0001193125-18-245870.txt : 20180810 0001193125-18-245870.hdr.sgml : 20180810 20180810152616 ACCESSION NUMBER: 0001193125-18-245870 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 6 CONFORMED PERIOD OF REPORT: 20180630 FILED AS OF DATE: 20180810 DATE AS OF CHANGE: 20180810 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Crescent Capital BDC, Inc. CENTRAL INDEX KEY: 0001633336 IRS NUMBER: 473162282 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 814-01132 FILM NUMBER: 181008606 BUSINESS ADDRESS: STREET 1: 11100 SANTA MONICA BLVD. STREET 2: SUITE 2000 CITY: LOS ANGELES STATE: CA ZIP: 90025 BUSINESS PHONE: 310-235-5971 MAIL ADDRESS: STREET 1: 11100 SANTA MONICA BLVD. STREET 2: SUITE 2000 CITY: LOS ANGELES STATE: CA ZIP: 90025 10-Q 1 d552107d10q.htm 10-Q 10-Q
Table of Contents

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

 

 

FORM 10-Q

 

 

(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.

For the quarterly period ended June 30, 2018

OR

 

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.

For the transition period from                      to                     

Commission file number 814-01132

 

 

Crescent Capital BDC, Inc.

(Exact Name of Registrant as Specified in Its Charter)

 

 

 

Delaware   47-3162282

(State or Other Jurisdiction of

Incorporation or Organization)

 

(I.R.S. Employer

Identification No.)

11100 Santa Monica Blvd., Suite 2000, Los Angeles, CA   90025
(Address of Principal Executive Offices)   (Zip Code)

Registrant’s Telephone Number, Including Area Code: (310) 235-5900

Not applicable

Former Name, Former Address and Former Fiscal Year, If Changed Since Last Report.

 

 

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  ☐    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, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

 

  

Accelerated filer

 

☐        

Non-Accelerated filer

 

☒  (Do not check if a smaller reporting company)

  

Smaller reporting company        

 

☐        

Emerging growth company        

 

    

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Securities Exchange Act of 1934).    Yes  ☐    No  ☒

The number of shares of the Registrant’s common stock, $.001 par value per share, outstanding at August 10, 2018 was 11,599,480.

 

 

 


Table of Contents

CRESENT CAPITAL BDC, INC.

FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2018

Table of Contents

 

   

INDEX

   PAGE
NO.
 
PART I.   FINANCIAL INFORMATION      2  
  Item 1.   Financial Statements      2  
  Consolidated Statements of Assets and Liabilities as of June 30, 2018 (Unaudited) and December 31, 2017      2  
  Consolidated Statements of Operations for the three months ended June 30, 2018 and June 30, 2017 (Unaudited), and for the six months ended June 30, 2018 and June 30, 2017 (Unaudited)      3  
  Consolidated Statements of Changes in Net Assets for the six months ended June 30, 2018 and June 30, 2017 (Unaudited)      4  
  Consolidated Statements of Cash Flows for the six months ended June 30, 2018 and June 30, 2017 (Unaudited)      5  
  Consolidated Schedule of Investments as of June 30, 2018 (Unaudited)      6  
  Consolidated Schedule of Investments as of December 31, 2017      13  
  Notes to Consolidated Financial Statements (Unaudited)      19  
  Item 2.   Management’s Discussion and Analysis of Financial Condition and Results of Operations      37  
  Item 3.   Quantitative and Qualitative Disclosures About Market Risk      53  
  Item 4.   Controls and Procedures      54  
PART II.   OTHER INFORMATION      54  
  Item 1.   Legal Proceedings      54  
  Item 1A.   Risk Factors      54  
  Item 2.   Unregistered Sales of Equity Securities and Use of Proceeds      54  
  Item 3.   Defaults Upon Senior Securities      55  
  Item 4.   [Reserved]      55  
  Item 5.   Other Information      55  
  Item 6.   Exhibits      55  


Table of Contents

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This report contains forward-looking statements that involve substantial risks and uncertainties. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about us, our current or prospective portfolio investments, our industry, our beliefs, and our assumptions. We believe that it is important to communicate our future expectations to our investors. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “would,” “should,” “targets,” “projects,” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and are difficult to predict, that could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements.

The following factors and factors listed under “Risk Factors” in this report and other documents Crescent Capital BDC, Inc. has filed with the Securities and Exchange Commission, or SEC, provide examples of risks, uncertainties and events that may cause our actual results to differ materially from the expectations we describe in our forward-looking statements. The occurrence of the events described in these risk factors and elsewhere in this report could have a material adverse effect on our business, results of operation and financial position. The following factors are among those that may cause actual results to differ materially from our forward-looking statements:

 

   

Potential fluctuation in quarterly operating results

 

   

Potential impact of economic recessions or downturns

 

   

Adverse developments in the credit markets

 

   

Operation in a highly competitive market for investment opportunities

 

   

Regulations governing our operation as a business development company

 

   

Financing investments with borrowed money

 

   

Lack of liquidity in investments

 

   

Defaults by portfolio companies

 

   

Uncertainty as to the value of certain portfolio investments

 

   

Potential resignation of the Advisor and or the Administrator

 

   

Changes in interest rates may affect our cost of capital and net investment income

 

   

Potential adverse effects of price declines and illiquidity in the corporate debt markets

 

   

Risks associated with original issue discount (“OID”) and payment-in-kind (“PIK”) interest income

 

   

Risks regarding distributions

 

   

Potential adverse effects of new or modified laws and regulations

Although we believe that the assumptions on which these forward-looking statements are based upon are reasonable, some of those assumptions are based on the work of third parties and any of those assumptions could prove to be inaccurate; as a result, forward-looking statements based on those assumptions also could prove to be inaccurate. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this report should not be regarded as a representation by us that our plans and objectives will be achieved. You should not place undue reliance on these forward-looking statements, which apply only as of the date of this report. We do not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law. 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 SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. The safe harbor provisions of Section 21E of the 1934 Act, which preclude civil liability for certain forward-looking statements, do not apply to the forward-looking statements in this report because we are an investment company.

 

See accompanying notes

 

1


Table of Contents

Crescent Capital BDC, Inc.

Consolidated Statements of Assets and Liabilities

 

     As of
    June 30, 2018    
(Unaudited)
  As of
    December 31,    
2017

Assets

    
Investments, non-controlled and non-affiliated, at fair value (cost of $397,019,243 and $317,215,906, respectively)      $ 397,254,529       $ 319,126,672  
Cash and cash equivalents      8,605,434       8,791,778  
Cash denominated in foreign currency (cost of $603,816 and $452,924, respectively)      606,257       479,134  
Receivable for investments sold      6,875       11,957  
Interest receivable      1,431,394       1,333,277  
Prepaid expenses and other assets      179,298       74,357  
  

 

 

 

 

 

 

 

Total assets

     $ 408,083,787       $ 329,817,175  
  

 

 

 

 

 

 

 

Liabilities

    
Debt (net of deferred financing costs of $583,861 and $856,042, respectively)      $ 190,679,508       $ 150,847,928  
Payable for investments purchased      4,068,936        
Distributions payable      3,876,873       2,707,232  
Management fees payable - affiliate      795,245       734,504  
Income incentive fee payable - affiliate            504,295  
Due to Advisor - affiliate      77,848       38,924  
Due to Administrator - affiliate      246,661       232,779  
Professional fees payable      307,876       289,899  
Directors’ fees payable      61,563       57,063  
Interest and other debt financing costs payable      1,275,864       1,018,332  
Deferred tax liability      211,649       217,149  
Accrued expenses and other liabilities      351,314       369,081  
  

 

 

 

 

 

 

 

Total liabilities

     $ 201,953,337       $ 157,017,186  
  

 

 

 

 

 

 

 

Commitments and Contingencies (Note 7)

    

Net Assets

    
Preferred stock, par value $0.001 per share (10,000 shares authorized, zero outstanding, respectively)      $       $  
Common stock, par value $0.001 per share (200,000,000 shares authorized, 10,341,086 and 8,597,116 shares issued and outstanding, respectively)      10,341       8,597  
Paid-in capital in excess of par value      205,880,161       170,755,891  
Accumulated net realized loss      (669,294     (455,135
Accumulated undistributed net investment income      508,368       536,613  
Net unrealized appreciation (depreciation) on investments and foreign currency translation, net of deferred taxes      400,874       1,954,023  
  

 

 

 

 

 

 

 

Total Net Assets

     $ 206,130,450       $ 172,799,989  
  

 

 

 

 

 

 

 

Total Liabilities and Net Assets

     $     408,083,787       $     329,817,175  
  

 

 

 

 

 

 

 

Net asset value per share      $ 19.93       $ 20.10  

 

See accompanying notes

 

2


Table of Contents

Crescent Capital BDC, Inc.

