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Fair Value Measurements
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
The following tables present the fair value hierarchy of financial instruments:
March 31, 2025
Level 1Level 2Level 3Total
First lien debt$— $231,934 $12,370,969 $12,602,903 
Second lien debt— — 118,482 118,482 
Unsecured debt— — 13,658 13,658 
Equity— — 99,163 99,163 
Total$— $231,934 $12,602,272 $12,834,206 
December 31, 2024
Level 1Level 2Level 3Total
First lien debt$— $115,753 $12,714,636 $12,830,389 
Second lien debt— — 119,184 119,184 
Unsecured debt— — 33,521 33,521 
Equity— — 109,424 109,424 
Total$— $115,753 $12,976,765 $13,092,518 
Within Investments at fair value, substantially all Equity investments are illiquid and privately negotiated in nature and are subject to contractual sale constraints or other restrictions pursuant to their respective governing or similar agreements.
The following tables present changes in the fair value of financial instruments for which Level 3 inputs were used to determine the fair value:
Three Months Ended March 31, 2025
First Lien DebtSecond Lien DebtUnsecured DebtEquityTotal Investments
Fair value, beginning of period$12,714,636 $119,184 $33,521 $109,424 $12,976,765 
Purchases of investments715,298 1,663 468 168 717,597 
Proceeds from principal repayments and sales of investments(964,827)(2,347)(20,595)(10,224)(997,993)
Accretion of discount (amortization of premium)16,001 74 10 — 16,085 
Net realized gain (loss)1,210 (1)— 7,316 8,525 
Net change in unrealized appreciation (depreciation)(9,399)(91)254 (7,521)(16,757)
Transfers into Level 3 (1)
225 — — — 225 
Transfers out of Level 3 (1)
(102,175)— — — (102,175)
Fair value, end of period$12,370,969 $118,482 $13,658 $99,163 $12,602,272 
Net change in unrealized appreciation (depreciation) included in earnings related to financial instruments still held as of March 31, 2025 included in net change in unrealized appreciation (depreciation) on the Condensed Consolidated Statements of Operations
$(5,329)$(91)$(16)$(2,969)$(8,405)
Three Months Ended March 31, 2024
First Lien DebtSecond Lien DebtUnsecured DebtEquityTotal Investments
Fair value, beginning of period$9,564,203 $41,515 $9,924 $94,940 $9,710,582 
Purchases of investments734,974 180 1,785 2,188 739,127 
Proceeds from principal repayments and sales of investments(186,370)— — — (186,370)
Accretion of discount (amortization of premium)9,341 25 9 — 9,375 
Net realized gain (loss)428 — — — 428 
Net change in unrealized appreciation (depreciation)5,496 (205)141 1,552 6,984 
Transfers into Level 3 (1)
50,239 — — — 50,239 
Transfers out of Level 3 (1)
— — — — — 
Fair value, end of period$10,178,311 $41,515 $11,859 $98,680 $10,330,365 
Net change in unrealized appreciation (depreciation) included in earnings related to financial instruments still held as of March 31, 2024 included in net change in unrealized appreciation (depreciation) on the Condensed Consolidated Statements of Operations
$6,191 $(205)$135 $1,553 $7,674 
For the three months ended March 31, 2025 and 2024, transfers into or out of Level 3 were primarily due to decreased or increased price transparency.
The following tables present quantitative information about the significant unobservable inputs of the Company’s Level 3 financial instruments. These tables are not intended to be all-inclusive but instead capture the significant unobservable inputs relevant to the Company’s determination of fair value.
March 31, 2025
Range
Fair ValueValuation TechniqueUnobservable InputLowHigh
Weighted Average (1)
Investments in first lien debt$12,289,809 Yield AnalysisDiscount Rate4.94 %24.01 %9.99 %
62,682 Asset RecoverabilityMarket Multiple8.00x10.25x9.03x
18,329 Transaction PriceN/A
149 Market QuotationsBroker quoted price97.0098.0097.54
12,370,969 
Investments in second lien debt118,482 Yield AnalysisDiscount Rate8.43 %16.73 %11.24 %
Investments in unsecured debt13,658 Yield AnalysisDiscount Rate13.05 %13.89 %13.78 %
Investments in equity61,516 Market ApproachPerformance Multiple6.40x29.68x12.81x
21,944 Yield AnalysisDiscount Rate11.54 %20.40 %13.07 %
12,772 Option Pricing Model Expected Volatility32.00 %70.50 %39.87 %
2,931 Asset RecoverabilityMarket Multiple10.25x10.25x10.25x
99,163 
Total$12,602,272 
December 31, 2024
Range
Fair ValueValuation TechniqueUnobservable InputLowHigh
Weighted Average (1)
Investments in first lien debt$12,546,382 Yield AnalysisDiscount Rate7.00 %22.67 %10.15 %
102,316 Market QuotationsBroker quoted price97.00100.57100.08
63,879 Asset RecoverabilityMarket Multiple10.00x10.75x10.40x
2,059 Asset RecoverabilityDiscount Rate10.33 %10.92 %10.36 %
12,714,636 
Investments in second lien debt119,184 Yield AnalysisDiscount Rate8.86 %16.73 %11.52 %
Investments in unsecured debt33,521 Yield AnalysisDiscount Rate7.71%13.94%10.12%
Investments in equity69,633 Market ApproachPerformance Multiple2.30x30.00x10.11x
21,697 Yield AnalysisDiscount Rate9.54 %19.47 %15.55 %
14,499 Option Pricing ModelExpected Volatility23.50 %70.50 %34.03 %
3,166 Asset RecoverabilityMarket Multiple10.00x10.75x10.50x
429 Transaction PriceN/A
109,424 
Total$12,976,765 
(1)Weighted averages are calculated based on fair value of investments.
The significant unobservable input used in the yield analysis is the discount rate based on comparable market yields. Significant increases in discount rates would result in a significantly lower fair value measurement. The significant unobservable input used for market quotations are broker quoted prices provided by independent pricing services. The significant unobservable input used under the market approach is the Performance Multiple. The significant unobservable inputs used under the asset recoverability approach are the market multiple and discount rate. Significant decreases in quoted prices, Performance Multiples, or market multiples would result in a significantly lower fair value measurement. The significant input used in the option pricing model is expected volatility. Significant increases or decreases in expected volatility could result in a significantly higher or significantly lower fair market value measurement, respectively.
Financial Instruments Not Carried at Fair Value
Debt
The fair value of the Company’s SPV Financing Facilities (as defined in Note 7) and Revolving Credit Facility (as defined in Note 7), as of March 31, 2025 and December 31, 2024, approximates their carrying value as the credit facilities have variable interest based on selected short-term rates. These financial instruments would be categorized as Level 3 within the fair value hierarchy.
The following table presents the fair value measurements of the Company’s Unsecured Notes and Debt Securitization Notes (as defined in Note 7) had they been accounted for at fair value. These financial instruments would be categorized as Level 3 within the fair value hierarchy as of March 31, 2025 and December 31, 2024.
March 31, 2025December 31, 2024
Fair ValueFair Value
2026 Notes$791,760 $788,880 
New 2026 Notes676,270 672,420 
2027 Notes615,420 608,725 
2028 Notes595,790 590,200 
November 2027 Notes406,720 406,440 
April 2028 Notes700,000 698,460 
June 2030 Notes491,400 — 
2024-1 Notes456,629 457,568 
Total$4,733,989 $4,222,693 
Other
As of March 31, 2025 and December 31, 2024, the carrying amounts of the Company’s other assets and liabilities approximate fair value. These financial instruments would be categorized as Level 3 within the fair value hierarchy.