Debt - RevolverL+675, 1.00% Floor04/23/243,500 3,475 3,355 (9)(21)(23)
(28)
Common Equity - Common StockN/AN/A 5,000 Shares 500 — (9)(13)
JSM Equity Investors, L.P.Preferred Equity - Class P Partnership UnitsN/AN/A 114 Shares 11 11 (9)(13)
  25,979 24,592 
Jones & Frank      
JF Acquisition, LLCFirst Lien Secured DebtL+600, 1.00% Floor07/31/2613,167 13,032 12,802 (9)(26)(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor07/31/261,569 737 710 (9)(21)(23)
(28)
  13,769 13,512 
Naviga      
Naviga Inc. (fka Newscycle Solutions, Inc.)First Lien Secured DebtL+700, 1.00% Floor12/29/2213,363 13,303 13,363 (9)(28)
First Lien Secured Debt - RevolverL+700, 1.00% Floor12/29/22476 279 280 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverP+60012/29/2224 24 24 (9)(23)(25)
  13,606 13,667 
PSE      
Graffiti Buyer, Inc.First Lien Secured DebtL+575, 1.00% Floor08/10/278,405 5,672 5,582 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor08/10/271,263 391 388 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverP+47508/10/2744 44 37 (9)(23)(25)
Graffiti Parent, LPCommon Equity - Common StockN/AN/A 2,439 Shares 244 206 (9)(13)(24)
  6,351 6,213 
PSI Services, LLC      
Lifelong Learner Holdings, LLCFirst Lien Secured DebtL+575, 1.00% Floor10/19/2633,887 33,464 32,112 (9)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor10/20/252,985 2,949 2,851 (9)(21)(23)
(28)
  36,413 34,963 
See notes to financial statements.
7

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Soliant      
Soliant Health, Inc.Common Equity - Membership InterestsN/AN/A 300 Shares 300 1,018 (9)
Trench Plate      
Trench Plate Rental Co.First Lien Secured DebtSOFR+550, 1.00% Floor12/03/2618,182 17,914 17,909 (9)(32)
First Lien Secured Debt - RevolverSOFR+550, 1.00% Floor12/03/261,818 155 155 (9)(20)(21)
(23)(32)
Trench Safety Solutions Holdings, LLCCommon Equity - Common StockN/AN/A 331 Shares 50 50 (9)(24)
  18,119 18,114 
US Legal Support      
US Legal Support Investment Holdings, LLCCommon Equity - Series A-1 UnitsN/AN/A 631,972 Shares 632 923 (9)(13)
USLS Acquisition, Inc.First Lien Secured DebtSOFR+565, 1.00% Floor12/02/2423,941 23,731 23,540 (9)(32)
First Lien Secured Debt - RevolverSOFR+565, 1.00% Floor12/02/241,608 373 374 (9)(20)(21)
(23)(31)(32)
  24,736 24,837 
Wilson Language Training      
Owl Acquisition, LLCFirst Lien Secured DebtSOFR+575, 1.00% Floor02/04/289,900 9,712 9,702 (9)(33)
Owl Parent Holdings, LLCCommon Equity - Common StockN/AN/A 100 Shares 100 115 (9)(13)(24)
  9,812 9,817 
Total Business Services$269,623 $255,352 
Chemicals, Plastics & Rubber      
Carbonfree Chemicals SPE I LLC (f/k/a Maxus Capital Carbon SPE I LLC)      
Carbonfree Chemicals Holdings LLC (4)Common Equity - Common Equity / InterestN/AN/A 2,491 Shares $78,729 $40,607 (13)(16)(24)
Westfall Technik, Inc.      
Westfall Technik, Inc.First Lien Secured DebtL+600, 1.00% Floor09/13/2415,576 15,458 15,098 (9)(28)
First Lien Secured DebtL+625, 1.00% Floor09/13/245,624 5,550 5,451 (9)(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor09/13/242,019 2,003 1,957 (9)(23)(28)
  23,011 22,506 
Total Chemicals, Plastics & Rubber$101,740 $63,113 
Construction & Building      
Englert      
Gutter Buyer, Inc.First Lien Secured DebtL+625, 1.00% Floor03/06/25$29,119 $28,829 $28,707 (9)(26)
First Lien Secured Debt - RevolverP+52503/06/242,727 1,340 1,322 (9)(20)(21)
(23)(25)
Gutter Holdings, LPCommon Equity - Common StockN/AN/A 500 Shares 500 1,095 (9)
Total Construction & Building$30,669 $31,124 
Consumer Goods – Durable      
A&V      
A&V Holdings Midco, LLCFirst Lien Secured Debt - RevolverL+450, 1.00% Floor03/10/25$1,505 $378 $399 (21)(23)(26)
KDC      
KDC US HoldingsFirst Lien Secured Debt - RevolverL+325, 0.00% Floor12/21/236,020 796 344 (10)(20)(21)
(23)(26)
See notes to financial statements.
8

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
KLO Holdings, LLC      
1244311 B.C. Ltd. (4)First Lien Secured DebtL+500, 1.00% Floor09/30/252,978 2,978 2,765 (17)(28)
First Lien Secured DebtL+500 Cash plus 5.00% PIK, 1.00% Floor09/30/251,095 1,095 1,008 (17)(28)
Common Equity - Common StockN/AN/A 1,000,032 Shares 1,000 769 (2)(13)(17)
(24)
GSC Technologies Inc. (4)First Lien Secured DebtL+500 Cash plus 5.00% PIK, 1.00% Floor09/30/25201 201 185 (17)(28)
  5,274 4,727 
Liqui-Box      
Liqui-Box Holdings, Inc.First Lien Secured Debt - RevolverL+450, 1.00% Floor02/26/252,051 881 875 (20)(21)(23)
(28)
First Lien Secured Debt - RevolverP+35002/26/251,509 1,501 1,498 (23)(25)
2,382 2,373 
NSi Industries      
Wildcat BuyerCo, Inc.First Lien Secured DebtSOFR+5.90%, 1.00% Floor02/27/2617,233 15,530 15,696 (23)(32)
First Lien Secured Debt - RevolverSOFR+575, 1.00% Floor02/27/26725 77 75 (20)(21)(23)
(32)
Wildcat Parent LPCommon Equity - Common StockN/AN/A 1,070 Shares 107 166 (13)
  15,714 15,937 
Sorenson Holdings, LLC      
Sorenson Holdings, LLCCommon Equity - Membership InterestsN/AN/A 587 Shares — 352 (10)(13)
Total Consumer Goods – Durable$24,544 $24,132 
Consumer Goods – Non-durable      
3D Protein      
Protein For Pets Opco, LLCFirst Lien Secured Debt - RevolverL+450, 1.00% Floor05/31/24$2,219 $(22)$— (9)(21)(23)
Dan Dee      
Project Comfort Buyer, Inc.First Lien Secured DebtL+700, 1.00% Floor02/01/2524,550 24,231 23,656 (9)(26)
First Lien Secured Debt - RevolverL+700, 1.00% Floor02/01/243,462 (33)(130)(8)(9)(21)
(23)
Preferred Equity - Preferred EquityN/AN/A 491,405 Shares 492 64 (9)(13)(24)
  24,690 23,590 
LashCo      
Lash OpCo, LLCFirst Lien Secured DebtL+700, 1.00% Floor03/18/2643,358 42,552 42,730 (9)(28)
First Lien Secured Debt - RevolverL+700, 1.00% Floor09/18/251,612 553 574 (9)(21)(23)
(29)
  43,105 43,304 
Paladone      
Paladone Group Bidco LimitedFirst Lien Secured DebtL+575, 1.00% Floor11/12/277,972 5,964 5,967 (9)(17)(21)
(23)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor11/12/27£353 (9)(7)(8)(9)(17)
(21)(23)
First Lien Secured Debt - RevolverL+575, 1.00% Floor11/12/271,412 (25)(22)(8)(9)(17)
(21)(23)
Paladone Group Holdings LimitedCommon Equity - Common StockN/AN/A 94,151 Shares 94 118 (9)(13)(17)
(24)
  6,024 6,056 
See notes to financial statements.
9

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Sequential Brands Group, Inc.      
Gainline Galaxy Holdings LLCCommon Equity - Common StockN/AN/A 10,854 Shares 2,041 1,666 (13)(16)(17)
(24)
Sequential Avia Holdings LLCFirst Lien Secured DebtL+500, 1.00% Floor11/12/261,611 1,610 1,609 (17)(29)
Sequential Brands Group, Inc.Second Lien Secured Debt8.75%02/07/241,293 — 239 (14)(17)
Swisstech IP CO, LLCFirst Lien Secured Debt6.00% PIK11/29/24268 268 (17)
  3,657 3,782 
Total Consumer Goods – Non-durable$77,454 $76,732 
Consumer Services      
Activ      
Activ Software Holdings, LLCFirst Lien Secured DebtL+650, 1.00% Floor05/04/27$29,792 $29,305 $29,059 (9)(30)
First Lien Secured Debt - RevolverL+625, 1.00% Floor05/04/272,407 (39)(59)(8)(9)(21)
(23)
  29,266 29,000 
Bird      
Bird US Opco, LLCFirst Lien Secured DebtL+750, 1.00% Floor10/12/2442,849 34,163 34,934 (9)(23)(26)
Clarus Commerce      
Marlin DTC-LS Midco 2, LLCFirst Lien Secured DebtL+650, 1.00% Floor07/01/2521,632 21,351 21,472 (28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor07/01/25685 (5)(8)(21)(23)
  21,360 21,467 
First Heritage      
First Heritage Credit, LLCFirst Lien Secured DebtL+475, 0.00% Floor08/31/2226,250 22,506 22,487 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+550, 0.00% Floor08/31/223,750 3,221 3,220 (9)(21)(23)
(26)
  25,727 25,707 
Go Car Wash      
Go Car Wash Management Corp.First Lien Secured DebtSOFR+575, 1.00% Floor12/31/2626,421 10,744 10,552 (9)(21)(23)
(31)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/31/26417 (3)(8)(8)(9)(21)
(23)
  10,741 10,544 
Lending Point      
LendingPoint LLCFirst Lien Secured DebtL+1050, 1.00% Floor12/30/2532,500 20,182 20,300 (9)(21)(23)
(28)
First Lien Secured DebtL+575, 1.00% Floor12/30/254,167 2,571 2,575 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/30/258,333 6,879 6,887 (9)(21)(23)
(28)
  29,632 29,762 
Only About Children      
Nemo (BC) Bidco Pty LtdFirst Lien Secured DebtBBSW+675, 1.00% Floor04/06/24A$7,000 4,952 4,653 (17)(21)(23)
(34)
Renovo      
HomeRenew Buyer, Inc.First Lien Secured DebtSOFR+665, 1.00% Floor11/23/2718,021 12,630 12,569 (9)(21)(23)
(32)
First Lien Secured Debt - RevolverSOFR+665, 1.00% Floor11/23/271,958 (38)(39)(8)(9)(21)
(23)
  12,592 12,530 
See notes to financial statements.
10

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
The Club Company      
Eldrickco LimitedFirst Lien Secured DebtSON+625, 0.50% Floor11/26/25£15,027 13,974 13,148 (9)(17)(21)
(23)(27)
First Lien Secured Debt - RevolverSON+625, 0.50% Floor11/26/25£356 411 425 (9)(17)(23)
(27)
First Lien Secured Debt - RevolverSON+625, 0.50% Floor05/26/25£345 (7)(8)(9)(17)
(21)(23)
  14,386 13,566 
US Auto      
U.S. Auto Finance, Inc.First Lien Secured DebtSOFR+525, 1.00% Floor04/17/2517,300 11,541 11,427 (9)(21)(23)
(31)
First Lien Secured Debt - RevolverSOFR+600, 1.00% Floor04/17/2513,333 (5)— (9)(21)(23)
  11,536 11,427 
Total Consumer Services$194,355 $193,590 
Diversified Investment Vehicles, Banking, Finance, Real Estate      
Celink      
Compu-Link CorporationFirst Lien Secured Debt - RevolverL+550, 1.00% Floor06/11/24$2,273 $(20)$(22)(8)(9)(21)
(23)
Peer Advisors, LLCFirst Lien Secured DebtL+550, 1.00% Floor06/11/2417,386 17,230 17,218 (9)(26)
  17,210 17,196 
Golden Bear      
Golden Bear 2016-R, LLC (4)Structured Products and Other - Membership InterestsN/A09/20/42 N/A 16,998 8,957 (3)(17)
Purchasing Power, LLC      
Purchasing Power Funding I, LLCFirst Lien Secured Debt - RevolverL+650, 0.00% Floor01/24/249,113 598 598 (9)(21)(23)
(26)
Spectrum Automotive      
Shelby 2021 Holdings Corp.First Lien Secured DebtL+575, 0.75% Floor06/29/2814,457 12,714 12,678 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 0.75% Floor06/29/27420 (5)(6)(8)(9)(21)
(23)
  12,709 12,672 
Ten-X, LLC      
Ten-X, LLCFirst Lien Secured Debt - RevolverL+325, 0.00% Floor09/29/224,680 (22)(39)(8)(21)(23)
Total Diversified Investment Vehicles, Banking, Finance, Real Estate$47,493 $39,384 
Education      
NFA Group      
SSCP Spring Bidco LimitedFirst Lien Secured DebtSON+600, 0.50% Floor07/30/25£30,000 $36,331 $36,205 (9)(17)(27)
Total Education$36,331 $36,205 
Energy – Electricity      
Renew Financial LLC (f/k/a Renewable Funding, LLC)      
AIC SPV Holdings II, LLC (4)Preferred Equity - Preferred StockN/AN/A 534,375 Shares $534 $288 (15)(17)(24)
Renew Financial LLC (f/k/a Renewable Funding, LLC) (4)Preferred Equity - Series E Preferred StockN/AN/A 441,576 Shares 1,902 4,425 (13)(17)(24)
Preferred Equity - Series B Preferred StockN/AN/A 1,505,868 Shares 8,343 — (13)(24)
Preferred Equity - Series D Preferred StockN/AN/A 436,689 Shares 5,568 — (13)(24)
Renew JV LLC (4)Common Equity - Membership InterestsN/AN/A 443,844 Shares 444 574 (13)(17)(24)
  16,791 5,287 
See notes to financial statements.
11

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Solarplicity Group Limited (f/k/a AMP Solar UK)      
Solarplicity UK Holdings LimitedFirst Lien Secured Debt4.00%03/08/23£5,562 7,230 1,837 (14)(17)
Preferred Equity - Preferred StockN/AN/A 4,286 Shares 5,623 — (2)(13)(17)
Common Equity - Ordinary SharesN/AN/A 2,825 Shares — (2)(13)(17)
  12,857 1,837 
Total Energy – Electricity$29,648 $7,124 
Energy – Oil & Gas      
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.)      
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.) (5)Second Lien Secured Debt10.00% PIK03/31/23$3,959 $3,094 $3,959 
Common Equity - Common StockN/AN/A 10,000,000 Shares 30,077 714 (13)(24)
  33,171 4,673 
Pelican      
Pelican Energy, LLC (4)Common Equity - Membership InterestsN/AN/A 1,444 Shares 13,063 630 (13)(16)(17)
(24)
Spotted Hawk      
SHD Oil & Gas, LLC (5)First Lien Secured Debt - Tranche C Note12.00%03/31/2324,728 24,729 25,470 
Common Equity - Series C UnitsN/AN/A 50,952,525 Shares 44,065 7,985 (13)(16)(24)
Common Equity - Series A UnitsN/AN/A 7,600,000 Shares 1,411 — (13)(16)(24)
  70,205 33,455 
Total Energy – Oil & Gas$116,439 $38,758 
Environmental Industries      
Ortega National Parks      
Ortega National Parks, LLCFirst Lien Secured DebtL+500, 1.00% Floor10/31/26$14,497 $8,162 $8,249 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+500, 1.00% Floor10/31/262,049 (25)(7)(8)(9)(21)
(23)
Total Environmental Industries$8,137 $8,242 
Healthcare & Pharmaceuticals      
83bar      
83Bar, Inc.First Lien Secured DebtL+575, 1.50% Floor07/02/26$5,000 $4,980 $4,938 (9)(26)
Akoya      
Akoya Biosciences, Inc.First Lien Secured DebtSOFR+635, 1.61% Floor10/27/2515,750 12,751 12,711 (9)(23)(31)
Analogic      
Analogic CorporationFirst Lien Secured DebtL+525, 1.00% Floor06/22/2417,804 17,643 17,493 (9)(28)
First Lien Secured Debt - RevolverL+525, 1.00% Floor06/22/231,826 1,034 1,012 (9)(21)(23)
(28)
  18,677 18,505 
Cato Research      
LS Clinical Services Holdings, Inc.First Lien Secured DebtL+675, 1.00% Floor12/16/2713,059 12,756 12,746 (9)(26)
First Lien Secured Debt - RevolverL+675, 1.00% Floor12/16/261,875 (42)(45)(8)(9)(21)
(23)
  12,714 12,701 
See notes to financial statements.
12

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Cerus      
Cerus CorporationFirst Lien Secured DebtL+545, 1.80% Floor03/01/2416,500 16,472 16,665 (9)(17)(26)
First Lien Secured Debt - RevolverL+375, 1.80% Floor03/01/241,500 1,022 1,024 (9)(17)(21)
(23)(26)
  17,494 17,689 
Compass Health      
Roscoe Medical, IncFirst Lien Secured DebtSOFR+625, 1.00% Floor09/30/247,582 7,309 7,278 (9)(31)
First Lien Secured Debt - RevolverSOFR+636, 1.00% Floor09/30/241,393 1,341 1,337 (9)(23)(31)
  8,650 8,615 
Emmes Corporation      
Emmes Blocker, Inc.Common Equity - Common StockN/AN/A 306 Shares 306 1,449 (9)(13)
The Emmes Company, LLCFirst Lien Secured DebtL+500, 1.00% Floor03/03/2515,844 15,723 15,765 (9)(29)
First Lien Secured Debt - RevolverL+500, 1.00% Floor03/03/252,449 1,208 1,212 (9)(21)(23)
(26)
  17,237 18,426 
EmpiRx      
EmpiRx Health LLCFirst Lien Secured DebtL+550, 1.00% Floor08/05/279,045 8,889 8,955 (9)(29)
First Lien Secured Debt - RevolverL+550, 1.00% Floor08/05/27909 439 445 (9)(20)(21)
(23)(26)
  9,328 9,400 
Forge Biologics      
Forge Biologics, Inc.First Lien Secured DebtL+675, 0.50% Floor12/03/2626,667 13,217 13,293 (9)(23)(26)
Gateway Services      
Gateway US Holdings, Inc.First Lien Secured DebtSOFR+565, 0.75% Floor09/22/247,552 7,481 7,477 (9)(32)
First Lien Secured DebtSOFR+575, 0.75% Floor09/22/242,124 390 388 (9)(21)(23)
(32)
First Lien Secured Debt - RevolverSOFR+565, 0.75% Floor09/22/24304 12 12 (9)(21)(23)
(32)
  7,883 7,877 
Gossamer      
GB001, Inc.First Lien Secured DebtL+700, 2.00% Floor01/01/2530,000 5,897 6,008 (9)(17)(23)
(26)
Health & Safety Institute      
HSI HALO Acquisition, Inc.First Lien Secured DebtL+575, 1.00% Floor08/31/2616,343 13,477 13,305 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor09/02/25813 131 121 (9)(21)(23)
(28)
Common Equity - Common StockN/AN/A 500 Shares 500 656 (9)(13)
  14,108 14,082 
IMA Group      
IMA Group Management Company, LLCFirst Lien Secured DebtL+600, 1.00% Floor05/30/2412,663 8,907 8,898 (21)(23)(28)
(29)
First Lien Secured Debt - RevolverL+600, 1.00% Floor05/30/24289 259 257 (21)(23)(26)
  9,166 9,155 
Kepro      
Keystone Acquisition Corp.First Lien Secured DebtL+575, 0.75% Floor01/26/2913,992 11,791 11,965 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 0.75% Floor01/26/28978 (18)(5)(8)(9)(21)
(23)
  11,773 11,960 
See notes to financial statements.
13

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Kindeva      
Kindeva Drug Delivery L.P.First Lien Secured DebtL+600, 1.00% Floor05/01/269,386 9,237 9,210 (9)(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor05/01/25167 94 93 (9)(21)(23)
(26)
  9,331 9,303 
KureSmart      
Clearway Corporation (f/k/a NP/Clearway Holdings, Inc.)Common Equity - Common StockN/AN/A 133 Shares 133 205 (9)(13)
Kure Pain Holdings, Inc.First Lien Secured DebtL+500, 1.00% Floor08/27/2421,603 21,457 21,348 (9)(28)
First Lien Secured Debt - RevolverL+500, 1.00% Floor08/27/242,654 (22)(32)(8)(9)(21)
(23)
  21,568 21,521 
LucidHealth      
Premier Imaging, LLCFirst Lien Secured DebtL+575, 1.00% Floor01/02/2512,460 7,997 7,968 (9)(21)(23)
(26)(28)
Mannkind Corporation      
Mannkind CorporationFirst Lien Secured DebtL+625, 1.00% Floor08/01/2543,866 13,777 13,897 (9)(23)(26)
Common Equity - Common StockN/AN/A 334,226 Shares 76 1,273 (9)(10)(13)
(17)
  13,853 15,170 
Maxor National Pharmacy Services, LLC      
Maxor National Pharmacy Services, LLCFirst Lien Secured DebtL+550, 1.00% Floor12/06/2723,305 23,084 23,014 (9)(28)
First Lien Secured Debt - RevolverL+550, 1.00% Floor12/06/261,558 (3)(21)(8)(9)(21)
(23)
  23,081 22,993 
Medical Guardian      
Medical Guardian, LLCFirst Lien Secured DebtL+650, 1.00% Floor10/26/2636,033 30,827 30,659 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+650, 1.00% Floor10/26/263,810 331 316 (9)(21)(23)
(26)
  31,158 30,975 
Midwest Vision      
Midwest Vision Partners Management, LLCFirst Lien Secured DebtL+650, 1.00% Floor01/12/2724,206 21,395 21,548 (9)(21)(23)
(26)(28)
First Lien Secured Debt - RevolverL+650, 1.00% Floor01/12/27612 602 606 (9)(23)(28)
  21,997 22,154 
Orchard      
Orchard Therapeutics PLCFirst Lien Secured DebtL+595, 1.00% Floor05/28/2633,333 10,913 10,667 (9)(17)(23)
(26)
Ovation Fertility      
FPG Services, LLCFirst Lien Secured DebtL+550, 1.00% Floor06/13/2518,994 14,096 14,250 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+550, 1.00% Floor06/13/242,105 (17)(4)(8)(9)(21)
(23)
  14,079 14,246 
Paragon 28      
Paragon 28, Inc.First Lien Secured DebtL+600, 1.00% Floor05/01/2610,000 7,475 7,450 (9)(23)(26)
First Lien Secured Debt - RevolverL+300, 1.00% Floor05/01/262,000 (8)(10)(8)(9)(21)
(23)
  7,467 7,440 
See notes to financial statements.
14

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Partner Therapeutics, Inc      
Partner Therapeutics, IncFirst Lien Secured DebtL+665, 1.00% Floor01/01/2310,000 9,987 9,975 (9)(26)
First Lien Secured DebtL+665, 1.00% Floor08/01/223,333 3,333 3,333 (9)(26)
First Lien Secured Debt - RevolverL+375, 1.00% Floor04/01/261,000 724 726 (9)(21)(23)
(26)
Preferred Equity - Preferred EquityN/AN/A 55,556 Shares 333 343 (9)(13)
WarrantsN/AN/A 33,333 Shares 135 98 (9)(13)
  14,512 14,475 
PHS      
PHS Buyer, Inc.First Lien Secured DebtL+600, 1.00% Floor01/31/2725,051 24,669 24,551 (9)(26)
First Lien Secured Debt - RevolverL+600, 1.00% Floor01/31/272,000 953 960 (9)(21)(23)
(26)(28)
  25,622 25,511 
Radius Health      
Radius Health, Inc.First Lien Secured DebtL+575, 2.00% Floor06/01/2433,833 28,760 28,729 (9)(17)(23)
(26)
First Lien Secured Debt - RevolverL+350, 2.00% Floor06/01/241,000 (1)(6)(8)(9)(17)
(21)(23)
  28,759 28,723 
RHA Health Services      
Pace Health Companies, LLCFirst Lien Secured DebtL+450, 1.00% Floor08/02/243,768 3,733 3,738 (9)(28)
First Lien Secured Debt - RevolverL+450, 1.00% Floor08/02/24500 26 (4)(8)(9)(20)
(21)(23)
  3,759 3,734 
Rigel Pharmaceuticals      
Rigel Pharmaceuticals, Inc.First Lien Secured DebtL+565, 1.50% Floor09/01/249,000 9,011 8,955 (9)(26)
TELA Bio, Inc.      
TELA Bio, Inc.First Lien Secured DebtSOFR+625, 1.00% Floor05/01/2716,666 13,269 13,250 (9)(23)(31)
TissueTech      
TissueTech, Inc.First Lien Secured DebtL+575, 1.00% Floor04/01/2717,500 12,193 12,163 (9)(23)(26)
First Lien Secured Debt - RevolverL+400, 1.00% Floor04/01/271,000 (5)(5)(8)(9)(21)
(23)
  12,188 12,158 
Treace      
Treace Medical Concepts, Inc.First Lien Secured DebtSOFR+600, 1.00% Floor04/01/2734,999 14,516 14,408 (9)(17)(23)
(31)
First Lien Secured Debt - RevolverSOFR+400, 1.00% Floor04/01/273,000 386 385 (9)(17)(21)
(23)(31)
  14,902 14,793 
Unchained Labs      
Unchained Labs, LLCFirst Lien Secured DebtL+550, 1.00% Floor08/09/276,749 4,094 4,117 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+550, 1.00% Floor08/09/27726 (12)(7)(8)(9)(21)
(23)
  4,082 4,110 
WellDyneRx, LLC      
WelldyneRX, LLCFirst Lien Secured DebtSOFR+675, 0.75% Floor03/09/2718,032 17,671 17,581 (9)(32)
First Lien Secured Debt - RevolverSOFR+675, 0.75% Floor03/09/261,923 (36)(48)(8)(9)(21)
(23)
  17,635 17,533 
Total Healthcare & Pharmaceuticals$469,058 $471,039 
See notes to financial statements.
15

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
High Tech Industries      
Acronis AG      
ACRONIS AGFirst Lien Secured DebtL+535, 1.00% Floor04/01/27$21,000 $20,936 $20,895 (9)(17)(26)
American Megatrends      
AMI US Holdings Inc.First Lien Secured DebtL+525, 1.00% Floor04/01/2521,375 21,175 21,375 (9)(26)
First Lien Secured Debt - RevolverL+525, 0.00% Floor04/01/242,907 1,142 1,160 (9)(21)(23)
(26)
  22,317 22,535 
Calero Holdings, Inc.      
Telesoft Holdings, LLCFirst Lien Secured DebtL+575, 1.00% Floor12/16/2522,216 21,917 22,020 (26)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/16/252,273 91 101 (21)(23)(26)
  22,008 22,121 
ChyronHego Corporation      
ChyronHego Corporation (5)First Lien Secured DebtL+350 Cash plus 1.50% PIK, 1.00% Floor12/31/2485,600 84,878 84,744 (28)
First Lien Secured DebtL+800 PIK, 1.00% Floor12/31/244,629 2,542 2,583 (23)(28)
First Lien Secured Debt - RevolverL+500, 1.00% Floor12/31/2410,000 8,876 8,856 (21)(23)(28)
Preferred Equity - Preferred EquityN/AN/A 7,800 Shares 6,000 16,955 (13)(24)
  102,296 113,138 
Dairy.com      
Momentx CorporationFirst Lien Secured DebtSOFR+575, 1.00% Floor06/24/2715,278 15,015 14,914 (9)(32)
First Lien Secured Debt - RevolverSOFR+575, 1.00% Floor06/24/271,257 (21)(30)(8)(9)(21)
(23)
  14,994 14,884 
Digital.ai      
Digital.ai Software Holdings, Inc.First Lien Secured DebtL+700, 1.00% Floor02/10/2722,298 21,780 21,946 (9)(28)
First Lien Secured Debt - RevolverL+650, 1.00% Floor02/10/272,419 509 526 (9)(21)(23)
(28)
  22,289 22,472 
GoHealth      
Norvax, LLCFirst Lien Secured Debt - RevolverL+650, 1.00% Floor09/13/243,182 2,432 2,459 (9)(21)(23)
(26)
International Cruise & Excursion Gallery, Inc.      
International Cruise & Excursion Gallery, Inc.First Lien Secured DebtSOFR+535, 1.00% Floor06/06/2514,400 14,277 13,661 (31)
Modern Campus      
Destiny Solutions U.S., Inc.First Lien Secured DebtL+600, 1.00% Floor06/08/2625,573 25,050 25,062 (26)
RMCF IV CIV XXXV, L.P.Common Equity - Common StockN/AN/A 482 Shares 1,000 1,384 (13)
  26,050 26,446 
MYCOM      
Magnate Holding Corp.First Lien Secured DebtL+625, 0.50% Floor12/16/2419,123 19,017 19,065 (9)(17)(26)
First Lien Secured Debt - RevolverL+625, 0.50% Floor12/14/233,150 3,134 3,143 (9)(17)(23)
(26)(28)
  22,151 22,208 
See notes to financial statements.
16

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
New Era Technology, Inc.      
New Era Technology, Inc.First Lien Secured DebtL+625, 1.00% Floor10/31/2633,112 26,644 26,429 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+625, 1.00% Floor10/30/261,732 749 740 (9)(21)(23)
(28)
  27,393 27,169 
Pro Vigil      
Pro-Vigil Holding Company, LLCFirst Lien Secured DebtSOFR+850, 1.00% Floor01/11/2515,210 12,013 12,146 (9)(21)(23)
(32)
Schlesinger Group      
Schlesinger Global, LLCFirst Lien Secured DebtSOFR+600 Cash plus 0.50% PIK, 1.00% Floor07/12/2510,322 10,176 10,126 (9)(31)(32)
First Lien Secured DebtSOFR+775, 1.00% Floor07/12/25958 947 958 (9)(32)
  11,123 11,084 
Simeio      
Simeio Group Holdings, Inc.First Lien Secured DebtL+575, 1.00% Floor02/02/268,178 8,104 8,039 (9)(26)
First Lien Secured Debt - RevolverL+525, 1.00% Floor02/02/261,731 (16)(30)(8)(9)(21)
(23)
  8,088 8,009 
Sirsi Corporation      
Sirsi CorporationFirst Lien Secured DebtL+450, 1.00% Floor03/15/245,371 5,342 5,363 (9)(26)
First Lien Secured Debt - RevolverL+450, 1.00% Floor03/15/24429 (2)(1)(8)(9)(21)
(23)
  5,340 5,362 
Springbrook      
Springbrook Holding Company, LLCFirst Lien Secured DebtL+550, 1.00% Floor12/23/2615,889 15,688 15,642 (28)(29)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/23/261,463 (16)(23)(8)(21)(23)
  15,672 15,619 
Tax Slayer      
MEP-TS Midco, LLCFirst Lien Secured DebtL+600, 1.00% Floor12/31/2613,345 13,116 13,212 (9)(29)
First Lien Secured Debt - RevolverL+600, 1.00% Floor12/31/261,452 (15)(8)(9)(21)
(23)
  13,117 13,197 
UpStack      
Upstack Holdco Inc.First Lien Secured DebtL+550, 1.00% Floor08/20/2731,843 27,538 27,765 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+550, 1.00% Floor08/20/273,000 (71)(45)(8)(9)(20)
(21)(23)
  27,467 27,720 
Total High Tech Industries$389,963 $401,125 
Hotel, Gaming, Leisure, Restaurants      
Guernsey      
Guernsey Holdings SDI LA LLCFirst Lien Secured Debt6.95%11/18/26$9,759 $9,672 $9,672 (9)
First Lien Secured DebtL+595, 1.00% Floor11/18/261,167 (11)(8)(9)(23)
  9,673 9,661 
Taco Cabana      
YTC Enterprises, LLCFirst Lien Secured DebtL+625, 1.00% Floor08/16/269,917 9,812 9,768 (9)(26)
Total Hotel, Gaming, Leisure, Restaurants$19,485 $19,429 
See notes to financial statements.
17