Consolidated Statements of Operations

(Unaudited)

 

     For the three
months ended
June 30,
     For the six
months ended
June 30,
 
     2018      2017      2018      2017  

Investment Income:

           
Interest income from non-controlled and non-affiliated investments    $ 7,222,142         $ 5,275,103         $ 13,994,039         $ 9,735,974     
Paid-in-kind interest      28,810           16,845           67,894           20,698     
  

 

 

    

 

 

    

 

 

    

 

 

 

Total investment income

     7,250,952           5,291,948           14,061,933           9,756,672     
  

 

 

    

 

 

    

 

 

    

 

 

 

Expenses:

           
Interest and other debt financing costs      1,956,208           1,290,790           3,608,168           2,336,222     
Management fees (net of waiver of $572,946, $379,136, $1,043,788 and $683,096, respectively)      795,246           668,292           1,532,998           1,272,519     
Income incentive fees (net of waiver of $560,906, $0, $560,906 and $0, respectively)      —           392,977           554,977           614,535     
Directors’ fees      72,500           72,500           145,000           145,000     
Professional fees      189,632           176,566           375,080           351,566     
Organization expenses      32,452           16,226           56,790           40,564     
Other general and administrative expenses      457,943           399,970           897,856           800,709     
  

 

 

    

 

 

    

 

 

    

 

 

 

Total expenses

     3,503,981           3,017,321           7,170,869           5,561,115     
  

 

 

    

 

 

    

 

 

    

 

 

 
Net investment income before taxes      3,746,971           2,274,627           6,891,064           4,195,557     
  

 

 

    

 

 

    

 

 

    

 

 

 
Income and excise taxes      7,600           1,600           6,821           1,689     
  

 

 

    

 

 

    

 

 

    

 

 

 
Net investment income after taxes      3,739,371           2,273,027           6,884,243           4,193,868     
  

 

 

    

 

 

    

 

 

    

 

 

 
Net realized and unrealized gains (losses) on investments:

 

        

Net realized gain (loss) on investments

     (44,196)          (277,325)          (219,319)          (261,931)    

Net realized gain (loss) on foreign currency transactions

     3,026           (1,011)          5,160           (1,996)    

Net change in unrealized appreciation (depreciation) on investments and foreign currency translation

     (1,397,426)          976,701           (1,558,648)          2,576,913     
  

 

 

    

 

 

    

 

 

    

 

 

 
Net realized and unrealized gains (losses) on investments      (1,438,596)          698,365           (1,772,807)          2,312,986     
  

 

 

    

 

 

    

 

 

    

 

 

 
Benefit/(Provision) for taxes on unrealized appreciation (depreciation) on investments      (25,907)          —           5,499           —     
  

 

 

    

 

 

    

 

 

    

 

 

 
Net increase in net assets resulting from operations    $     2,274,868         $     2,971,392         $     5,116,935         $     6,506,854     
  

 

 

    

 

 

    

 

 

    

 

 

 

Per Common Share Data:

           
Net increase in net assets resulting from operations per share (basic and diluted):    $ 0.23      $ 0.40      $ 0.55      $ 0.92  
Net investment income per share (basic and diluted):    $ 0.38      $ 0.31      $ 0.74      $ 0.59  
Weighted average shares outstanding (basic and diluted):      9,902,467          7,446,092          9,357,106          7,095,592    
Distributions declared per share:    $ 0.37      $ 0.29      $ 0.70      $ 0.57  

 

See accompanying notes

 

3


Table of Contents

Crescent Capital BDC, Inc.

Consolidated Statements of Changes in Net Assets

(Unaudited)

 

     For the six
  months ended  

June 30, 2018
  For the six
  months ended  

June 30, 2017
Increase (decrease) in net assets resulting from operations:

 

Net investment income     $ 6,884,243      $ 4,193,868  
Net realized loss on investments and foreign currency transactions      (214,159     (263,927
Net change in unrealized appreciation (depreciation) on investments and foreign currency translation      (1,558,648     2,576,913  
Benefit/(Provision) for taxes on unrealized appreciation (depreciation) on investments      5,499        
  

 

 

 

 

 

 

 

Net increase in net assets resulting from operations

     5,116,935       6,506,854  
  

 

 

 

 

 

 

 

Distributions to shareholders from:     
Net investment income      (6,912,488     (4,163,870
  

 

 

 

 

 

 

 

Total distributions to shareholders

     (6,912,488     (4,163,870
  

 

 

 

 

 

 

 

Capital transactions:     
Issuance of common stock      35,000,000       25,000,000  
Issuance of common stock pursuant to dividend reinvestment plan      205,458       35,636  
Equity offering costs      (79,444     (56,746
  

 

 

 

 

 

 

 

Net increase in net assets resulting from capital transactions

     35,126,014       24,978,890  
  

 

 

 

 

 

 

 

Total increase in net assets

     33,330,461       27,321,874  
Net assets at beginning of period      172,799,989       128,056,028  
  

 

 

 

 

 

 

 

Net assets at end of period     $ 206,130,450      $ 155,377,902  
  

 

 

 

 

 

 

 

Accumulated undistributed (distributions in excess of) net investment income     $ 508,368      $ (19,520
Changes in Shares     
Common stock, at beginning of period      8,597,116       6,376,850  
Issuance of common stock      1,733,792       1,234,786  
Issuance of common stock pursuant to dividend reinvestment plan      10,178       1,778  
  

 

 

 

 

 

 

 

Common stock, at end of period      10,341,086       7,613,414  
  

 

 

 

 

 

 

 

 

See accompanying notes

 

4


Table of Contents

Crescent Capital BDC, Inc.

Consolidated Statements of Cash Flows

(Unaudited)

 

     For the six
months ended
  June 30, 2018  
  For the six
months ended
  June 30, 2017  
Cash flows from operating activities:

 

Net increase (decrease) in net assets resulting from operations     $ 5,116,935      $ 6,506,854  

Adjustments to reconcile net increase (decrease) in net assets resulting from

operations to net cash provided by (used for) operating activities:

    

Purchases of investments

     (133,962,061     (90,236,677

Paid-in-kind interest income

     (67,894     (20,698

Proceeds from sales of investments and principal repayments

     54,840,795       23,457,767  

Net realized (gain) loss on investments

     219,319       261,931  

Net change in unrealized (appreciation) depreciation on investments and foreign currency translation

     1,558,648       (2,576,913

Amortization of premium and accretion of discount, net

     (833,496     (348,685

Amortization of deferred financing costs

     392,061       368,746  

Increase (decrease) in operating assets and liabilities:

    

