XML 44 R34.htm IDEA: XBRL DOCUMENT

Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2025

The following tables present fair value measurements of investments as of December 31, 2025 and December 31, 2024:


	Fair Value Hierarchy at December 31, 2025
	Level 1		Level 2		Level 3		Total
First-lien debt investments	$	—	$	28,204	$	2,956,297	$	2,984,501
Second-lien debt investments		—		222		30,456		30,678
Mezzanine debt investments		—		—		61,684		61,684
Equity and other investments		28,169		11,016		133,397		172,582
Structured credit investments		—		97,872		—		97,872
Total investments at fair value	$	28,169	$	137,314	$	3,181,834	$	3,347,317
Interest rate swaps		—		10,301		—		10,301
Total	$	28,169	$	147,615	$	3,181,834	$	3,357,618


	Fair Value Hierarchy at December 31, 2024
	Level 1		Level 2			Level 3		Total
First-lien debt investments	$	—	$	14,675		$	3,287,829	$	3,302,504
Second-lien debt investments		—		1,309			18,535		19,844
Mezzanine debt investments		—		—			39,091		39,091
Equity and other investments		3,952		11,963			139,586		155,501
Structured credit investments		—		1,472			—		1,472
Total investments at fair value	$	3,952	$	29,419		$	3,485,041	$	3,518,412
Interest rate swaps		—		(24,238	)		—		(24,238	)
Total	$	3,952	$	5,181		$	3,485,041	$	3,494,174

Changes in Fair Value of Investments Using Level 3 Inputs

The following tables present the changes in the fair value of investments for which Level 3 inputs were used to determine the fair value as of and for the year ended December 31, 2025 and December 31, 2024:


	As of and for the Year Ended
	December 31, 2025
	First-lien debt investments			Second-lien debt investments			Mezzanine debt investments			Equity and other investments			Total
Balance, beginning of period	$	3,287,829		$	18,535		$	39,091		$	139,586		$	3,485,041
Purchases or originations		942,810			15,358			18,740			11,451			988,359
Repayments / redemptions		(1,221,990	)		(3,574	)		—			—			(1,225,564	)
Sales Proceeds		(75,529	)		—			—			(9,786	)		(85,315	)
Paid-in-kind interest		15,432			4,022			5,204			228			24,886
Net change in unrealized gains (losses)		46,929			(4,512	)		(1,470	)		1,265			42,212
Net realized gains (losses)		(57,472	)		—			—			4,422			(53,050	)
Net amortization of discount on securities		25,862			627			119			—			26,608
Transfers within Level 3		(7,574	)		—			—			7,574			—
Transfers into (out of) Level 3		—			—			—			(21,343	)		(21,343	)
Balance, End of Period	$	2,956,297		$	30,456		$	61,684		$	133,397		$	3,181,834

Caris Life Sciences, Inc. was transferred out of Level 3 into Level 1 and Dye & Durham, Ltd. was transferred out of Level 1 into Level 3 for fair value measurement purposes during the year ended December 31, 2025, as a result of changes in the observability of inputs into the security valuation for these portfolio companies.


	As of and for the Year Ended
	December 31, 2024
	First-lien debt investments			Second-lien debt investments			Mezzanine debt investments			Equity and other investments			Total
Balance, beginning of period	$	2,993,786		$	35,975		$	38,865		$	140,331		$	3,208,957
Purchases or originations		1,064,366			2,004			—			10,935			1,077,305
Repayments / redemptions		(764,592	)		(3,177	)		(4,880	)		—			(772,649	)
Sales Proceeds		(9,110	)		—			—			(18,089	)		(27,199	)
Paid-in-kind interest		23,519			1,255			4,476			315			29,565
Net change in unrealized gains (losses)		(35,815	)		(17,656	)		528			1,360			(51,583	)
Net realized gains (losses)		(4,371	)		—			—			4,734			363
Net amortization of discount on securities		20,046			134			102			—			20,282
Transfers within Level 3		—			—			—			—			—
Transfers into (out of) Level 3		—			—			—			—			—
Balance, End of Period	$	3,287,829		$	18,535		$	39,091		$	139,586		$	3,485,041

Net Change in Unrealized Gains or Losses on Investments for Which Level 3 Inputs were Used in Determining Fair Value