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Insurance      
High Street Insurance      
High Street Buyer, Inc.First Lien Secured DebtL+600, 0.75% Floor04/14/28$30,037 $29,551 $29,361 (9)(26)
First Lien Secured Debt - RevolverL+600, 0.75% Floor04/16/272,203 (35)(50)(8)(9)(21)
(23)
  29,516 29,311 
PGM Holdings Corporation      
Turbo Buyer, Inc.First Lien Secured DebtL+600, 1.00% Floor12/02/2519,181 18,898 18,606 (9)(28)(29)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/02/25923 (13)(28)(8)(9)(21)
(23)
  18,885 18,578 
Relation Insurance      
AQ Sunshine, Inc.First Lien Secured DebtL+625, 1.00% Floor04/15/2534,772 33,934 34,231 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverSOFR+625, 1.00% Floor04/15/241,785 489 500 (9)(20)(21)
(23)(31)
  34,423 34,731 
Total Insurance$82,824 $82,620 
Manufacturing, Capital Equipment      
AVAD, LLC      
Surf Opco, LLCFirst Lien Secured Debt - RevolverL+400, 1.00% Floor03/17/26$16,667 $12,977 $12,805 (9)(20)(21)
(23)(26)
Preferred Equity - Class P-1 PreferredN/AN/A 33,333 Shares 3,333 6,462 (9)(13)(16)
Preferred Equity - Class P-2 PreferredN/AN/A 85,164 Shares 8,516 1,840 (9)(13)(16)
Common Equity - Class A-1 CommonN/AN/A 3,333 Shares — 55 (9)(13)(16)
  24,826 21,162 
Kauffman      
Kauffman Holdco, LLCCommon Equity - Common StockN/AN/A 250,000 Shares 250 86 (9)(13)
Kauffman Intermediate, LLCFirst Lien Secured DebtL+650, 1.00% Floor05/08/2516,237 16,083 15,691 (9)(30)
First Lien Secured Debt - RevolverL+650, 1.00% Floor05/08/251,243 129 114 (9)(21)(23)
(28)
  16,462 15,891 
MedPlast Holdings Inc.      
Viant Medical Holdings, Inc. (fka MedPlast Holdings, Inc.)Second Lien Secured DebtL+775, 0.00% Floor07/02/268,000 7,961 7,760 (26)
Total Manufacturing, Capital Equipment$49,249 $44,813 
Media – Diversified & Production      
New Wave Entertainment      
NW Entertainment, Inc.First Lien Secured DebtL+750 Cash plus 2.00% PIK, 1.00% Floor08/16/24$29,764 $29,515 $29,520 (9)(28)
First Lien Secured Debt - RevolverL+750, 1.00% Floor08/16/243,078 3,052 3,013 (9)(23)(28)
  32,567 32,533 
Sonar Entertainment      
Sonar Entertainment, Inc.First Lien Secured DebtL+760, 1.25% Floor11/15/212,475 2,474 2,039 (9)(11)(26)
First Lien Secured Debt - RevolverL+760, 1.25% Floor11/15/211,604 1,561 1,321 (9)(11)(23)
(26)
  4,035 3,360 
Total Media – Diversified & Production$36,602 $35,893 
See notes to financial statements.
18

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (35)Fair Value
(1)(36)
Retail      
IPS      
SI Holdings, Inc.First Lien Secured DebtL+600, 1.00% Floor07/25/25$30,926 $30,591 $30,573 (9)(26)
First Lien Secured Debt - RevolverL+600, 1.00% Floor07/25/243,413 740 737 (9)(21)(23)
(26)
Total Retail$31,331 $31,310 
Telecommunications      
Securus Technologies Holdings, Inc.      
Securus Technologies Holdings, Inc.Second Lien Secured DebtL+825, 1.00% Floor11/01/25$7,128 $7,094 $6,736 (28)
Total Telecommunications$7,094 $6,736 
Transportation – Cargo, Distribution      
Beacon Mobility      
Beacon Mobility Corp.First Lien Secured DebtL+550, 1.00% Floor05/22/24$28,231 $13,807 $13,840 (9)(21)(23)
(26)(28)
First Lien Secured Debt - RevolverL+400, 0.00% Floor02/04/2350,000 — — (9)(22)(23)
First Lien Secured Debt - RevolverL+550, 1.00% Floor05/22/244,145 (68)(56)(8)(9)(20)
(21)(23)
  13,739 13,784 
Dynamic Product Tankers (Prime), LLC      
Dynamic Product Tankers, LLC (5)Common Equity - Class A UnitsN/AN/A N/A 42,632 1,041 (13)(17)(19)
(24)
Heniff and Superior      
Heniff Holdco, LLCFirst Lien Secured DebtL+575, 1.00% Floor12/03/2630,376 29,956 29,425 (9)(26)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/03/243,925 1,531 1,486 (9)(21)(23)
(26)
  31,487 30,911 
MSEA Tankers LLC      
MSEA Tankers LLC (5)Common Equity - Class A UnitsN/AN/A N/A 43,808 27,398 (17)(18)(24)
Total Transportation – Cargo, Distribution$131,666 $73,134 
Utilities – Electric      
Congruex      
Congruex Group LLCFirst Lien Secured DebtSOFR+590, 0.75% Floor05/03/29$15,000 $14,631 $14,325 (9)(10)(31)
Total Utilities – Electric$14,631 $14,325 
Wholesale      
Banner Solutions      
Banner Buyer, LLCFirst Lien Secured DebtL+575, 1.00% Floor10/31/25$17,711 $15,084 $15,023 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+575, 1.00% Floor10/31/251,935 624 619 (9)(21)(23)
(26)
Banner Parent Holdings, Inc.Common Equity - Common StockN/AN/A 6,125 Shares 613 537 (9)(13)
  16,321 16,179 
Thomas Scientific      
BSP-TS, LPCommon Equity - Common StockN/AN/A 185 Shares 185 217 (9)(13)(24)
Thomas Scientific, LLCFirst Lien Secured DebtL+550, 1.00% Floor12/14/2726,533 26,056 26,287 (9)(29)
First Lien Secured DebtL+625, 1.00% Floor12/14/275,185 (43)(48)(8)(9)(21)
(23)
First Lien Secured Debt - RevolverL+625, 1.00% Floor12/14/272,963 (54)(28)(8)(9)(21)
(23)
  26,144 26,428 
Total Wholesale$42,465 $42,607 
Total Investments  $2,794,539 $2,549,504 (6)(7)
See notes to financial statements.
19

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)

___________________


(1)Fair value is determined in good faith by or under the direction of the Board of Directors of the Company (See Note 2 to the financial statements).
(2)Preferred and ordinary shares in Solarplicity UK Holdings Limited are GBP denominated equity investments. Common shares in 1244311 B.C. Ltd. are CAD denominated equity investments.
(3)Denotes investments in which the Company owns greater than 25% of the equity, where the governing documents of each entity preclude the Company from exercising a controlling influence over the management or policies of such entity. The Company does not have the right to elect or appoint more than 25% of the directors or another party has the right to elect or appoint more directors than the Company and has the right to appoint certain members of senior management. Therefore, the Company has determined that these entities are not controlled affiliates. As of June 30, 2022, we had a 100% equity ownership interest in Golden Bear 2016-R, LLC, a collateralized loan obligation.
(4)Denotes investments in which we are an “Affiliated Person,” as defined in the 1940 Act, due to holding the power to vote or owning 5% or more of the outstanding voting securities of the investment but not controlling the company. Fair value as of March 31, 2022 and June 30, 2022 along with transactions during the three months ended June 30, 2022 in these affiliated investments are as follows:
Name of IssuerFair Value at March 31, 2022Gross Additions ●Gross Reductions ■Net Change in Unrealized Gains (Losses)Fair Value at June 30, 2022Net Realized Gains (Losses)Interest/Dividend/Other Income
1244311 B.C. Ltd., Common Stock$976 $— $— $(207)$769 $— $— 
1244311 B.C. Ltd., Term Loan3,800 16 — (43)3,773 — 62 
AIC SPV Holdings II, LLC, Preferred Equity355 — — (67)288 — 29 
Carbonfree Chemicals Holdings LLC, Common Stock42,117 25,074 — (26,584)40,607 7,360 — 
Carbonfree Chemicals SA LLC, Class B Units— — (25,074)25,074 — (7,360)— 
Golden Bear 2016-R, LLC, Membership Interests10,038 — — (1,081)8,957 — 281 
GSC Technologies Inc., Term Loan192 (8)(2)185 — 
Pelican Energy, LLC, Common Stock630 — — — 630 — — 
Renew Financial LLC (f/k/a Renewable Funding, LLC), Series B Preferred Stock— — — — — — — 
Renew Financial LLC (f/k/a Renewable Funding, LLC), Series D Preferred Stock— — — — — — — 
Renew Financial LLC (f/k/a Renewable Funding, LLC), Series E Preferred Stock4,988 — — (563)4,425 — — 
Renew JV LLC, Membership Interests613 — (22)(17)574 — — 
$63,709 $25,093 $(25,104)$(3,490)$60,208 $— $378 
____________________
● Gross additions includes increases in the basis of investments resulting from new portfolio investments, payment-in-kind interest or dividends, the accretion of discounts, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
■ Gross reductions include decreases in the basis of investments resulting from principal collections related to investment repayments or sales, the amortization of premiums, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
See notes to financial statements.
20

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)

(5)Denotes investments in which we are deemed to exercise a controlling influence over the management or policies of a company, as defined in the 1940 Act, due to beneficially owning, either directly or through one or more controlled companies, more than 25% of the outstanding voting securities of the investment. Fair value as of March 31, 2022 and June 30, 2022 along with transactions during the three months ended June 30, 2022 in these controlled investments are as follows:
Name of IssuerFair Value at March 31, 2022Gross Additions ●Gross Reductions ■Net Change in Unrealized Gains (Losses)Fair Value at June 30, 2022Net Realized Gains (Losses)Interest/Dividend/Other Income
Majority Owned Company
ChyronHego Corporation, Preferred Equity$15,553 $— $— $1,402 $16,955 $— $— 
ChyronHego Corporation, Revolver7,076 1,720 — 60 8,856 — 350 
ChyronHego Corporation, Term Loan86,969 342 410 (394)87,327 — 1,765 
Dynamic Product Tankers, LLC, Common Stock3,110 — (1,800)(269)1,041 — — 
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.), Common Stock— — — 714 714 — — 
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.), Term Loan6,204 141 (4,505)2,119 3,959 — 142 
Merx Aviation Finance, LLC, Letter of Credit— — — — — — — 
Merx Aviation Finance, LLC, Membership Interests23,509 — — (14,114)9,395 — — 
Merx Aviation Finance, LLC, Revolver275,000 — — — 275,000 — 6,856 
MSEA Tankers LLC, Class A Units34,274 — (6,450)(426)27,398 — 
Controlled Company— 
SHD Oil & Gas, LLC, Series C Units4,652 — — 3,333 7,985 — — 
SHD Oil & Gas, LLC, Series A Units— — — — — — — 
SHD Oil & Gas, LLC, Tranche A Note— — — — — — 
SHD Oil & Gas, LLC, Tranche B Note— — — — — — — 
SHD Oil & Gas, LLC, Tranche C Note25,470 — — — 25,470 — 750 
$481,817 $2,203 $(12,345)$(7,575)$464,100 $— $9,863 
____________________
● Gross additions includes increases in the basis of investments resulting from new portfolio investments, payment-in-kind interest or dividends, the accretion of discounts, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
■ Gross reductions include decreases in the basis of investments resulting from principal collections related to investment repayments or sales, the amortization of premiums, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
    As of June 30, 2022, the Company had a 87%, 85%, 96%, 100%, 98% and 38% equity ownership interest in ChyronHego Corporation; Dynamic Product Tankers, LLC; Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.); Merx Aviation Finance, LLC; MSEA Tankers, LLC; and SHD Oil & Gas, LLC (f/k/a Spotted Hawk Development LLC), respectively.
See notes to financial statements.
21

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)

(6)Aggregate gross unrealized gain and loss for federal income tax purposes is $52,898 and $320,679, respectively. Net unrealized loss is $267,781 based on a tax cost of $2,851,797.
(7)Substantially all securities are pledged as collateral to our multi-currency revolving credit facility (the “Senior Secured Facility” as defined in Note 6 to the financial statements). As such, these securities are not available as collateral to our general creditors.
(8)The negative fair value is the result of the commitment being valued below par.
(9)These are co-investments made with the Company’s affiliates in accordance with the terms of the exemptive order the Company received from the Securities and Exchange Commission (the “SEC”) permitting us to do so. (See Note 3 to the financial statements for discussion of the exemptive order from the SEC.)
(10)Other than the investments noted by this footnote, the fair value of the Company’s investments is determined using unobservable inputs that are significant to the overall fair value measurement. See Note 2 to the financial statements for more information regarding ASC 820, Fair Value Measurements (“ASC 820”).
(11)The maturity date for this investment was November 15, 2021. The investment is expected to be paid down in a series of payments subsequent to the stated maturity date.
(12)Par amount is denominated in USD unless otherwise noted, Euro (“€”), British Pound (“£”), Canadian Dollar (“C$”), Australian Dollar (“A$”).
(13)Non-income producing security.
(14)Non-accrual status (See Note 2 to the financial statements).
(15)The underlying investments of AIC SPV Holdings II, LLC is a securitization in which the Company owns preferred shares representing 14.25% economic interest.
(16)AIC Spotted Hawk Holdings, LLC, AIC SHD Holdings, LLC, AIC Pelican Holdings, LLC, AIC SB Holdings LLC and AP Surf Investments, LLC are wholly-owned special purpose vehicles which only hold investments of the underlying portfolio companies and have no other significant assets or liabilities. AIC Spotted Hawk Holdings, LLC holds equity and debt investments in SHD Oil & Gas, LLC. AIC SHD Holdings LLC holds equity investments in SHD Oil & Gas, LLC. and equity investments in both Carbonfree Chemicals Holdings, LLC and Carbonfree Chemicals SA, LLC. AIC Pelican Holdings, LLC holds an equity investment in Pelican Energy, LLC. AP Surf Investments, LLC holds equity investments in Surf Opco, LLC. AIC SB Holdings LLC holds equity investments in Gainline Galaxy Holdngs LLC.
(17)Investments that the Company has determined are not “qualifying assets” under Section 55(a) of the 1940 Act. Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time such acquisition is made, qualifying assets represent at least 70% of our total assets. The status of these assets under the 1940 Act is subject to change. The Company monitors the status of these assets on an ongoing basis. As of June 30, 2022, non-qualifying assets represented approximately 9.28% of the total assets of the Company.
(18)As of June 30, 2022, MSEA Tankers, LLC had various classes of limited liability interests outstanding of which the Company holds Class A-1 and Class A-2 units which are identical except that Class A-1 unit is voting and Class A-2 unit is non-voting. The units entitle the Company to appoint two out of three managers to the board of managers.
(19)As of June 30, 2022, Dynamic Product Tankers, LLC had various classes of limited liability interests outstanding of which the Company holds Class A-1 and Class A-3 units which are identical except that Class A-1 unit is voting and Class A-3 unit is non-voting. The units entitle the Company to appoint three out of five managers to the board of managers.
(20)As of June 30, 2022, there were letters of credit issued and outstanding through the Company under this first lien senior secured revolving loan.
(21)The undrawn portion of these committed revolvers and delayed draw term loans includes a commitment and unused fee rate.
(22)A letter of credit associated with this investment has been issued through the Company’s Senior Secured Facility. In the event of draw of funds the related funding would be pro-rated for all existing lenders in the investment.

See notes to financial statements.
22

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
(23)As of June 30, 2022, the Company had the following commitments to fund various revolving and delayed draw senior secured and subordinated loans, including commitments to issue letters of credit through a financial intermediary on behalf of certain portfolio companies. Such commitments are subject to the satisfaction of certain conditions set forth in the documents governing these loans and letters of credit and there can be no assurance that such conditions will be satisfied. See Note 8 to the financial statements for further information on revolving and delayed draw loan commitments, including commitments to issue letters of credit, related to certain portfolio companies.
Name of IssuerTotal CommitmentDrawn CommitmentLetters of CreditUndrawn Commitment
A&V Holdings Midco, LLC$1,505 $452 $— $1,053 
AMI US Holdings Inc.2,907 1,163 — 1,744 
AQ Sunshine, Inc.2,144 507 23 1,614 
Activ Software Holdings, LLC2,407 — — 2,407 
Akoya Biosciences, Inc.3,000 — — 3,000 
Alpinex Opco, LLC3,843 447 — 3,396 
Analogic Corporation1,826 1,043 — 783 
Banner Buyer, LLC4,387 645 — 3,742 
Beacon Mobility Corp.68,152 — 28,505 39,647 
Berner Food & Beverage, LLC2,881 1,844 — 1,037 
Bird US Opco, LLC7,847 — — 7,847 
Cerus Corporation1,500 1,024 — 476 
ChyronHego Corporation12,000 8,956 — 3,044 
Club Car Wash Operating, LLC6,847 — — 6,847 
Compu-Link Corporation2,273 — — 2,273 
Digital.ai Software Holdings, Inc.2,419 565 — 1,854 
EHL Merger Sub, LLC4,155 — — 4,155 
Eldrickco Limited*5,644 433 — 5,211 
EmpiRx Health LLC909 455 227 227 
Erickson Inc33,000 26,141 847 6,012 
FPG Services, LLC6,811 — — 6,811 
First Heritage Credit, LLC7,500 3,220 — 4,280 
Forge Biologics, Inc.13,334 — — 13,334 
GB001, Inc.24,000 — — 24,000 
Gabriel Partners, LLC665 133 — 532 
Gateway US Holdings, Inc.2,018 15 — 2,003 
Go Car Wash Management Corp.15,774 — — 15,774 
Graffiti Buyer, Inc.3,920 457 — 3,463 
Guernsey Holdings SDI LA LLC1,167 — — 1,167 
Gutter Buyer, Inc.2,727 1,364 119 1,244 
HRO (Hero Digital) Holdings, LLC10,213 851 31 9,331 
HSI HALO Acquisition, Inc.3,492 135 — 3,357 
Heniff Holdco, LLC3,925 1,570 — 2,355 
High Street Buyer, Inc.2,203 — — 2,203 
Hive Intermediate, LLC2,326 — — 2,326 
HomeRenew Buyer, Inc.7,049 — — 7,049 
IMA Group Management Company, LLC3,929 260 — 3,669 
JF Acquisition, LLC1,569 753 — 816 
Jacent Strategic Merchandising3,500 3,494 — 
KDC US Holdings6,020 795 34 5,191 
KL Charlie Acquisition Company9,962 157 — 9,805 
Kauffman Intermediate, LLC1,243 155 — 1,088 
Keystone Acquisition Corp.2,935 — — 2,935 
Kindeva Drug Delivery L.P.167 96 — 71 
Kure Pain Holdings, Inc.2,654 — — 2,654 
LS Clinical Services Holdings, Inc.1,875 — — 1,875 
See notes to financial statements.
23

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Name of IssuerTotal CommitmentDrawn CommitmentLetters of CreditUndrawn Commitment
Lash OpCo, LLC1,612 599 — 1,013 
LendingPoint LLC21,856 6,944 — 14,912 
Lifelong Learner Holdings, LLC2,985 2,982 — 
Liqui-Box Holdings, Inc.3,560 2,401 31 1,128 
MEP-TS Midco, LLC1,452 — — 1,452 
Magnate Holding Corp.3,150 3,150 — — 
Mannkind Corporation30,000 — — 30,000 
Marlin DTC-LS Midco 2, LLC685 — — 685 
Maxor National Pharmacy Services, LLC1,558 — — 1,558 
Medical Guardian, LLC8,572 381 — 8,191 
Merx Aviation Finance, LLC275,177 275,000 177 — 
Midwest Vision Partners Management, LLC3,029 612 — 2,417 
Momentx Corporation1,257 — — 1,257 
NW Entertainment, Inc.3,078 3,078 — — 
Naviga Inc. (fka Newscycle Solutions, Inc.)500 304 — 196 
Nemo (BC) Bidco Pty Ltd*160 — — 160 
New Era Technology, Inc.7,670 779 — 6,891 
Norvax, LLC3,182 2,466 — 716 
Orchard Therapeutics PLC22,333 — — 22,333 
Ortega National Parks, LLC8,251 — — 8,251 
PHS Buyer, Inc.2,000 1,000 — 1,000 
Pace Health Companies, LLC500 — 105 395 
Paladone Group Bidco Limited3,295 — — 3,295 
Paladone Group Bidco Limited*430 — — 430 
Paragon 28, Inc.4,500 — — 4,500 
Partner Therapeutics, Inc1,000 726 — 274 
Precision Refrigeration & Air Conditioning LLC1,705 — — 1,705 
Premier Imaging, LLC4,305 — — 4,305 
Pro-Vigil Holding Company, LLC2,933 — — 2,933 
Project Comfort Buyer, Inc.3,462 — — 3,462 
Protein For Pets Opco, LLC2,219 — — 2,219 
Purchasing Power Funding I, LLC9,113 598 — 8,515 
Radius Health, Inc.5,833 — — 5,833 
Roscoe Medical, Inc1,393 1,393 — — 
SI Holdings, Inc.3,413 768 — 2,645 
Shelby 2021 Holdings Corp.1,980 — — 1,980 
Simeio Group Holdings, Inc.1,731 — — 1,731 
Sirsi Corporation429 — — 429 
Sonar Entertainment, Inc.1,604 1,604 — — 
Springbrook Holding Company, LLC1,463 — — 1,463 
Surf Opco, LLC16,667 12,976 1,000 2,691 
TELA Bio, Inc.3,333 — — 3,333 
TGG TS Acquisition Company1,750 — — 1,750 
THLP CO. LLC4,494 1,919 79 2,496 
Telesoft Holdings, LLC2,273 121 — 2,152 
Ten-X, LLC4,680 — — 4,680 
The Emmes Company, LLC2,449 1,224 — 1,225 
Thomas Scientific, LLC8,148 — — 8,148 
TissueTech, Inc.6,250 — — 6,250 
Treace Medical Concepts, Inc.23,416 400 — 23,016 
See notes to financial statements.
24

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Name of IssuerTotal CommitmentDrawn CommitmentLetters of CreditUndrawn Commitment
Trench Plate Rental Co.1,818 182 59 1,577 
Truck-Lite Co., LLC3,052 — 99 2,953 
Turbo Buyer, Inc.923 — — 923 
U.S. Auto Finance, Inc.19,053 — — 19,053 
USLS Acquisition, Inc.1,608 402 75 1,131 
Ultimate Baked Goods Midco LLC3,243 1,946 365 932 
Unchained Labs, LLC3,290 — — 3,290 
Upstack Holdco Inc.6,600 — 110 6,490 
WelldyneRX, LLC1,923 — — 1,923 
Westfall Technik, Inc.2,019 2,019 — — 
Wildcat BuyerCo, Inc.1,972 87 30 1,855 
Total Commitments$882,960 $383,191 $31,916 $467,853 
____________________
* These investments are in a foreign currency and the total commitment has been converted to USD using the June 30, 2022 exchange rate.
** For all letters of credit issued and outstanding on June 30, 2022, $2,238 will expire in 2022, $29,663 will expire in 2023 and $15 will expire in 2024.
See notes to financial statements.
25

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)

(24)Securities that are exempt from registration under the Securities Act of 1933 (the “Securities Act”), and may be deemed to be “restricted securities” under the Securities Act. As of June 30, 2022, the aggregate fair value of these securities is $113,966 or 12% of the Company's net assets. The acquisition dates of the restricted securities are as follows:
IssuerInvestment TypeAcquisition Date
1244311 B.C. Ltd.Common Equity - Common Stock9/30/2020
AIC SPV Holdings II, LLCPreferred Equity - Preferred Stock6/1/2017
BSP-TS, LPCommon Equity - Common Stock12/14/2021
Carbonfree Chemicals Holdings LLCCommon Equity - Common Equity / Interest11/19/2019
ChyronHego CorporationPreferred Equity - Preferred Equity12/29/2020
Dynamic Product Tankers, LLCCommon Equity - Class A Units4/8/2015
FCP-Hive Holdings, LLCCommon Equity - Common Stock9/22/2021
FCP-Hive Holdings, LLCPreferred Equity - Preferred Equity9/22/2021
Gainline Galaxy Holdings LLCCommon Equity - Common Stock11/12/2021
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.)Common Equity - Common Stock3/29/2016
Graffiti Parent, LPCommon Equity - Common Stock8/10/2021
HRO Holdings I LPCommon Equity - Common Stock11/18/2021
Merx Aviation Finance, LLCCommon Equity - Membership Interests7/1/2021
MSEA Tankers LLCCommon Equity - Class A Units12/12/2014
Owl Parent Holdings, LLCCommon Equity - Common Stock2/4/2022
Paladone Group Holdings LimitedCommon Equity - Common Stock11/12/2021
Pelican Energy, LLCCommon Equity - Membership Interests3/28/2012
Project Comfort Buyer, Inc.Preferred Equity - Preferred Equity5/16/2022
Renew Financial LLC (f/k/a Renewable Funding, LLC)Preferred Equity - Series E Preferred Stock12/23/2020
Renew Financial LLC (f/k/a Renewable Funding, LLC)Preferred Equity - Series D Preferred Stock10/1/2015
Renew Financial LLC (f/k/a Renewable Funding, LLC)Preferred Equity - Series B Preferred Stock4/9/2014
Renew JV LLCCommon Equity - Membership Interests9/5/2019
SHD Oil & Gas, LLCCommon Equity - Series C Units12/27/2012
SHD Oil & Gas, LLCCommon Equity - Series A Units11/18/2016
SMC IR Holdings, LLCCommon Equity - Common Stock3/8/2022
Trench Safety Solutions Holdings, LLCCommon Equity - Series A-1 Units4/29/2022
(25)The interest rate on these loans is subject to Prime, which as of June 30, 2022 was 4.75%
(26)The interest rate on these loans is subject to 1 month LIBOR, which as of June 30, 2022 was 1.79%
(27)The interest rate on these loans is subject to SONIA, which as of June 30, 2022 was 1.19%
(28)The interest rate on these loans is subject to 3 months LIBOR, which as of June 30, 2022 was 2.29%
(29)The interest rate on these loans is subject to 6 months LIBOR, which as of June 30, 2022 was 2.94%
(30)The interest rate on these loans is subject to 12 months LIBOR, which as of June 30, 2022 was 3.62%
(31)The interest rate on these loans is subject to 1 month SOFR, which as of June 30, 2022 was 1.69%
(32)The interest rate on these loans is subject to 3 months SOFR, which as of June 30, 2022 was 2.12%
(33)The interest rate on these loans is subject to 6 months SOFR, which as of June 30, 2022 was 2.63%
(34)The interest rate on these loans is subject to 3 months BBSW, which as of June 30, 2022 was 1.81%
See notes to financial statements.
26

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
(35)The following shows the composition of the Company’s portfolio at cost by control designation, investment type and industry as of June 30, 2022:
IndustryFirst Lien - Secured DebtSecond Lien - Secured DebtUnsecured DebtStructured Products and OtherPreferred EquityCommon Equity/InterestsWarrantsTotal
Non-Controlled / Non-Affiliated Investments
Advertising, Printing & Publishing$42,330 $— $— $— $— $432 $— $42,762 
Aerospace & Defense26,096 — — — — — — 26,096 
Automotive57,638 23,621 — — — 350 — 81,609 
Aviation and Consumer Transport17,162 — — — — — — 17,162 
Beverage, Food & Tobacco103,600 — — — 448 1,261 — 105,309 
Business Services199,829 67,765 — — 89 1,940 — 269,623 
Chemicals, Plastics & Rubber23,011 — — — — — — 23,011 
Construction & Building30,169 — — — — 500 — 30,669 
Consumer Goods – Durable19,163 — — — — 107 — 19,270 
Consumer Goods – Non-durable74,827 — — — 492 2,135 — 77,454 
Consumer Services194,355 — — — — — — 194,355 
Diversified Investment Vehicles, Banking, Finance, Real Estate30,495 — — — — — — 30,495 
Education36,331 — — — — — — 36,331 
Energy – Electricity7,230 — — — 5,623 — 12,857 
Environmental Industries8,137 — — — — — — 8,137 
Healthcare & Pharmaceuticals467,575 — — — 333 1,015 135 469,058 
High Tech Industries286,666 — — — — 1,000 — 287,666 
Hotel, Gaming, Leisure, Restaurants19,485 — — — — — — 19,485 
Insurance82,824 — — — — — — 82,824 
Manufacturing, Capital Equipment29,188 7,961 — — 11,850 250 — 49,249 
Media – Diversified & Production36,602 — — — — — — 36,602 
Retail31,331 — — — — — — 31,331 
Telecommunications— 7,094 — — — — — 7,094 
Transportation – Cargo, Distribution45,226 — — — — — — 45,226 
Utilities – Electric14,631 — — — — — — 14,631 
Wholesale41,667 — — — — 798 — 42,465 
Total Non-Controlled /
Non-Affiliated Investments
$1,925,568 $106,441 $— $— $18,835 $9,792 $135 $2,060,771 
Non-Controlled / Affiliated Investments
Chemicals, Plastics & Rubber$— $— $— $— $— $78,729 $— $78,729 
Consumer Goods - Durable4,274 — — — — 1,000 — 5,274 
Diversified Investment Vehicles, Banking, Finance, Real Estate— — — 16,998 — — — 16,998 
Energy – Electricity— — — — 16,347 444 — 16,791 
Energy – Oil & Gas— — — — — 13,063 — 13,063 
Total Non-Controlled / Affiliated Investments$4,274 $— $— $16,998 $16,347 $93,236 $— $130,855 
Controlled Investments
Aviation and Consumer Transport$275,000 $— $— $— $— $35,800 $— $310,800 
Energy – Oil & Gas24,728 3,093 — — — 75,555 — 103,376 
High Tech Industries96,297 — — — 6,000 — — 102,297 
Transportation – Cargo, Distribution— — — — — 86,440 — 86,440 
Total Controlled Investments$396,025 $3,093 $— $— $6,000 $197,795 $— $602,913 
Total$2,325,867 $109,534 $— $16,998 $41,182 $300,823 $135 $2,794,539 
See notes to financial statements.
27

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
(36)The following shows the composition of the Company’s portfolio at fair value by control designation, investment type and industry as of June 30, 2022:
IndustryFirst Lien - Secured DebtSecond Lien - Secured DebtUnsecured DebtStructured Products and OtherPreferred EquityCommon Equity/InterestsWarrantsTotal % of Net Assets
Non-Controlled / Non-Affiliated Investments
Advertising, Printing & Publishing$42,385 $— $— $— $— $476 $— $42,861 4.3 %
Aerospace & Defense25,811 — — — — — — 25,811 2.6 %
Automotive56,561 19,546 — — — 379 — 76,486 7.7 %
Aviation and Consumer Transport17,235 — — — — — — 17,235 1.7 %
Beverage, Food & Tobacco103,281 — — — 488 2,160 — 105,929 10.7 %
Business Services197,168 55,670 — — 89 2,425 — 255,352 25.9 %
Chemicals, Plastics & Rubber22,506 — — — — — — 22,506 2.3 %
Construction & Building30,029 — — — — 1,095 — 31,124 3.2 %
Consumer Goods – Durable18,887 — — — — 518 — 19,405 2.0 %
Consumer Goods – Non-durable74,645 239 — — 64 1,784 — 76,732 7.8 %
Consumer Services193,590 — — — — — — 193,590 19.6 %
Diversified Investment Vehicles, Banking, Finance, Real Estate30,427 — — — — — — 30,427 3.1 %
Education36,205 — — — — — — 36,205 3.7 %
Energy – Electricity1,837 — — — — — — 1,837 0.2 %
Environmental Industries8,242 — — — — — — 8,242 0.8 %
Healthcare & Pharmaceuticals467,014 — — — 343 3,584 98 471,039 47.8 %
High Tech Industries286,602 — — — — 1,384 — 287,986 29.2 %
Hotel, Gaming, Leisure, Restaurants19,429 — — — — — — 19,429 2.0 %
Insurance82,620 — — — — — — 82,620 8.4 %
Manufacturing, Capital Equipment28,611 7,760 — — 8,301 141 — 44,813 4.5 %
Media – Diversified & Production35,893 — — — — — — 35,893 3.6 %
Retail31,310 — — — — — — 31,310 3.2 %
Telecommunications— 6,736 — — — — — 6,736 0.7 %
Transportation – Cargo, Distribution44,696 — — — — — — 44,696 4.5 %
Utilities - Electric14,325 — — — — — — 14,325 1.5 %
Wholesale41,853 — — — — 754 — 42,607 4.3 %
Total Non-Controlled / Non-Affiliated Investments$1,911,162 $89,951 $— $— $9,285 $14,700 $98 $2,025,196 205.3 %
% of Net Assets193.8 %9.1 %— %— %0.9 %1.5 %— %205.3 %
Non-Controlled / Affiliated Investments
Chemicals, Plastics & Rubber$— $— $— $— $— $40,607 $— $40,607 4.1 %
Consumer Goods - Durable3,958 — — — — 769 — 4,727 0.5 %
Diversified Investment Vehicles, Banking, Finance, Real Estate— — — 8,957 — — — 8,957 0.9 %
Energy – Electricity— — — — 4,713 574 5,287 0.5 %
Energy – Oil & Gas— — — — — 630 — 630 0.1 %
Total Non-Controlled / Affiliated Investments$3,958 $— $— $8,957 $4,713 $42,580 $— $60,208 6.1 %
% of Net Assets0.4 %— %— %0.9 %0.5 %4.3 %— %6.1 %
Controlled Investments
Aviation and Consumer Transport$275,000 $— $— $— $— $9,395 $— $284,395 28.8 %
Energy – Oil & Gas25,470 3,959 — — — 8,699 — 38,128 3.9 %
High Tech Industries96,184 — — — 16,955 — 113,139 11.4 %
Transportation – Cargo, Distribution— — — — — 28,438 — 28,438 2.9 %
Total Controlled Investments$396,654 $3,959 $— $— $16,955 $46,532 $— $464,100 47.0 %
% of Net Assets40.2 %0.4 %— %— %1.7 %4.7 %— %47.0 %
Total$2,311,774 $93,910 $— $8,957 $30,953 $103,812 $98 $2,549,504 258.4 %
% of Net Assets234.4 %9.5 %— %0.9 %3.1 %10.5 %— %258.4 %
See notes to financial statements.
28