(Increase) decrease in receivable for investments sold

     5,082       321,952  

(Increase) decrease in interest receivable

     (98,117     448,103  

(Increase) decrease in due from Advisor - affiliate

           (22,531

(Increase) decrease in prepaid expenses and other assets

     (104,941     (100,761

Increase (decrease) in payable for investments purchased

     4,068,936        

Increase (decrease) in management fees payable - affiliate

     60,741       146,427  

Increase (decrease) in income incentive fees payable - affiliate

     (504,295     (68,559

Increase (decrease) in due to Advisor - affiliate

     38,924       (27,247

Increase (decrease) in due to Administrator - affiliate

     13,882       14,604  

Increase (decrease) in professional fees payable

     17,977       122,183  

Increase (decrease) in directors’ fees payable

     4,500       79,250  

Increase (decrease) in interest and credit facility fees and expenses payable

     257,532       315,776  

Increase (decrease) in deferred tax liability

     (5,500      

Increase (decrease) in accrued expenses and other liabilities

     (17,767     196,575  
  

 

 

 

 

 

 

 

Net cash provided by (used for) operating activities      (68,998,739     (61,161,903
  

 

 

 

 

 

 

 

Cash flows from financing activities:     

Issuance of common stock

     35,000,000       25,000,000  

Financing costs paid related to revolving credit facility

     (119,880     (643,713

Distributions paid

     (5,537,389     (3,708,411

Equity offering costs

     (79,444     (56,746

Borrowings on debt

     101,700,000       76,000,000  

Repayments on debt

     (62,000,000     (33,200,000
  

 

 

 

 

 

 

 

Net cash provided by (used for) financing activities      68,963,287       63,391,130  
  

 

 

 

 

 

 

 

Effect of exchange rate changes on cash denominated in foreign currency      (23,769     15,573  
Net increase (decrease) in cash, cash equivalents and foreign currency      (59,221     2,244,800  
Cash, cash equivalents and foreign currency, beginning of period      9,270,912       5,119,325  
  

 

 

 

 

 

 

 

Cash, cash equivalents and foreign currency, end of period     $       9,211,691      $       7,364,125  
  

 

 

 

 

 

 

 

Supplemental and non-cash financing activities:     
Cash paid during the period for interest     $ 2,837,386      $ 1,557,235  
Issuance of common stock pursuant to distribution reinvestment plan     $ 205,458      $ 35,636  
Accrued but unpaid equity offering costs     $ 45,397      $ 22,698  
Accrued but unpaid distributions     $ 3,876,873      $ 2,169,823  

 

See accompanying notes

 

5


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

                                                                                                                                                                               
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount,
Par
Value  or

Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

Investments(1)

               

United States

               

Debt Investments

               

Automobiles & Components

               

AP Exhaust Acquisition, LLC(2)

 

Senior Secured Second Lien

    L + 850 (3)       11.12     05/2025     $ 9,072,563     $ 8,786,061       4.1   $ 8,528,261  

Auto-Vehicle Parts, LLC(2)

 

Senior Secured First Lien

    L + 450 (4)       6.59     01/2023       4,882,000           4,813,395       2.4       4,882,000  

Auto-Vehicle Parts, LLC(2) (5) (6)

 

Senior Secured First Lien

        01/2023             (8,118            

Continental Battery Company(2)

 

Senior Secured First Lien

    L + 450 (4)       6.59     12/2022       3,482,500       3,427,378       1.7       3,482,500  

Continental Battery Company(2) (5) (6)

 

Senior Secured First Lien

        12/2022             (13,254            

POC Investors, LLC(2)

 

Senior Secured First Lien

    L + 550 (3)       7.84     11/2021       5,377,325       5,317,462       2.6       5,397,729  

POC Investors, LLC(2) (5)

 

Senior Secured First Lien

    L + 550 (4)       7.61     11/2021       370,833       363,065       0.2       373,679  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            23,185,221       22,685,989       11.0       22,664,169  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Capital Goods

               

Alion Science and Technology Corporation(2)

 

Unsecured Debt

      11.00     08/2022       5,000,000       4,897,597       2.4       4,875,000  

Midwest Industrial Rubber(2)

 

Senior Secured First Lien

    L + 550 (3)       7.83     12/2021       4,693,309       4,631,769       2.3       4,693,309  

Midwest Industrial Rubber(2) (5)

 

Senior Secured First Lien

    L + 550 (3)       7.84     12/2021       131,250       124,489       0.1       131,250  

Potter Electric Signal Company(2) (5)

 

Senior Secured First Lien

    L + 450 (4)       6.60     12/2022       67,500       62,473       0.0       65,250  

Potter Electric Signal Company

 

Senior Secured First Lien

    L + 450 (7)       7.27     12/2023       2,543,625       2,514,213       1.2       2,530,907  

Potter Electric Signal Company(5) (6)

 

Senior Secured First Lien

        12/2023             (7,820     0.0       (3,500
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            12,435,684       12,222,721       6.0       12,292,216  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Commercial & Professional Services

               

Advantage Sales & Marketing, Inc.

 

Senior Secured First Lien

    L + 325 (4)       5.34     07/2021       824,307       824,540       0.4       781,550  

Advantage Sales & Marketing, Inc.

 

Senior Secured Second Lien

    L + 650 (4)       8.59     07/2022       500,000       502,204       0.2       457,918  

ASP MCS Acquisition Corp.

 

Senior Secured First Lien

    L + 475 (3)       7.08     05/2024       5,321,250       5,298,097       2.5       5,148,309  

BFC Solmetex LLC & Bonded Filter Co. LLC(2)

 

Senior Secured First Lien

    L + 625 (3)       8.58     04/2023       4,700,000       4,602,470       2.3       4,700,000  

BFC Solmetex LLC & Bonded Filter Co. LLC(2) (5) (6)

 

Senior Secured First Lien

        04/2023             (9,249            

Brickman Group Ltd. LLC

 

Senior Secured Second Lien

    L + 650 (4)       8.59     12/2021       234,043       234,745       0.1       236,069  

CHA Holdings Inc(5) (6)

 

Senior Secured First Lien

        04/2025             (5,200           2,679  

CHA Holdings Inc

 

Senior Secured First Lien

    L + 450 (8)       6.58     04/2025       4,928,571       4,904,522       2.4       4,940,893  

DFS Intermediate Holdings, LLC(2)

 

Senior Secured First Lien

    L + 525 (4)       7.34     03/2022       7,258,125       7,145,039       3.5       7,258,125  

DFS Intermediate Holdings, LLC(2) (5)

 

Senior Secured First Lien

    L + 525 (4)       7.34     03/2022       2,630,686       2,555,837       1.2       2,630,686  

GH Holding Company(2)

 

Senior Secured First Lien

    L + 450 (4)       6.59     02/2023       1,496,250       1,489,175       0.7       1,496,250  

GI Revelation Acquisition LLC

 

Senior Secured First Lien

    L + 500 (4)       7.09     04/2025       4,000,000       3,980,400       2.0       4,035,820  

Hepaco, LLC(2) (5) (6)

 

Senior Secured First Lien

        08/2021             (3,916            

Hepaco, LLC(2)

 

Senior Secured First Lien

    L + 500 (4)       7.09     08/2022       5,230,750       5,183,924       2.5       5,230,750  

Hepaco, LLC(2) (5)

 

Senior Secured First Lien

    L + 500 (4)       9.00     08/2022       189,619       177,144       0.1       189,619  

Jordan Healthcare Inc.(2)

 

Senior Secured First Lien

    L + 600 (3)       8.33     07/2022       4,083,046       4,047,447       2.0       4,089,238  

 

See accompanying notes

 

6


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

                                                                                                                                                                               
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount, Par
Value or

Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

Jordan Healthcare Inc.(2) (5)

 

Senior Secured First Lien

    L + 600 (3)       8.33     07/2022     $ 344,850     $ 333,103       0.2   $ 346,685  

Jordan Healthcare Inc.(2) (5) (6)

 

Senior Secured First Lien

        07/2022             (3,764     0.0       682  

MHS Acquisition Holdings, LLC(2)

 

Senior Secured Second Lien

    L + 875 (3)       11.08     03/2025       8,101,633       7,894,272       3.8       7,816,151  

MHS Acquisition Holdings, LLC(2) (5)