The following table presents information with respect to the net change in unrealized gains or losses on investments for which Level 3 inputs were used in determining fair value that are still held by the Company at December 31, 2025 and December 31, 2024:


	Net Change in Unrealized			Net Change in Unrealized
	Gains or (Losses)			Gains or (Losses)
	for the Year Ended			for the Year Ended
	December 31, 2025 on			December 31, 2024 on
	Investments Held at			Investments Held at
	December 31, 2025			December 31, 2024
First-lien debt investments	$	19,996		$	(29,217	)
Second-lien debt investments		(4,306	)		(17,656	)
Mezzanine debt investments		(1,470	)		528
Equity and other investments		3,790			1,360
Total	$	18,010		$	(44,985	)

Fair Value of Level 3 Investments at Fair Value and Significant Unobservable Inputs Used in Valuations

The following tables present the fair value of Level 3 Investments and the significant unobservable inputs used in the valuations as of December 31, 2025 and December 31, 2024. The tables are not intended to be all-inclusive, but instead capture the significant unobservable inputs relevant to the Company’s determination of fair values.

          
         December 31, 2025

          
         Valuation

         Unobservable

         Range (Weighted

         Impact to Valuation
from an

          
         Fair Value

         Technique

         Input

         Average)

         Increase to Input

First-lien debt investments

2,956,297

Income approach (1)

Discount rate

6.6% — 17.5% (11.0%)

Decrease

Second-lien debt investments

30,456

Income approach

Discount rate

12.5% — 15.3% (14.2%)

Decrease

Mezzanine debt investments

61,684

Income approach (2)

Discount rate

10.8% — 20.0% (11.1%)

Decrease

Equity and other investments

133,397

Market Multiple (3)

Comparable multiple

1.8x — 25.0x (10.4x)

Increase

Total

3,181,834

(1)

Includes $105.9 million of debt investments which were valued using an asset valuation waterfall.

(2)

Includes $0.1 million of debt investments which were valued using an asset valuation waterfall.

(3)

Includes $13.1 million of equity investments which were valued using an asset valuation waterfall and $20.1 million of equity investments using a discounted cash flow analysis.

          
         December 31, 2024

          
         Valuation

         Unobservable

         Range (Weighted

         Impact to Valuation
from an

          
         Fair Value

         Technique

         Input

         Average)

         Increase to Input

First-lien debt investments

3,287,829

Income approach (1)

Discount rate

7.7% — 17.7% (12.1%)

Decrease

Second-lien debt investments

18,535

Income approach (2)

Discount rate

14.6% — 18.1% (15.6%)

Decrease

Mezzanine debt investments

39,091

Income approach (3)

Discount rate

12.2% — 22.5% (12.7%)

Decrease

Equity and other investments

139,586

Market Multiple (4)

Comparable multiple

2.3x — 20.0x (7.8x)

Increase

Total

3,485,041

(1)

Includes $199.4 million of debt investments which were valued using an asset valuation waterfall.

(2)

Includes $6.0 million of debt investments which were valued using an asset valuation waterfall.

(3)

Includes $0.1 million of debt investments which were valued using an asset valuation waterfall.

(4)

Includes $13.6 million of equity investments which were valued using an asset valuation waterfall, $0.5 million of equity investments using a Black-Scholes model and $20.4 million of equity investments using a discounted cash flow analysis.

Fair Value of Company's 2026 Notes, 2028 Notes, 2029 Notes and 2030 Notes

The following table presents the fair value of the Company’s 2026 Notes, 2028 Notes, 2029 Notes and 2030 Notes as of December 31, 2025 and December 31, 2024.


	December 31, 2025				December 31, 2024
	Outstanding Principal		Fair Value (1)		Outstanding Principal		Fair Value (1)
2026 Notes	$	300,000	$	296,659	$	300,000	$	287,911
2028 Notes		300,000		314,473		300,000		312,012
2029 Notes		350,000		361,359		350,000		354,338
2030 Notes		300,000		303,186		—		—
Total	$	1,250,000	$	1,275,677	$	950,000	$	954,261

The fair value is based on broker quotes received by the Company and is categorized as Level 2 within the fair value hierarchy.

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References + Details