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2022
(In thousands, except share data)
Industry ClassificationPercentage of Total Investments (at Fair Value) as of June 30, 2022
Healthcare & Pharmaceuticals18.5%
High Tech Industries15.7%
Aviation and Consumer Transport11.8%
Business Services10.0%
Consumer Services7.6%
Beverage, Food & Tobacco4.2%
Insurance3.2%
Consumer Goods – Non-durable3.0%
Automotive3.0%
Transportation – Cargo, Distribution2.9%
Chemicals, Plastics & Rubber2.5%
Manufacturing, Capital Equipment1.8%
Advertising, Printing & Publishing1.7%
Wholesale1.7%
Diversified Investment Vehicles, Banking, Finance, Real Estate1.5%
Energy – Oil & Gas1.5%
Education1.4%
Media – Diversified & Production1.4%
Retail1.2%
Construction & Building1.2%
Aerospace & Defense1.0%
Consumer Goods – Durable0.9%
Hotel, Gaming, Leisure, Restaurants0.8%
Utilities – Electric0.6%
Environmental Industries0.3%
Energy – Electricity0.3%
Telecommunications0.3%
Total Investments100.0%
See notes to financial statements.
29

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Advertising, Printing & Publishing
FingerPaint Marketing
KL Charlie Acquisition CompanyFirst Lien Secured DebtL+625, 1.00% Floor12/30/26$30,818 $22,373 $22,510 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+625, 1.00% Floor12/30/261,962 (31)(20)(8)(9)(21)
(23)
KL Charlie Co-Invest, L.P.Common Equity - Common StockN/AN/A218,978 Shares219 353 (9)(13)
22,561 22,843 
Hero Digital
HRO (Hero Digital) Holdings, LLCFirst Lien Secured DebtL+600, 1.00% Floor11/18/2827,18619,084 19,253 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+600, 1.00% Floor11/18/262,553(47)(26)(8)(9)(20)
(21)(23)
HRO Holdings I LPCommon Equity - Common StockN/AN/A213 Shares213 212 (9)(13)(24)
19,250 19,439 
Total Advertising, Printing & Publishing$41,811 $42,282 
Aerospace & Defense
Erickson Inc
Erickson IncFirst Lien Secured Debt - RevolverL+750, 1.50% Floor04/28/22$32,250 $23,628 $23,315 (9)(20)(21)
(23)(28)
First Lien Secured Debt - Revolver13.50%04/28/223,750 3,750 3,712 (9)(23)
Total Aerospace & Defense$27,378 $27,027 
Automotive
Club Car Wash
Club Car Wash Operating, LLCFirst Lien Secured DebtL+650, 1.00% Floor06/16/27$29,931 $22,934 $23,018 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+650, 1.00% Floor06/16/272,438 (37)(30)(8)(9)(21)
(23)
22,897 22,988 
Crowne Automotive
Vari-Form Group, LLCFirst Lien Secured Debt11.00% (7.00% Cash plus 4.00% PIK)02/02/235,860893 410 (9)(14)
Vari-Form Inc.First Lien Secured Debt11.00% (7.00% Cash plus 4.00% PIK)02/02/232,110391 148 (9)(14)
1,284 558 
K&N Parent, Inc.
K&N Parent, Inc.Second Lien Secured DebtL+875, 1.00% Floor10/21/2423,76523,605 19,724 (28)
Truck-Lite Co., LLC
TL Lighting Holdings, LLCCommon Equity - EquityN/AN/A350 Shares350 420 (9)(13)
Truck-Lite Co., LLCFirst Lien Secured DebtL+625, 1.00% Floor12/14/2631,28729,655 29,533 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+625, 1.00% Floor12/13/243,052241 226 (9)(20)(21)
(23)(26)
30,246 30,179 
Total Automotive$78,032 $73,449 
Aviation and Consumer Transport
Merx Aviation Finance, LLC
Merx Aviation Finance, LLC (5)First Lien Secured Debt - Revolver10.00%10/31/23$275,177 $275,000 $275,000 (20)(23)
Common Equity - Membership InterestsN/AN/AN/A35,800 23,509 (24)
310,800 298,509 
See notes to financial statements.
30

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Primeflight
PrimeFlight Aviation Services, Inc.First Lien Secured DebtL+625, 1.00% Floor05/09/2417,35317,179 17,271 (9)(26)
Total Aviation and Consumer Transport$327,979 $315,780 
Beverage, Food & Tobacco
Berner Foods
Berner Food & Beverage, LLCFirst Lien Secured DebtL+650, 1.00% Floor07/30/27$30,963 $30,334 $30,653 (9)(29)
First Lien Secured Debt - RevolverL+650, 1.00% Floor07/30/262,132 535 555 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverP+55007/30/26749734 742 (9)(23)(25)
31,603 31,950 
Bolthouse Farms
Wm. Bolthouse Farms, Inc.Common Equity - Equity InterestN/AN/A1,000,000 Shares1,001 1,080 (13)
Hive
FCP-Hive Holdings, LLCPreferred Equity - Preferred EquityN/AN/A589 Shares448 484 (9)(13)(24)
Common Equity - Common StockN/AN/A589 Shares20 (9)(13)(24)
Hive Intermediate, LLCFirst Lien Secured DebtL+600, 1.00% Floor09/22/2717,12316,822 16,952 (9)(26)
First Lien Secured Debt - RevolverL+600, 1.00% Floor09/22/272,326(41)(23)(8)(9)(21)
(23)
17,232 17,433 
Orgain, Inc.
Butterfly Fighter Co-Invest, L.P.Common Equity - Membership InterestsN/AN/A1,000,000 Shares1,005 1,648 
Rise Baking
Ultimate Baked Goods Midco LLCFirst Lien Secured DebtL+625, 1.00% Floor08/13/2726,69026,086 25,935 (9)(28)
First Lien Secured Debt - RevolverL+625, 1.00% Floor08/13/273,2431,954 1,936 (9)(20)(21)
(23)(28)(29)
28,040 27,871 
TNT Crust LLC
TNT Crust LLCFirst Lien Secured DebtL+675 Cash plus 1.00% PIK, 1.00% Floor11/06/2321,70621,512 21,272 (9)(28)
First Lien Secured Debt - RevolverL+675 Cash plus 1.00% PIK, 1.00% Floor11/06/233,2523,085 3,036 (9)(21)(23)
(29)
Common Equity - Series A UnitsN/AN/A244 Shares30 172 (9)(13)
24,627 24,480 
Turkey Hill
IC Holdings LLCCommon Equity - Series A UnitsN/AN/A169 Shares169 160 (9)(13)
THLP CO. LLCFirst Lien Secured DebtL+600, 1.00% Floor05/31/2525,11024,824 24,608 (9)(28)
First Lien Secured Debt - RevolverP+50005/31/244,4941,165 1,112 (9)(20)(21)
(23)(25)
26,158 25,880 
Total Beverage, Food & Tobacco$129,666 $130,342 
Business Services
Access Information
Access CIG, LLCSecond Lien Secured DebtL+775, 0.00% Floor02/27/26$15,900 $15,829 $15,787 (26)
See notes to financial statements.
31

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
AlpineX
Alpinex Opco, LLCFirst Lien Secured DebtL+600, 1.00% Floor12/27/2716,38311,644 11,605 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor12/27/271,117(21)(21)(8)(9)(21)
(23)
11,623 11,584 
Ambrosia Buyer Corp.
Ambrosia Buyer Corp.Second Lien Secured Debt8.00%08/28/2521,42918,582 5,657 (14)
AML Rightsource
Gabriel Partners, LLCFirst Lien Secured DebtL+600, 1.00% Floor09/21/2631,45130,898 31,203 (9)(29)
First Lien Secured Debt - RevolverP+50009/21/26665120 128 (9)(21)(23)
(25)
31,018 31,331 
Continuum
Continuum Global Solutions, LLCPreferred Equity - Preferred EquityN/AN/A775 Shares78 78 (9)(13)
Electro Rent Corporation
Electro Rent CorporationSecond Lien Secured DebtL+900, 1.00% Floor01/31/2534,23533,806 34,064 (9)(28)
Elo Touch
TGG TS Acquisition CompanyFirst Lien Secured Debt - RevolverL+650, 0.00% Floor12/14/231,750750 721 (21)(23)(26)
Ensemble Health
EHL Merger Sub, LLCFirst Lien Secured Debt - RevolverL+325, 0.00% Floor08/01/244,155(179)(111)(8)(21)(23)
IRP
Precision Refrigeration & Air Conditioning LLCFirst Lien Secured DebtSOFR+600, 1.00% Floor03/08/288,1828,020 8,018 (9)(27)
First Lien Secured Debt - Revolver03/08/271,705(34)(34)(8)(9)(21)
(23)
SMC IR Holdings, LLCCommon Equity - Common StockN/AN/A114 Shares114 114 (9)(13)(24)
8,100 8,098 
Jacent
Jacent Strategic MerchandisingFirst Lien Secured DebtL+675, 1.00% Floor04/23/2422,11621,977 21,508 (9)(28)
First Lien Secured Debt - RevolverL+675, 1.00% Floor04/23/243,5003,472 3,400 (9)(21)(23)
(28)(29)
Common Equity - Common StockN/AN/A5,000 Shares500 169 (9)(13)
JSM Equity Investors, L.P.Preferred Equity - Class P Partnership UnitsN/AN/A114 Shares11 11 (9)(13)
25,960 25,088 
Jones & Frank
JF Acquisition, LLCFirst Lien Secured DebtL+550, 1.00% Floor07/31/2613,20113,058 13,008 (9)(28)(30)
First Lien Secured Debt - RevolverL+550, 1.00% Floor07/31/261,569(17)(23)(8)(9)(21)
(23)
13,041 12,985 
MAKS
Trident Bidco LimitedFirst Lien Secured DebtL+550, 1.00% Floor11/08/2533,68833,066 33,670 (9)(17)(29)
Naviga
Naviga Inc. (fka Newscycle Solutions, Inc.)First Lien Secured DebtL+700, 1.00% Floor12/29/2213,39713,318 13,430 (9)(26)(28)
First Lien Secured Debt - RevolverL+700, 1.00% Floor12/29/22500278 280 (9)(21)(23)
(26)
13,596 13,710 
See notes to financial statements.
32

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
PSE
Graffiti Buyer, Inc.First Lien Secured DebtL+575, 1.00% Floor08/10/278,4205,679 5,639 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor08/10/271,307390 388 (9)(21)(23)
(28)
Graffiti Parent, LPCommon Equity - Common StockN/AN/A2,439 Shares244 200 (9)(13)(24)
6,313 6,227 
PSI Services, LLC
Lifelong Learner Holdings, LLCFirst Lien Secured DebtL+575, 1.00% Floor10/19/2633,97533,527 32,411 (9)(28)(29)
First Lien Secured Debt - RevolverL+575, 1.00% Floor10/20/252,9852,947 2,865 (9)(21)(23)
(28)
36,474 35,276 
Soliant
Soliant Health, Inc.Common Equity - Membership InterestsN/AN/A300 Shares300 871 (9)
US Legal Support
US Legal Support Investment Holdings, LLCCommon Equity - Series A-1 UnitsN/AN/A631,972 Shares632 1,030 (9)(13)
USLS Acquisition, Inc.First Lien Secured DebtL+575, 1.00% Floor12/02/2424,00323,781 23,643 (9)(28)
First Lien Secured Debt - RevolverL+525, 1.00% Floor12/02/241,286417 409 (9)(20)(21)
(23)(28)
First Lien Secured Debt - RevolverP+42512/02/24322319 317 (9)(23)(25)
25,149 25,399 
Wilson Language Training
Owl Acquisition, LLCFirst Lien Secured DebtSOFR+575, 1.00% Floor02/04/289,9009,707 9,702 (9)(27)
Owl Parent Holdings, LLCCommon Equity - Common StockN/AN/A100 Shares100 100 (9)(13)(24)
9,807 9,802 
Total Business Services$283,313 $270,237 
Chemicals, Plastics & Rubber
Carbonfree Chemicals SPE I LLC (f/k/a Maxus Capital Carbon SPE I LLC)
Carbonfree Chemicals Holdings LLC (4)Common Equity - Common Equity / InterestN/AN/A2,354 Shares$46,295 $42,117 (3)(13)(16)
(24)
Carbonfree Chemicals SA LLC (4)Common Equity - Class B UnitsN/AN/A3,152 Shares32,434 — (3)(13)(16)
(24)
78,729 42,117 
Westfall Technik, Inc.
Westfall Technik, Inc.First Lien Secured DebtL+575, 1.00% Floor09/13/2415,61615,482 15,269 (9)(28)
First Lien Secured DebtL+625, 1.00% Floor09/13/245,6385,557 5,542 (9)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor09/13/242,0192,002 1,975 (9)(23)(28)
23,041 22,786 
Total Chemicals, Plastics & Rubber$101,770 $64,903 
Construction & Building
Englert
Gutter Buyer, Inc.First Lien Secured DebtL+575, 1.00% Floor03/06/25$28,393 $28,097 $28,169 (9)(26)
First Lien Secured Debt - RevolverP+47503/06/242,7272,019 2,013 (9)(20)(21)
(23)(25)
Gutter Holdings, LPCommon Equity - Common StockN/AN/A500 Shares500 1,226 (9)
Total Construction & Building$30,616 $31,408 
Consumer Goods – Durable
A&V
A&V Holdings Midco, LLCFirst Lien Secured Debt - RevolverL+450, 1.00% Floor03/10/25$1,505 $(80)$(52)(8)(21)(23)
See notes to financial statements.
33

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
KDC
KDC US HoldingsFirst Lien Secured Debt - RevolverL+325, 0.00% Floor12/21/236,020692 620 (20)(21)(23)(26)
KLO Holdings, LLC
1244311 B.C. Ltd. (4)First Lien Secured DebtL+500, 1.00% Floor09/30/252,9782,978 2,794 (17)(28)
First Lien Secured DebtL+500 PIK, 1.00% Floor09/30/251,0791,079 1,006 (17)(28)
Common Equity - Common StockN/AN/A1,000,032 Shares1,000 976 (2)(13)(17)
(24)
GSC Technologies Inc. (4)First Lien Secured DebtL+500 Cash plus 5.00% PIK, 1.00% Floor09/30/25206206 192 (17)(28)
5,263 4,968 
Liqui-Box
Liqui-Box Holdings, Inc.First Lien Secured Debt - RevolverL+450, 1.00% Floor02/26/252,416878 889 (20)(21)(23)(28)
First Lien Secured Debt - RevolverP+35002/26/251,1441,137 1,143 (23)(25)
2,015 2,032 
NSi Industries
Wildcat BuyerCo, Inc.First Lien Secured DebtL+575, 1.00% Floor02/27/2614,66013,096 13,271 (21)(23)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor02/27/26725(11)(13)(8)(21)(23)
Wildcat Parent LPCommon Equity - Common StockN/AN/A1,070 Shares107 180 (13)
13,192 13,438 
Sorenson Holdings, LLC
Sorenson Holdings, LLCCommon Equity - Membership InterestsN/AN/A587 Shares— 325 (10)(13)
Total Consumer Goods – Durable$21,082 $21,331 
Consumer Goods – Non-durable
3D Protein
Protein For Pets Opco, LLCFirst Lien Secured Debt - RevolverL+500, 1.00% Floor05/31/24$2,219 $(25)$— (9)(21)(23)
Dan Dee
Project Comfort Buyer, Inc.First Lien Secured DebtL+700, 1.00% Floor02/01/2524,89724,548 23,936 (9)(28)
First Lien Secured Debt - RevolverL+700, 1.00% Floor02/01/243,462(38)(139)(8)(9)(21)
(23)
Preferred Equity - Preferred EquityN/AN/A461,538 Shares462 37 (9)(13)
24,972 23,834 
LashCo
Lash OpCo, LLCFirst Lien Secured DebtL+700, 1.00% Floor03/18/2644,99242,582 42,819 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+700, 1.00% Floor09/18/251,612(48)(25)(8)(9)(21)
(23)
42,534 42,794 
Paladone
Paladone Group Bidco LimitedFirst Lien Secured DebtL+575, 1.00% Floor11/12/277,9885,974 6,035 (9)(17)(21)
(23)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor11/12/27353(9)(4)(8)(9)(17)
(21)(23)
First Lien Secured Debt - RevolverL+575, 1.00% Floor11/12/271,412(27)(12)(8)(9)(17)
(21)(23)
Paladone Group Holdings LimitedCommon Equity - Common StockN/AN/A94,151 Shares94 119 (9)(13)(17)
(24)
6,032 6,138 
See notes to financial statements.
34

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Sequential Brands Group, Inc.
Gainline Galaxy Holdings LLCCommon Equity - Common StockN/AN/A10,854 Shares2,041 1,900 (13)(16)(17)(24)
Sequential Avia Holdings LLCSecond Lien Secured DebtL+500, 1.00% Floor11/12/261,7171,716 1,717 (17)(29)
Sequential Brands Group, Inc.Second Lien Secured Debt8.75%02/07/241,293— 239 (14)(17)
Swisstech IP CO, LLCFirst Lien Secured Debt6.00% PIK11/29/24264264 (17)
3,758 4,120 
Total Consumer Goods – Non-durable$77,271 $76,886 
Consumer Services
Activ
Activ Software Holdings, LLCFirst Lien Secured DebtL+650, 1.00% Floor05/04/27$29,869 $29,359 $29,418 (9)(30)
First Lien Secured Debt - RevolverL+625, 1.00% Floor05/04/272,407(41)(36)(8)(9)(21)
(23)
29,318 29,382 
Bird
Bird US Opco, LLCFirst Lien Secured DebtL+750, 1.00% Floor10/12/2448,54922,076 22,821 (9)(23)(26)
Clarus Commerce
Marlin DTC-LS Midco 2, LLCFirst Lien Secured DebtL+650, 1.00% Floor07/01/2521,63221,330 21,529 (28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor07/01/25685(3)(8)(21)(23)
21,338 21,526 
First Heritage
First Heritage Credit, LLCFirst Lien Secured DebtL+475, 0.00% Floor08/31/2226,25020,992 21,099 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+550, 0.00% Floor08/31/223,7501,160 1,160 (9)(21)(23)
(26)
22,152 22,259 
Go Car Wash
Go Car Wash Management Corp.First Lien Secured DebtL+575, 1.00% Floor12/31/2611,4439,269 9,255 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/31/26417(3)(6)(8)(9)(21)
(23)
9,266 9,249 
Lending Point
LendingPoint LLCFirst Lien Secured DebtL+1050, 1.00% Floor12/30/2517,50013,422 13,515 (9)(21)(23)
(28)
First Lien Secured DebtL+575, 1.00% Floor12/30/254,1673,158 3,186 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/30/258,3338,262 8,318 (9)(23)(28)
24,842 25,019 
Only About Children
Nemo (BC) Bidco Pty LtdFirst Lien Secured DebtBBSW+675, 1.00% Floor04/06/24A$7,000 4,953 4,907 (17)(21)(23)(32)
Paper Source
Papershop Holdco Inc.First Lien Secured DebtL+700, 1.00% Floor05/27/2610,60710,515 10,395 (9)(28)
First Lien Secured Debt - RevolverL+700, 1.00% Floor05/27/263,0821,498 1,463 (9)(21)(23)
(28)
12,013 11,858 
See notes to financial statements.
35

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
The Club Company
Eldrickco LimitedFirst Lien Secured DebtSON+625, 0.50% Floor11/26/25£15,027 13,965 14,157 (9)(17)(21)
(23)(31)
First Lien Secured Debt - RevolverSON+625, 0.50% Floor11/26/25£356 411 457 (9)(17)(23)
(31)
First Lien Secured Debt - RevolverSON+625, 0.50% Floor05/26/25£345 (5)(8)(9)(17)
(21)(23)
14,377 14,609 
US Auto
U.S. Auto Finance, Inc.First Lien Secured DebtL+525, 1.00% Floor04/17/2420,0009,343 9,202 (9)(21)(23)
(28)
First Lien Secured DebtL+525, 1.00% Floor03/31/231,000975 995 (9)(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor04/17/2413,3332,412 2,418 (9)(21)(23)
(28)
12,730 12,615 
Total Consumer Services$173,065 $174,245 
Diversified Investment Vehicles, Banking, Finance, Real Estate
Celink
Compu-Link CorporationFirst Lien Secured Debt - RevolverL+550, 1.00% Floor06/11/24$2,273 $(22)$(3)(8)(9)(21)
(23)
Peer Advisors, LLCFirst Lien Secured DebtL+550, 1.00% Floor06/11/2417,38617,210 17,366 (9)(26)
17,188 17,363 
Flock Financial, LLC
Flock SPV I, LLCFirst Lien Secured DebtL+650, 1.00% Floor12/31/2214,66712,011 11,985 (9)(17)(21)
(23)(26)
First Lien Secured Debt - RevolverL+650, 1.00% Floor12/31/225,3331,847 1,861 (9)(17)(21)
(23)(26)
13,858 13,846 
Golden Bear
Golden Bear 2016-R, LLC (4)Structured Products and Other - Membership InterestsN/A09/20/42N/A16,998 10,038 (3)(17)
Purchasing Power, LLC
Purchasing Power Funding I, LLCFirst Lien Secured Debt - RevolverL+650, 0.00% Floor01/24/249,1131,142 1,142 (9)(21)(23)
(26)
Spectrum Automotive
Shelby 2021 Holdings Corp.First Lien Secured DebtL+575, 0.75% Floor06/29/2814,49012,288 12,329 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 0.75% Floor06/29/27420(6)(4)(8)(9)(21)
(23)
12,282 12,325 
Ten-X, LLC
Ten-X, LLCFirst Lien Secured Debt - RevolverL+325, 0.00% Floor09/29/224,680(43)(73)(8)(21)(23)
Total Diversified Investment Vehicles, Banking, Finance, Real Estate$61,425 $54,641 
Education
NFA Group
SSCP Spring Bidco LimitedFirst Lien Secured DebtSON+600, 0.50% Floor07/30/25£30,000 $36,322 $39,059 (9)(17)(31)
Total Education$36,322 $39,059 
See notes to financial statements.
36

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Energy – Electricity
Renew Financial LLC (f/k/a Renewable Funding, LLC)
AIC SPV Holdings II, LLC (4)Preferred Equity - Preferred StockN/AN/A142 Shares$534 $355 (15)(17)(24)
Renew Financial LLC (f/k/a Renewable Funding, LLC) (4)Preferred Equity - Series E Preferred StockN/AN/A441,576 Shares1,902 4,988 (13)(17)(24)
Preferred Equity - Series B Preferred StockN/AN/A1,505,868 Shares8,343 — (13)(24)
Preferred Equity - Series D Preferred StockN/AN/A436,689 Shares5,568 — (13)(24)
Renew JV LLC (4)Common Equity - Membership InterestsN/AN/A465,750 Shares466 613 (13)(17)(24)
16,813 5,956 
Solarplicity Group Limited (f/k/a AMP Solar UK)
Solarplicity UK Holdings LimitedFirst Lien Secured Debt4.00%03/08/23£5,562 7,230 1,874 (14)(17)
Preferred Equity - Preferred StockN/AN/A4,286 Shares5,623 — (2)(13)(17)
Common Equity - Ordinary SharesN/AN/A2,825 Shares— (2)(13)(17)
12,857 1,874 
Total Energy – Electricity$29,670 $7,830 
Energy – Oil & Gas
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.)
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.) (5)Second Lien Secured Debt10.00% PIK03/31/23$8,323 $7,458 $6,204 (14)
Common Equity - Common StockN/AN/A10,000,000 Shares30,078 — (13)(24)
37,536 6,204 
Pelican
Pelican Energy, LLC (4)Common Equity - Membership InterestsN/AN/A1,444 Shares13,063 630 (13)(16)(17)(24)
Spotted Hawk
SHD Oil & Gas, LLC (5)First Lien Secured Debt - Tranche C Note12.00%06/30/2224,72824,728 25,470 
Common Equity - Series C UnitsN/AN/A50,952,525 Shares44,067 4,652 (13)(16)(24)
Common Equity - Series A UnitsN/AN/A7,600,000 Shares1,411 — (13)(16)(24)
70,206 30,122 
Total Energy – Oil & Gas$120,805 $36,956 
Environmental Industries
Ortega National Parks
Ortega National Parks, LLCFirst Lien Secured DebtL+500, 1.00% Floor10/31/26$14,497 $8,156 $8,235 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+500, 1.00% Floor10/31/262,049(27)(9)(8)(9)(21)
(23)
Total Environmental Industries$8,129 $8,226 
Healthcare & Pharmaceuticals
83bar
83Bar, Inc.First Lien Secured DebtL+575, 1.50% Floor07/02/26$5,000 $4,978 $4,975 (9)(26)
Akoya
Akoya Biosciences, Inc.First Lien Secured DebtL+635, 1.50% Floor10/27/259,7509,772 9,771 (9)(26)
Analogic
Analogic CorporationFirst Lien Secured DebtL+525, 1.00% Floor06/22/2417,85017,675 17,582 (9)(28)
First Lien Secured Debt - RevolverL+525, 1.00% Floor06/22/231,8261,293 1,277 (9)(21)(23)
(28)
18,968 18,859 
See notes to financial statements.
37

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Cato Research
LS Clinical Services Holdings, Inc.First Lien Secured DebtL+675, 1.00% Floor12/16/2713,09212,778 12,787 (9)(26)
First Lien Secured Debt - RevolverL+675, 1.00% Floor12/16/261,875237 237 (9)(21)(23)
(28)
13,015 13,024 
Cerus
Cerus CorporationFirst Lien Secured DebtL+545, 1.80% Floor03/01/2416,50016,467 16,665 (9)(17)(26)
First Lien Secured Debt - RevolverL+375, 1.80% Floor03/01/241,500670 672 (9)(17)(21)
(23)(26)
17,137 17,337 
Compass Health
Roscoe Medical, IncFirst Lien Secured DebtSOFR+625, 1.00% Floor09/30/247,6017,328 7,316 (9)(27)
First Lien Secured Debt - RevolverSOFR+625, 1.00% Floor09/30/241,393767 767 (9)(21)(23)
(27)
8,095 8,083 
Emmes Corporation
Emmes Blocker, Inc.Common Equity - Common StockN/AN/A306 Shares306 879 (9)(13)
The Emmes Company, LLCFirst Lien Secured DebtL+500, 1.00% Floor03/03/2515,88615,755 15,646 (9)(29)
First Lien Secured Debt - RevolverL+500, 1.00% Floor03/03/252,4492,431 2,412 (9)(23)(26)
18,492 18,937 
EmpiRx
EmpiRx Health LLCFirst Lien Secured DebtL+550, 1.00% Floor08/05/279,0688,906 8,977 (9)(28)
First Lien Secured Debt - RevolverL+550, 1.00% Floor08/05/27909(16)(9)(8)(9)(21)
(23)
8,890 8,968 
Forge Biologics
Forge Biologics, Inc.First Lien Secured DebtL+675, 0.50% Floor12/03/2626,6673,209 3,245 (9)(23)(26)
Gossamer
GB001, Inc.First Lien Secured DebtL+700, 2.00% Floor01/01/2530,0005,886 6,056 (9)(17)(23)
(26)
Health & Safety Institute
HSI HALO Acquisition, Inc.First Lien Secured DebtL+575, 1.00% Floor08/31/2616,37813,500 13,335 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor09/02/25813131 121 (9)(21)(23)
(26)
Common Equity - Common StockN/AN/A500 Shares500 679 (9)(13)
14,131 14,135 
IMA Group
IMA Group Management Company, LLCFirst Lien Secured DebtL+600, 1.00% Floor05/30/2412,6808,560 8,566 (21)(23)(29)
First Lien Secured Debt - RevolverL+600, 1.00% Floor05/30/24289259 257 (21)(23)(28)
8,819 8,823 
Kepro
Keystone Acquisition Corp.First Lien Secured DebtL+575, 0.75% Floor01/26/2914,02211,812 11,925 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+575, 0.75% Floor01/26/28978(19)(10)(8)(9)(21)
(23)
11,793 11,915 
See notes to financial statements.
38

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Kindeva
Kindeva Drug Delivery L.P.First Lien Secured DebtL+600, 1.00% Floor05/01/269,4109,254 9,311 (9)(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor05/01/25167147 147 (9)(21)(23)
(26)
9,401 9,458 
KureSmart
Clearway Corporation (f/k/a NP/Clearway Holdings, Inc.)Common Equity - Common StockN/AN/A133 Shares133 217 (9)(13)
Kure Pain Holdings, Inc.First Lien Secured DebtL+500, 1.00% Floor08/27/2421,65821,497 21,398 (9)(26)
First Lien Secured Debt - RevolverL+500, 1.00% Floor08/27/242,654(24)(33)(8)(9)(21)
(23)
21,606 21,582 
LucidHealth
Premier Imaging, LLCFirst Lien Secured DebtL+600, 1.00% Floor01/02/2512,4807,628 7,614 (9)(21)(23)
(26)
Mannkind Corporation
Mannkind CorporationFirst Lien Secured DebtL+675, 1.00% Floor08/01/2513,86613,793 14,058 (9)(26)
First Lien Secured DebtL+625, 1.00% Floor08/01/2530,000(23)— (9)(23)
Common Equity - Common StockN/AN/A334,226 Shares76 1,230 (9)(10)(13)
(17)
13,846 15,288 
Maxor National Pharmacy Services, LLC
Maxor National Pharmacy Services, LLCFirst Lien Secured DebtL+550, 1.00% Floor12/06/2723,43623,206 23,145 (9)(28)
First Lien Secured Debt - RevolverL+550, 1.00% Floor12/06/261,558(11)(20)(8)(9)(21)
(23)
23,195 23,125 
Medical Guardian
Medical Guardian, LLCFirst Lien Secured DebtL+650, 1.00% Floor10/26/2636,11230,882 30,966 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+650, 1.00% Floor10/26/263,810(52)(41)(8)(9)(21)
(23)
30,830 30,925 
Midwest Vision
Midwest Vision Partners Management, LLCFirst Lien Secured DebtL+650, 1.00% Floor01/12/2724,26121,431 21,601 (9)(21)(23)
(28)(29)
First Lien Secured Debt - RevolverL+650, 1.00% Floor01/12/27612602 606 (9)(23)(28)
22,033 22,207 
Orchard
Orchard Therapeutics PLCFirst Lien Secured DebtL+595, 1.00% Floor05/28/2633,33310,906 10,776 (9)(17)(23)
(26)
Ovation Fertility
FPG Services, LLCFirst Lien Secured DebtL+550, 1.00% Floor06/13/2519,03114,119 14,276 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+550, 1.00% Floor06/13/242,105(19)(5)(8)(9)(21)
(23)
14,100 14,271 
Paragon 28
Paragon 28, Inc.First Lien Secured DebtL+600, 1.00% Floor05/01/2610,0007,472 7,475 (9)(23)(26)
First Lien Secured Debt - RevolverL+300, 1.00% Floor05/01/262,000(8)(5)(8)(9)(21)
(23)
7,464 7,470 
See notes to financial statements.
39