 

Senior Secured Second Lien

    L + 875 (3)       11.08     03/2025       466,576       447,295       0.2       429,513  

MHS Acquisition Holdings, LLC(2)

 

Unsecured Debt

     

13.50

PIK


    03/2026       777,427       765,486       0.3       660,874  

SavATree, LLC(2)

 

Senior Secured First Lien

    L + 525 (3)       7.58     06/2022       3,665,125       3,608,426       1.8       3,665,125  

SavATree, LLC(2) (5) (6)

 

Senior Secured First Lien

        06/2022             (8,627            

SavATree, LLC(2) (5)

 

Senior Secured First Lien

    L + 525 (3)       7.58     06/2022       91,000       85,512       0.1       91,000  

TecoStar Holdings, Inc.(2)

 

Senior Secured Second Lien

    L + 850 (4)       10.50     11/2024       5,000,000       4,888,928       2.5       5,100,000  

USAGM HoldCo LLC(2)

 

Senior Secured Second Lien

      11.00     07/2023       2,380,952       2,339,280       1.2       2,371,492  

USAGM HoldCo LLC

 

Senior Secured Second Lien

    L + 850 (8)       10.60     07/2023       10,000,000       9,710,768       4.8       9,947,900  

Valet Waste Holdings, Inc.(2)

 

Senior Secured First Lien

    L + 625 (4)       8.34     09/2021       4,766,304       4,723,776       2.3       4,790,136  

Valet Waste Holdings, Inc.(2) (5)

 

Senior Secured First Lien

    L + 700 (4)       9.08     09/2021       195,652       191,098       0.1       198,370  

Xcentric Mold and Engineering Acquisition Company, LLC(2)

 

Senior Secured First Lien

    L + 550 (4)       7.50     01/2022       4,986,875       4,913,532       2.4       4,986,875  

Xcentric Mold and Engineering Acquisition Company, LLC(2) (5)

 

Senior Secured First Lien

    L + 550 (4)       7.50     01/2022       262,500       252,671       0.1       262,500  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            82,435,541           81,068,935       39.7       81,865,209  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Consumer Durables & Apparel

               

C.F. Stinson, LLC(2)

 

Senior Secured First Lien

    L + 600 (4) (9)       7.98     06/2021       3,000,000       2,961,366       1.5       3,026,309  

EiKo Global, LLC(2) (5) (6)

 

Senior Secured First Lien

        06/2023             (8,852     0.0       (4,429

EiKo Global, LLC(2)

 

Senior Secured First Lien

    L + 600 (3)       7.98     06/2023       2,500,000       2,450,675       1.2       2,475,397  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            5,500,000       5,403,189       2.7       5,497,277  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Consumer Services

               

Counsel On Call, LLC(2)

 

Senior Secured First Lien

    L + 500 (4)       7.10     09/2022       1,191,000       1,180,212       0.6       1,191,000  

Counsel On Call, LLC(2) (5)

 

Senior Secured First Lien

    L + 550 (4)       7.61     09/2022       228,571       225,007       0.1       228,571  

Counsel On Call, LLC(2) (5) (6)

 

Senior Secured First Lien

        09/2022             (2,674            

Iconic Group, Inc.(2) (5) (6)

 

Senior Secured First Lien

        05/2024             (2,473     0.0       (2,474

Iconic Group, Inc.(2)

 

Senior Secured First Lien

    L + 500 (4)       7.06     05/2024       1,350,000       1,336,616       0.7       1,336,637  

New Mountain Learning(2)

 

Senior Secured First Lien

    L + 550 (3)       7.83     03/2024       1,850,000       1,814,388       0.9       1,850,000  

New Mountain Learning(2) (5) (6)

 

Senior Secured First Lien

        03/2024             (20,926            

NS Intermediate Holdings, LLC(2)

 

Senior Secured First Lien

    L + 500 (4)       7.09     09/2021       3,325,276       3,282,934       1.6       3,292,023  

NS Intermediate Holdings, LLC(2) (5) (6)

 

Senior Secured First Lien

        09/2021             (2,839     0.0       (2,500

Oncourse Learning Corporation(2)

 

Senior Secured First Lien

    L + 650 (3)       8.83     09/2021       14,530,729       14,375,942       7.1       14,530,729  

Oncourse Learning Corporation(2) (5)

 

Senior Secured First Lien

    L + 650 (3)       8.83     09/2021       440,000       434,238       0.2       440,000  

Pre-Paid Legal Services, Inc.

 

Senior Secured First Lien

    L + 325 (4)       5.23     05/2025       3,957,000       3,937,559       1.9       3,981,731  

Pre-Paid Legal Services, Inc.

 

Senior Secured Second Lien

    L + 750 (4)       9.48     05/2026       7,000,000       6,930,871       3.4       7,087,500  

 

See accompanying notes

 

7


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

                                                                                                                                                                               
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount, Par
Value  or

Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

SkillSoft Corporation

 

Senior Secured First Lien

    L + 475 (4)       6.84     04/2021     $ 969,713     $ 959,317       0.4   $ 919,710  

Teaching Strategies LLC(2) (5) (6)

 

Senior Secured First Lien

        05/2024             (15,385            

Teaching Strategies LLC(2)

 

Senior Secured First Lien

    L + 600 (3)       8.33     05/2024       9,375,000       9,144,641       4.5       9,375,000  

United Language Group, Inc.(2)

 

Senior Secured First Lien

    L + 500 (4)       7.09     12/2021       4,438,875       4,356,883       2.2       4,438,875  

United Language Group, Inc.(2) (5)

 

Senior Secured First Lien

    L + 500 (4)       7.09     12/2021       92,000       84,684       0.0       92,000  

Vistage Worldwide, Inc.

 

Senior Secured First Lien

    L + 400 (4)       6.05     02/2025       8,597,452       8,605,170       4.2       8,629,693  

Wrench Group LLC(2) (5) (6)

 

Senior Secured First Lien

        12/2023             (5,097            

Wrench Group LLC(2)

 

Senior Secured First Lien

    L + 450 (3)       6.83     12/2024       4,738,796       4,692,199       2.3       4,738,796  

Wrench Group LLC(2) (5) (6)

 

Senior Secured First Lien

        12/2024             (1,454            
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            62,084,412           61,309,813       30.1       62,127,291  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Diversified Financials

               

Edelman Financial Group, The

 

Senior Secured First Lien

    L + 425 (10)       6.73     11/2024       3,468,073       3,460,045       1.7       3,481,789  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Energy

               

Murray Energy Corporation

 

Senior Secured First Lien

    L + 725 (4)       9.34     04/2020       349,701       340,125       0.2       330,803  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Food & Staples Retailing

               

HLF Financing S.a r.l.(11)

 

Senior Secured First Lien

    L + 550 (4)       7.59     02/2023       4,531,250       4,458,286       2.2       4,577,990  

Isagenix International, LLC

 

Senior Secured First Lien

    L + 575 (3)       8.08     04/2025       7,000,000       6,960,245       3.4       7,021,875  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            11,531,250       11,418,531       5.6       11,599,865  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Health Care Equipment & Services

               

Ameda, Inc.(2)

 

Senior Secured First Lien

    L + 650 (4)       8.59     09/2022       2,630,125       2,587,990       1.3       2,599,175  

Ameda, Inc.(2) (5)

 

Senior Secured First Lien

    L + 650 (4)       8.59     09/2022       187,500       182,806       0.1       183,970  

Beaver-Visitec International, Inc.(11)

 

Senior Secured First Lien

    L + 400 (4)       6.09     08/2023       2,069,283       2,058,936       1.0       2,079,629  

Beaver-Visitec International, Inc.(11)

 

Senior Secured First Lien

    L + 500 (4)       7.09     08/2023       9,348,599       9,291,308       4.6       9,395,342  

CDRH Parent, Inc.