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Partner Therapeutics, Inc
Partner Therapeutics, IncFirst Lien Secured DebtL+665, 1.00% Floor01/01/2310,0009,976 9,950 (9)(26)
First Lien Secured DebtL+665, 1.00% Floor08/01/223,3333,333 3,333 (9)(26)
First Lien Secured Debt - RevolverL+375, 1.00% Floor04/01/261,000(2)— (9)(21)(23)
Preferred Equity - Preferred EquityN/AN/A55,556 Shares333 343 (9)(13)
WarrantsN/AN/A33,333 Shares135 99 (9)(13)
13,775 13,725 
PHS
PHS Buyer, Inc.First Lien Secured DebtL+600, 1.00% Floor01/31/2725,11524,711 24,612 (9)(28)
First Lien Secured Debt - RevolverL+600, 1.00% Floor01/31/272,000351 360 (9)(21)(23)
(28)
25,062 24,972 
Radius Health
Radius Health, Inc.First Lien Secured DebtL+575, 2.00% Floor06/01/2433,83328,736 28,459 (9)(17)(23)
(26)
First Lien Secured Debt - RevolverL+350, 2.00% Floor06/01/241,000(1)(10)(8)(9)(17)
(21)(23)
28,735 28,449 
RHA Health Services
Pace Health Companies, LLCFirst Lien Secured DebtL+450, 1.00% Floor08/02/243,7683,729 3,736 (9)(28)
First Lien Secured Debt - RevolverL+450, 1.00% Floor08/02/2450018 (4)(8)(9)(20)
(21)(23)
3,747 3,732 
Rigel Pharmaceuticals
Rigel Pharmaceuticals, Inc.First Lien Secured DebtL+565, 1.50% Floor09/01/249,0009,011 9,051 (9)(26)
Unchained Labs
Unchained Labs, LLCFirst Lien Secured DebtL+550, 1.00% Floor08/09/276,7601,848 1,854 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+550, 1.00% Floor08/09/27726(13)(7)(8)(9)(21)
(23)
1,835 1,847 
WellDyneRx, LLC
WelldyneRX, LLCFirst Lien Secured DebtSOFR+675, 0.75% Floor03/09/2718,07717,720 17,715 (9)(27)
First Lien Secured Debt - RevolverSOFR+675, 0.75% Floor03/09/261,923(38)(38)(8)(9)(21)
(23)
17,682 17,677 
Total Healthcare & Pharmaceuticals$404,041 $406,297 
High Tech Industries
Acronis AG
ACRONIS AGFirst Lien Secured DebtL+535, 1.50% Floor12/18/24$21,000 $20,941 $20,962 (9)(17)(26)
American Megatrends
AMI US Holdings Inc.First Lien Secured DebtL+525, 1.00% Floor04/01/2521,43021,211 21,430 (9)(26)
First Lien Secured Debt - RevolverL+525, 0.00% Floor04/01/242,9071,139 1,163 (9)(21)(23)
(26)
22,350 22,593 
Calero Holdings, Inc.
Telesoft Holdings, LLCFirst Lien Secured DebtL+575, 1.00% Floor12/16/2522,27321,952 22,141 (28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/16/252,273(32)(13)(8)(21)(23)
21,920 22,128 
See notes to financial statements.
40

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
ChyronHego Corporation
ChyronHego Corporation (5)First Lien Secured DebtL+350 Cash plus 1.50% PIK, 1.00% Floor12/31/2285,27784,170 84,424 (28)
First Lien Secured DebtL+800 PIK, 1.00% Floor12/31/222,5702,500 2,545 (28)
First Lien Secured Debt - RevolverL+500, 1.00% Floor12/31/228,0007,156 7,076 (21)(23)(28)
Preferred Equity - Preferred EquityN/AN/A7,800 Shares6,000 15,553 (13)(24)
99,826 109,598 
Dairy.com
Momentx CorporationFirst Lien Secured DebtL+575, 1.00% Floor06/24/2713,64013,395 13,265 (9)(28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor06/24/271,257(22)(35)(8)(9)(21)
(23)
13,373 13,230 
Digital.ai
Digital.ai Software Holdings, Inc.First Lien Secured DebtL+700, 1.00% Floor02/10/2722,35521,810 22,080 (9)(28)
First Lien Secured Debt - RevolverL+650, 1.00% Floor02/10/272,419748 777 (9)(21)(23)
(28)
22,558 22,857 
GoHealth
Norvax, LLCFirst Lien Secured Debt - RevolverL+650, 1.00% Floor09/13/243,1822,428 2,461 (9)(21)(23)
(26)(28)
International Cruise & Excursion Gallery, Inc.
International Cruise & Excursion Gallery, Inc.First Lien Secured DebtL+535, 1.00% Floor06/06/2514,43814,305 13,642 (26)
Modern Campus
Destiny Solutions U.S., Inc.First Lien Secured DebtL+600, 1.00% Floor06/08/2625,57325,024 25,126 (26)
RMCF IV CIV XXXV, L.P.Common Equity - Common StockN/AN/A482 Shares1,000 1,430 (13)(24)
26,024 26,556 
MYCOM
Magnate Holding Corp.First Lien Secured DebtL+625, 0.50% Floor12/16/2419,16419,050 18,817 (9)(17)(28)
First Lien Secured Debt - RevolverL+625, 0.50% Floor12/14/233,1503,133 3,105 (9)(17)(23)
(28)
22,183 21,922 
New Era Technology, Inc.
New Era Technology, Inc.First Lien Secured DebtL+625, 1.00% Floor10/31/2623,79421,315 21,221 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverL+625, 1.00% Floor10/30/261,049594 591 (9)(21)(23)
(28)
Pro Vigil
Pro-Vigil Holding Company, LLCFirst Lien Secured DebtL+850, 1.00% Floor01/11/259,9109,724 9,808 (9)(28)
First Lien Secured DebtSOFR+850, 1.00% Floor01/11/255,3291,493 1,542 (9)(21)(23)
(27)
11,217 11,350 
Schlesinger Group
Schlesinger Global, LLCFirst Lien Secured DebtL+600 Cash plus 1.00% PIK, 1.00% Floor07/12/259,8829,730 9,747 (9)(28)
First Lien Secured DebtL+775, 1.00% Floor07/12/25963950 964 (9)(28)
10,680 10,711 
See notes to financial statements.
41

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Simeio
Simeio Group Holdings, Inc.First Lien Secured DebtL+550, 1.00% Floor02/02/268,1788,099 8,076 (9)(26)
First Lien Secured Debt - RevolverL+525, 1.00% Floor02/02/261,731(17)(21)(8)(9)(21)
(23)
8,082 8,055 
Sirsi Corporation
Sirsi CorporationFirst Lien Secured DebtL+450, 1.00% Floor03/15/245,4565,423 5,440 (9)(26)
First Lien Secured Debt - RevolverL+450, 1.00% Floor03/15/24429(3)(1)(8)(9)(21)
(23)
5,420 5,439 
Springbrook
Springbrook Holding Company, LLCFirst Lien Secured DebtL+550, 1.00% Floor12/23/2615,93315,724 15,786 (28)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/23/261,463(17)(13)(8)(21)(23)
15,707 15,773 
Tax Slayer
MEP-TS Midco, LLCFirst Lien Secured DebtL+600, 1.00% Floor12/31/2613,37913,139 13,245 (9)(29)
First Lien Secured Debt - RevolverL+600, 1.00% Floor12/31/261,452(1)(15)(8)(9)(21)
(23)
13,138 13,230 
Telnyx
Telnyx LLCFirst Lien Secured DebtL+625, 1.50% Floor10/21/255,2505,230 5,277 (9)(26)
UpStack
Upstack Holdco Inc.First Lien Secured DebtL+550, 1.00% Floor08/20/2731,91427,581 27,995 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+550, 1.00% Floor08/20/273,000(74)(30)(8)(9)(20)
(21)(23)
27,507 27,965 
Total High Tech Industries$384,798 $395,561 
Hotel, Gaming, Leisure, Restaurants
Guernsey
Guernsey Holdings SDI LA LLCFirst Lien Secured Debt6.95%11/18/26$9,904 $9,812 $9,811 (9)
First Lien Secured DebtL+595, 1.00% Floor11/18/261,167(11)(8)(9)(23)
9,813 9,800 
Taco Cabana
YTC Enterprises, LLCFirst Lien Secured DebtL+625, 1.00% Floor08/16/269,9429,835 9,843 (9)(26)
Total Hotel, Gaming, Leisure, Restaurants$19,648 $19,643 
Insurance
High Street Insurance
High Street Buyer, Inc.First Lien Secured DebtL+600, 0.75% Floor04/14/28$30,113 $29,607 $29,586 (9)(26)
First Lien Secured Debt - RevolverL+600, 0.75% Floor04/16/272,203(37)(39)(8)(9)(21)
(23)
29,570 29,547 
PGM Holdings Corporation
Turbo Buyer, Inc.First Lien Secured DebtL+600, 1.00% Floor12/02/2519,23018,930 18,889 (9)(29)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/02/25923(14)(16)(8)(9)(21)
(23)
18,916 18,873 
Relation Insurance
AQ Sunshine, Inc.First Lien Secured DebtL+600, 1.00% Floor04/15/2534,85831,093 31,447 (9)(21)(23)
(26)(28)(29)
First Lien Secured Debt - RevolverL+600, 1.00% Floor04/15/241,785263 280 (9)(20)(21)
(23)(29)
31,356 31,727 
Total Insurance$79,842 $80,147 
See notes to financial statements.
42

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Manufacturing, Capital Equipment
AVAD, LLC
Surf Opco, LLCFirst Lien Secured Debt - RevolverL+400, 1.00% Floor03/17/26$16,667 $11,564 $11,419 (9)(20)(21)
(23)(26)
Preferred Equity - Class P-1 PreferredN/AN/A33,333 Shares3,333 6,342 (9)(13)(16)
Preferred Equity - Class P-2 PreferredN/AN/A85,164 Shares8,516 1,970 (9)(13)(16)
Common Equity - Class A-1 CommonN/AN/A3,333 Shares— 85 (9)(13)(16)
23,413 19,816 
Kauffman
Kauffman Holdco, LLCCommon Equity - Common StockN/AN/A250,000 Shares250 98 (9)(13)
Kauffman Intermediate, LLCFirst Lien Secured DebtL+650, 1.00% Floor05/08/2516,28116,114 15,843 (9)(30)
First Lien Secured Debt - RevolverL+575, 1.00% Floor05/08/251,243277 277 (9)(21)(23)
(28)
16,641 16,218 
MedPlast Holdings Inc.
Viant Medical Holdings, Inc. (fka MedPlast Holdings, Inc.)Second Lien Secured DebtL+775, 0.00% Floor07/02/268,0007,959 7,607 (26)
Total Manufacturing, Capital Equipment$48,013 $43,641 
Media – Diversified & Production
New Wave Entertainment
NW Entertainment, Inc.First Lien Secured DebtL+750 Cash plus 2.00% PIK, 1.00% Floor08/16/24$29,195 $28,940 $29,186 (9)(28)
First Lien Secured Debt - RevolverL+750, 1.00% Floor08/16/243,0783,050 3,061 (9)(23)(28)
31,990 32,247 
Nitro World Entertainment
NWE OPCO LPFirst Lien Secured DebtL+650, 2.00% Floor12/19/224,5794,573 4,572 (9)(26)
Sonar Entertainment
Sonar Entertainment, Inc.First Lien Secured DebtL+760, 1.25% Floor11/15/212,4752,474 2,019 (9)(11)(26)
First Lien Secured Debt - RevolverL+760, 1.25% Floor11/15/211,6041,561 1,308 (9)(11)(23)
(26)
4,035 3,327 
Total Media – Diversified & Production$40,598 $40,146 
Retail
IPS
SI Holdings, Inc.First Lien Secured DebtL+600, 1.00% Floor07/25/25$31,005 $30,645 $30,780 (9)(26)
First Lien Secured Debt - RevolverL+600, 1.00% Floor07/25/243,413395 404 (9)(21)(23)
(26)
Total Retail$31,040 $31,184 
Telecommunications
Securus Technologies Holdings, Inc.
Securus Technologies Holdings, Inc.Second Lien Secured DebtL+825, 1.00% Floor11/01/25$7,128 $7,119 $6,843 (28)
Total Telecommunications$7,119 $6,843 
Transportation – Cargo, Distribution
Beacon Mobility
Beacon Mobility Corp.First Lien Secured DebtL+550, 1.00% Floor05/22/24$28,266 $13,227 $13,429 (9)(21)(23)
(28)
First Lien Secured Debt - RevolverP+45005/22/244,145597 635 (9)(20)(21)
(23)(25)
First Lien Secured Debt - RevolverL+400, 0.00% Floor05/22/2450,000— — (9)(22)(23)
13,824 14,064 
See notes to financial statements.
43

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry / CompanyInvestment TypeInterest RateMaturity DatePar/Shares (12)Cost (33)Fair Value (1)(34)
Dynamic Product Tankers (Prime), LLC
Dynamic Product Tankers, LLC (5)Common Equity - Class A UnitsN/AN/AN/A44,432 3,110 (13)(17)(19)(24)
Heniff and Superior
Heniff Holdco, LLCFirst Lien Secured DebtL+575, 1.00% Floor12/03/2630,45330,019 29,582 (9)(26)
First Lien Secured Debt - RevolverL+575, 1.00% Floor12/03/243,9251,331 1,295 (9)(20)(21)
(23)(26)
31,350 30,877 
MSEA Tankers LLC
MSEA Tankers LLC (5)Common Equity - Class A UnitsN/AN/AN/A50,258 34,274 (17)(18)(24)
Total Transportation – Cargo, Distribution$139,864 $82,325 
Wholesale
Banner Solutions
Banner Buyer, LLCFirst Lien Secured DebtL+575, 1.00% Floor10/31/25$17,751 $15,111 $15,171 (9)(21)(23)
(26)
First Lien Secured Debt - RevolverL+575, 1.00% Floor10/31/251,935623 631 (9)(21)(23)
(26)
Banner Parent Holdings, Inc.Common Equity - Common StockN/AN/A6,125 Shares613 539 (9)(13)
16,347 16,341 
Thomas Scientific
BSP-TS, LPCommon Equity - Common StockN/AN/A185 Shares185 190 (9)(13)(24)
Thomas Scientific, LLCFirst Lien Secured DebtL+625, 1.00% Floor12/14/2731,78526,056 26,283 (9)(21)(23)
(29)
First Lien Secured Debt - RevolverL+625, 1.00% Floor12/14/272,963(56)(30)(8)(9)(21)
(23)
26,185 26,443 
Total Wholesale$42,532 $42,784 
Total Investments$2,745,829 $2,523,173 (6)(7)
____________________
(1)Fair value is determined in good faith by or under the direction of the Board of Directors of the Company (See Note 2 to the financial statements).
(2)Preferred and ordinary shares in Solarplicity UK Holdings Limited are GBP denominated equity investments. Common shares in 1244311 B.C. Ltd. are CAD denominated equity investments.
(3)Denotes investments in which the Company owns greater than 25% of the equity, where the governing documents of each entity preclude the Company from exercising a controlling influence over the management or policies of such entity. The Company does not have the right to elect or appoint more than 25% of the directors or another party has the right to elect or appoint more directors than the Company and has the right to appoint certain members of senior management. Therefore, the Company has determined that these entities are not controlled affiliates. As of March 31, 2022, we had a 100% equity ownership interest in Golden Bear 2016-R, LLC, a collateralized loan obligation, and 26% equity ownership interest in Carbonfree Chemicals SA LLC.
See notes to financial statements.
44

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)

(4)Denotes investments in which we are an “Affiliated Person,” as defined in the 1940 Act, due to holding the power to vote or owning 5% or more of the outstanding voting securities of the investment but not controlling the company. Fair value as of March 31, 2021 and March 31, 2022 along with transactions during the year ended March 31, 2022 in these affiliated investments are as follows:
Name of IssuerFair Value at March 31, 2021Gross Additions ●Gross Reductions ■Net Change in Unrealized Gains (Losses)Fair Value at March 31, 2022Net Realized Gains (Losses)Interest/Dividend/Other Income
1244311 B.C. Ltd., Common Stock$1,719 $— $— $(743)$976 $— $— 
1244311 B.C. Ltd., Term Loan3,822 63 (15)(70)3,800 — 245 
9357-5991 Quebec Inc., Term Loan— — (215)— — 215 — 
AIC SPV Holdings II, LLC, Preferred Equity498 — — (143)355 — 109 
Carbonfree Chemicals Holdings LLC, Common Stock25,424 904 — 15,789 42,117 — — 
Carbonfree Chemicals SA LLC, Class B Units— — — — — — — 
Golden Bear 2016-R, LLC, Membership Interests11,289 186 — (1,437)10,038 — 1,181 
GSC Technologies Inc., Term Loan— 221 (15)(14)192 — 16 
KLO Acquisition LLC, Term Loan— — (327)— 326 — 
Pelican Energy, LLC, Common Stock2,170 — (3,701)2,161 630 — — 
Renew Financial LLC (f/k/a Renewable Funding, LLC), Series B Preferred Stock42 — — (42)— — — 
Renew Financial LLC (f/k/a Renewable Funding, LLC), Series D Preferred Stock28 — — (28)— — — 
Renew Financial LLC (f/k/a Renewable Funding, LLC), Series E Preferred Stock5,106 — — (118)4,988 — — 
Renew JV LLC, Membership Interests776 — (205)42 613 — — 
$50,874 $1,374 $(4,478)$15,398 $63,709 $541 $1,551 
____________________
● Gross additions includes increases in the basis of investments resulting from new portfolio investments, payment-in-kind interest or dividends, the accretion of discounts, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
■ Gross reductions include decreases in the basis of investments resulting from principal collections related to investment repayments or sales, the amortization of premiums, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
See notes to financial statements.
45

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
(5)Denotes investments in which we are deemed to exercise a controlling influence over the management or policies of a company, as defined in the 1940 Act, due to beneficially owning, either directly or through one or more controlled companies, more than 25% of the outstanding voting securities of the investment. Fair value as of March 31, 2021 and March 31, 2022 along with transactions during the year ended March 31, 2022 in these controlled investments are as follows:
Name of IssuerFair Value at March 31, 2021Gross Additions ●Gross Reductions ■Net Change in Unrealized Gains (Losses)Fair Value at March 31, 2022Net Realized Gains (Losses)Interest/Dividend/Other Income
Majority Owned Company
ChyronHego Corporation, Preferred Equity$6,151 $— $— $9,402 $15,553 $— $— 
ChyronHego Corporation, Revolver2,226 4,750 — 100 7,076 — 316 
ChyronHego Corporation, Term Loan81,676 5,230 (205)268 86,969 — 6,692 
Dynamic Product Tankers, LLC, Common Stock25,528 — (5,374)(17,044)3,110 — — 
Dynamic Product Tankers, LLC, Unsecured Term Loan22,000 — (22,000)— — — 959 
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.), Common Stock— — — — — — — 
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.), Term Loan8,111 — (8,542)27,561 6,204 (20,926)— 
Merx Aviation Finance, LLC, Letter of Credit— — — — — — — 
Merx Aviation Finance, LLC, Membership Interests125,061 — (84,500)(17,052)23,509 — — 
Merx Aviation Finance, LLC, Revolver190,500 89,500 (5,000)— 275,000 — 25,419 
MSEA Tankers LLC, Class A Units57,028 — (7,403)(15,351)34,274 2,059 
Controlled Company— 
SHD Oil & Gas, LLC, Series C Units— 44,065 — (39,413)4,652 — — 
SHD Oil & Gas, LLC, Series A Units— — — — — — — 
SHD Oil & Gas, LLC, Tranche A Note9,899 — (44,065)34,159 — 
SHD Oil & Gas, LLC, Tranche B Note— — — 44,380 — (44,380)— 
SHD Oil & Gas, LLC, Tranche C Note25,470 — — — 25,470 — 3,009 
$553,650 $143,545 $(177,089)$27,010 $481,817 $(65,299)$38,454 

____________________
● Gross additions includes increases in the basis of investments resulting from new portfolio investments, payment-in-kind interest or dividends, the accretion of discounts, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
■ Gross reductions include decreases in the basis of investments resulting from principal collections related to investment repayments or sales, the amortization of premiums, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
As of March 31, 2022, the Company had a 87%, 85%, 96%, 100%, 98% and 38% equity ownership interest in ChyronHego Corporation; Dynamic Product Tankers, LLC; Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.); Merx Aviation Finance, LLC; MSEA Tankers, LLC; and SHD Oil & Gas, LLC (f/k/a Spotted Hawk Development LLC), respectively.






See notes to financial statements.
46

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
(6)Aggregate gross unrealized gain and loss for federal income tax purposes is $58,579 and $303,980, respectively. Net unrealized loss is $245,401 based on a tax cost of $2,798,608.
(7)Substantially all securities are pledged as collateral to our multi-currency revolving credit facility (the “Senior Secured Facility” as defined in Note 6 to the financial statements). As such, these securities are not available as collateral to our general creditors.
(8)The negative fair value is the result of the commitment being valued below par.
(9)These are co-investments made with the Company’s affiliates in accordance with the terms of the exemptive order the Company received from the Securities and Exchange Commission (the “SEC”) permitting us to do so. (See Note 3 to the financial statements for discussion of the exemptive order from the SEC.)
(10)Other than the investments noted by this footnote, the fair value of the Company’s investments is determined using unobservable inputs that are significant to the overall fair value measurement. See Note 2 to the financial statements for more information regarding ASC 820, Fair Value Measurements (“ASC 820”).
(11)The maturity date for this investment was November 15, 2021. The investment is expected to be paid down in a series of payments subsequent to the stated maturity date.
(12)Par amount is denominated in USD unless otherwise noted, Euro (“€”), British Pound (“£”), Canadian Dollar (“C$”), and Australian Dollar (“A$”) .
(13)Non-income producing security.
(14)Non-accrual status (See Note 2 to the financial statements).
(15)The underlying investments of AIC SPV Holdings II, LLC is a securitization in which the Company owns preferred shares representing 14.25% economic interest.
(16)AIC Spotted Hawk Holdings, LLC, AIC SHD Holdings, LLC, AIC Pelican Holdings, LLC, AP Surf Investments, LLC and AIC SB Holdings LLC are wholly-owned special purpose vehicles which only hold investments of the underlying portfolio companies and have no other significant assets or liabilities. AIC Spotted Hawk Holdings, LLC holds equity and debt investments in SHD Oil & Gas, LLC. AIC SHD Holdings LLC holds equity investments in SHD Oil & Gas, LLC. and equity investments in both Carbonfree Chemicals Holdings, LLC and Carbonfree Chemicals SA, LLC. AIC Pelican Holdings, LLC holds an equity investment in Pelican Energy, LLC. AP Surf Investments, LLC holds equity investments in Surf Opco, LLC. AIC SB Holdings LLC holds equity investments in Gainline Galaxy Holdngs LLC.
(17)Investments that the Company has determined are not “qualifying assets” under Section 55(a) of the 1940 Act. Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time such acquisition is made, qualifying assets represent at least 70% of our total assets. The status of these assets under the 1940 Act is subject to change. The Company monitors the status of these assets on an ongoing basis. As of March 31, 2022, non-qualifying assets represented approximately 11.00% of the total assets of the Company.
(18)As of March 31, 2022, MSEA Tankers, LLC had various classes of limited liability interests outstanding of which the Company holds Class A-1 and Class A-2 units which are identical except that Class A-1 unit is voting and Class A-2 unit is non-voting. The units entitle the Company to appoint two out of three managers to the board of managers.
(19)As of March 31, 2022, Dynamic Product Tankers, LLC had various classes of limited liability interests outstanding of which the Company holds Class A-1 and Class A-3 units which are identical except that Class A-1 unit is voting and Class A-3 unit is non-voting. The units entitle the Company to appoint three out of five managers to the board of managers.
(20)As of March 31, 2022, there were letters of credit issued and outstanding through the Company under this first lien senior secured revolving loan.
(21)The undrawn portion of these committed revolvers and delayed draw term loans includes a commitment and unused fee rate.
(22)A letter of credit associated with this investment has been issued through the Company’s Senior Secured Facility. In the event of draw of funds the related funding would be pro-rated for all existing lenders in the investment.

See notes to financial statements.
47

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
(23)As of March 31, 2022, the Company had the following commitments to fund various revolving and delayed draw senior secured and subordinated loans, including commitments to issue letters of credit through a financial intermediary on behalf of certain portfolio companies. Such commitments are subject to the satisfaction of certain conditions set forth in the documents governing these loans and letters of credit and there can be no assurance that such conditions will be satisfied. See Note 8 to the financial statements for further information on revolving and delayed draw loan commitments, including commitments to issue letters of credit, related to certain portfolio companies.
Name of IssuerTotal CommitmentDrawn CommitmentLetters of Credit **Undrawn Commitment
A&V Holdings Midco, LLC$1,505 $— $— $1,505 
Activ Software Holdings, LLC2,407 — — 2,407 
Alpinex Opco, LLC5,585 — — 5,585 
AMI US Holdings Inc.2,907 1,163 — 1,744 
Analogic Corporation1,826 1,304 — 522 
AQ Sunshine, Inc.5,039 286 23 4,730 
Banner Buyer, LLC4,387 645 — 3,742 
Beacon Mobility Corp.68,713 674 28,335 39,704 
Berner Food & Beverage, LLC2,881 1,325 — 1,556 
Bird US Opco, LLC25,680 — — 25,680 
Cerus Corporation1,500 672 — 828 
ChyronHego Corporation8,000 7,156 — 844 
Club Car Wash Operating, LLC8,971 — — 8,971 
Compu-Link Corporation2,273 — — 2,273 
Digital.ai Software Holdings, Inc.2,419 806 — 1,613 
EHL Merger Sub, LLC4,155 — — 4,155 
Eldrickco Limited*6,088 467 — 5,621 
EmpiRx Health LLC909 — — 909 
Erickson Inc36,000 27,388 960 7,652 
First Heritage Credit, LLC9,000 1,160 — 7,840 
Flock SPV I, LLC8,000 1,867 — 6,133 
Forge Biologics, Inc.23,334 — — 23,334 
FPG Services, LLC6,810 — — 6,810 
Gabriel Partners, LLC665 133 — 532 
GB001, Inc.24,000 — — 24,000 
Go Car Wash Management Corp.2,439 — — 2,439 
Graffiti Buyer, Inc.3,920 414 — 3,506 
Guernsey Holdings SDI LA LLC1,167 — — 1,167 
Gutter Buyer, Inc.2,727 2,045 94 588 
Heniff Holdco, LLC3,925 1,374 281 2,270 
High Street Buyer, Inc.2,203 — — 2,203 
Hive Intermediate, LLC2,326 — — 2,326 
HRO (Hero Digital) Holdings, LLC10,213 — 31 10,182 
HSI HALO Acquisition, Inc.3,492 136 — 3,356 
IMA Group Management Company, LLC4,277 260 — 4,017 
Jacent Strategic Merchandising3,500 3,494 — 
JF Acquisition, LLC1,569 — — 1,569 
Kauffman Intermediate, LLC1,243 311 — 932 
KDC US Holdings6,020 692 40 5,288 
Keystone Acquisition Corp.2,935 — — 2,935 
Kindeva Drug Delivery L.P.167 150 — 17 
See notes to financial statements.
48

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Name of IssuerTotal CommitmentDrawn CommitmentLetters of Credit **Undrawn Commitment
KL Charlie Acquisition Company9,962 — — 9,962 
Kure Pain Holdings, Inc.2,654 — — 2,654 
Lash OpCo, LLC3,136 — — 3,136 
LendingPoint LLC13,244 8,333 — 4,911 
Lifelong Learner Holdings, LLC2,985 2,982 — 
Liqui-Box Holdings, Inc.3,560 2,036 79 1,445 
LS Clinical Services Holdings, Inc.1,875 281 — 1,594 
Magnate Holding Corp.3,150 3,150 — — 
Mannkind Corporation30,000 — — 30,000 
Marlin DTC-LS Midco 2, LLC685 — — 685 
Maxor National Pharmacy Services, LLC1,558 — — 1,558 
Medical Guardian, LLC8,572 — — 8,572 
MEP-TS Midco, LLC1,452 — — 1,452 
Merx Aviation Finance, LLC275,177 275,000 177 — 
Midwest Vision Partners Management, LLC3,029 612 — 2,417 
Momentx Corporation1,257 — — 1,257 
Naviga Inc. (fka Newscycle Solutions, Inc.)500 280 — 220 
Nemo (BC) Bidco Pty Ltd*174 — — 174 
New Era Technology, Inc.3,147 612 — 2,535 
Norvax, LLC3,182 2,466 — 716 
NW Entertainment, Inc.3,078 3,078 — — 
Orchard Therapeutics PLC22,333 — — 22,333 
Ortega National Parks, LLC8,251 — — 8,251 
Pace Health Companies, LLC500 — 105 395 
Paladone Group Bidco Limited3,295 — — 3,295 
Paladone Group Bidco Limited*464 — — 464 
Papershop Holdco Inc.3,082 1,524 — 1,558 
Paragon 28, Inc.4,500 — — 4,500 
Partner Therapeutics, Inc1,000 — — 1,000 
PHS Buyer, Inc.2,000 400 — 1,600 
Precision Refrigeration & Air Conditioning LLC1,705 — — 1,705 
Premier Imaging, LLC4,680 — — 4,680 
Project Comfort Buyer, Inc.3,462 — — 3,462 
Protein For Pets Opco, LLC2,219 — — 2,219 
Pro-Vigil Holding Company, LLC3,733 — — 3,733 
Purchasing Power Funding I, LLC9,113 1,142 — 7,971 
Radius Health, Inc.5,833 — — 5,833 
Roscoe Medical, Inc1,393 819 — 574 
Shelby 2021 Holdings Corp.2,436 — — 2,436 
SI Holdings, Inc.3,413 427 — 2,986 
Simeio Group Holdings, Inc.1,731 — — 1,731 
Sirsi Corporation429 — — 429 
Sonar Entertainment, Inc.1,604 1,604 — — 
Springbrook Holding Company, LLC1,463 — — 1,463 
Surf Opco, LLC16,667 11,564 334 4,769 
Telesoft Holdings, LLC2,273 — — 2,273 
Ten-X, LLC4,680 — — 4,680 
TGG TS Acquisition Company1,750 750 — 1,000 
The Emmes Company, LLC2,449 2,449 — — 
See notes to financial statements.
49

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Name of IssuerTotal CommitmentDrawn CommitmentLetters of Credit **Undrawn Commitment
THLP CO. LLC4,494 1,202 79 3,213 
Thomas Scientific, LLC8,148 — — 8,148 
TNT Crust LLC3,252 3,101 — 151 
Truck-Lite Co., LLC4,175 262 81 3,832 
Turbo Buyer, Inc.923 — — 923 
U.S. Auto Finance, Inc.24,013 2,417 — 21,596 
Ultimate Baked Goods Midco LLC3,243 2,027 365 851 
Unchained Labs, LLC5,565 — — 5,565 
Upstack Holdco Inc.6,600 — 110 6,490 
USLS Acquisition, Inc.1,608 750 94 764 
WelldyneRX, LLC1,923 — — 1,923 
Westfall Technik, Inc.2,019 2,019 — — 
Wildcat BuyerCo, Inc.1,854 — — 1,854 
Total Commitments$871,829 $385,209 $31,188 $455,432 
____________________
* These investments are in a foreign currency and the total commitment has been converted to USD using the March 31, 2022 exchange rate.
** For all letters of credit issued and outstanding on March 31, 2022, $1,910 will expire in 2022, $29,263 will expire in 2023 and $15 will expire in 2024.
See notes to financial statements.
50

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)

(24)Securities that are exempt from registration under the Securities Act of 1933 (the “Securities Act”), and may be deemed to be “restricted securities” under the Securities Act. As of March 31, 2022, the aggregate fair value of these securities is $135,545 or 13.50% of the Company's net assets. The acquisition dates of the restricted securities are as follows:
IssuerInvestment TypeAcquisition Date
1244311 B.C. Ltd.Common Equity - Common Stock9/30/2020
AIC SPV Holdings II, LLCPreferred Equity - Preferred Stock6/1/2017
BSP-TS, LPCommon Equity - Common Stock12/14/2021
Carbonfree Chemicals Holdings LLCCommon Equity - Common Equity / Interest11/19/2019
Carbonfree Chemicals SA LLCCommon Equity - Class B Units11/1/2019
ChyronHego CorporationPreferred Equity - Preferred Equity12/29/2020
Dynamic Product Tankers, LLCCommon Equity - Class A Units4/8/2015
FCP-Hive Holdings, LLCCommon Equity - Common Stock9/22/2021
FCP-Hive Holdings, LLCPreferred Equity - Preferred Equity9/22/2021
Gainline Galaxy Holdings LLCCommon Equity - Common Stock11/12/2021
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.)Common Equity - Common Stock3/29/2016
Graffiti Parent, LPCommon Equity - Common Stock8/10/2021
HRO Holdings I LPCommon Equity - Common Stock11/18/2021
Merx Aviation Finance, LLCCommon Equity - Membership Interests7/1/2021
MSEA Tankers LLCCommon Equity - Class A Units12/12/2014
Owl Parent Holdings, LLCCommon Equity - Common Stock2/4/2022
Paladone Group Holdings LimitedCommon Equity - Common Stock11/12/2021
Pelican Energy, LLCCommon Equity - Membership Interests3/28/2012
Renew Financial LLC (f/k/a Renewable Funding, LLC)Preferred Equity - Series E Preferred Stock12/23/2020
Renew Financial LLC (f/k/a Renewable Funding, LLC)Preferred Equity - Series D Preferred Stock10/1/2015
Renew Financial LLC (f/k/a Renewable Funding, LLC)Preferred Equity - Series B Preferred Stock4/9/2014
Renew JV LLCCommon Equity - Membership Interests9/5/2019
RMCF IV CIV XXXV, L.P.Common Equity - Common Stock6/8/2021
SHD Oil & Gas, LLCCommon Equity - Series C Units12/27/2012
SHD Oil & Gas, LLCCommon Equity - Series A Units11/18/2016
SMC IR Holdings, LLCCommon Equity - Common Stock3/8/2022

(25)The interest rate on these loans is subject to Prime, which as of March 31, 2022 was 3.50%
(26)The interest rate on these loans is subject to 1 month LIBOR, which as of March 31, 2022 was 0.45%
(27)The interest rate on these loans is subject to SOFR, which as of March 31, 2022 was 0.29%
(28)The interest rate on these loans is subject to 3 months LIBOR, which as of March 31, 2022 was 0.96%
(29)The interest rate on these loans is subject to 6 months LIBOR, which as of March 31, 2022 was 1.47%
(30)The interest rate on these loans is subject to 12 months LIBOR, which as of March 31, 2022 was 2.10%
(31)The interest rate on these loans is subject to SONIA, which as of March 31, 2022 was 0.69%
(32)The interest rate on these loans is subject to 6 months BBSW, which as of March 31, 2022 was 0.71%
See notes to financial statements.
51

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
(33) The following shows the composition of the Company’s portfolio at cost by control designation, investment type and industry as of March 31, 2022:
IndustryFirst Lien - Secured DebtSecond Lien - Secured DebtUnsecured DebtStructured Products and OtherPreferred EquityCommon Equity/InterestsWarrantsTotal
Non-Controlled / Non-Affiliated Investments
 Advertising, Printing & Publishing $41,379 $— $— $— $— $432 $— $41,811 
 Aerospace & Defense 27,378 — — — — — — 27,378 
 Automotive 54,077 23,605 — — — 350 — 78,032 
 Aviation and Consumer Transport 17,179 — — — — — — 17,179 
 Beverage, Food & Tobacco 127,010 — — — 448 2,208 129,666 
 Business Services 213,118 68,216 — — 89 1,890 — 283,313 
 Chemicals, Plastics & Rubber 23,041 — — — — — — 23,041 
 Construction & Building 30,116 — — — — 500 — 30,616 
 Consumer Goods – Durable 15,712 — — — — 107 — 15,819 
 Consumer Goods – Non-Durable 72,959 1,716 — — 462 2,134 — 77,271 
 Consumer Services 173,065 — — — — — — 173,065 
 Diversified Investment Vehicles, Banking, Finance, Real Estate 44,427 — — — — — — 44,427 
 Education 36,322 — — — — — — 36,322 
 Energy – Electricity 7,231 — — — 5,623 — 12,858 
 Environmental Industries 8,129 — — — — — — 8,129 
 Healthcare & Pharmaceuticals 402,558 — — — 333 1,015 135 404,041 
 High Tech Industries 283,974 — — — — 1,000 — 284,974 
 Hotel, Gaming, Leisure, Restaurants 19,648 — — — — — — 19,648 
 Insurance 79,842 — — — — — — 79,842 
 Manufacturing, Capital Equipment 27,954 7,959 — — 11,850 250 — 48,013 
 Media – Diversified & Production 40,598 — — — — — — 40,598 
 Retail 31,040 — — — — — — 31,040 
 Telecommunications — 7,119 — — — — — 7,119 
 Transportation – Cargo, Distribution 45,174 — — — — — — 45,174 
Wholesale41,735 — — — — 797 — 42,532 
Total Non-Controlled / Non-Affiliated Investments$1,863,666 $108,615 $— $— $18,805 $10,687 $135 $2,001,908 
Non-Controlled / Affiliated Investments
Chemicals, Plastics & Rubber$— $— $— $— $— $78,729 $— $78,729 
Consumer Goods – Durable4,263 — — — — 1,000 — 5,263 
Diversified Investment Vehicles, Banking, Finance, Real Estate— — — 16,998 — — — 16,998 
Energy – Electricity— — — — 16,347 467 — 16,814 
Energy – Oil & Gas— — — — — 13,062 — 13,062 
Total Non-Controlled / Affiliated Investments$4,263 $— $— $16,998 $16,347 $93,258 $— $130,866 
Controlled Investments
Aviation and Consumer Transport$275,000 $— $— $— $— $35,800 $— $310,800 
Energy – Oil & Gas24,728 7,458 — — — 75,555 — 107,741 
High Tech Industries93,824 — — — 6,000 — — 99,824 
Transportation – Cargo, Distribution— — — — — 94,690 — 94,690 
Total Controlled Investments$393,552 $7,458 $— $— $6,000 $206,045 $— $613,055 
Total$2,261,481 $116,073 $— $16,998 $41,152 $309,990 $135 $2,745,829 


See notes to financial statements.
52

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
(34)The following shows the composition of the Company’s portfolio at cost by control designation, investment type and industry as of March 31, 2022:
IndustryFirst Lien - Secured DebtSecond Lien - Secured DebtUnsecured DebtStructured Products and OtherPreferred EquityCommon Equity/InterestsWarrantsTotal % of Net Assets
Non-Controlled / Non-Affiliated Investments
 Advertising, Printing & Publishing $41,717 $— $— $— $— $565 $— $42,282 4.2 %
 Aerospace & Defense 27,027 — — — — — — 27,027 2.7 %
 Automotive 53,304 19,725 — — — 420 — 73,449 7.3 %
 Aviation and Consumer Transport 17,271 — — — — — — 17,271 1.7 %
 Beverage, Food & Tobacco 126,777 — — — 484 3,081 — 130,342 13.0 %
 Business Services 212,157 55,508 — — 89 2,483 — 270,237 26.9 %
 Chemicals, Plastics & Rubber 22,786 — — — — — — 22,786 2.3 %
 Construction & Building 30,182 — — — — 1,226 — 31,408 3.1 %
 Consumer Goods – Durable 15,858 — — — — 505 — 16,363 1.6 %
 Consumer Goods – Non-durable 72,874 1,957 — — 37 2,018 — 76,886 7.7 %
 Consumer Services 174,245 — — — — — — 174,245 17.3 %
 Diversified Investment Vehicles, Banking, Finance, Real Estate 44,603 — — — — — — 44,603 4.4 %
 Education 39,059 — — — — — — 39,059 3.9 %
 Energy – Electricity 1,874 — — — — — — 1,874 0.2 %
 Environmental Industries 8,226 — — — — — — 8,226 0.8 %
 Healthcare & Pharmaceuticals 402,851 — — — 343 3,004 99 406,297 40.4 %
 High Tech Industries 284,533 — — — — 1,430 — 285,963 28.4 %
 Hotel, Gaming, Leisure, Restaurants 19,643 — — — — — — 19,643 2.0 %
 Insurance 80,147 — — — — — — 80,147 8.0 %
 Manufacturing, Capital Equipment 27,539 7,607 — — 8,313 182 — 43,641 4.3 %
 Media – Diversified & Production 40,146 — — — — — — 40,146 4.0 %
 Retail 31,184 — — — — — — 31,184 3.1 %
 Telecommunications — 6,843 — — — — — 6,843 0.7 %
 Transportation – Cargo, Distribution 44,941 — — — — — — 44,941 4.5 %
 Wholesale 42,055 — — — — 729 — 42,784 4.3 %
Total Non-Controlled / Non-Affiliated Investments$1,860,999 $91,640 $— $— $9,266 $15,643 $99 $1,977,647 196.8 %
% of Net Assets185.2 %9.1 %— %— %0.9 %1.6 %— %196.8 %
Non-Controlled / Affiliated Investments
Chemicals, Plastics & Rubber$— $— $— $— $— $42,117 $— $42,117 4.1 %
Consumer Goods – Durable3,992 — — — — 976 — 4,968 0.5 %
Diversified Investment Vehicles, Banking, Finance, Real Estate— — — 10,038 — — — 10,038 1.0 %
Energy – Electricity— — — — 5,343 613 — 5,956 0.6 %
Energy – Oil & Gas— — — — — 630 — 630 0.1 %
Total Non-Controlled / Affiliated Investments$3,992 $— $— $10,038 $5,343 $44,336 $— $63,709 6.3 %
% of Net Assets0.4 %— %— %1.0 %0.5 %4.4 %— %6.3 %
Controlled Investments
Aviation and Consumer Transport$275,000 $— $— $— $— $23,509 $— $298,509 29.7 %
Energy – Oil & Gas25,470 6,204 — — — 4,652 — 36,326 3.6 %
High Tech Industries94,045 — — — 15,553 — — 109,598 10.9 %
Transportation – Cargo, Distribution— — — — — 37,384 — 37,384 3.7 %
Total Controlled Investments$394,515 $6,204 $— $— $15,553 $65,545 $— $481,817 47.9 %
% of Net Assets39.3 %0.6 %— %— %1.5 %6.5 %— %47.9 %
Total$2,259,506 $97,844 $— $10,038 $30,162 $125,524 $99 $2,523,173 251.0 %
% of Net Assets224.9 %9.7 %— %1.0 %2.9 %12.5 %0.0 %251.0 %
See notes to financial statements.
53

APOLLO INVESTMENT CORPORATION
SCHEDULE OF INVESTMENTS
March 31, 2022
(In thousands, except share data)
Industry ClassificationPercentage of Total Investments (at Fair Value) as of March 31, 2022
Healthcare & Pharmaceuticals16.1%
High Tech Industries15.7%
Aviation and Consumer Transport12.5%
Business Services10.7%
Consumer Services6.9%
Beverage, Food & Tobacco5.2%
Transportation – Cargo, Distribution3.3%
Insurance3.2%
Consumer Goods – Non-durable3.0%
Automotive2.9%
Chemicals, Plastics & Rubber2.6%
Diversified Investment Vehicles, Banking, Finance, Real Estate2.2%
Manufacturing, Capital Equipment1.7%
Wholesale1.7%
Advertising, Printing & Publishing1.7%
Media – Diversified & Production1.6%
Education1.5%
Energy – Oil & Gas1.5%
Construction & Building1.2%
Retail1.2%
Aerospace & Defense1.1%
Consumer Goods – Durable0.8%
Hotel, Gaming, Leisure, Restaurants0.8%
Environmental Industries0.3%
Energy – Electricity0.3%
Telecommunications0.3%
Total Investments100.0%
See notes to financial statements.
54

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited)
(In thousands, except share and per share data)

Note 1. Organization
Apollo Investment Corporation (the “Company,” “Apollo Investment,” “AIC,” “we,” “us,” or “our”), a Maryland corporation incorporated on February 2, 2004, is a closed-end, externally managed, non-diversified management investment company that has elected to be treated as a business development company (“BDC”) under the Investment Company Act of 1940 (the “1940 Act”). In addition, for tax purposes we have elected to be treated as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). We commenced operations on April 8, 2004 receiving net proceeds of $870,000 from our initial public offering by selling 62 million shares of common stock at a price of $15.00 per share (20.7 million shares at a price of $45.00 per share adjusted for the one-for-three reverse stock split). Since then, and through June 30, 2022, we have raised approximately $2,210,067 in net proceeds from additional offerings of common stock and repurchased common stock for $245,810.
Apollo Investment Management, L.P. (the “Investment Adviser” or “AIM”) is our investment adviser and an affiliate of Apollo Global Management, Inc. and its consolidated subsidiaries (“AGM”). The Investment Adviser, subject to the overall supervision of our Board of Directors, manages the day-to-day operations of and provides investment advisory services to the Company.
Apollo Investment Administration, LLC (the “Administrator” or “AIA”), an affiliate of AGM, provides, among other things, administrative services and facilities for the Company. Furthermore, AIA provides on our behalf managerial assistance to those portfolio companies to which we are required to provide such assistance.
Our investment objective is to generate current income and capital appreciation. We invest primarily in various forms of debt investments, including secured and unsecured debt, loan investments, and/or equity in private middle-market companies. We may also invest in the securities of public companies and in structured products and other investments such as collateralized loan obligations (“CLOs”) and credit-linked notes (“CLNs”). Our portfolio is comprised primarily of investments in debt, including secured and unsecured debt of private middle-market companies that, in the case of senior secured loans, generally are not broadly syndicated and whose aggregate tranche size is typically less than $250 million. Our portfolio may include equity interests such as common stock, preferred stock, warrants and/or options.
Note 2. Significant Accounting Policies
The following is a summary of the significant accounting and reporting policies used in preparing the financial statements.
Basis of Presentation
The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) pursuant to the requirements on Form 10-Q, ASC 946, Financial Services — Investment Companies (“ASC 946”), and Articles 6, 10 and 12 of Regulation S-X. In the opinion of management, all adjustments, which are of a normal recurring nature, considered necessary for the fair presentation of the financial statements for the periods presented, have been included.
Under the 1940 Act, ASC 946, and the regulations pursuant to Article 6 of Regulation S-X, we are precluded from consolidating any entity other than another investment company or an operating company which provides substantially all of its services to benefit us.
These financial statements should be read in conjunction with the audited financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended March 31, 2022.

Use of Estimates
The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities at the date of the financial statements and the reported amounts of income, expenses, gains and losses during the reported periods. Changes in the economic environment, financial markets, credit worthiness of our portfolio companies, the global outbreak of a novel coronavirus (COVID-19) which began in 2020 and still persists and any other parameters used in determining these estimates could cause actual results to differ materially.

55

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Cash and Cash Equivalents
The Company defines cash equivalents as securities that are readily convertible into known amounts of cash and near maturity that they present insignificant risk of changes in value because of changes in interest rates. Generally, only securities with a maturity of three months or less from the date of purchase would qualify, with limited exceptions. The Company deems that certain money market funds, U.S. Treasury bills, repurchase agreements, and other high-quality, short-term debt securities would qualify as cash equivalents.
Cash and cash equivalents are carried at cost which approximates fair value. Cash equivalents held as of June 30, 2022 was $34,512. Cash equivalents held as of March 31, 2022 was $30,033.
Collateral on Option Contracts
Collateral on option contracts represents restricted cash held by our counterparty as collateral against our derivative instruments until such contracts mature or are settled upon per agreement of buyer and seller of the contract. In accordance with ASC 230, Statement of Cash Flows, the Statements of Cash Flows outline the changes in cash, including both restricted and unrestricted cash, cash equivalents and foreign currencies. As of June 30, 2022 and March 31, 2022 the Company did not hold any derivative contracts.

Investment Transactions
Investments are recognized when we assume an obligation to acquire a financial instrument and assume the risks for gains and losses related to that instrument. Investments are derecognized when we assume an obligation to sell a financial instrument and forego the risks for gains or losses related to that instrument. Specifically, we record all security transactions on a trade date basis. Amounts for investments recognized or derecognized but not yet settled are reported as a receivable for investments sold and a payable for investments purchased, respectively, in the Statements of Assets and Liabilities.

56

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Fair Value Measurements
The Company follows guidance in ASC 820, Fair Value Measurement (“ASC 820”), where fair value is defined as the price 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. Fair value measurements are determined within a framework that establishes a three-tier hierarchy which maximizes the use of observable market data and minimizes the use of unobservable inputs to establish a classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, such as the risk inherent in a particular valuation technique used to measure fair value using a pricing model and/or the risk inherent in the inputs for the valuation technique. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Company. Unobservable inputs reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability based on the information available. The inputs or methodology used for valuing assets or liabilities may not be an indication of the risks associated with investing in those assets or liabilities.
ASC 820 classifies the inputs used to measure these fair values into the following hierarchy:
Level 1: Quoted prices in active markets for identical assets or liabilities, accessible by us at the measurement date.
Level 2: Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices.
Level 3: Unobservable inputs for the asset or liability.
In all cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to each investment. The level assigned to the investment valuations may not be indicative of the risk or liquidity associated with investing in such investments. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may differ materially from the values that would be received upon an actual disposition of such investments.
Investment Valuation Process
Under procedures established by our Board of Directors, we value investments, including certain secured debt, unsecured debt and other debt securities with maturities greater than 60 days, for which market quotations are readily available, at such market quotations (unless they are deemed not to represent fair value). We attempt to obtain market quotations from at least two brokers or dealers (if available, otherwise from a principal market maker, primary market dealer or other independent pricing service). We utilize mid-market pricing as a practical expedient for fair value unless a different point within the range is more representative. If and when market quotations are unavailable or are deemed not to represent fair value, we typically utilize independent third party valuation firms to assist us in determining fair value. Accordingly, such investments go through our multi-step valuation process as described below. In each case, our independent third party valuation firms consider observable market inputs together with significant unobservable inputs in arriving at their valuation recommendations for such investments. Investments purchased within the quarter before the valuation date and debt investments with remaining maturities of 60 days or less may each be valued at cost with interest accrued or discount accreted/premium amortized to the date of maturity (although they are typically valued at available market quotations), unless such valuation, in the judgment of our Investment Adviser, does not represent fair value. In this case such investments shall be valued at fair value as determined in good faith by or under the direction of our Board of Directors including using market quotations where available. Investments that are not publicly traded or whose market quotations are not readily available are valued at fair value as determined in good faith by or under the direction of our Board of Directors. Such determination of fair values may involve subjective judgments and estimates.

57

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
With respect to investments for which market quotations are not readily available or when such market quotations are deemed not to represent fair value, our Board of Directors have approved a multi-step valuation process each quarter, as described below:
1.Our quarterly valuation process begins with each portfolio company or investment being initially valued by the investment professionals of our Investment Adviser who are responsible for the portfolio investment.
2.Preliminary valuation conclusions are then documented and discussed with senior management of our Investment Adviser.
3.Independent valuation firms are engaged by our Board of Directors to conduct independent appraisals by reviewing our Investment Adviser’s preliminary valuations and then making their own independent assessment.
4.The Audit Committee of the Board of Directors reviews the preliminary valuation of our Investment Adviser and the valuation prepared by the independent valuation firms and responds, if warranted, to the valuation recommendation of the independent valuation firms.
5.The Board of Directors discusses valuations and determines in good faith the fair value of each investment in our portfolio based on the input of our Investment Adviser, the applicable independent valuation firm, and the Audit Committee of the Board of Directors.
6.For Level 3 investments entered into within the current quarter, the cost (purchase price adjusted for accreted original issue discount/amortized premium) or any recent comparable trade activity on the security investment shall be considered to reasonably approximate the fair value of the investment, provided that no material change has since occurred in the issuer’s business, significant inputs or the relevant environment.
Investments determined by these valuation procedures which have a fair value of less than $1 million during the prior fiscal quarter may be valued based on inputs identified by the Investment Adviser without the necessity of obtaining valuation from an independent valuation firm, if once annually an independent valuation firm using the procedures described herein provides an independent assessment of value. Investments in all asset classes are valued utilizing a market approach, an income approach, or both approaches, as appropriate. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities (including a business). The income approach uses valuation techniques to convert future amounts (for example, cash flows or earnings) to a single present amount (discounted). The measurement is based on the value indicated by current market expectations about those future amounts. In following these approaches, the types of factors that we may take into account in fair value pricing our investments include, as relevant: available current market data, including relevant and applicable market trading and transaction comparables, applicable market yields and multiples, security covenants, seniority of investment in the investee company’s capital structure, call protection provisions, information rights, the nature and realizable value of any collateral, the portfolio company’s ability to make payments, its earnings and discounted cash flows, the markets in which the portfolio company does business, comparisons of financial ratios of peer companies that are public, M&A comparables, our principal market (as the reporting entity) and enterprise values, among other factors. When readily available, broker quotations and/or quotations provided by pricing services are considered as an input in the valuation process. During the three months ended June 30, 2022, there were no significant changes to the Company’s valuation techniques and related inputs considered in the valuation process.
Derivative Instruments
The Company recognizes all derivative instruments as assets or liabilities at fair value in its financial statements. Derivative contracts entered into by the Company are not designated as hedging instruments, and as a result the Company presents changes in fair value and realized gains or losses through current period earnings.
Derivative instruments are measured in terms of the notional contract amount and derive their value based upon one or more underlying instruments. Derivative instruments are subject to various risks similar to non-derivative instruments including market, credit, liquidity, and operational risks. The Company manages these risks on an aggregate basis as part of its risk management process. The derivatives may require the Company to pay or receive an upfront fee or premium. These upfront fees or premiums are carried forward as cost or proceeds to the derivatives.

58

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Exchange-traded derivatives which include put and call options are valued based on the last reported sales price on the date of valuation. Over-the-counter (“OTC”) derivatives, including credit default swaps, are valued by the Investment Adviser using quotations from counterparties. In instances where models are used, the value of the OTC derivative is derived from the contractual terms of, and specific risks inherent in, the instrument as well as the availability and reliability of observable inputs, such as credit spreads.
As of June 30, 2022 and March 31, 2022, the Company did not hold any derivative contracts.
Offsetting Assets and Liabilities
The Company has elected not to offset cash collateral against the fair value of derivative contracts. The fair values of these derivatives are presented on a gross basis, even when derivatives are subject to master netting agreements.

As of June 30, 2022 and March 31, 2022, the Company did not hold any derivative contracts.

Valuation of Other Financial Assets and Financial Liabilities

ASC 825, Financial Instruments, permits an entity to choose, at specified election dates, to measure certain assets and liabilities at fair value (the “Fair Value Option”). We have not elected the Fair Value Option to report selected financial assets and financial liabilities. Debt issued by the Company is reported at amortized cost (see Note 6 to the financial statements). The carrying value of all other financial assets and liabilities approximates fair value due to their short maturities or their close proximity of the originations to the measurement date.
Realized Gains or Losses
Security transactions are accounted for on a trade date basis. Realized gains or losses on investments are calculated by using the specific identification method. Securities that have been called by the issuer are recorded at the call price on the call effective date.
Investment Income Recognition
The Company records interest and dividend income, adjusted for amortization of premium and accretion of discount, on an accrual basis. Some of our loans and other investments, including certain preferred equity investments, may have contractual payment-in-kind (“PIK”) interest or dividends. PIK income computed at the contractual rate is accrued into income and reflected as receivable up to the capitalization date. PIK investments offer issuers the option at each payment date of making payments in cash or in additional securities. When additional securities are received, they typically have the same terms, including maturity dates and interest rates as the original securities issued. On these payment dates, the Company capitalizes the accrued interest or dividends receivable (reflecting such amounts as the basis in the additional securities received). PIK generally becomes due at maturity of the investment or upon the investment being called by the issuer. At the point the Company believes PIK is not fully expected to be realized, the PIK investment will be placed on non-accrual status. When a PIK investment is placed on non-accrual status, the accrued, uncapitalized interest or dividends are reversed from the related receivable through interest or dividend income, respectively. The Company does not reverse previously capitalized PIK interest or dividends. Upon capitalization, PIK is subject to the fair value estimates associated with their related investments. PIK investments on non-accrual status are restored to accrual status if the Company believes that PIK is expected to be realized.
Investments that are expected to pay regularly scheduled interest and/or dividends in cash are generally placed on non-accrual status when principal or interest/dividend cash payments are past due 30 days or more and/or when it is no longer probable that principal or interest/dividend cash payments will be collected. Such non-accrual investments are restored to accrual status if past due principal and interest or dividends are paid in cash, and in management’s judgment, are likely to continue timely payment of their remaining interest or dividend obligations. Interest or dividend cash payments received on non-accrual designated investments may be recognized as income or applied to principal depending upon management’s judgment.
Loan origination fees, original issue discount (“OID”), and market discounts are capitalized and accreted into interest income over the respective terms of the applicable loans using the effective interest method or straight-line, as applicable. Upon the prepayment of a loan, prepayment premiums, any unamortized loan origination fees, OID, or market discounts are recorded as interest income. Other income generally includes amendment fees, bridge fees, and structuring fees which are recorded when earned.
59

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
The Company records as dividend income the accretable yield from its beneficial interests in structured products such as CLOs based upon a number of cash flow assumptions that are subject to uncertainties and contingencies. Such assumptions include the rate and timing of principal and interest receipts (which may be subject to prepayments and defaults) of the underlying pool of assets. These assumptions are updated on at least a quarterly basis to reflect changes related to a particular security, actual historical data, and market changes. A structured product investment typically has an underlying pool of assets. Payments on structured product investments are and will be payable solely from the cash flows from such assets. As such, any unforeseen event in these underlying pools of assets might impact the expected recovery of principal and future accrual of income.
Expenses
Expenses include management fees, performance-based incentive fees, interest expense, insurance expenses, administrative service fees, legal fees, directors’ fees, audit and tax service expenses, third-party valuation fees and other general and administrative expenses. Expenses are recognized on an accrual basis.
Financing Costs
The Company records expenses related to shelf filings and applicable offering costs as deferred financing costs in the Statements of Assets and Liabilities. To the extent such expenses relate to equity offerings, these expenses are charged as a reduction of capital upon utilization, in accordance with ASC 946-20-25, or charged to expense if no offering is completed.
The Company records origination and other expenses related to its debt obligations as deferred financing costs. The deferred financing cost for all outstanding debt is presented as a direct deduction from the carrying amount of the related debt liability, except that incurred under the Senior Secured Facility (as defined in Note 6 to the financial statements), which the Company presents as an asset on the Statements of Assets and Liabilities. These expenses are deferred and amortized as part of interest expense using the straight-line method over the stated life of the obligation which approximates the effective yield method. In the event that we modify or extinguish our debt before maturity, the Company follows the guidance in ASC 470-50, Modification and Extinguishments (“ASC 470-50”). For modifications to or exchanges of our Senior Secured Facility (as defined in Note 6 to the financial statements), any unamortized deferred financing costs relating to lenders who are not part of the new lending group are expensed. For extinguishments of our senior secured notes and senior unsecured notes, any unamortized deferred financing costs are deducted from the carrying amount of the debt in determining the gain or loss from the extinguishment.
Foreign Currency Translations
The accounting records of the Company are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the foreign exchange rate on the date of valuation. 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. The Company’s investments in foreign securities may involve certain risks, including without limitation: foreign exchange restrictions, expropriation, taxation or other political, social or economic risks, all of which could affect the market and/or credit risk of the investment. In addition, changes in the relationship of foreign currencies to the U.S. dollar can significantly affect the value of these investments and therefore the earnings of the Company.
Dividends and Distributions
Dividends and distributions to common stockholders are recorded as of the ex-dividend date. The amount to be paid out as a distribution is determined by the Board of Directors each quarter. Net realized capital gains, if any, are generally distributed or deemed distributed at least annually. Dividend income on common equity securities is recorded on the record date for private portfolio companies or on the ex-dividend date for publicly traded portfolio companies.
Share Repurchases
In connection with the Company’s share repurchase program, the cost of shares repurchased is charged to net assets on the trade date.

60

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Federal and State Income Taxes
We have elected to be treated as a RIC under the Code and operate in a manner so as to qualify for the tax treatment applicable to RICs. To qualify as a RIC, the Company must (among other requirements) meet certain source-of-income and asset diversification requirements and timely distribute to its stockholders at least 90% of its investment company taxable income as defined by the Code, for each year. The Company (among other requirements) has made and intends to continue to make the requisite distributions to its stockholders, which will generally relieve the Company from corporate-level income taxes. For income tax purposes, distributions made to stockholders are reported as ordinary income, capital gains, non-taxable return of capital, or a combination thereof. The tax character of distributions paid to stockholders through June 30, 2022 may include return of capital, however, the exact amount cannot be determined at this point. The final determination of the tax character of distributions will not be made until we file our tax return for the tax year ending March 31, 2023. The character of income and gains that we will distribute is determined in accordance with income tax regulations that may differ from GAAP. Book and tax basis differences relating to stockholder dividend and distributions and other permanent book and tax difference are reclassified to paid-in capital.
If we do not distribute (or are not deemed to have distributed) at least 98% of our annual ordinary income and 98.2% of our capital gains in the calendar year earned, we will generally be required to pay excise tax equal to 4% of the amount by which 98% of our annual ordinary income and 98.2% of our capital gains exceed the distributions from such taxable income for the year. To the extent that we determine that our estimated current year annual taxable income will be in excess of estimated current year dividend distributions from such taxable income, we accrue excise taxes, if any, on estimated undistributed taxable income.
If we fail to satisfy the annual distribution requirement or otherwise fail to qualify as a RIC in any taxable year, we would be subject to tax on all of our taxable income at regular corporate rates. Distribution would generally be taxable to our individual and other non-corporate taxable stockholders as ordinary dividend income eligible for the reduced maximum rate applicable to qualified dividend income to the extent of our current and accumulated earnings and profits provided certain holding period and other requirements are met. Subject to certain limitation under the Code, corporate distributions would be eligible for the dividend-received deduction. To qualify again to be taxed as a RIC in a subsequent year, we would be required to distribute to our stockholders our accumulated earnings and profits attributable to non RIC years. In addition, if we failed to qualify as a RIC for a period greater than two taxable years, then, in order to qualify as a RIC in a subsequent year, we would be required to elect to recognize and pay tax on any net built-in gain (the excess of aggregate gain, including items of income, over aggregate loss that would have been realized if we had been liquidated) or, alternatively, be subject to taxation on such built-in gain recognized for a period of five years.
We follow ASC 740, Income Taxes (“ASC 740”). ASC 740 provides guidance for how uncertain tax positions should be recognized, measured, presented, and disclosed in the financial statements. ASC 740 requires the evaluation of tax positions taken or expected to be taken in the course of preparing our tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold are recorded as a tax benefit or expense in the current year. Penalties or interest, if applicable, that may be assessed relating to income taxes would be classified as other operating expenses in the financial statements. As of June 30, 2022, there were no uncertain tax positions and no amounts accrued for interest or penalties. Management’s determinations regarding ASC 740 may be subject to review and adjustment at a later date based upon factors including, but not limited to, an on-going analysis of tax laws, regulations and interpretations thereof. Although we file both federal and state income tax returns, our major tax jurisdiction is federal.
Retroactive Adjustments for Common Stock Reverse Split
The Company’s Board of Directors approved a one-for-three reverse stock split of the Company’s common stock on October 30, 2018, which was effective as of close of business as of November 30, 2018 (the “Reverse Stock Split”). All common share and common per share amounts in the financial statements and notes thereto have been retroactively adjusted for all periods presented to give effect to this reverse stock split as disclosed in Note 7.

61

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Recent Accounting Pronouncements
In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848),” which provides 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 amendments apply only to contracts, hedging relationships, and other transactions that reference London Interbank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued because of reference rate reform. In January 2021, the FASB issued ASU No. 2021-01, Reference Rate Reform (Topic 848), which expanded the scope of Topic 848 to include derivative instruments impacted by discounting transition. ASU 2020-04 and ASU 2021-01 are effective for all entities through December 31, 2022. The expedients and exceptions provided by the amendments do not apply to contract modifications and hedging relationships entered into or evaluated after December 31, 2022, except for hedging transactions as of December 31, 2022, that an entity has elected certain optional expedients for and that are retained through the end of the hedging relationship. The Company is currently evaluating the impact of the adoption of ASU 2020-04 and 2021-01 on its consolidated financial statements.
SEC Disclosure Update and Simplification
In December 2020, the SEC adopted Rule 2a-5. The rule establishes a consistent, principles-based framework for boards of directors to use in creating their own specific processes in order to determine fair values in good faith. The effective date for compliance with Rule 2a-5 is September 8, 2022. The Company continues to evaluate the potential impact that the rule will have on the Company’s financial statements.
Note 3. Related Party Agreements and Transactions
Investment Advisory Agreement with AIM
The Company has an investment advisory management agreement with the Investment Adviser (the “Investment Advisory Agreement”) under which AIM receives a fee from the Company, consisting of two components — a base management fee and a performance-based incentive fee.
Base Management Fee
Effective April 1, 2018, the base management fee is calculated initially at an annual rate of 1.50% (0.375% per quarter) of the lesser of (i) the average of the value of the Company’s gross assets, net of average of any payable for investments (excluding cash or cash equivalents but including other assets purchased with borrowed amounts) at the end of each of the two most recently completed calendar quarters and (ii) the average monthly value (measured as of the last day of each month) of the Company’s gross assets (excluding cash or cash equivalents but including other assets purchased with borrowed amounts) during the most recently completed calendar quarter; provided, however, in each case, the base management fee is calculated at an annual rate of 1.00% (0.250% per quarter) of the average of the value of the Company’s gross assets (excluding cash or cash equivalents but including other assets purchased with borrowed amounts) that exceeds the product of (A) 200% and (B) the value of the Company’s net asset value at the end of the prior calendar quarter. The base management fee will be payable quarterly in arrears. The value of the Company’s gross assets shall be calculated in accordance with the Company's valuation policies.