 

Senior Secured First Lien

    L + 425 (3)       6.57     07/2021       363,358       365,150       0.2       343,374  

Centauri Health Solutions, Inc.(2)

 

Senior Secured First Lien

    L + 575 (4)       7.84     01/2022       12,596,250       12,385,974       6.2       12,722,212  

Centauri Health Solutions, Inc.(2) (5)

 

Senior Secured First Lien

    L + 575 (4)       7.84     01/2022       656,250       641,184       0.3       672,000  

Centauri Health Solutions, Inc.(2)

 

Senior Secured First Lien

    L + 575 (4)       7.84     01/2022       900,000       883,359       0.4       909,000  

ExamWorks Group, Inc.(2)

 

Senior Secured Second Lien

    L + 725 (4)       9.35     07/2024       5,000,000       4,875,635       2.4       5,000,000  

GrapeTree Medical Staffing, LLC(2)

 

Senior Secured First Lien

    L + 500 (4)       7.09     10/2022       1,687,250       1,661,315       0.8       1,704,123  

GrapeTree Medical Staffing, LLC(2) (5) (6)

 

Senior Secured First Lien

        10/2022             (6,775     0.0       4,500  

Ivory Merger Sub, Inc.

 

Senior Secured First Lien

    L + 350 (3)       5.84     03/2025       8,964,532       8,964,871       4.3       8,975,738  

MDVIP, Inc.(2)

 

Senior Secured Second Lien

    L + 800 (4)       10.09     11/2025       5,333,333       5,169,376       2.7       5,493,333  

NMSC Holdings, Inc.(2)

 

Senior Secured Second Lien

    L + 1000 (10)       12.45     10/2023       4,307,480       4,171,411       2.0       4,208,699  

Onex Carestream Finance LP(11)

 

Senior Secured First Lien

    L + 400 (4)       6.09     06/2019       214,464       214,543       0.1       214,814  

Onex Carestream Finance LP(11)

 

Senior Secured Second Lien

    L + 850 (4)       10.59     12/2019       153,081       153,081       0.1       153,272  

Professional Physical Therapy(2) (12)

 

Senior Secured First Lien

    L + 600 (3)         12/2022       7,924,687       7,862,038       3.3       6,815,231  

 

See accompanying notes

 

8


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

                                                                                                                                                                               
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount, Par
Value or

Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

PT Network, LLC(2) (5)

 

Senior Secured First Lien

    P + 450 (13)       9.50     11/2021     $ 200,000     $ 198,633       0.1   $ 197,125  

PT Network, LLC(2) (5) (6)

 

Senior Secured First Lien

        11/2021             (4,698     0.0       (13,298

PT Network, LLC(2)

 

Senior Secured First Lien

    L + 550 (3)       7.84     11/2021       4,746,879           4,730,701       2.3       4,712,759  

Smile Doctors LLC(2) (5)

 

Senior Secured First Lien

    L + 575 (3)       8.11     10/2022       191,667       189,534       0.1       191,667  

Smile Doctors LLC(2)

 

Senior Secured First Lien

    L + 575 (3)       8.11     10/2022       1,588,000       1,574,120       0.8       1,588,000  

Smile Doctors LLC(2) (5)

 

Senior Secured First Lien

    L + 575 (3)       8.10     10/2022       1,360,364       1,346,307       0.7       1,360,364  

Upstream Rehabilition, Inc.(2)

 

Senior Secured First Lien

    L + 450 (3)       6.83     01/2024       2,139,250       2,129,292       1.0       2,139,250  

Upstream Rehabilition, Inc.(2) (5)

 

Senior Secured First Lien

    L + 450 (4)       6.55     01/2024       56,667       55,748       0.0       56,667  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            72,619,019       71,681,839       34.8       71,706,946  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Household & Personal Products

               

Paris Presents Incorporated

 

Senior Secured First Lien

    L + 500 (4)       7.09     12/2020       1,580,070       1,570,096       0.8       1,587,970  

Paris Presents Incorporated

 

Senior Secured Second Lien

    L + 875 (4)       10.84     12/2021       504,468       497,088       0.3       506,360  

Tranzonic(2)

 

Senior Secured First Lien

    L + 475 (4)       6.85     03/2023       3,179,348       3,148,973       1.5       3,179,348  

Tranzonic(2) (5) (6)

 

Senior Secured First Lien

        03/2023             (5,211            
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            5,263,886       5,210,946       2.6       5,273,678  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Insurance

               

Integro Parent Inc.

 

Senior Secured First Lien

    L + 575 (3)       8.06     10/2022       487,642       481,341       0.2       486,423  

Integro Parent Inc.

 

Senior Secured Second Lien

    L + 925 (3)       11.58     10/2023       380,282       375,214       0.2       378,381  

Integro Parent Inc.

 

Senior Secured Second Lien

    L + 925 (3)       11.56     10/2023       2,915,493       2,871,748       1.4       2,900,915  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            3,783,417       3,728,303       1.8       3,765,719  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Materials

               

Emerald Performance Materials, LLC

 

Senior Secured First Lien

    L + 350 (4)       5.59     08/2021       963,247       965,592       0.5       965,655  

Maroon Group, LLC (2) (5) (6)

 

Senior Secured First Lien

        08/2022             (12,095            

Maroon Group, LLC (2) (5)

 

Senior Secured First Lien

    P + 500 (13)       10.00     08/2022       42,000       38,614       0.0       42,000  

Maroon Group, LLC (2)

 

Senior Secured First Lien

    L + 600 (3)       8.34     08/2022       2,450,000       2,426,172       1.2       2,450,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            3,455,247       3,418,283       1.7       3,457,655  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Media

               

Acosta Holdco, Inc.

 

Senior Secured First Lien

    L + 325 (4)       5.34     09/2021       970,365       970,941       0.4       735,658  

Tribune Media Company(11)

 

Senior Secured First Lien

    L + 300 (4)       5.09     12/2020       155,650       156,037       0.1       155,650  

Vivid Seats Ltd.(2)

 

Senior Secured Second Lien

    P + 775 (13)       12.75     06/2025       2,500,000       2,366,159       1.2       2,550,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            3,626,015       3,493,137       1.7       3,441,308  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Pharmaceuticals, Biotechnology & Life Sciences

               

Trinity Partners, LLC(2)

 

Senior Secured First Lien

    L + 500 (4)       7.10     02/2023       1,596,000       1,566,036       0.8       1,596,000  

Trinity Partners, LLC(2) (5) (6)

 

Senior Secured First Lien

        02/2023             (8,359            
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            1,596,000       1,557,677       0.8       1,596,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Retailing

               

Slickdeals Holdings, LLC(2) (5) (6)

 

Senior Secured First Lien

        06/2023             (19,792            

Slickdeals Holdings, LLC(2)

 

Senior Secured First Lien

    L + 625 (3)       8.58     06/2024       10,909,110       10,611,130       5.3       10,909,110  

 

See accompanying notes

 

9


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

                                                                                                                                                                               
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount, Par
Value  or

Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

Strategic Partners, Inc.

 

Senior Secured First Lien

    L + 375 (4)       5.84     06/2023     $ 6,419,034     $ 6,406,282       3.1   $ 6,483,224  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            17,328,144       16,997,620       8.4       17,392,334  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Software & Services

               

Ansira Partners, Inc.(5)

 

Senior Secured First Lien

    L + 575 (4)       7.73     12/2022       109,091       103,371       0.1       106,705  

Ansira Partners, Inc.

 

Senior Secured First Lien

    L + 650 (4)       7.84     12/2022       6,971,689       6,917,067       3.4       6,954,260  

Avaap USA LLC(2)

 

Senior Secured First Lien

    L + 475 (4)       6.84     03/2023       1,845,375       1,810,194       0.9       1,845,375  

Avaap USA LLC(2) (5) (6)

 

Senior Secured First Lien

        03/2023             (3,306            

Avaap USA LLC(2) (5)

 

Senior Secured First Lien

    L + 475 (4)       6.84     03/2023       61,250       54,637       0.0       61,250  

C-4 Analytics, LLC(2)

 

Senior Secured First Lien

    L + 525 (4)       7.34     08/2023       10,470,875       10,309,587       5.1       10,575,584  

C-4 Analytics, LLC(2) (5) (6)

 

Senior Secured First Lien

        08/2023             (9,000     0.0       6,000  

List Partners, Inc.(2)

 

Senior Secured First Lien

    L + 500 (3)       7.33     01/2023       3,736,250       3,666,644       1.8       3,736,250  

List Partners, Inc.(2) (5) (6)

 

Senior Secured First Lien

        01/2023             (12,418            

Mediaocean LLC

 

Senior Secured First Lien

    L + 425 (4)       6.35     08/2022       8,414,704       8,365,527       4.1       8,456,777  

Merrill Communications, LLC

 

Senior Secured First Lien

    L + 525 (3)       7.61     06/2022       874,993       877,034       0.4       885,930  

SMS Systems Maintenance Services, Inc.(2)

 

Senior Secured Second Lien

    L + 850 (3)       10.83     10/2024       4,703,478       4,570,241       1.8       3,648,090  

SMS Systems Maintenance Services, Inc.(2)

 

Senior Secured Second Lien

      10.00     10/2024       9,015,000       8,765,130       3.2       6,695,530  

Transportation Insight, LLC(2)

 

Senior Secured First Lien

    L + 525 (4)       7.34     09/2019       1,979,114       1,970,040       1.0       1,979,114  

Winxnet Holdings LLC(2) (5) (6)

 

Senior Secured First Lien

        06/2023             (4,000     0.0       (3,998

Winxnet Holdings LLC(2) (5) (6)

 

Senior Secured First Lien

        06/2023             (8,000     0.0       (3,998

Winxnet Holdings LLC(2)

 

Senior Secured First Lien

    L + 600 (4)       8.09     06/2023       2,000,000       1,960,042       1.0       1,980,011  

Zoom Information, Inc.(2)

 

Senior Secured First Lien

    L + 600 (3) (9)       8.33     08/2022       9,000,000       8,794,771       4.4       9,180,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            59,181,819           58,127,561       27.2       56,102,880  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Technology Hardware & Equipment

               

Onvoy, LLC(2)

 

Senior Secured Second Lien

    L + 1050 (3)       12.83     02/2025       2,635,052       2,523,480       1.2       2,558,381  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Transportation

               

Pilot Air Freight, LLC(2)

 

Senior Secured First Lien

    L + 525 (4)       7.34     10/2022       3,299,750       3,274,781       1.6       3,314,088  

Pilot Air Freight, LLC(2) (5)

 

Senior Secured First Lien

    L + 525 (4)       7.34     10/2022       657,103       657,103       0.3       663,831  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            3,956,853       3,931,884       1.9       3,977,919  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Total Debt Investments

United States

          $ 374,435,334     $ 368,580,078       179.1   $ 369,131,439  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Equity Investments

               

Automobiles & Components

             

AP Centric(2) (14)

 

Common Stock

          927       927,437       0.4       794,511  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Capital Goods

               

Alion Science and Technology Corporation(2) (14)

 

Common Stock

          535,714       535,714       0.2       457,336  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Commercial & Professional Services

             

MHS Acquisition Holdings, LLC(2) (14)

 

Common Stock

          913       912,639       0.2       469,652  

TecoStar Holdings, Inc.(2) (14)

 

Common Stock

          500,000       500,000       0.3       584,773  

Universal Services Equity Investments(2) (14)

 

Common Stock

          1,000,000       1,000,000       0.8       1,600,000  

 

See accompanying notes

 

10


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

                                                                                                                                                                               
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount, Par
Value  or

Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

USAGM HoldCo LLC(2) (14)

 

Common Stock

          238,095     $ 238,095       0.2   $ 380,953  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            1,739,008       2,650,734       1.5       3,035,378  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Consumer Services

               

Legalshield(2) (14)

 

Common Stock

          527       526,882       0.3       526,882  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Diversified Financials

               

Gacp II LP(2) (5) (11) (14)

 

Common Stock

          10,749,818       10,749,818       5.2       10,749,818  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Health Care Equipment & Services

               

ExamWorks Group, Inc.(2) (14)

 

Common Stock

          7,500       750,000       0.4       878,772  

MDVIP, Inc.(2) (14)

 

Common Stock

          46,806       666,666       0.4       824,084  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            54,306       1,416,666       0.8       1,702,856  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Insurance

               

Integro Equity(2) (14)

 

Common Stock

          4,468       454,072       0.3       580,832  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Media

               

Vivid Seats Ltd.(2) (14)

 

Common Stock

          608,108       608,108       0.4       820,695  

Vivid Seats Ltd.(2) (14)

 

Preferred Stock

          1,891,892       1,891,892       1.0       2,135,768  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            2,500,000       2,500,000       1.4       2,956,463  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Retailing

               

Slickdeals Holdings, LLC(2) (14)

 

Common Stock

          109       1,090,911       0.5       1,090,911  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Software & Services

               

SMS Systems Maintenance Services, Inc.(2) (14)

 

Common Stock

          1,142,789       1,144,520       0.1       117,917  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Technology Hardware & Equipment

               

Onvoy, LLC(2) (14)

 

Common Stock, Class A

          3,649       364,948       0.1       306,414  

Onvoy, LLC(2) (14)

 

Common Stock, Class B

          2,536                    
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            6,185       364,948       0.1       306,414  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Total Equity Investments

United States

          $ 16,733,851     $ 22,361,702       10.8   $ 22,319,318  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
Total United States             $ 390,941,780       189.9   $ 391,450,757  
           

 

 

 

 

 

 

 

 

 

 

 
France                

Debt Investments

               

Technology Hardware & Equipment

               

Parkeon, Inc.(11)

 

Senior Secured First Lien

    L + 575 (15)       4.75     04/2023     1,994,499       2,085,973       1.1       2,325,779  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
Total Debt Investments
France
          1,994,499     $ 2,085,973       1.1   $ 2,325,779  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
Total France             $ 2,085,973       1.1   $ 2,325,779  
           

 

 

 

 

 

 

 

 

 

 

 
United Kingdom                

Debt Investments

               

Software & Services

               

CB-SDG Limited(2) (11)

 

Senior Secured First Lien

    L + 650, 0.50 %(16)      7.71     07/2022     £ 1,987,393       3,015,908       1.3       2,623,856  

CB-SDG Limited(2) (5) (11)

 

Senior Secured First Lien

    L + 650, 0.50 %(16)      7.71     07/2022       646,951       975,582       0.4       854,137  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Total Debt Investments

United Kingdom

          £ 2,634,344     $ 3,991,490       1.7   $ 3,477,993  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
Total United Kingdom             $ 3,991,490       1.7   $ 3,477,993  
           

 

 

 

 

 

 

 

 

 

 

 
Total Investments             $ 397,019,243       192.7   $ 397,254,529  
           

 

 

 

 

 

 

 

 

 

 

 

 

*

The majority of the investments bear interest at a rate that may be determined by reference to London Interbank Offered Rate (“LIBOR” or “L”) or Prime (“P”) and which reset daily, monthly, quarterly or semiannually. For each, the Company has provided the spread over LIBOR or Prime and the weighted average current interest rate in effect at June 30, 2018. Certain investments are subject to a LIBOR or Prime interest rate floor. For fixed rate loans, a spread above a reference rate is not applicable.

 

**

Percentage is based on net assets of $206,130,450 as of June 30, 2018.

 

(1)

All positions held are non-controlled/non-affiliated investments as defined by the Investment Company Act of 1940, as amended (“1940 Act”). Non-controlled/non-affiliated investments are investments that are neither controlled investments nor affiliated investments.