62

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Performance-based Incentive Fee
The incentive fee (the “Incentive Fee”) consists of two components that are determined 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 income and a portion is based on capital gains, each as described below:
A. Incentive Fee based on Income
Beginning January 1, 2019, the incentive fee on pre-incentive fee net investment income will be determined and paid quarterly in arrears by calculating the amount by which (x) the aggregate amount of the pre-incentive fee net investment income with respect of the current calendar quarter and each of the eleven preceding calendar quarters beginning with the calendar quarter that commences on or after April 1, 2018 (the “trailing twelve quarters”) exceeds (y) the preferred return amount in respect of the trailing twelve quarters.
The preferred return amount will be determined on a quarterly basis, and will be calculated by summing the amounts obtained by multiplying 1.75% by the Company’s net asset value at the beginning of each applicable calendar quarter comprising the relevant trailing twelve quarters. The preferred return amount will be calculated after making appropriate adjustments to the Company’s net asset value at the beginning of each applicable calendar quarter for Company capital issuances and distributions during the applicable calendar quarter.
The amount of the Incentive Fee on Income that will be paid to the Investment Adviser for a particular quarter will equal the excess of the incentive fee on pre-incentive fee net investment income, so calculated less the aggregate incentive fee on pre-incentive fee net investment income that were paid to the Investment Adviser (excluding waivers, if any) in the preceding eleven calendar quarters comprising the relevant trailing twelve quarters.
The Company will pay the Investment Adviser an incentive fee with respect to our pre-incentive fee net investment income in each calendar quarter as follows:
(1) no incentive fee in any calendar quarter in which our pre-incentive fee net investment income for the trailing twelve quarters does not exceed the preferred return amount.
(2) 100% of our pre-incentive fee net investment income for the trailing twelve quarters, if any, that exceeds the preferred return amount but is less than or equal to an amount (the “catch-up amount”) determined by multiplying 2.1875% by the Company’s net asset value at the beginning of each applicable calendar quarter comprising the relevant trailing twelve quarters.
(3) for any quarter in which the Company’s pre-incentive fee net investment income for the trailing twelve quarters exceeds the catch-up amount, the incentive fee shall equal 20% of the amount of the Company’s pre-incentive fee net investment income for such trailing twelve quarters.
The Incentive Fee on Income as calculated is subject to a cap (the “Incentive Fee Cap”). The Incentive Fee Cap in any quarter is an amount equal to (a) 20% of the Cumulative Pre-Incentive Fee Net Return (as defined below) during the relevant trailing twelve quarters less (b) the aggregate Incentive Fees on Income that were paid to the Investment Adviser (excluding waivers, if any) in the preceding eleven calendar quarters (or portion thereof) comprising the relevant trailing twelve quarters.
For this purpose, “Cumulative Pre-Incentive Fee Net Return” during the relevant trailing twelve quarters means (x) Pre-Incentive Fee Net Investment Income in respect of the trailing twelve quarters less (y) any Net Capital Loss, since April 1, 2018, in respect of the trailing twelve quarters. If, in any quarter, the Incentive Fee Cap is zero or a negative value, the Company shall pay no Incentive Fee on Income to the Investment Adviser in that quarter. If, in any quarter, the Incentive Fee Cap is a positive value but is less than the Incentive Fee on Income calculated in accordance with the calculation described above, the Company shall pay the Investment Adviser the Incentive Fee Cap for such quarter. If, in any quarter, the Incentive Fee Cap is equal to or greater than the Incentive Fee on Income calculated in accordance with the calculation described above, the Company shall pay the Investment Adviser the Incentive Fee on Income for such quarter.
“Net Capital Loss” in respect of a particular period means the difference, if positive, between (i) aggregate capital losses, whether realized or unrealized, in such period and (ii) aggregate capital gains, whether realized or unrealized, in such period.


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APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
B. Incentive Fee Based on Cumulative Net Realized Gains

The Incentive Fee on Capital Gains is determined and payable in arrears as of the end of each calendar year (or upon termination of the investment advisory management agreement). This fee shall equal 20.0% of the sum of the Company’s realized capital gains on a cumulative basis, calculated as of the end of each calendar year (or upon termination of investment advisory management agreement), computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis, less the aggregate amount of any Incentive Fees on Capital Gains previously paid to the Investment Adviser. The aggregate unrealized capital depreciation of the Company shall be calculated as the sum of the differences, if negative, between (a) the valuation of each investment in the Company’s portfolio as of the applicable calculation date and (b) the accreted or amortized cost basis of such investment.

For accounting purposes only, we are required under GAAP to accrue a theoretical capital gains incentive fee based upon net realized capital gains and unrealized capital gain and loss on investments held at the end of each period. The accrual of this theoretical capital gains incentive fee assumes all unrealized capital gain and loss is realized in order to reflect a theoretical capital gains incentive fee that would be payable to the Investment Adviser at each measurement date. There was no accrual for theoretical capital gains incentive fee for the three months ended June 30, 2022 and 2021. It should be noted that a fee so calculated and accrued would not be payable under the Investment Advisers Act of 1940 (the “Advisers Act”) or the investment advisory management agreement, and would not be paid based upon such computation of capital gains incentive fees in subsequent periods. Amounts actually paid to the Investment Adviser will be consistent with the Advisers Act and formula reflected in the investment advisory management agreement which specifically excludes consideration of unrealized capital gain.

For the three months ended June 30, 2022 and 2021, the Company recognized $8,949 and $8,813, respectively, of management fees, and $1,396 and $0, respectively, of incentive fees before impact of waived fees. For the three months ended June 30, 2022 and 2021, no management fees and no incentive fees were waived.
As of June 30, 2022 and March 31, 2022, management and performance-based incentive fees payable were $10,270 and $9,912, respectively.
Fee Offset

On January 16, 2019, the Company and AIM entered into a fee offset agreement in connection with revenue realized by AIM and its affiliates for the management of certain aircraft assets.  The Company will receive an offsetting credit against total incentive fees otherwise due to AIM under the investment advisory management agreement.  The amount offset will initially be 20% of the management fee revenue earned and incentive fee revenue realized by AIM and its affiliates in connection with managing aircraft assets on related insurance balance sheets (“New Balance Sheet Investments”), new aircraft managed account capital (“New Managed Accounts”) and new dedicated aircraft funds (“New Aircraft Funds”). Once the aggregate capital raised by the New Aircraft Funds or New Managed Accounts and capital invested by the New Balance Sheet Investments exceeds $3 billion cumulatively, the fee offset will step down to 10% of the amount of incremental management fee revenue earned and incentive fee revenue realized by AIM and its affiliates. The fee offset will be in place for seven years, however the incentive fees realized by AIM and its affiliates after this seven-year period from applicable investments that were raised or made within the seven-year period will also be used to offset incentive fees payable to AIM by the Company. The offset will be limited to the amount of incentive fee payable by the Company to AIM and any unapplied fee offset which exceeds the incentive fees payable in a given quarter will carry forward to be credited against the incentive fees payable by the Company in subsequent quarters.
For the three months ended June 30, 2022 and 2021, management fee offset was $75 and $0, respectively.

64

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Administration Agreement with AIA
The Company has also entered into an administration agreement with the Administrator (the “Administration Agreement”) under which AIA provides administrative services for the Company. For providing these services, facilities and personnel, the Company reimburses the Administrator for the allocable portion of overhead and other expenses incurred by the Administrator and requested to be reimbursed by the Administrator in performing its obligations under the Administration Agreement. The expenses include rent and the Company’s allocable portion of compensation and other related expenses for its Chief Financial Officer, Chief Legal Officer and Chief Compliance Officer and their respective staffs. For the three months ended June 30, 2022 and 2021, the Company recognized administrative services expense under the Administration Agreement of $1,286 and $1,271, respectively. There was no payable to AIA and its affiliates for expenses paid on our behalf as of June 30, 2022 and March 31, 2022.
Administrative Service Expense Reimbursement
Merx Aviation Finance, LLC (“Merx”), a wholly-owned portfolio company of the Company, has entered into an administration agreement with the Administrator (the “Merx Administration Agreement”) under which AIA provides administrative services to Merx and several Merx managed entities. For the three months ended June 30, 2022 and 2021, the Company recognized administrative service expense reimbursements of $75 and $75, respectively, under the Merx Administration Agreement.
Debt Expense Reimbursements
The Company has also entered into debt expense reimbursement agreements with Merx and several other portfolio companies, which will reimburse the Company for reasonable out-of-pocket expenses incurred, including any interest, fees or other amounts incurred by the Company in connection with letters of credit issued on their behalf. For the three months ended June 30, 2022 and 2021, the Company recognized debt expense reimbursements of $153 and $1, respectively, under the debt expense reimbursement agreements.
Co-Investment Activity
We may co-invest on a concurrent basis with affiliates of ours, subject to compliance with applicable regulations and our allocation procedures. Certain types of negotiated co-investments may be made only in accordance with the terms of the exemptive order we received from the SEC permitting us to do so. On March 29, 2016, we received an exemptive order from the SEC, which was amended on December 29, 2021 (the “Order”) permitting us greater flexibility to negotiate the terms of co-investment transactions with certain of our affiliates, including investment funds managed by AIM or its affiliates and Apollo proprietary accounts, subject to the conditions included therein. Under the terms of the Order, a “required majority” (as defined in Section 57(o) of the 1940 Act) of our independent directors must be able to reach certain conclusions in connection with a co-investment transaction, including that (1) the terms of the proposed transaction are reasonable and fair to us and our stockholders and do not involve overreaching of us or our stockholders on the part of any person concerned, and (2) the transaction is consistent with the interests of our stockholders and is consistent with our Board of Directors’ approved criteria. In certain situations where co-investment with one or more funds managed by AIM or its affiliates is not covered by the Order, the personnel of AIM or its affiliates will need to decide which fund will proceed with the investment. Such personnel will make these determinations based on allocation policies and procedures, which are designed to reasonably ensure that investment opportunities are allocated fairly and equitably among affiliated funds over time and in a manner that is consistent with applicable laws, rules and regulations. The Order is subject to certain terms and conditions so there can be no assurance that we will be permitted to co-invest with certain of our affiliates other than in the circumstances currently permitted by regulatory guidance and the Order.
As of June 30, 2022, the Company’s co-investment holdings were 72% of the portfolio or $1,828,815, measured at fair value. On a cost basis, 66% of the portfolio or $1,837,316 were co-investments. As of March 31, 2022, the Company’s co-investment holdings were 71% of the portfolio or $1,783,052, measured at fair value. On a cost basis, 65% of the portfolio or $1,780,779 were co-investments.
Merx Aviation
Effective January 16, 2019, Mr. Gary Rothschild, President and Chief Executive Officer of Merx, became an employee of Apollo Management Holdings, L.P. ("AMH"), an affiliate of the Company’s investment adviser. Mr. Rothschild also retained his role as the President and Chief Executive Officer of Merx.
65

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Effective January 16, 2019, Merx entered into a series of service arrangements with affiliates of AGM. Under a servicing agreement with Apollo Capital Management, L.P. (“ACM”), Merx serves as technical servicer to aircraft clients of ACM and its affiliates. Under a research support agreement with ACM, Merx employees assist ACM with technical due-diligence and underwriting of new aircraft-related investment opportunities. Under a technical support agreement, Merx and AMH share the services of Mr. Gary Rothschild, who is the President and Chief Executive Officer of Merx and an employee of AMH.

On April 1, 2020, $105,300 of the Merx first lien secured revolver held by the Company was converted into common equity. In addition, the interest rate on the revolver was lowered from 12% to 10%.

On July 1, 2021, $84,500 of the Merx common equity held by the Company was converted into the Merx first lien secured revolver. The balance of the Merx revolver as of June 30, 2022 was $275,000.
Note 4. Earnings Per Share
The following table sets forth the computation of earnings (loss) per share (“EPS”), pursuant to ASC 260-10, for the three months ended June 30, 2022 and 2021:
 Three Months Ended June 30,
 20222021
Basic Earnings Per Share
Net increase (decrease) in net assets resulting from operations$5,659 $32,144 
Weighted average shares outstanding63,558,246 65,200,856 
Basic earnings (loss) per share$0.09 $0.49 
66

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Note 5. Investments
Fair Value Measurement and Disclosures
The following table shows the composition of our investment portfolio as of June 30, 2022, with the fair value disaggregated into the three levels of the fair value hierarchy in accordance with ASC 820:
 Fair Value Hierarchy
CostFair ValueLevel 1Level 2Level 3
First Lien Secured Debt$2,325,867 $2,311,774 $— $14,669 $2,297,105 
Second Lien Secured Debt109,534 93,910 — — 93,910 
Structured Products and Other16,998 8,957 — — 8,957 
Preferred Equity41,182 30,953 — — 30,953 
Common Equity/Interests300,823 103,812 1,274 352 102,186 
Warrants135 98 — — 98 
Total Investments$2,794,539 $2,549,504 $1,274 $15,021 $2,533,209 
The following table shows the composition of our investments portfolio as of March 31, 2022, with the fair value disaggregated into the three levels of the fair value hierarchy in accordance with ASC 820:
 Fair Value Hierarchy
CostFair ValueLevel 1Level 2Level 3
First Lien Secured Debt$2,261,481 $2,259,506 $— $— $2,259,506 
Second Lien Secured Debt116,073 97,844 — — 97,844 
Structured Products and Other16,998 10,038 — — 10,038 
Preferred Equity41,152 30,162 — — 30,162 
Common Equity/Interests309,990 125,524 1,230 — 124,294 
Warrants135 99 — — 99 
Total Investments$2,745,829 $2,523,173 $1,230 $— $2,521,943 
The following table shows changes in the fair value of our Level 3 investments during the three months ended June 30, 2022:
First Lien Secured Debt (2)Second Lien Secured Debt (2)Unsecured DebtStructured Products and OtherPreferred EquityCommon Equity/InterestsWarrantsTotal
Fair value as of March 31, 2022$2,259,506 $97,844 $— $10,038 $30,162 $124,294 $99 $2,521,943 
Net realized gains (losses)(162)(27)— — — 503 — 314 
Net change in unrealized gains (losses)(11,814)2,606 — (1,081)761 (12,588)(1)(22,117)
Net amortization on investments4,006 57 — — — — — 4,063 
Purchases, including capitalized PIK (3)214,807 141 — — 30 25,125 — 240,103 
Sales (3)(170,611)(4,994)— — — (34,796)— (210,401)
Transfers out of Level 3 (1)(344)(1,717)— — — (352)— (2,413)
Transfers into Level 3 (1)1,717 — — — — — — 1,717 
Fair value as of June 30, 2022$2,297,105 $93,910 $— $8,957 $30,953 $102,186 $98 $2,533,209 
Net change in unrealized gains (losses) on Level 3 investments still held as of June 30, 2022$(11,507)$1,949 $— $(1,081)$761 $(12,474)$(1)$(22,353)
(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.
67

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
(2)Includes unfunded commitments measured at fair value of $(4,800).
(3)Includes reorganizations and restructuring of investments.
The following table shows changes in the fair value of our Level 3 investments during the three months ended June 30, 2021:
First Lien Secured Debt (2)Second Lien Secured Debt (2)Unsecured DebtStructured Products and OtherPreferred EquityCommon Equity/InterestsWarrantsTotal
Fair value as of March 31, 2021$1,907,807 $237,609 $22,000 $11,289 $22,537 $245,830 $1,595 $2,448,667 
Net realized gains (losses)279 — — — — — — 279 
Net change in unrealized gains (losses)8,277 (5,750)— 386 (258)3,916 256 6,827 
Net amortization on investments2,284 125 — — — — — 2,409 
Purchases, including capitalized PIK (3)294,515 485 — — — 2,000 — 297,000 
Sales (3)(202,350)(56,531)— — — (3,959)— (262,840)
Transfers out of Level 3 (1)(10,719)— — — — — — (10,719)
Transfers into Level 3 (1)— — — — — — — — 
Fair value as of June 30, 2021$2,000,093 $175,938 $22,000 $11,675 $22,279 $247,787 $1,851 $2,481,623 
Net change in unrealized gains (losses) on Level 3 investments still held as of June 30, 2021$5,151 $(5,834)$— $386 $(257)$3,917 $256 $3,619 
(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 $(5,576).
(3)Includes reorganizations and restructuring of investments.
68

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
The following tables summarize the significant unobservable inputs the Company used to value its investments categorized within Level 3 as of June 30, 2022 and March 31, 2022. 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 June 30, 2022 were as follows:
  Quantitative Information about Level 3 Fair Value Measurements
Asset CategoryFair ValueValuation Techniques/MethodologiesUnobservable InputRangeWeighted Average (1)
First Lien Secured Debt$275,000 Discounted Cash FlowDiscount Rate10.5%12.0%12.0%
Residual ValueResidual ValueN/AN/AN/A
82,006 Recent TransactionRecent TransactionN/AN/AN/A
359 Recovery AnalysisRecoverable AmountN/AN/AN/A
1,910,910 Yield AnalysisDiscount Rate6.3%53.3%10.2%
28,830 Recovery AnalysisSale ProceedsN/AN/AN/A
Second Lien Secured Debt6,109 Market Comparable ApproachComparable Multiple11.0x11.0x11.0x
4,198 Recovery AnalysisRecoverable AmountN/AN/AN/A
83,603 Yield AnalysisDiscount Rate11.8%21.8%14.9%
Structured Products and Other8,957 Yield AnalysisDiscount Rate11.0%11.0%11.0%
Preferred Equity26,151 Market Comparable ApproachComparable Multiple2.3x22.5x13.8x
4,425 Option Pricing ModelExpected Volatility70.0%70.0%70.0%
11 Recovery AnalysisRecoverable AmountN/AN/AN/A
78 Residual ValueResidual ValueN/AN/AN/A
288 Yield AnalysisDiscount Rate11.0%53.3%11.0%
Common Equity/Interests— Discounted Cash FlowDiscount Rate53.3%53.3%0.0%
9,395 Discounted Cash FlowDiscount Rate10.5%10.5%10.5%
Residual ValueResidual ValueN/AN/AN/A
13,738 Market Comparable ApproachComparable Multiple6.0x27.8x11.8x
40,657 Recent TransactionRecent TransactionN/AN/AN/A
714 Recovery AnalysisRecoverable AmountN/AN/AN/A
574 Yield AnalysisDiscount Rate11.0%11.0%11.0%
55 Market Comparable ApproachComparable Multiple22.5x22.5x22.5x
Option Pricing ModelExpected Volatility30.0%30.0%30.0%
37,053 Sale ProceedsSale ProceedsN/AN/AN/A
Warrants98 Option Pricing ModelExpected Volatility60.0%60.0%60.0%
Total Level 3 Investments$2,533,209 
_________________
(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 March 31, 2022 were as follows:
69

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
  Quantitative Information about Level 3 Fair Value Measurements
Asset CategoryFair ValueValuation Techniques/MethodologiesUnobservable InputRangeWeighted Average (1)
First Lien Secured Debt$275,000 Discounted Cash FlowDiscount Rate12.0%12.0%12.0%
Residual ValueResidual ValueN/AN/AN/A
62,975 Recent TransactionRecent TransactionN/AN/AN/A
558 Recovery AnalysisRecoverable AmountN/AN/AN/A
28,798 Recovery AnalysisSale ProceedsN/AN/AN/A
1,892,175 Yield AnalysisDiscount Rate5.1%52.3%8.9%
Second Lien Secured Debt5,657 Market Comparable TechniqueComparable Multiple12.3x12.3x12.3x
6,444 Recovery AnalysisRecoverable AmountN/AN/AN/A
85,743 Yield AnalysisDiscount Rate6.9%19.1%13.0%
Structured Products and Other10,038 Discounted Cash FlowDiscount Rate9.8%9.8%9.8%
Preferred Equity355 Discounted Cash FlowDiscount Rate10.0%10.0%10.0%
24,741 Market Comparable TechniqueComparable Multiple0.1x22.8x14.4x
4,988 Option Pricing ModelExpected Volatility80.0%80.0%80.0%
78 Residual ValueResidual ValueN/AN/AN/A
— Yield AnalysisDiscount Rate52.3%52.3%52.3%
Common Equity/Interests613 Discounted Cash FlowDiscount Rate10.0%52.3%10.0%
57,782 Discounted Cash FlowDiscount Rate10.1%11.0%10.6%
Residual ValueResidual ValueN/AN/AN/A
14,766 Market Comparable TechniqueComparable Multiple0.1x20.9x10.9x
42,331 Recent TransactionRecent TransactionN/AN/AN/A
— Recovery AnalysisRecoverable AmountN/AN/AN/A
7,762 Recovery AnalysisSale ProceedsN/AN/AN/A
85 Market Comparable TechniqueComparable Multiple22.8x22.8x22.8x
Option Pricing ModelExpected Volatility30.0%30.0%30.0%
325 N/A - PublicN/A - PublicN/AN/AN/A
630 Sale ProceedsSale ProceedsN/AN/AN/A
Warrants99 Option Pricing ModelExpected Volatility60.0%60.0%60.0%
Total Level 3 Investments$2,521,943 
____________________
(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.
70

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
The significant unobservable inputs used in the fair value measurement of the Company’s debt and equity securities are primarily earnings before interest, taxes, depreciation and amortization (“EBITDA”) comparable multiples and market discount rates. The Company typically uses EBITDA comparable multiples on its equity securities to determine the fair value of investments. The Company uses market discount rates for debt securities to determine if the effective yield on a debt security is commensurate with the market yields for that type of debt security. If a debt security’s effective yield is significantly less than the market yield for a similar debt security with a similar credit profile, the resulting fair value of the debt security may be lower. For certain investments where fair value is derived based on a recovery analysis, the Company uses underlying commodity prices from third party market pricing services to determine the fair value and/or recoverable amount, which represents the proceeds expected to be collected through asset sales or liquidation. Further, for certain investments, the Company also considered the probability of future events which are not in management’s control. Significant increases or decreases in any of these inputs in isolation would result in a significantly lower or higher fair value measurement. The significant unobservable inputs used in the fair value measurement of the structured products include the discount rate applied in the valuation models in addition to default and recovery rates applied to projected cash flows in the valuation models. Specifically, when a discounted cash flow model is used to determine fair value, the significant input used in the valuation model is the discount rate applied to present value the projected cash flows. Increases in the discount rate can significantly lower the fair value of an investment; conversely decreases in the discount rate can significantly increase the fair value of an investment. The discount rate is determined based on the market rates an investor would expect for a similar investment with similar risks. For certain investments such as warrants, the Company may use an option pricing technique, of which the applicable method is the Black-Scholes Option Pricing Method (“BSM”), to perform valuations. The BSM is a model of price variation over time of financial instruments, such as equity, that is used to determine the price of call or put options. Various inputs are required but the primary unobservable input into the BSM model is the underlying asset volatility.
Investment Transactions
For the three months ended June 30, 2022 and 2021, purchases of investments on a trade date basis were $227,422 and $295,213, respectively. For the three months ended June 30, 2022 and 2021, sales and repayments (including prepayments and unamortized fees) of investments on a trade date basis were $184,003 and $266,107, respectively.
PIK Income
The Company holds loans and other investments, including certain preferred equity investments, that have contractual PIK income. PIK income computed at the contractual rate is accrued into income and reflected as receivable up to the capitalization date. During the three months ended June 30, 2022 and 2021, PIK income earned was $956 and $1,536, respectively.
The following table shows the change in capitalized PIK balance for the three months ended June 30, 2022 and 2021:
Three Months Ended June 30,
20222021
PIK balance at beginning of period$39,228 $41,947 
PIK income capitalized731 1,786 
Adjustments due to investments exited or written off(124)— 
PIK income received in cash— — 
PIK balance at end of period$39,835 $43,733 
Dividend Income on CLOs
The Company holds structured products and other investments. The CLO equity investments are entitled to recurring distributions which are generally equal to the excess cash flow generated from the underlying investments after payment of the contractual payments to debt holders and fund expenses. The Company records as dividend income the accretable yield from its beneficial interests in structured products such as CLOs based upon a number of cash flow assumptions that are subject to uncertainties and contingencies. During the three months ended June 30, 2022 and 2021, dividend income from structured products was $336 and $312, respectively.
71

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Investments on Non-Accrual Status
As of June 30, 2022, 1.0% of total investments at amortized cost, or 0.3% of total investments at fair value, were on non-accrual status. As of March 31, 2022, 1.3% of total investments at amortized cost, or 0.6% of total investments at fair value, were on non-accrual status.
Unconsolidated Significant Subsidiaries
The following unconsolidated subsidiaries are considered significant subsidiaries under SEC Regulation S-X Rule 10-01(b)(1) as of June 30, 2022. Accordingly, summarized, unaudited, comparative financial information is presented below for the unconsolidated significant subsidiary.

Merx Aviation Finance, LLC

Merx Aviation Finance, LLC and its subsidiaries are principally engaged in acquiring and leasing commercial aircraft to airlines. Its focus is on current generation aircraft, held either domestically or internationally. Merx may acquire fleets of aircraft primarily through securitized, non-recourse debt or individual aircraft. Merx may outsource its aircraft servicing requirements to third parties that have the global staff and expertise necessary to complete such tasks. The following table shows unaudited summarized financial information for Merx:
Three Months Ended June 30,
20222021
Net revenue$36,446 $43,710 
Net operating income7,122 5,844 
Earnings (loss) before taxes(13,434)(4,943)
Net profit (loss)(13,456)(3,570)
Net profit (loss) after taxes attributable to non-controlling interests
(699)(980)
Net profit (loss) after taxes attributable to Merx Aviation
(12,756)(2,590)
Note 6. Debt and Foreign Currency Transactions and Translations
On April 4, 2018, the Company’s Board of Directors, including a “required majority” (as defined in Section 57(o) of the Investment Company Act of 1940, as amended) of the Board, approved the application of the modified asset coverage requirements set forth in Section 61(a)(2) of the Investment Company Act of 1940. As a result, effective on April 4, 2019, our asset coverage requirement applicable to senior securities was reduced from 200% to 150% (i.e., the revised regulatory leverage limitation permits BDCs to double the amount of borrowings, such that we would be able to borrow up to two dollars for every dollar we have in assets less all liabilities and indebtedness not represented by senior securities issued by us).


72

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
The Company’s outstanding debt obligations as of June 30, 2022 were as follows:
Date Issued/AmendedTotal Aggregate Principal Amount CommittedPrincipal Amount OutstandingFair ValueFinal Maturity Date
Senior Secured Facility12/22/2020$1,810,000 **$1,127,173 *$1,116,810 (1)12/22/2025
2025 Notes3/3/2015350,000 350,000 336,807 (2)3/3/2025
2026 Notes7/16/2021125,000 125,000 108,760 (2)7/16/2026
Total Debt Obligations$2,285,000 $1,602,173 $1,562,377 
Deferred Financing Cost and Debt Discount$(4,610)
Total Debt Obligations, net of Deferred Financing Cost and Debt Discount$1,597,563 
____________________
*Includes foreign currency debt obligations as outlined in Foreign Currency Transactions and Translations within this note to the financial statements.
** Lender commitments will remain $1,810,000 through November 19, 2022 and will then decrease to $1,705,000 thereafter.
(1)The fair value of these debt obligations would be categorized as Level 3 under ASC 820 as of June 30, 2022. The valuation is based on a yield analysis and discount rate commensurate with the market yields for similar types of debt.
(2)The fair value of these debt obligations would be categorized as Level 2 under ASC 820 as of June 30, 2022. The valuation is based on broker quoted prices.
The Company’s outstanding debt obligations as of March 31, 2022 were as follows:
 Date Issued/AmendedTotal Aggregate Principal Amount CommittedPrincipal Amount OutstandingFair ValueFinal Maturity Date
Senior Secured Facility12/22/2020$1,810,000 **$1,080,468 *$1,080,468 (1)12/22/2025
2025 Notes3/3/2015350,000 350,000 350,399 (2)3/3/2025
2026 Notes7/16/2021125,000 125,000 117,687 (2)7/16/2026
Total Debt Obligations$2,285,000 $1,555,468 $1,548,554 
Deferred Financing Cost and Debt Discount$(4,860)
Total Debt Obligations, net of Deferred Financing Cost and Debt Discount$1,550,608 
____________________
*Includes foreign currency debt obligations as outlined in Foreign Currency Transactions and Translations within this note to the financial statements.
** Lender commitments will remain $1,810,000 through November 19, 2022 and will then decrease to $1,705,000 thereafter.
(1)The fair value of these debt obligations would be categorized as Level 3 under ASC 820 as of March 31, 2022. The valuation is based on a yield analysis and discount rate commensurate with the market yields for similar types of debt.
(2)The fair value of these debt obligations would be categorized as Level 2 under ASC 820 as of March 31, 2022. The valuation is based on broker quoted prices.

73

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Senior Secured Facility
On December 22, 2020, the Company amended and restated its senior secured, multi-currency, revolving credit facility (the “Senior Secured Facility”), previously amended and restated as of November 19, 2018. Lender commitments in the amended and restated agreement will remain $1,810,000 through November 19, 2022 and will decrease to $1,705,000 thereafter. The amended and restated agreement extended the final maturity date through December 22, 2025, and includes an accordion provision which allows the Company to increase the total commitments under the existing revolving facility up to an aggregate principal amount of $2,715,000 from new or existing lenders on the same terms and conditions as the existing commitments. The Senior Secured Facility is secured by substantially all of the assets in the Company’s portfolio, including cash and cash equivalents. Commencing December 22, 2024, the Company is required to repay, in twelve consecutive monthly installments of equal size, the outstanding amount under the Senior Secured Facility as of December 22, 2024. In addition, the stated interest rate on the facility remains as a formula-based calculation based on a minimum borrowing base, resulting in a stated interest rate, depending on the type of borrowing, of (a) either LIBOR plus 1.75% per annum or LIBOR plus 2.00% per annum, or (b) either Alternate Base Rate plus 0.75% per annum or Alternate Base Rate plus 1% per annum. As of June 30, 2022, the stated interest rate on the facility was LIBOR plus 2.00% or the Sterling Overnight Index Average (“SONIA”) plus 2.00%. The Company is required to pay a commitment fee of 0.375% per annum on any unused portion of the Senior Secured Facility and participation fees and fronting fees of up to 2.25% per annum on the letters of credit issued.
The Senior Secured Facility contains affirmative and restrictive covenants, events of default and other customary provisions for similar debt facilities, including: (a) periodic financial reporting requirements, (b) maintaining minimum stockholders’ equity of the greater of (i) 30% of the total assets of the Company and its consolidated subsidiaries as of the last day of any fiscal quarter and (ii) the sum of (A) $705,000 plus (B) 25% of the net proceeds from the sale of equity interests in the Company after the closing date of the Senior Secured Facility, (c) maintaining a ratio of total assets, less total liabilities (other than indebtedness) to total indebtedness, in each case of the Company and its consolidated subsidiaries, of not less than 1.5:1.0, (d) limitations on the incurrence of additional indebtedness, including a requirement to meet a certain minimum liquidity threshold before the Company can incur such additional debt, (e) limitations on liens, (f) limitations on investments (other than in the ordinary course of the Company’s business), (g) limitations on mergers and disposition of assets (other than in the normal course of the Company’s business activities), (h) limitations on the creation or existence of agreements that permit liens on properties of the Company’s consolidated subsidiaries and (i) limitations on the repurchase or redemption of certain unsecured debt and debt securities. In addition to the asset coverage ratio described in clause (c) of the preceding sentence, borrowings under the Senior Secured Facility (and the incurrence of certain other permitted debt) are subject to compliance with a borrowing base that applies different advance rates to different types of assets in the Company’s portfolio. The advance rate applicable to any specific type of asset in the Company’s portfolio will also depend on the relevant asset coverage ratio as of the date of determination. Borrowings under the Senior Secured Facility will also continue to be subject to the leverage restrictions contained in the Investment Company Act of 1940, as amended.

The Senior Secured Facility also provides for the issuance of letters of credit up to an aggregate amount of $150,000. As of June 30, 2022 and March 31, 2022, the Company had $27,037 and $26,877, respectively, in standby letters of credit issued through the Senior Secured Facility. The amount available for borrowing under the Senior Secured Facility is reduced by any standby letters of credit issued through the Senior Secured Facility. Under GAAP, these letters of credit are considered commitments because no funding has been made and as such are not considered a liability. These letters of credit are not senior securities because they are not in the form of a typical financial guarantee and the portfolio companies are obligated to refund any drawn amounts. The available remaining capacity under the Senior Secured Facility was $655,790 and $702,655 as of June 30, 2022 and March 31, 2022, respectively. Terms used in this disclosure have the meanings set forth in the Senior Secured Facility agreement.
Senior Unsecured Notes
2025 Notes
On March 3, 2015, the Company issued $350,000 aggregate principal amount of senior unsecured notes for net proceeds of $343,650 (the “2025 Notes”). The 2025 Notes will mature on March 3, 2025. Interest on the 2025 Notes is due semi-annually on March 3 and September 3, at an annual rate of 5.25%, commencing on September 3, 2015. The 2025 Notes are general, unsecured obligations and rank equal in right of payment with all of our existing and future senior unsecured indebtedness.
74

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
2026 Notes
On July 16, 2021, the Company issued $125,000 aggregate principal amount of general unsecured notes for net proceeds of $122,965 (the “2026 Notes”). The 2026 Notes will mature on July 16, 2026. Interest on the 2026 Notes is due semi-annually on January 16 and July 16, at an annual rate of 4.50%, commencing on January 16, 2022. The 2026 Notes are general, unsecured obligations and rank equal in right of payment with all of our existing and future senior unsecured indebtedness.
The following table summarizes the average and maximum debt outstanding, and the interest and debt issuance cost for the three months ended June 30, 2022 and 2021:
Three Months Ended June 30,
20222021
Average debt outstanding$1,620,503 $1,459,775 
Maximum amount of debt outstanding1,669,385 1,491,655 
Weighted average annualized interest cost (1)3.66%3.08%
Annualized amortized debt issuance cost0.36%0.40%
Total annualized interest cost4.02%3.48%
____________________
(1)Includes the stated interest expense and commitment fees on the unused portion of the Senior Secured Facility. Commitment fees for the three months ended June 30, 2022 and 2021 were $599 and $660, respectively.
Foreign Currency Transactions and Translations
The Company had the following foreign-denominated debt outstanding on the Senior Secured Facility as of June 30, 2022:
Original Principal Amount (Local)Original Principal Amount (USD)Principal Amount OutstandingUnrealized Gain/(Loss) Reset Date
British Pound£41,000 $51,037 $49,930 $1,107 7/29/2022
Australian DollarA$6,200 4,543 4,280 263 7/29/2022
$55,580 $54,210 $1,370 
The Company had the following foreign-denominated debt outstanding on the Senior Secured Facility as of March 31, 2022:
Original Principal Amount (Local)Original Principal Amount (USD)Principal Amount OutstandingUnrealized
Gain/(Loss)
Reset Date
British Pound£41,000 $51,037 $53,866 $(2,829)4/29/2022
Australian DollarA$6,200 4,543 4,639 (96)4/29/2022
$55,580 $58,505 $(2,925)
As of June 30, 2022 and March 31, 2022, the Company was in compliance with all debt covenants for all outstanding debt obligations.
75

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)

Note 7. Stockholders’ Equity
There were no equity offerings of common stock during the three months ended June 30, 2022 and March 31, 2022.
The Company adopted the following plans, approved by the Board of Directors, for the purpose of repurchasing its common stock in accordance with applicable rules specified in the Securities Exchange Act of 1934 (the “1934 Act”) (the “Repurchase Plans”):
Date of Agreement/AmendmentMaximum Cost of Shares That May Be RepurchasedCost of Shares RepurchasedRemaining Cost of Shares That May Be Repurchased
August 5, 2015$50,000 $50,000 $— 
December 14, 2015
50,000 50,000 — 
September 14, 201650,000 50,000 — 
October 30, 201850,000 50,000 — 
February 6, 201950,000 45,809 4,191 
February 3, 202225,000 — 25,000 
Total as of June 30, 2022$275,000 $245,809 $29,191 
The Repurchase Plans were designed to allow the Company to repurchase its shares both during its open window periods and at times when it otherwise might be prevented from doing so under applicable insider trading laws or because of self-imposed trading blackout periods. A broker selected by the Company will have the authority under the terms and limitations specified in an agreement with the Company to repurchase shares on the Company’s behalf in accordance with the terms of the Repurchase Plans. Repurchases are subject to SEC regulations as well as certain price, market volume and timing constraints specified in the Repurchase Plans. Pursuant to the Repurchase Plans, the Company may from time to time repurchase a portion of its shares of common stock and the Company is hereby notifying stockholders of its intention as required by applicable securities laws.

76

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Under the Repurchase Plans described above, the Company allocated the following amounts to be repurchased in accordance with SEC Rule 10b5-1 (the “10b5-1 Repurchase Plans”):
Effective DateTermination DateAmount Allocated to 10b5-1 Repurchase Plans
September 15, 2015November 5, 2015$5,000 
January 1, 2016February 5, 201610,000 
April 1, 2016May 19, 20165,000 
July 1, 2016August 5, 201615,000 
September 30, 2016November 8, 201620,000 
January 4, 2017February 6, 201710,000 
March 31, 2017May 19, 201710,000 
June 30, 2017August 7, 201710,000 
October 2, 2017November 6, 201710,000 
January 3, 2018February 8, 201810,000 
June 18, 2018August 9, 201810,000 
September 17, 2018October 31, 201810,000 
December 12, 2018February 7, 201910,000 
February 25, 2019May 17, 201925,000 
March 18, 2019May 17, 201910,000 
June 4, 2019August 7, 201925,000 
June 17, 2019August 7, 201920,000 
September 16, 2019November 6, 201920,000 
December 6, 2019February 5, 202025,000 
December 16, 2019February 5, 202015,000 
March 12, 2020March 19, 202020,000 
March 30, 2021May 21, 202110,000 
June 16, 2021November 5, 202110,000 
December 16, 2021August 3, 2022*5,000 
____________________
* The amount allocated to the plan had been fully utilized on May 3, 2022.
During the three months ended June 30, 2022, the Company repurchased 128,522 shares at a weighted average price per share of $12.74, inclusive of commissions, for a total cost of $1,638. This represents a discount of approximately 18.61% of the average net asset value per share for the three months ended June 30, 2022.
During the three months ended June 30, 2021, the Company repurchased 145,572 shares at a weighted average price per share of $13.92, inclusive of commissions, for a total cost of $2,026. This represents a discount of approximately 12.72% of the average net asset value per share for the three months ended June 30, 2021.

Since the inception of the Repurchase Plans through June 30, 2022, the Company repurchased 15,395,036 shares at a weighted average price per share of $15.97, inclusive of commissions, for a total cost of $245,809. Including fractional shares, the Company has repurchased 15,395,066 shares at a weighted average price per share of $15.97, inclusive of commissions for a total cost of $245,810.
On October 30, 2018, the Company’s Board of Directors approved a one-for-three reverse stock split of the Company’s common stock which was effective as of the close of business on November 30, 2018. The Company's common stock began trading on a split-adjusted basis on December 3, 2018. The fractional shares that resulted from the Reverse Stock Split were approximately 29 shares and they were canceled by paying cash in lieu of the fair value.

77

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
On July 22, 2019, the Board of Directors approved Articles of Amendment which amended the Company’s charter to reduce the amount of authorized capital stock from 400,000,000 shares, par value $0.001 per share, to 130,000,000 shares, par value $0.001 per share. The Articles of Amendment were accepted for record by the Department of Assessments and Taxation of the State of Maryland on July 22, 2019 and immediately became effective.


Note 8. Commitments and Contingencies
The Company has various commitments to fund various revolving and delayed draw senior secured and subordinated loans, including commitments to issue letters of credit through a financial intermediary on behalf of certain portfolio companies. As of June 30, 2022 and March 31, 2022, the Company had the following unfunded commitments to its portfolio companies:
June 30, 2022March 31, 2022
Unfunded revolver obligations and bridge loan commitments (1)$179,927 $182,645 
Standby letters of credit issued and outstanding (2)
31,916 31,188 
Unfunded delayed draw loan commitments (including commitments with performance thresholds not met) (3)287,926 272,787 
Total Unfunded Commitments (4)$499,769 $486,620 
____________________
(1)The unfunded revolver obligations may or may not be funded to the borrowing party in the future. The amounts relate to loans with various maturity dates, but the entire amount was eligible for funding to the borrowers as of June 30, 2022 and March 31, 2022, subject to the terms of each loan’s respective credit agreements which includes borrowing covenants that need to be met prior to funding. As of June 30, 2022 and March 31, 2022, the bridge loan commitments included in the balances were $0 and $0, respectively.
(2)For all these letters of credit issued and outstanding, the Company would be required to make payments to third parties if the portfolio companies were to default on their related payment obligations. None of the letters of credit issued and outstanding are recorded as a liability on the Company’s Statements of Assets and Liabilities as such letters of credit are considered in the valuation of the investments in the portfolio company.
(3)The Company’s commitment to fund delayed draw loans is triggered upon the satisfaction of certain pre-negotiated terms and conditions which can include covenants to maintain specified leverage levels and other related borrowing base covenants. For commitments to fund delayed draw loans with performance thresholds, borrowers are required to meet certain performance requirements before the Company is obligated to fulfill these commitments.
(4)The Company also had an unfunded revolver commitment to its fully controlled affiliate Merx Aviation Finance, LLC of $25,000 and $25,000 as of June 30, 2022 and March 31, 2022, respectively. Given the Company’s controlling interest, the timing and the amount of the funding has not been determined.

78

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
Note 9. Financial Highlights
The following is a schedule of financial highlights for the three months ended June 30, 2022 and 2021.
Three Months Ended June 30, 2022Three Months Ended June 30, 2021
(Unaudited)(Unaudited)
Per Share Data*
Net asset value at beginning of period$15.79 $15.88 
Net investment income (1)0.37 0.39 
Net realized and change in unrealized gains (losses) (1)(0.28)0.10 
Net increase in net assets resulting from operations0.09 0.49 
Distribution of net investment income (2)(0.36)(0.36)
Distribution of return of capital (2)— — 
Accretion due to share repurchases0.00 0.00 
Net asset value at end of period$15.52 $16.02 
Per share market value at end of period$10.77 $13.65 
Total return (3)(15.92)%2.11 %
Shares outstanding at end of period63,518,718 65,113,604 
Weighted average shares outstanding63,558,246 65,200,856 
Ratio/Supplemental Data
Net assets at end of period (in millions)$986.0 $1,043.0 
Annualized ratio of operating expenses to average net assets (4)(5)5.52 %4.84 %
Annualized ratio of interest and other debt expenses to average net assets (5)6.54 %4.88 %
Annualized ratio of total expenses to average net assets (4)(5)12.05 %9.73 %
Annualized ratio of net investment income to average net assets (5)9.47 %9.78 %
Average debt outstanding (in millions)$1,620.5 $1,459.8 
Average debt per share$25.50 $22.39 
Annualized portfolio turnover rate (5)29.10 %43.20 %
Asset coverage per unit (6)$1,605 $1,699 
____________________
*Totals may not foot due to rounding.
(1)Financial highlights are based on the weighted average number of shares outstanding for the period presented.
(2)The tax character of distributions are determined based on taxable income calculated in accordance with income tax regulations which may differ from amounts determined under GAAP. Although the tax character of distributions paid to stockholders through June 30, 2022 may include return of capital, the exact amount cannot be determined at this point. Per share amounts are based on actual rate per share.
(3)Total return is based on the change in market price per share during the respective periods. Total return also takes into account distributions, if any, reinvested in accordance with the Company’s dividend reinvestment plan. Total return does not reflect sales load.
79

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
(4)The ratio of operating expenses to average net assets and the ratio of total expenses to average net assets are shown inclusive of all voluntary management and incentive fee waivers (See Note 3 to the financial statements). For the three months ended June 30, 2022, the annualized ratio of operating expenses to average net assets and the annualized ratio of total expenses to average net assets would be 5.58% and 12.17%, respectively, without the voluntary fee waivers. For the Three months ended June 30, 2021, the ratio of operating expenses to average net assets and the ratio of total expenses to average net assets would be 4.87% and 9.75%, respectively, without the voluntary fee waivers.
(5)Annualized for the three months ended June 30, 2022 and 2021.
(6)The asset coverage ratio for a class of senior securities representing indebtedness is calculated as our total assets, less all liabilities and indebtedness not represented by senior securities, divided by senior securities representing indebtedness. This asset coverage ratio is multiplied by one thousand to determine the asset coverage per unit.
Note 10. Subsequent Events
Management has evaluated subsequent events through the date of issuance of these financial statements and has determined that there are no subsequent events outside the ordinary scope of business that require adjustment to, or disclosure in, the financial statements other than those disclosed below.
On August 1, 2022, the Board of Directors approved an offering directly to an investor of 1,932,641 shares of the Company’s common stock, par value $0.001 per share at a purchase price of $15.5228 per share, which is the net asset value per share of the Company’s common stock as of June 30, 2022.
On August 1, 2022, the Board of Directors approved changing the Company’s name from Apollo Investment Corporation to MidCap Financial Investment Corporation, effective August 12, 2022. The Company’s common stock will begin to trade under the ticker “MFIC” on the NASDAQ Global Stock Market on or about August 12, 2022.
On August 1, 2022, pursuant to Section 15(c) of the Investment Company Act of 1940, as amended, the Board of Directors also approved the Fourth Amended and Restated Investment Advisory Agreement between the Company and Apollo Investment Management, L.P (the “New Advisory Agreement”). Under the New Advisory Agreement, the base management fee was reduced to 1.75% of the Company’s net assets from 1.50% on the Company’s gross assets (and 1.00% on gross assets exceeding a 200% of net assets), effective as of January 1, 2023. The incentive fee on income was also reduced to 17.5% from 20%, effective as of January 1, 2023. The performance threshold remains 7% and there was no change to the total return requirement, other than accounting for the change in the incentive fee for the period following January 1, 2023, or catch-up provision. The incentive fee on capital gains was also reduced to 17.5% from 20%.
On August 1, 2022, the Company made the following senior management and Board of Director changes:
Howard T. Widra, who served as Chief Executive Officer since 2018 and as President from 2016 to 2018, has been named Executive Chairman of the Board of Directors. Mr. Widra will continue to serve as Apollo’s Head of Direct Origination.
Tanner Powell, who served as President of the Company and Chief Investment Officer for AIM since 2018, has been promoted to Chief Executive Officer of the Company.
Ted McNulty, who is a Managing Director in Apollo’s Direct Origination business, has been promoted to President of the Company and Chief Investment Officer for AIM.
Kristin Hester, who has served as the General Counsel of the Company since 2020, has been promoted to Chief Legal Officer and Secretary of the Company.
Joseph Glatt who served as the Company’s Chief Legal Officer and Secretary since 2011, was promoted to a new role as Partner in Apollo’s U.S. Financial Institutions Group.
John Hannan, who has served as Chairman of the Board of Directors since 2006, will now serve as Vice Chairman of the Board of Directors.
80

APOLLO INVESTMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
(In thousands, except share and per share data)
On August 1, 2022, the Company’s Board of Directors (the “Board”) declared a distribution of $0.32 per share, payable on October 11, 2022 to stockholders of record as of September 20, 2022. There can be no assurances that the Board will continue to declare a base distribution of $0.32 per share.
81

Report of Independent Registered Public Accounting Firm
To the stockholders and Board of Directors of Apollo Investment Corporation
Results of Review of Interim Financial Information

We have reviewed the accompanying statement of assets and liabilities, including the schedule of investments, of Apollo Investment Corporation (the “Company”) as of June 30, 2022, the related statements of operations, changes in net assets, cash flows, and financial highlights for the three-month period ended June 30, 2022, 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.

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 Public Company Accounting Oversight Board (United States) (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 review 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 LLP
New York, New York
August 2, 2022

82

Report of Independent Registered Public Accounting Firm
To the Board of Directors and Stockholders of Apollo Investment Corporation
Results of Review of Interim Financial Statements

We have reviewed the accompanying statements of operations, of changes in net assets and of cash flows of Apollo Investment Corporation (the “Company”) for the three-month period ended June 30, 2021, including the related notes (collectively referred to as the “interim financial statements”). Based on our review, we are not aware of any material modifications that should be made to the accompanying interim financial statements for them to be in conformity with accounting principles generally accepted in the United States of America.

Basis for Review Results

These interim financial statements are the responsibility of the Company’s management. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“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 review in accordance with the 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/ PricewaterhouseCoopers LLP
New York, New York
August 5, 2021
83

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
The following analysis of our financial condition and results of operations should be read in conjunction with our financial statements and the notes thereto contained elsewhere in this report. Some of the statements in this report constitute forward-looking statements, which relate to future events or our future performance or financial condition. The forward-looking statements contained herein involve risks and uncertainties, including statements as to:
our future operating results;
our business prospects and the prospects of our portfolio companies;
the impact of investments that we expect to make;
our contractual arrangements and relationships with third parties;
the dependence of our future success on the general economy and its impact on the industries in which we invest;
the ability of our portfolio companies to achieve their objectives;
our expected financings and investments;
the adequacy of our cash resources and working capital;
the current and future effects of the COVID-19 pandemic on us and our portfolio companies; and
the timing of cash flows, if any, from the operations of our portfolio companies.
We generally use words such as “anticipates,” “believes,” “expects,” “intends” and similar expressions to identify forward-looking statements. Our actual results could differ materially from those projected in the forward-looking statements for any reason, including any factors set forth in “Risk Factors” and elsewhere in this report.
We have based the forward-looking statements included in this report on information available to us on the date of this report, and we assume no obligation to update any such forward-looking statements. Although we undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that we may make directly to you or through reports that we in the future may file with the Securities and Exchange Commission (“SEC”), including any annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.
84

Overview
Apollo Investment Corporation (the “Company,” “Apollo Investment,” “AIC,” “we,” “us,” or “our”) was incorporated under the Maryland General Corporation Law in February 2004. We have elected to be treated as a business development company (“BDC”) under the Investment Company Act of 1940 (the “1940 Act”). As such, we are required to comply with certain regulatory requirements. For instance, we generally have to invest at least 70% of our total assets in “qualifying assets,” including securities of private or thinly traded public U.S. companies, cash equivalents, U.S. government securities and high-quality debt investments that mature in one year or less. In addition, for federal income tax purposes we have elected to be treated as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). Pursuant to this election and assuming we qualify as a RIC, we generally do not have to pay corporate-level federal income taxes on any income we distribute to our stockholders. We commenced operations on April 8, 2004 upon completion of our initial public offering that raised $870 million in net proceeds from selling 62 million shares of common stock at a price of $15.00 per share (20.7 million shares at a price of $45.00 per share adjusted for the one-for-three reverse stock split). Since then, and through June 30, 2022, we have raised approximately $2.21 billion in net proceeds from additional offerings of common stock and we have repurchased common stock for $245.8 million.
Apollo Investment Management, L.P. (the “Investment Adviser” or “AIM”) is our investment adviser and an affiliate of Apollo Global Management, Inc. and its consolidated subsidiaries (“AGM”). The Investment Adviser, subject to the overall supervision of our Board of Directors, manages the day-to-day operations of, and provides investment advisory services to the Company. AGM and other affiliates manage other funds that may have investment mandates that are similar, in whole or in part, with ours. AIM and its affiliates may determine that an investment is appropriate both 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, AIM may determine that we should invest on a side-by-side basis with one or more other funds. We make all such investments subject to compliance with applicable regulations and interpretations, and our allocation procedures. Certain types of negotiated co-investments may be made only in accordance with the terms of the exemptive order (the “Order”) we received from the SEC permitting us to do so. Under the terms of the Order, a “required majority” (as defined in Section 57(o) of the 1940 Act) of our independent directors must be able to reach certain conclusions in connection with a co-investment transaction, including that (1) the terms of the proposed transaction are reasonable and fair to us and our stockholders and do not involve overreaching of us or our stockholders on the part of any person concerned, and (2) the transaction is consistent with the interests of our stockholders and is consistent with our Board of Directors’ approved criteria. In certain situations where co-investment with one or more funds managed by AIM or its affiliates is not covered by the Order, the personnel of AIM or its affiliates will need to decide which fund will proceed with the investment. Such personnel will make these determinations based on allocation policies and procedures, which are designed to reasonably ensure that investment opportunities are allocated fairly and equitably among affiliated funds over time and in a manner that is consistent with applicable laws, rules and regulations. The Order is subject to certain terms and conditions so there can be no assurance that we will be permitted to co-invest with certain of our affiliates other than in the circumstances currently permitted by regulatory guidance and the Order.

Apollo Investment Administration, LLC (the “Administrator” or “AIA”), an affiliate of AGM, provides, among other things, administrative services and facilities for the Company. In addition to furnishing us with office facilities, equipment, and clerical, bookkeeping and recordkeeping services, AIA also oversees our financial records as well as prepares our reports to stockholders and reports filed with the SEC. AIA also performs the calculation and publication of our net asset value, the payment of our expenses and oversees the performance of various third-party service providers and the preparation and filing of our tax returns. Furthermore, AIA provides on our behalf managerial assistance to those portfolio companies to which we are required to provide such assistance.
COVID-19 Developments
The impact of the COVID-19 pandemic has rapidly evolved around the globe, causing disruption in the U.S. and global economies. Although the global economy continued reopening in early 2022 and robust economic activity has supported a continued recovery, certain geographies, most notably China, have experienced setbacks.

The uncertainty surrounding the COVID-19 pandemic, including uncertainty regarding new variants of COVID-19 that have emerged and other factors have and may continue to contribute to significant volatility in the global markets. While vaccine availability and uptake has increased, the longer-term macro-economic effects on global supply chains, inflation, labor shortages and wage increases continue to impact many industries, including the collateral underlying certain of our loans. COVID-19 and the current financial, economic and capital markets environment, and future developments in these and other areas present uncertainty and risk with respect to our performance, financial condition, results of operations and ability to pay distributions.
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Investments
Our investment objective is to generate current income and capital appreciation. We invest primarily in various forms of debt investments, including secured and unsecured debt, loan investments, and/or equity in private middle-market companies. We may also invest in the securities of public companies and in structured products and other investments such as collateralized loan obligations (“CLOs”) and credit-linked notes (“CLNs”). Our portfolio is comprised primarily of investments in debt, including secured and unsecured debt of private middle-market companies that, in the case of senior secured loans, generally are not broadly syndicated and whose aggregate tranche size is typically less than $250 million. Our portfolio also includes equity interests such as common stock, preferred stock, warrants or options.
Our level of investment activity can and does vary substantially from period to period depending on many factors, including the amount of debt and equity capital available to middle-market companies, the level of merger and acquisition activity for such companies, the general economic environment, the competitive environment for the types of investments we make and, more recently, market disruptions due to COVID-19. As a BDC, we must not acquire any assets other than “qualifying assets” specified in the 1940 Act unless, at the time the acquisition is made, at least 70% of our total assets are qualifying assets (with certain limited exceptions). As of June 30, 2022, non-qualifying assets represented approximately 9.3% of the total assets of the Company.
Revenue
We generate revenue primarily in the form of interest and dividend income from the securities we hold and capital gains, if any, on investment securities that we may acquire in portfolio companies. Our debt investments, whether in the form of mezzanine or senior secured loans, generally have a stated term of five to ten years and bear interest at a fixed rate or a floating rate usually determined on the basis of a benchmark, such as the London Interbank Offered Rate (“LIBOR”), the Euro Interbank Offered Rate (“EURIBOR”), the federal funds rate, or the prime rate. Interest on debt securities is generally payable quarterly or semiannually and while U.S. subordinated debt and corporate notes typically accrue interest at fixed rates, some of our investments may include zero coupon and/or step-up bonds that accrue income on a constant yield to call or maturity basis. In addition, some of our investments provide for payment-in-kind (“PIK”) interest or dividends. Such amounts of accrued PIK interest or dividends are added to the cost of the investment on the respective capitalization dates and generally become due at maturity of the investment or upon the investment being called by the issuer. We may also generate revenue in the form of commitment, origination, structuring fees, fees for providing managerial assistance and, if applicable, consulting fees, etc.
Expenses
For all investment professionals of AIM and their staff, when and to the extent engaged in providing investment advisory and management services to us, the compensation and routine overhead expenses of that personnel which is allocable to those services are provided and paid for by AIM. We bear all other costs and expenses of our operations and transactions, including those relating to:
investment advisory and management fees;
expenses incurred by AIM payable to third parties, including agents, consultants or other advisors, in monitoring our financial and legal affairs and in monitoring our investments and performing due diligence on our prospective portfolio companies;
calculation of our net asset value (including the cost and expenses of any independent valuation firm);
direct costs and expenses of administration, including independent registered public accounting and legal costs;
costs of preparing and filing reports or other documents with the SEC;
interest payable on debt, if any, incurred to finance our investments;
offerings of our common stock and other securities;
registration and listing fees;
fees payable to third parties, including agents, consultants or other advisors, relating to, or associated with, evaluating and making investments;
transfer agent and custodial fees;
taxes;
independent directors’ fees and expenses;
marketing and distribution-related expenses;
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the costs of any reports, proxy statements or other notices to stockholders, including printing and postage costs;
our allocable portion of the fidelity bond, directors and officers/errors and omissions liability insurance, and any other insurance premiums;
organizational costs; and
all other expenses incurred by us or the Administrator in connection with administering our business, such as our allocable portion of overhead under the administration agreement, including rent and our allocable portion of the cost of our Chief Financial Officer, Chief Legal Officer and Chief Compliance Officer and their respective staffs.
We expect our general and administrative operating expenses related to our ongoing operations to increase moderately in dollar terms. During periods of asset growth, we generally expect our general and administrative operating expenses to decline as a percentage of our total assets and increase during periods of asset declines. Incentive fees, interest expense and costs relating to future offerings of securities, among others, may also increase or reduce overall operating expenses based on portfolio performance, interest rate benchmarks, and offerings of our securities relative to comparative periods, among other factors.
Portfolio and Investment Activity
Our portfolio and investment activity during the three months ended June 30, 2022 and 2021 was as follows:
Three Months Ended June 30,
(in millions)*20222021
Investments made in portfolio companies$227.4 $295.2 
Investments sold— — 
Net activity before repaid investments227.4 295.2 
Investments repaid(184.0)(266.1)
Net investment activity$43.4 $29.1 
Portfolio companies at beginning of period139 135 
Number of new portfolio companies11 
Number of exited portfolio companies(6)(6)
Portfolio companies at end of period140 140 
Number of investments made in existing portfolio companies53 37 
____________________
*Totals may not foot due to rounding.
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Our portfolio composition and weighted average yields as of June 30, 2022 and March 31, 2022 were as follows:
June 30, 2022March 31, 2022
Portfolio composition, at fair value:
First lien secured debt91 %90 %
Second lien secured debt%%
   Total secured debt95 %94 %
Structured products and other%%
Preferred equity%%
Common equity/interests and warrants%%
Weighted average yields, at amortized cost (1):
First lien secured debt (2)8.4 %8.0 %
Second lien secured debt (2)11.7 %9.6 %
Secured debt portfolio (2)8.6 %8.1 %
Total debt portfolio (2)8.6 %8.1 %
Total portfolio (3)7.5 %7.1 %
Interest rate type, at fair value (4):
Fixed rate amount $0.0  billion$0.0  billion
Floating rate amount$2.1  billion$2.0  billion
Fixed rate, as percentage of total%%
Floating rate, as percentage of total 99 %99 %
Interest rate type, at amortized cost (4):
Fixed rate amount$0.0  billion$0.0  billion
Floating rate amount$2.1  billion$2.0  billion
Fixed rate, as percentage of total%%
Floating rate, as percentage of total99 %99 %
____________________
(1)An investor’s yield may be lower than the portfolio yield due to sales loads and other expenses.
(2)Exclusive of investments on non-accrual status.
(3)Inclusive of all income generating investments, non-income generating investments and investments on non-accrual status.
(4)The interest rate type information is calculated using the Company’s corporate debt portfolio and excludes aviation, oil and gas, structured credit, renewables, shipping, commodities and investments on non-accrual status.
Since the initial public offering of Apollo Investment in April 2004 and through June 30, 2022, invested capital totaled $23.2 billion in 592 portfolio companies. Over the same period, Apollo Investment completed transactions with more than 100 different financial sponsors.
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Recent Developments
On August 1, 2022, the Board of Directors approved an offering directly to an investor of 1,932,641 shares of the Company’s common stock, par value $0.001 per share at a purchase price of $15.5228 per share, which is the net asset value per share of the Company’s common stock as of June 30, 2022.
On August 1, 2022, the Board of Directors approved changing the Company’s name from Apollo Investment Corporation to MidCap Financial Investment Corporation, effective August 12, 2022. The Company’s common stock will begin to trade under the ticker “MFIC” on the NASDAQ Global Stock Market on or about August 12, 2022.
On August 1, 2022, pursuant to Section 15(c) of the Investment Company Act of 1940, as amended, the Board of Directors also approved the Fourth Amended and Restated Investment Advisory Agreement between the Company and Apollo Investment Management, L.P (the “New Advisory Agreement”). Under the New Advisory Agreement, the base management fee was reduced to 1.75% of the Company’s net assets from 1.50% on the Company’s gross assets (and 1.00% on gross assets exceeding a 200% of net assets), effective as of January 1, 2023. The incentive fee on income was also reduced to 17.5% from 20%, effective as of January 1, 2023. The performance threshold remains 7% and there was no change to the total return requirement, other than accounting for the change in the incentive fee for the period following January 1, 2023, or catch-up provision. The incentive fee on capital gains was also reduced to 17.5% from 20%.
On August 1, 2022, the Company made the following senior management and Board of Director changes:
Howard T. Widra, who served as Chief Executive Officer since 2018 and as President from 2016 to 2018, has been named Executive Chairman of the Board of Directors. Mr. Widra will continue to serve as Apollo’s Head of Direct Origination.
Tanner Powell, who served as President of the Company and Chief Investment Officer for AIM since 2018, has been promoted to Chief Executive Officer of the Company.
Ted McNulty, who is a Managing Director in Apollo’s Direct Origination business, has been promoted to President of the Company and Chief Investment Officer for AIM.
Kristin Hester, who has served as the General Counsel of the Company since 2020, has been promoted to Chief Legal Officer and Secretary of the Company.
Joseph Glatt who served as the Company’s Chief Legal Officer and Secretary since 2011, was promoted to a new role as Partner in Apollo’s U.S. Financial Institutions Group.
John Hannan, who has served as Chairman of the Board of Directors since 2006, will now serve as Vice Chairman of the Board of Directors.
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Critical Accounting Policies
Our discussion and analysis of our financial condition and results of operations are based upon our financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, gains and losses. Changes in the economic environment, financial markets, credit worthiness of portfolio companies and any other parameters used in determining such estimates could cause actual results to differ materially. In addition to the discussion below, our critical accounting policies are further described in the notes to the financial statements.
Fair Value Measurements
The Company follows guidance in ASC 820, Fair Value Measurement (“ASC 820”), where fair value is defined as the price 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. Fair value measurements are determined within a framework that establishes a three-tier hierarchy which maximizes the use of observable market data and minimizes the use of unobservable inputs to establish a classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, such as the risk inherent in a particular valuation technique used to measure fair value using a pricing model and/or the risk inherent in the inputs for the valuation technique. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Company. Unobservable inputs reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability based on the information available. The inputs or methodology used for valuing assets or liabilities may not be an indication of the risks associated with investing in those assets or liabilities.
ASC 820 classifies the inputs used to measure these fair values into the following hierarchy:
Level 1: Quoted prices in active markets for identical assets or liabilities, accessible by us at the measurement date.
Level 2: Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices.
Level 3: Unobservable inputs for the asset or liability.
In all cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to each investment. The level assigned to the investment valuations may not be indicative of the risk or liquidity associated with investing in such investments. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may differ materially from the values that would be received upon an actual disposition of such investments.
As of June 30, 2022, $2.53 billion or 99.4% of the Company’s investments were classified as Level 3. The high proportion of Level 3 investments relative to our total investments is directly related to our investment philosophy and target portfolio, which consists primarily of long-term secured debt, as well as unsecured and mezzanine positions of private middle-market companies. A fundamental difference exists between our investments and those of comparable publicly traded fixed income investments, namely high-yield bonds, and this difference affects the valuation of our private investments relative to comparable publicly traded instruments.
Senior secured loans, or senior loans, are higher in the capital structure than high-yield bonds, and are typically secured by assets of the borrowing company. This improves their recovery prospects in the event of default and affords senior loans a structural advantage over high-yield bonds. Many of the Company’s investments are also privately negotiated and contain covenant protections that limit the issuer to take actions that could harm us as a creditor. High-yield bonds typically do not contain such covenants.
Given the structural advantages of capital seniority and covenant protection, the valuation of our private debt portfolio is driven more by investment specific credit factors than movements in the broader debt capital markets. Each security is evaluated individually and as indicated below, we value our private investments based upon a multi-step valuation process, including valuation recommendations from independent valuation firms.
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Investment Valuation Process
Under procedures established by our Board of Directors, we value investments, including certain secured debt, unsecured debt, and other debt securities with maturities greater than 60 days, for which market quotations are readily available, at such market quotations (unless they are deemed not to represent fair value). We attempt to obtain market quotations from at least two brokers or dealers (if available, otherwise from a principal market maker, primary market dealer or other independent pricing service). We utilize mid-market pricing as a practical expedient for fair value unless a different point within the range is more representative. If and when market quotations are deemed not to represent fair value, we typically utilize independent third party valuation firms to assist us in determining fair value. Accordingly, such investments go through our multi-step valuation process as described below. In each case, our independent valuation firms consider observable market inputs together with significant unobservable inputs in arriving at their valuation recommendations for such investments. Investments purchased within the quarter before the valuation date and debt investments with remaining maturities of 60 days or less may each be valued at cost with interest accrued or discount accreted/premium amortized to the date of maturity (although they are typically valued at available market quotations), unless such valuation, in the judgment of our Investment Adviser, does not represent fair value. In this case, such investments shall be valued at fair value as determined in good faith by or under the direction of our Board of Directors, including using market quotations where available. Investments that are not publicly traded or whose market quotations are not readily available are valued at fair value as determined in good faith by or under the direction of our Board of Directors. Such determination of fair values may involve subjective judgments and estimates.
With respect to investments for which market quotations are not readily available or when such market quotations are deemed not to represent fair value, our Board of Directors has approved a multi-step valuation process each quarter, as described below:
1.Our quarterly valuation process begins with each portfolio company or investment being initially valued by the investment professionals of our Investment Adviser who are responsible for the portfolio investment.
2.Preliminary valuation conclusions are then documented and discussed with senior management of our Investment Adviser.
3.Independent valuation firms are engaged by our Board of Directors to conduct independent appraisals by reviewing our Investment Adviser’s preliminary valuations and then making their own independent assessment.
4.The Audit Committee of the Board of Directors reviews the preliminary valuation of our Investment Adviser and the valuation prepared by the independent valuation firms and responds, if warranted, to the valuation recommendation of the independent valuation firms.
5.The Board of Directors discusses valuations and determines in good faith the fair value of each investment in our portfolio based on the input of our Investment Adviser, the applicable independent valuation firm, and the Audit Committee of the Board of Directors.
6.For Level 3 investments entered into within the current quarter, the cost (purchase price adjusted for accreted original issue discount/amortized premium) or any recent comparable trade activity on the security investment shall be considered to reasonably approximate the fair value of the investment, provided that no material change has since occurred in the issuer’s business, significant inputs or the relevant environment.
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Investments determined by these valuation procedures which have a fair value of less than $1 million during the prior fiscal quarter may be valued based on inputs identified by the Investment Adviser without the necessity of obtaining valuation from an independent valuation firm, if once annually an independent valuation firm using the procedures described herein provides a valuation. Investments in all asset classes are valued utilizing a market approach, an income approach, or both approaches, as appropriate. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities (including a business). The income approach uses valuation techniques to convert future amounts (for example, cash flows or earnings) to a single present amount (discounted). The measurement is based on the value indicated by current market expectations about those future amounts. In following these approaches, the types of factors that we may take into account in fair value pricing our investments include, as relevant: available current market data, including relevant and applicable market trading and transaction comparables, applicable market yields and multiples, security covenants, seniority of investment in the investee company’s capital structure, call protection provisions, information rights, the nature and realizable value of any collateral, the portfolio company’s ability to make payments, its earnings and discounted cash flows, the markets in which the portfolio company does business, comparisons of financial ratios of peer companies that are public, M&A comparables, our principal market (as the reporting entity) and enterprise values, among other factors. When readily available, broker quotations and/or quotations provided by pricing services are considered in the valuation process of independent valuation firms. During the three months ended June 30, 2022, there were no significant changes to the Company’s valuation techniques and related inputs considered in the valuation process.
Investment Income Recognition
The Company records interest and dividend income, adjusted for amortization of premium and accretion of discount, on an accrual basis. Some of our loans and other investments, including certain preferred equity investments, may have contractual PIK interest or dividends. PIK income computed at the contractual rate is accrued into income and reflected as receivable up to the capitalization date. Certain PIK investments offer issuers the option at each payment date of making payments in cash or in additional securities. When additional securities are received, they typically have the same terms, including maturity dates and interest rates as the original securities issued. On these payment dates, the Company capitalizes the accrued interest or dividends receivable (reflecting such amounts as the basis in the additional securities received). PIK generally becomes due at maturity of the investment or upon the investment being called by the issuer. At the point the Company believes PIK is not expected to be realized, the PIK investment will be placed on non-accrual status. When a PIK investment is placed on non-accrual status, the accrued, uncapitalized interest or dividends are reversed from the related receivable through interest or dividend income, respectively. The Company does not reverse previously capitalized PIK interest or dividends. Upon capitalization, PIK is subject to the fair value estimates associated with their related investments. PIK investments on non-accrual status are restored to accrual status if the Company believes that PIK is expected to be realized.
Investments that are expected to pay regularly scheduled interest and/or dividends in cash are generally placed on non-accrual status when principal or interest/dividend cash payments are past due 30 days or more and/or when it is no longer probable that principal or interest/dividend cash payments will be collected. Such non-accrual investments are restored to accrual status if past due principal and interest or dividends are paid in cash, and in management’s judgment, are likely to continue timely payment of their remaining interest or dividend obligations. Interest or dividend cash payments received on non-accrual designated investments may be recognized as income or applied to principal depending upon management’s judgment.
Loan origination fees, original issue discount (“OID”), and market discounts are capitalized and accreted into interest income over the respective terms of the applicable loans using the effective interest method or straight-line, as applicable. Upon the prepayment of a loan, prepayment premiums, any unamortized loan origination fees, OID, or market discounts are recorded as interest income. Other income generally includes amendment fees, administrative fees, management fees, bridge fees, and structuring fees which are recorded when earned.
The Company records as dividend income the accretable yield from its beneficial interests in structured products such as CLOs based upon a number of cash flow assumptions that are subject to uncertainties and contingencies. Such assumptions include the rate and timing of principal and interest receipts (which may be subject to prepayments and defaults) of the underlying pools of assets. These assumptions are updated on at least a quarterly basis to reflect changes related to a particular security, actual historical data, and market changes. A structured product investment typically has an underlying pool of assets. Payments on structured product investments are payable solely from the cash flows from such assets. As such any unforeseen event in these underlying pools of assets might impact the expected recovery and future accrual of income.
Expenses
Expenses include management fees, performance-based incentive fees, interest expense, insurance expenses, administrative service fees, legal fees, directors’ fees, audit and tax service expenses, third-party valuation fees and other general and administrative expenses. Expenses are recognized on an accrual basis.
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Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses)
We measure realized gains or losses by the difference between the net proceeds from the repayment or sale and the amortized cost basis of the investment, without regard to unrealized gains or losses previously recognized, but considering unamortized upfront fees and prepayment penalties. Net change in unrealized gain (loss) reflects the net change in portfolio investment values during the reporting period, including the reversal of previously recorded unrealized gains or losses.
Within the context of these critical accounting policies, we are not currently aware of any reasonably likely events or circumstances that would result in materially different amounts being reported.