 

See accompanying notes

 

11


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments (Unaudited)

June 30, 2018

 

(2)

The fair value of the investment was determined using significant unobservable inputs. See Note 2 “Summary of Significant Accounting Policies”.

 

(3)

The interest rate on these loans is subject to the greater of a LIBOR floor or 3 month LIBOR plus a base rate. The 3 month LIBOR as of June 30, 2018 was 2.34%.For some of these loans, the interest rate is based on the last reset date.

 

(4)

The interest rate on these loans is subject to the greater of a LIBOR floor or 1 month LIBOR plus a base rate. The 1 month LIBOR as of June 30, 2018 was 2.09%.For some of these loans, the interest rate is based on the last reset date.

 

(5)

Position or portion thereof is an unfunded loan commitment, and no interest is being earned on the unfunded portion. See Note 7 “Commitments and Contingencies”.

 

(6)

The negative cost, if applicable, is the result of the capitalized discount or unfunded commitment being greater than the principal amount outstanding on the loan. The negative fair value, if applicable, is the result of the capitalized discount or unfunded commitment on the loan.

 

(7)

The interest rate on these loans is subject to the greater of a LIBOR floor or 12 month LIBOR plus a base rate. The 12 month LIBOR as of June 30, 2018 was 2.76%.For some of these loans, the interest rate is based on the last reset date.

 

(8)

The interest rate on these loans is subject to the greater of a LIBOR floor or 2 month LIBOR plus a base rate. The 2 month LIBOR as of June 30, 2018 was 2.17%.For some of these loans, the interest rate is based on the last reset date.

 

(9)

These loans are first lien/last-out term loans. In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company is entitled to receive additional interest as a result of an agreement among lenders whereby the loan has been allocated to “first-out” and “last-out” tranches, whereby the “first-out” tranche will have priority as to the “last-out” tranche with respect to payments of principal, interest and any amounts due thereunder. The Company holds the “last-out” tranche.

 

(10)

The interest rate on these loans is subject to the greater of a LIBOR floor or 6 month LIBOR plus a base rate. The 6 month LIBOR as of June 30, 2018 was 2.50%.For some of these loans, the interest rate is based on the last reset date.

 

(11)

Investment is not a qualifying investment as defined under section 55 (a) of the Investment Company Act of 1940. Qualifying assets must represent at least 70% of total assets at the time of acquisition.

 

(12)

The investment is on non-accrual status as of June 30, 2018.

 

(13)

The interest rate on these loans is subject to the U.S. Prime rate, which as of June 30, 2018 was 5.00%.

 

(14)

Non-income producing security.

 

(15)

The interest rate on these loans is subject to the greater of a EURIBOR floor or 3 month EURIBOR plus a base rate. The 3 month EURIBOR as of June 30, 2018 was (0.32)%. For some of these loans, the interest rate is based on the last reset date.

 

(16)

The interest rate on these loans is subject to the greater of a GBP LIBOR floor or 3 month GBP LIBOR plus a base rate. The 3 month GBP LIBOR as of June 30, 2018 was 0.67%. For some of these loans, the interest rate is based on the last reset date.

 

See accompanying notes

 

12


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments

December 31, 2017

 

                                                                                                                                                                                       
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount,
Par Value or
Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

Investments(1)

               

United States

               

Debt Investments

               

Automobiles & Components

               

AP Exhaust Acquisition, LLC

 

Senior Secured Second Lien

    L + 850 (2)       10.07     05/2025     $ 9,072,563     $ 8,772,269       5.1   $ 8,755,023  

Continental Battery Company(3) (4) (5)

 

Senior Secured First Lien

        12/2022             (14,728     0.0       (8,417

Continental Battery Company(4)

 

Senior Secured First Lien

    L + 450 (2)       5.97     12/2022       3,500,000       3,439,279       2.0       3,465,339  

POC Investors, LLC(4)

 

Senior Secured First Lien

    L + 550 (2)       7.19     11/2021       5,455,000       5,386,590       3.1       5,455,000  

POC Investors, LLC(3) (4)

 

Senior Secured First Lien

    P + 450 (6)       9.00     11/2021       291,666       282,750       0.2       291,666  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            18,319,229       17,866,160       10.4       17,958,611  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Capital Goods

               

Alion Science and Technology Corporation(4)

 

Unsecured Debt

      11.00     08/2022       5,000,000       4,888,189       2.9       5,000,000  

MB Aerospace Holdings Inc.(7)

 

Senior Secured First Lien

    L + 550 (8)       7.13     12/2022       4,316,796       4,285,785       2.5       4,316,796  

Midwest Industrial Rubber(4)

 

Senior Secured First Lien

    L + 550 (2)       7.19     12/2021       4,059,000       4,001,434       2.4       4,059,000  

Midwest Industrial Rubber(3) (4) (5)

 

Senior Secured First Lien

        12/2021             (5,829            

Potter Electric Signal Company(3) (4)

 

Senior Secured First Lien

    P + 350 (6)       8.00     12/2022       45,000       39,415       0.0       40,525  

Potter Electric Signal Company(3) (4) (5)

 

Senior Secured First Lien

        12/2023             (8,688     0.0       (6,962

Potter Electric Signal Company(4)

 

Senior Secured First Lien

    L + 450 (2)       6.11     12/2023       2,550,000       2,518,322       1.5       2,524,637  

Pro Mach Group, Inc.

 

Senior Secured First Lien

    L + 375 (8)       5.32     10/2021       731,156       734,727       0.4       736,822  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            16,701,952       16,453,355       9.7       16,670,818  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Commercial & Professional Services

               

ADMI Corp.

 

Senior Secured First Lien

    L + 375 (2)       5.13     04/2022       975,000       982,876       0.6       985,667  

Advantage Sales & Marketing, Inc.

 

Senior Secured First Lien

    L + 325 (2)       4.63     07/2021       828,589       828,859       0.5       809,946  

Advantage Sales & Marketing, Inc.

 

Senior Secured Second Lien

    L + 650 (2)       7.88     07/2022       500,000       502,431       0.3       470,000  

ASP MCS Acquisition Corp.

 

Senior Secured First Lien

    L + 475 (8)       6.25     05/2024       5,348,125       5,323,240       3.1       5,388,236  

Brickman Group Ltd. LLC

 

Senior Secured Second Lien

    L + 650 (8)       7.99     12/2021       234,042       234,832       0.1       235,652  

DFS Intermediate Holdings, LLC
(3) (4)

 

Senior Secured First Lien

    L + 525 (8)       6.82     03/2022       551,400       509,092       0.3       551,400  

DFS Intermediate Holdings, LLC(4)

 

Senior Secured First Lien

    L + 525 (8)       6.61     03/2022       7,294,875       7,168,177       4.2       7,294,875  

Hepaco, LLC(3) (4)

 

Senior Secured First Lien

    P + 400 (6)       8.50     08/2021       125,000       120,465       0.1       125,000  

Hepaco, LLC(4)

 

Senior Secured First Lien

    L + 500 (2)       6.67     08/2022       5,257,250       5,205,291       3.0       5,257,250  

Hepaco, LLC(3) (4)

 

Senior Secured First Lien

    L + 500 (2)       6.49     08/2022       190,571       176,591       0.1       190,571  

Jordan Healthcare Inc.(3) (4) (5)

 

Senior Secured First Lien

        07/2022             (13,197            

Jordan Healthcare Inc.(4)

 

Senior Secured First Lien

    L + 600 (2)       7.69     07/2022       4,103,615       4,064,096       2.4       4,103,615  

Jordan Healthcare Inc.(3) (4) (5)

 

Senior Secured First Lien

        07/2022             (3,999            

MHS Acquisition Holdings, LLC(4)

 

Senior Secured Second Lien

    L + 875 (2)       10.44     03/2025       8,101,633       7,881,618       4.5       7,878,838  

MHS Acquisition Holdings, LLC(3) (4)