Results of Operations
Operating results for the three months ended June 30, 2022 and 2021 were as follows:
Three Months Ended June 30,
(in millions)*20222021
Investment Income



Interest income (excluding Payment-in-kind (“PIK”) interest income)$51.6 $47.5 
Dividend income0.3 0.4 
PIK interest income1.0 1.5 
Other income0.5 1.2 
Total investment income$53.4 $50.6 
Expenses
Management and performance-based incentive fees, net of amounts waived$10.3 $8.8 
Interest and other debt expenses, net of reimbursements16.2 12.7 
Administrative services expense, net of reimbursements1.2 1.2 
Other general and administrative expenses2.2 2.5 
Net Expenses$29.9 $25.2 
Net Investment Income$23.5 $25.3 
Net Realized and Change in Unrealized Gains (Losses)

Net realized gains (losses)$0.3 $0.1 
Net change in unrealized gains (losses)(18.1)6.7 
Net Realized and Change in Unrealized Gains (Losses)(17.8)6.8 
Net Increase in Net Assets Resulting from Operations$5.7 $32.1 
Net Investment Income on Per Average Share Basis (1)$0.37 $0.39 
Earnings per share — basic (1)$0.09 $0.49 
____________________
*Totals may not foot due to rounding.
(1)Based on the weighted average number of shares outstanding for the period presented.

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Total Investment Income
The increase in total investment income for the three months ended June 30, 2022 compared to the three months ended June 30, 2021 was primarily driven by the increase in total interest income (including PIK) of $3.6 million. The increase in total interest income (including PIK) was due to a higher income-bearing investment portfolio and a increase in the average yield for the total debt portfolio, from 7.9% for the three months ended June 30, 2021 to 8.3% for the three months ended June 30, 2022. This was partially offset by a decrease in prepayment fees and income recognized from the acceleration of discount, premium, or deferred fees on repaid investments, which totaled $4.0 million for the three months ended June 30, 2021 and $1.9 million for the three months ended June 30, 2022. There was also an decrease in other income of $0.7 million due to lower amendment fees.
Net Expenses
The increase in net expenses for the three months ended June 30, 2022 compared to the three months ended June 30, 2021 was primarily driven by the increase in interest and other debt expenses of $3.6 million. The increase in interest and other debt expenses was attributed to a increased in average debt outstanding and net leverage, from $1.46 billion and 1.39x, respectively during the three months ended June 30, 2021, to $1.62 billion and 1.58x, respectively during the three months ended June 30, 2022. Further there was an increase in total annualized cost of debt from 3.48% for the three months ended June 30, 2021 to 4.02% for the three months ended June 30, 2022. The increase of $1.5 million in management and performance-based incentive fees (net of amounts waived) due to an increase in performance based incentive fee.

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Net Realized Gains (Losses)
During the three months ended June 30, 2022, we recognized gross realized gains of $0.5 million and gross realized losses of $0.2 million, resulting in net realized gains of $0.3 million.

During the three months ended June 30, 2021, we recognized gross realized gains of $0.3 million and gross realized losses of $0.2 million, resulting in net realized gains of $0.1 million.
Net Change in Unrealized Gains (Losses)
During the three months ended June 30, 2022, we recognized gross unrealized gains of $10.8 million and gross unrealized losses of $28.9 million, including the impact of transferring unrealized to realized gains (losses), resulting in net change in unrealized losses of $18.1 million. Significant changes in unrealized gains (losses) for the three months ended June 30, 2022 are summarized below:
(in millions)Net Change in Unrealized Gain (Loss)
Spotted Hawk$3.3 
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.)2.8 
ChyronHego Corporation1.1 
Merx Aviation Finance, LLC(14.1)
NFA Group(2.9)
Carbonfree Chemicals SPE I LLC (f/k/a Maxus Capital Carbon SPE I LLC)(1.5)
Golden Bear(1.1)
The Club Company(1.1)

During the three months ended June 30, 2021, we recognized gross unrealized gains of $25.2 million and gross unrealized losses of $18.5 million, including the impact of transferring unrealized to realized gains (losses), resulting in net change in unrealized gains of $6.7 million. Significant changes in unrealized gains (losses) for the three months ended June 30, 2021 are summarized below:
(in millions)Net Change in Unrealized Gain (Loss)
Carbonfree Chemicals SPE I LLC (f/k/a Maxus Capital Carbon SPE I LLC)$9.8 
Paper Source3.0 
Spotted Hawk1.2 
Dynamic Product Tankers (Prime), LLC(5.4)
Glacier Oil & Gas Corp. (f/k/a Miller Energy Resources, Inc.)(4.0)
Ambrosia Buyer Corp.(3.0)
Merx Aviation Finance, LLC(1.2)

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Liquidity and Capital Resources
The Company’s liquidity and capital resources are generated and generally available through periodic follow-on equity and debt offerings, our Senior Secured Facility (as defined in Note 6 to the financial statements), our senior secured notes, our senior unsecured notes, investments in special purpose entities in which we hold and finance particular investments on a non-recourse basis, as well as from cash flows from operations, investment sales of liquid assets and repayments of senior and subordinated loans and income earned from investments.
We believe that our current cash and cash equivalents on hand, our short-term investments, proceeds from the sale of our 2025 Notes and 2026 Notes, our available borrowing capacity under our Senior Secured Facility and our anticipated cash flows from operations will be adequate to meet our cash needs for our daily operations for at least the next twelve months. This "Liquidity and Capital Resources" section should be read in conjunction with "COVID-19 Developments" above.
Cash Equivalents
The Company defines cash equivalents as securities that are readily convertible into known amounts of cash and near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Generally, only securities with a maturity of three months or less from the date of purchase would qualify, with limited exceptions. The Company deems that certain money market funds, U.S. Treasury bills, repurchase agreements and other high-quality, short-term debt securities would qualify as cash equivalents (See Note 2 to the financial statements) At the end of each fiscal quarter, we consider taking proactive steps utilizing cash equivalents with the objective of enhancing our investment flexibility during the following quarter, pursuant to Section 55 of the 1940 Act. More specifically, we may purchase U.S. Treasury bills from time-to-time on the last business day of the quarter and typically close out that position on the following business day, settling the sale transaction on a net cash basis with the purchase, subsequent to quarter end. Apollo Investment may also utilize repurchase agreements or other balance sheet transactions, including drawing down on our Senior Secured Facility, as we deem appropriate. The amount of these transactions or such drawn cash for this purpose is excluded from total assets for purposes of computing the asset base upon which the management fee is determined.
Debt
See Note 6 to the financial statements for information on the Company’s debt.
The following table shows the contractual maturities of our debt obligations as of June 30, 2022:
Payments Due by Period
(in millions)TotalLess than 1 Year1 to 3 Years3 to 5 YearsMore than 5 Years
Senior Secured Facility (1)$1,127.2 $— $— $1,127.2 $— 
2025 Notes350— 350— — 
2026 Notes125 — — 125.0 — 
Total Debt Obligations$1,602.2 $— $350.0 $1,252.2 $— 
____________________
(1)As of June 30, 2022, aggregate lender commitments under the Senior Secured Facility totaled $1.81 billion and $655.8 million of unused capacity. As of June 30, 2022, there were $27.0 million of letters of credit issued under the Senior Secured Facility as shown as part of total commitments in Note 8 to the financial statements.
Stockholders’ Equity
See Note 7 to the financial statements for information on the Company’s public offerings and share repurchase plans.
Distributions
Distributions paid to stockholders during the three months ended June 30, 2022 and 2021 totaled $22.9 million ($0.36 per share) and $23.5 million ($0.36 per share), respectively. For income tax purposes, distributions made to stockholders are reported as ordinary income, capital gains, non-taxable return of capital, or a combination thereof. Although the tax character of distributions paid to stockholders through June 30, 2022 may include return of capital, the exact amount cannot be determined at this point. The final determination of the tax character of distributions will not be made until we file our tax return for the tax year ended March 31, 2023. Tax characteristics of all distributions will be reported to stockholders on Form 1099 after the end of the calendar year. Our quarterly distributions, if any, will be determined by our Board of Directors.
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To maintain our RIC status, we must distribute at least 90% of our ordinary income and realized net short-term capital gains in excess of realized net long-term capital losses, if any, out of the assets legally available for distribution. Although we currently intend to distribute realized net capital gains (i.e., net long-term capital gains in excess of short-term capital losses), if any, at least annually, out of the assets legally available for such distributions, we may in the future decide to retain such capital gains for investment. Currently, we have substantial net capital loss carryforwards and consequently do not expect to generate cumulative net capital gains in the foreseeable future.
We maintain an “opt out” dividend reinvestment plan for our common stockholders. As a result, if we declare a dividend, then stockholders’ cash dividends will be automatically reinvested in additional shares of our common stock, unless they specifically “opt out” of the dividend reinvestment plan so as to receive cash dividends.
We may not be able to achieve operating results that will allow us to make distributions at a specific level or to increase the amount of these distributions from time to time. In addition, due to the asset coverage test applicable to us as a BDC, we may in the future be limited in our ability to make distributions. Also, our revolving credit facility may limit our ability to declare dividends if we default under certain provisions or fail to satisfy certain other conditions. If we do not distribute a certain percentage of our income annually, we may suffer adverse tax consequences, including possible loss of the tax benefits available to us as a RIC. In addition, in accordance with GAAP and tax regulations, we include in income certain amounts that we have not yet received in cash, such as contractual PIK, which represents contractual interest added to the loan balance that becomes due at the end of the loan term, or the accrual of original issue or market discount. Since we may recognize income before or without receiving cash representing such income, we may not be able to meet the requirement to distribute at least 90% of our investment company taxable income to obtain tax benefits as a RIC.
With respect to the distributions to stockholders, income from origination, structuring, closing, commitment and other upfront fees associated with investments in portfolio companies is treated as taxable income and accordingly, distributed to stockholders.
PIK Income
For the three months ended June 30, 2022 and 2021, PIK income totaled $0.96 million and $1.5 million on total investment income of $53.4 million and $50.6 million, respectively. In order to maintain the Company’s status as a RIC, this non-cash source of income must be paid out to stockholders annually in the form of distributions, even though the Company has not yet collected the cash. See Note 5 to the financial statements for more information on the Company’s PIK income.
Related Party Transactions
See Note 3 to the financial statements for information on the Company’s related party transactions.
Item 3. Quantitative and Qualitative Disclosures About Market Risk
We are subject to financial market risks, including changes in interest rates and the valuations of our investment portfolio. Uncertainty with respect to the economic effects of the COVID-19 outbreak has introduced significant volatility in the financial markets, and the effects of this volatility could materially impact our market risks, including those listed below. For additional information concerning the COVID-19 pandemic and its potential impact on our business and our operating results, see Part II - Other information, Item 1A. Risk Factors.

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Investment valuation risk
Because there is not a readily available market value for most of the investments in our portfolio, we value all of our portfolio investments at fair value as determined in good faith by our board of directors based on, among other things, the input of our management and audit committee and independent valuation firms that have been engaged at the direction of our board of directors to assist in the valuation of each portfolio investment without a readily available market quotation (with certain de minimis exceptions). 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. Additionally, the fair value of our investments may differ significantly from the values that would have been used had a ready market existed for such investments and may differ materially from the values that we may ultimately realize. Further, such investments are generally subject to legal and other restrictions on resale or otherwise are less liquid than publicly traded securities. If we were required to liquidate a portfolio investment in a forced or liquidation sale, we could realize significantly less than the value at which we have recorded it. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the unrealized gains or losses reflected in the valuations currently assigned. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies” and “—Fair Value Measurements” as well as Notes 2 and 5 to our financial statements for the three months ended June 30, 2022 for more information relating to our investment valuation.
Interest Rate Risk
Interest rate sensitivity refers to the change in our earnings that may result from changes in the level of interest rates. 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.
As of June 30, 2022 , all of our debt portfolio investments bore interest at variable rates, which generally are LIBOR-based (or based on an equivalent applicable currency rate such as SOFR) and typically have durations of one to six months after which they reset to current market interest rates, and many of which are subject to certain floors. Further, our Senior Secured Facility bears interest at LIBOR rates with no interest rate floors, while our 2025 Notes and 2026 Notes bears interest at a fixed rate. As of December 31, 2021, all non-U.S. dollar LIBOR publications have been phased out. The phase out of a majority of the U.S. dollar publications is delayed until June 30, 2023. Potential changes, or uncertainty related to such potential changes, may adversely affect the market for LIBOR-based securities, including our portfolio of LIBOR-indexed, floating-rate debt securities, or the cost of our borrowings. SOFR appears to be the preferred alternative replacement rate for U.S. dollar LIBOR, but there is no guarantee SOFR will become the dominant alternative. Please see Part 1 of our annual report on Form 10-k for the year ended March 31, 2022, “Item 1A. Risk Factors—Risks Relating to the Current Environment—Uncertainty relating to the LIBOR calculation process may adversely affect the value of our portfolio of the LIBOR-indexed, floating-rate debt securities in our portfolio or the cost of our borrowings.”
We regularly measure our exposure to interest rate risk. We assess interest rate risk and manage our interest rate exposure on an ongoing basis by comparing our interest rate sensitive assets to our interest rate sensitive liabilities. Based on that review, we determine whether or not any hedging transactions are necessary to mitigate exposure to changes in interest rates.

The following table shows the estimated annual impact on net investment income of base rate changes in interest rates (considering interest rate flows for variable rate instruments) to our loan portfolio and outstanding debt as of June 30, 2022, assuming no changes in our investment and borrowing structure:
Basis Point Change
Net Investment IncomeNet Investment Income Per Share
Up 200 basis points$15.9  million$0.250 
Up 100 basis points7.9  million0.125 
Up 50 basis points 3.9  million0.062 
Down 50 basis points (3.7) million(0.058)
Down 100 basis points(6.0) million(0.095)
We may hedge against interest rate fluctuations from time-to-time by using standard hedging instruments such as futures, options and forward contracts subject to the requirements of the 1940 Act and applicable commodities laws. While hedging activities may insulate us against adverse changes in interest rates, they may also limit our ability to participate in the benefits of lower interest rates with respect to our portfolio of investments.
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Item 4. Controls and Procedures
Evaluation of Disclosure Controls and Procedures
As of June 30, 2022 (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 1934 Act). 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.
Changes in Internal Control Over Financial Reporting
Management has not identified any change in the Company’s internal control over financial reporting that occurred during the first fiscal quarter of 2023 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.
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PART II. OTHER INFORMATION
Item 1. Legal Proceedings
We are not currently subject to any material legal proceedings, nor, to our knowledge are any material legal proceedings threatened against us. From time to time, we may become involved in various investigations, claims and legal proceedings that arise in the ordinary course of our business. Furthermore, third parties may try to seek to impose liability on us in connection with the activities of our portfolio companies. While we do not expect that the resolution of these matters if they arise would materially affect our business, financial condition or results of operations, resolution will be subject to various uncertainties and could result in the expenditure of significant financial and managerial resources.
Item 1A. Risk Factors
In addition to the risk factor below and other information set forth in this report, you should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended March 31, 2022, which could materially affect our business, financial condition and/or operating results. These risks are not the only risks facing our Company. 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.
The Company’s investment adviser sources originated loans from MidCap FinCo Designated Activity Company (“MidCap Financial”). MidCap Financial’s success in originating loans depends to a significant extent on the services provided by its personnel and the personnel of its manager. If MidCap Financial and its manager are unsuccessful in originating loans, the Company’s ability to reach its investment objectives may be adversely affected.
MidCap Financial is discretionarily managed by Apollo Capital Management, L.P., an affiliate of our Investment Advisor. As a result, MidCap Financial is currently under common control with us. Additionally, MidCap Financial originates a significant amount of senior secured first lien loans in which we participate pursuant to our co-investment order. Our Investment Adviser reviews, evaluates and negotiates, as applicable, each such potential investment to ensure it is appropriate for us. While Apollo’s investment management relationship with MidCap Financial currently allows us to access MidCap Financial’ s origination volume, Apollo and MidCap Financial are distinct and separate legal entities with different businesses and interests. Thus, if MidCap Financial were to terminate its investment management agreement with Apollo, we may no longer have the same access to MidCap Financial’s origination volume.
MidCap Financial is not an investment adviser, subadviser or fiduciary to us or to our Investment Adviser. MidCap Financial is not obligated to take into account our interests (or those of other potential participants in its originations) when originating loans across its platform. Various factors, including its ability to retain and attract personnel with origination experience, relationships and expertise, will affect MidCap Financial’s business. There can be no guarantee that MidCap Financial will continue to originate loans at its historic levels of quality or volume.
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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Unregistered Sales of Equity Securities
None.
Issuer Purchases of Equity Securities
The Company adopted the following plans, approved by the Board of Directors, for the purpose of repurchasing its common stock in accordance with applicable rules specified in the 1934 Act (the “Repurchase Plans”):
Date of Agreement/AmendmentMaximum Cost of Shares That May Be RepurchasedCost of Shares RepurchasedRemaining Cost of Shares That May Be Repurchased
August 5, 2015$50.0  million$50.0  million$— 
December 14, 201550.0  million50.0  million— 
September 14, 201650.0  million50.0  million— 
October 30, 201850.0  million50.0  million— 
February 6, 201950.0  million45.8  million4.2  million
February 3, 2022$25.0  million$—  million$25.0  million
Total as of June 30, 2022$275.0  million$245.8  million$29.2  million
The Repurchase Plans were designed to allow the Company to repurchase its shares both during its open window periods and at times when it otherwise might be prevented from doing so under applicable insider trading laws or because of self-imposed trading blackout periods. A broker selected by the Company will have the authority under the terms and limitations specified in an agreement with the Company to repurchase shares on the Company’s behalf in accordance with the terms of the Repurchase Plans. Repurchases are subject to SEC regulations as well as certain price, market volume and timing constraints specified in the Repurchase Plans. Pursuant to the Repurchase Plans, the Company may from time to time repurchase a portion of its shares of common stock and the Company is hereby notifying stockholders of its intention as required by applicable securities laws.

101

Under the Repurchase Plans described above, the Company allocated the following amounts to be repurchased in accordance with SEC Rule 10b5-1 (the “10b5-1 Repurchase Plans”):
Effective DateTermination DateAmount Allocated to 10b5-1 Repurchase Plans
September 15, 2015November 5, 2015$5.0  million
January 1, 2016February 5, 201610.0  million
April 1, 2016May 19, 20165.0  million
July 1, 2016August 5, 201615.0  million
September 30, 2016November 8, 201620.0  million
January 4, 2017February 6, 201710.0  million
March 31, 2017May 19, 201710.0  million
June 30, 2017August 7, 201710.0  million
October 2, 2017November 6, 201710.0  million
January 3, 2018February 8, 201810.0  million
June 18, 2018August 9, 201810.0  million
September 17, 2018October 31, 201810.0  million
December 12, 2018February 7, 201910.0  million
February 25, 2019May 17, 201925.0  million
March 18, 2019May 17, 201910.0  million
June 4, 2019August 7, 201925.0  million
June 17, 2019August 7, 201920.0  million
September 16, 2019November 6, 201920.0  million
December 6, 2019February 5, 202025.0  million
December 16, 2019February 5, 202015.0  million
March 12, 2020March 19, 202020.0  million
March 30, 2021May 21, 202110.0  million
June 16, 2021November 5, 202110.0  million
December 16, 2021August 3, 2022*5.0  million
____________________
* The amount allocated to the plan had been fully utilized on May 3, 2022.
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The following table presents information with respect to the Company’s purchases of its common stock since adoption of the Repurchase Plans through June 30, 2022:
MonthTotal Number of Shares PurchasedAverage Price Paid Per Share*Total Number of Shares Purchased as Part of Publicly Announced PlansMaximum Dollar Value of Shares That May Yet Be Purchased Under Publicly Announced Plans
August 2015510,000 $19.71 510,000 $40.0  million
September 2015603,466 18.46 603,466 28.8  million
November 20151,116,666 18.10 1,116,666 8.6  million
December 2015627,443 17.58 627,443 47.6  million
January 2016670,708 14.91 670,708 37.6  million
June 2016362,933 16.73 362,933 31.5  million
July 201616,491 16.53 16,491 31.2  million
August 2016596,294 17.67 596,294 20.7  million
September 2016411,523 18.13 411,523 63.2  million
October 2016527,417 17.82 527,417 53.8  million
November 2016239,289 17.45 239,289 49.6  million
August 201733,333 17.96 33,333 49.0  million
September 2017186,767 17.98 186,767 45.7  million
October 2017144,867 17.96 144,867 43.1  million
November 201764,500 17.79 64,500 41.9  million
December 201750,100 17.89 50,100 41.0  million
January 2018577,386 17.32 577,386 31.0  million
February 201870,567 16.23 70,567 29.9  million
May 2018263,667 17.12 263,667 25.4  million
June 2018198,601 16.94 198,601 22.0  million
July 20188,867 16.75 8,867 21.9  million
August 2018502,767 17.11 502,767 13.3  million
September 2018444,467 16.54 444,467 5.9  million
October 2018160,800 16.46 160,800 53.3  million
November 2018595,672 15.81 595,672 43.9  million
December 2018741,389 13.49 741,359 33.9  million
February 201919,392 15.16 19,392 83.6  million
March 2019291,426 15.40 291,426 79.1  million
April 201944,534 15.23 44,534 78.4  million
May 2019298,026 15.93 298,026 73.6  million
June 2019607,073 15.97 607,073 63.9  million
July 201989,610 16.10 89,610 62.5  million
August 2019758,020 16.15 758,020 50.3  million
September 201932,371 16.26 32,371 49.7  million
October 2019495,464 15.65 495,464 42.0  million
November 20196,147 15.91 6,147 41.9  million
March 20201,286,565 11.62 1,286,565 26.9  million
May 2021145,572 13.92 145,572 24.9  million
July 202144,418 13.46 44,418 24.3  million
August 202145,675 13.32 45,675 23.7  million
September 2021360,860 13.02 360,860 19.0  million
October 2021308,005 13.30 308,005 14.9  million
November 2021419,372 13.05 419,372 9.4  million
December 2021227,429 12.44 227,429 6.6  million
January 202260,605 12.70 60,605 30.8  million
April 202288,478 12.82 88,478 29.7  million
May 202240,044 $12.57 40,044 29.2  million
Total15,395,066 $15.97 15,395,036 
____________________
* The average price per share is inclusive of commissions.
103

Item 3. Defaults Upon Senior Securities
None.
Item 4. Mine Safety Disclosures
Not applicable.
Item 5. Other Information
None.
104

Item 6. Exhibits
(a)    Exhibits
_________________________
*Filed herewith.
(1)Incorporated by reference from the Registrant’s pre-effective Amendment No. 1 to the Registration Statement under the Securities Act of 1933, as amended, as Form N-2, filed on June 20, 2005.
(2)Incorporated by reference from the Registrant’s post-effective Amendment No. 1 to the Registration Statement under the Securities Act of 1933, as amended, on Form N-2, filed on August 14, 2006.
(3)Incorporated by reference to Exhibit 3.2 as applicable, to the Registrant’s Form 8-K, filed on May 18, 2018.
(4)Incorporated by reference to Exhibit 3.1 to the Registrant’s Form 8-K, filed on December 3, 2018.
(5)Incorporated by reference to Exhibit 3.1 to the Registrant’s Form 8-K, filed on July 22, 2019.
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SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized on August 2, 2022.
APOLLO INVESTMENT CORPORATION
By:
/s/ TANNER POWELL
Tanner Powell
Chief Executive Officer
By:
/s/ GREGORY W. HUNT
Gregory W. Hunt
Chief Financial Officer and Treasurer
By:
/s/ AMIT JOSHI
Amit Joshi
Chief Accounting Officer and Assistant Treasurer

106
EX-15.1 2 ainv2023q110qex151.htm EX-15.1 Document

Exhibit 15.1

August 2, 2022
Securities and Exchange Commission
100 F Street, N.E.
Washington, DC 20549
Commissioners:
We are aware that our report dated August 5, 2021 on our review of the interim statements of operations, of changes in net assets and of cash flows of Apollo Investment Corporation for the three-month period ended June 30 2021, including the related notes of Apollo Investment Corporation, which appears in this Quarterly Report on Form 10-Q, is incorporated by reference in the Registration Statement on Form N-2 (No.333-238518) of Apollo Investment Corporation.
Very truly yours,
/s/PricewaterhouseCoopers LLP
New York, New York

EX-31.1 3 ainv2023q110-qex311.htm EX-31.1 Document

EXHIBIT 31.1
CERTIFICATION OF CHIEF EXECUTIVE OFFICER
I, Tanner Powell, Chief Executive Officer of Apollo Investment Corporation, certify that:
1.I have reviewed this quarterly report on Form 10-Q of Apollo Investment Corporation;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date:August 2, 2022
/s/ TANNER POWELL
Tanner Powell
Chief Executive Officer

EX-31.2 4 ainv2023q110-qex312.htm EX-31.2 Document

EXHIBIT 31.2
CERTIFICATION OF CHIEF FINANCIAL OFFICER
I, Gregory W. Hunt, Chief Financial Officer of Apollo Investment Corporation, certify that:
1.I have reviewed this quarterly report on Form 10-Q of Apollo Investment Corporation;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date:August 2, 2022
/s/ GREGORY W. HUNT
Gregory W. Hunt
Chief Financial Officer and Treasurer

EX-32.1 5 ainv2023q110-qex321.htm EX-32.1 Document

EXHIBIT 32.1
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the quarterly report of Apollo Investment Corporation (the “Company”) on Form 10-Q for the period ended June 30, 2022 (the “Report”), I, Tanner Powell, Chief Executive Officer of the Company, and I, Gregory W. Hunt, Chief Financial Officer of the Company, each certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
1.To my knowledge, the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
/s/ TANNER POWELL
Tanner Powell
Chief Executive Officer
August 2, 2022
/s/ GREGORY W. HUNT
Gregory W. Hunt
Chief Financial Officer and Treasurer
August 2, 2022