 

Senior Secured Second Lien

    L + 875 (2)       10.44     03/2025       466,576       445,780       0.2       437,651  

MHS Acquisition Holdings, LLC(4)

 

Unsecured Debt

      13.50 PIK     03/2026       545,279       536,003       0.3       509,835  

MHS Acquisition Holdings, LLC(4)

 

Unsecured Debt

      13.50     03/2026       140,887       138,336       0.1       131,730  

 

See accompanying notes

 

13


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments

December 31, 2017

 

                                                                                                                                                                                       
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount,
Par Value or
Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

PowerTeam Services, LLC

 

Senior Secured First Lien

    L + 325 (2)       4.94     05/2020     $ 975,408     $ 974,174       0.6   $ 979,680  

SavATree, LLC(4)

 

Senior Secured First Lien

    L + 525 (2)       6.94     06/2022       3,683,625       3,620,467       2.1       3,683,625  

SavATree, LLC(3) (4) (5)

 

Senior Secured First Lien

        06/2022             (9,717            

SavATree, LLC(3) (4) (5)

 

Senior Secured First Lien

        06/2022             (6,183            

TecoStar Holdings, Inc.(4)

 

Senior Secured Second Lien

    L + 850 (2)       9.88     11/2024       5,000,000       4,882,850       3.0       5,150,000  

USAGM HoldCo LLC(4)

 

Senior Secured Second Lien

      11.00     07/2023       2,000,000       1,957,275       1.2       2,051,324  

USAGM HoldCo LLC

 

Senior Secured Second Lien

    L + 850 (2)       9.88     07/2023       10,000,000       9,689,631       5.8       9,991,700  

Valet Waste Holdings, Inc.(4)

 

Senior Secured First Lien

    L + 700 (8)       8.57     09/2021       4,790,761       4,742,306       2.8       4,832,273  

Valet Waste Holdings, Inc.(3) (4) (5)

 

Senior Secured First Lien

        09/2021             (5,253     0.0       4,709  

Vencore, Inc.

 

Senior Secured First Lien

    L + 475 (2)       6.44     11/2019       481,973       482,292       0.3       487,169  

William Morris Endeavor Entertainment, LLC

 

Senior Secured Second Lien

    L + 725 (2)       8.63     05/2022       166,667       163,744       0.1       167,500  

Xcentric Mold and Engineering Acquisition Company, LLC(4)

 

Senior Secured First Lien

    L + 550 (8)       6.88     01/2022       5,012,125       4,929,254       2.9       5,012,125  

Xcentric Mold and Engineering Acquisition Company, LLC(3) (4)

 

Senior Secured First Lien

    L + 550 (8)       6.88     01/2022       175,000       163,783       0.1       175,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            66,948,401       65,685,114       38.7       66,905,371  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Consumer Durables & Apparel

               

C.F. Stinson, LLC(4)

 

Senior Secured First Lien

    L + 600 (8) (9)       7.88     06/2021       3,000,000       2,956,173       1.8       3,030,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Consumer Services

               

Catapult Learning, LLC(4)

 

Senior Secured First Lien

    L + 650 (2) (9)       7.88     07/2020       4,934,211       4,906,471       2.8       4,884,868  

Counsel On Call, LLC(3) (4) (5)

 

Senior Secured First Lien

        09/2022             (6,979     0.0       (7,001

Counsel On Call, LLC(4)

 

Senior Secured First Lien

    L + 550 (8)       7.07     09/2022       1,197,000       1,185,060       0.7       1,185,028  

NS Intermediate Holdings, LLC(3) (4) (5)

 

Senior Secured First Lien

        09/2021             (3,273     0.0       2,238  

NS Intermediate Holdings, LLC(4)

 

Senior Secured First Lien

    L + 550 (8)       7.07     09/2021       2,532,110       2,497,657       1.5       2,554,778  

Oncourse Learning Corporation(3) (4)

 

Senior Secured First Lien

    L + 650 (2)       7.83     09/2021       13,190,175       13,033,704       7.6       13,190,175  

SkillSoft Corporation

 

Senior Secured First Lien

    L + 475 (8)       6.32     04/2021       969,713       957,665       0.5       936,292  

Teaching Company, LLC(4)

 

Senior Secured First Lien

    L + 475 (2)       6.44     02/2023       4,962,500       4,918,925       2.9       5,012,125  

Wrench Group LLC(3) (4) (5)

 

Senior Secured First Lien

        03/2022             (5,753            

Wrench Group LLC(4)

 

Senior Secured First Lien

    L + 450 (2)       6.19     03/2022       3,772,222       3,730,704       2.2       3,772,222  

Wrench Group LLC(3) (4) (5)

 

Senior Secured First Lien

        12/2024             (2,615            

Wrench Group LLC(4)

 

Senior Secured First Lien

    L + 450 (2)       6.19     12/2024       850,000       844,099       0.5       850,000  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            32,407,931       32,055,665       18.7       32,380,725  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Diversified Financials

               

Edelman Financial Group, The

 

Senior Secured First Lien

    L + 425 (2)       5.65     11/2024       3,485,500       3,476,920       2.0       3,531,247  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Energy

               

Murray Energy Corporation

 

Senior Secured First Lien

    L + 725 (2)       8.94     04/2020       351,585       339,560       0.2       311,446  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Food & Staples Retailing

               

Good Source Solutions, Inc.(4)

 

Senior Secured First Lien

    L + 725 (2)       8.94     07/2021       2,598,346       2,578,786       1.5       2,619,644  

 

See accompanying notes

 

14


Table of Contents

CRESCENT CAPITAL BDC, INC.

Consolidated Schedule of Investments

December 31, 2017

 

                                                                                                                                                                                       
   

Investment Type

  Spread
Above
Index *
    Interest
Rate
    Maturity
Date
    Principal
Amount,
Par Value or
Shares
    Cost   Percentage
of Net
Assets **
  Fair
Value
 

HLF Financing S.a r.l.(7)

 

Senior Secured First Lien

    L + 550 (8)       7.07     02/2023     $ 4,718,750     $ 4,635,945       2.7   $ 4,718,019  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 
            7,317,096       7,214,731       4.2       7,337,663  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Food, Beverage & Tobacco

               

Shearer’s Foods, Inc.

 

Senior Secured First Lien

    L + 425 (2)       5.94     06/2021       735,000       730,176       0.4       736,837  
         

 

 

   

 

 

 

 

 

 

 

 

 

 

 

Health Care Equipment &
Services

 

           

Ameda, Inc.(4)

 

Senior Secured First Lien

    L + 600 (8)       7.35     09/2022       2,643,375       2,596,923       1.5       2,610,648  

Ameda, Inc.(3) (4) (5)

 

Senior Secured First Lien

        09/2022             (5,242     0.0       (3,714

Beaver-Visitec International, Inc.(7)

 

Senior Secured First Lien

    L + 500 (2)       6.69     08/2023       9,396,174       9,333,914       5.4       9,396,174  

CDRH Parent, Inc.

 

Senior Secured First Lien

    L + 425 (2)       5.75     07/2021       365,246       367,319       0.2       321,051  

Centauri Health Solutions, Inc(3) (4)

 

Senior Secured First Lien

    L + 550 (8)       6.87     01/2022       1,181,250       1,164,103       0.7       1,197,000  

Centauri Health Solutions, Inc(4)

 

Senior Secured First Lien

    L + 550 (8)       6.87     01/2022       8,237,750       8,099,349       4.8       8,320,127  

ExamWorks Group, Inc.(4)

 

Senior Secured Second Lien

    L + 1050 (2)       10.50     07/2024       5,000,000       4,868,280       3.0       5,150,000  

GrapeTree Medical Staffing, LLC(4)

 

Senior Secured First Lien

    L + 500 (8)       6.37     10/2022       1,695,750       1,667,116