UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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 March 31, 2024
 
OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
Commission file number: 001-40564
 

 
SILVER SPIKE INVESTMENT CORP.
(Exact name of registrant as specified in its charter)



Maryland

86-2872887
(State or other jurisdiction of
incorporation or organization)

(IRS Employer Identification No.)



600 Madison Avenue, Suite 1800

 
New York, NY

 
 
10022
(Address of principal executive offices)

(Zip Code)
 
(212) 905-4923
 (Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
 
Title of Each Class
 
Trading Symbol(s)
 
Name of each exchange on which registered
Common Stock, par value $0.01 per share
 
SSIC
  The NASDAQ Stock Market LLC

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 every Interactive Data File required to be submitted 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 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
 
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 Act). Yes           No ☒
 
As of May 9, 2024, the registrant had 6,214,949 shares of common stock ($0.01 par value per share) outstanding.



SILVER SPIKE
INVESTMENT CORP.
FORM 10-Q

 

TABLE OF CONTENTS
 
  
PAGE
NO.
PART I
 
Item 1
4
 
4
 
5
 
6
 
7
 
8
 
10
Item 2
25
Item 3
36
Item 4
37
PART II
 
Item 1
38
Item 1A
38
Item 2
38
Item 3
38
Item 4
38
Item 5
38
Item 6
38
39

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS
 
Except where the context suggests otherwise, the terms “we,” “us,” “our,” “the Company,” and “SSIC” refer to Silver Spike Investment Corp. In addition, the terms “SSC,” “Adviser,” “investment adviser” and “administrator” refer to Silver Spike Capital, LLC, our external investment adviser and administrator.

Some of the statements in this quarterly report on Form 10-Q constitute forward-looking statements because they relate to future events or our future performance or financial condition. The forward-looking statements contained in this quarterly report on Form 10-Q may include statements as to:
 
our future operating results and distribution projections;
 
the ability of Silver Spike Capital, LLC (“SSC”) to attract and retain highly talented professionals;
 
our business prospects and the prospects of our portfolio companies;
 
the impact of interest and inflation rates on our business prospects and the prospects of our portfolio companies;
 
the impact of the investments that we expect to make;
 
the ability of our portfolio companies to achieve their objectives;
 
our expected financings and investments and the timing of our investments in our initial portfolio;
 
changes in regulation impacting the cannabis industry;
 
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;
 
the timing of cash flows, if any, from the operations of our portfolio companies; and

the Loan Portfolio Acquisition (as defined below), the likelihood the Loan Portfolio Acquisition is completed, and the anticipated timing of its completion. See “Note 12 – Proposed Loan Portfolio Acquisition” in the notes to the financial statements included with this quarterly report on Form 10-Q for further information regarding the Loan Portfolio Acquisition Agreement and the Loan Portfolio Acquisition.

In addition, words such as “anticipate,” “believe,” “expect,” “seek,” “plan,” “should,” “estimate,” “project” and “intend” indicate forward-looking statements, although not all forward-looking statements include these words. The forward-looking statements contained in this quarterly report on Form 10-Q involve risks and uncertainties. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the factors set forth in “Item 1A. Risk Factors” in our annual report on Form 10-K for the fiscal year ended December 31, 2023 and elsewhere in this quarterly report on Form 10-Q. Other factors that could cause actual results to differ materially include:
 
our limited operating history;

changes or potential disruptions in our operations, the economy, financial markets or political environment;
 
risks associated with possible disruption in our operations or the economy generally due to terrorism, natural disasters, the Russia-Ukraine war, or the Israel-Hamas war and the potential for volatility in energy prices and other commodities and their impact on the industries in which we invest;

the impact of information technology system failures, data security breaches, data privacy compliance, network disruptions, and cybersecurity attacks;
 
future changes in laws or regulations (including the interpretation of these laws and regulations by regulatory authorities) and conditions in our operating areas, particularly with respect to business development companies (“BDCs”) or regulated investment companies (“RICs”); and

other considerations that may be disclosed from time to time in our publicly disseminated documents and filings.
 
We have based the forward-looking statements included in this quarterly report on Form 10-Q on information available to us on the date of this quarterly report on Form 10-Q, 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 SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. The forward-looking statements contained in this quarterly report on Form 10-Q are excluded from the safe harbor protection provided by Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”).


PART I: FINANCIAL INFORMATION
 
Item 1.
Financial Statements

SILVER SPIKE INVESTMENT CORP.

Statements of Assets and Liabilities
 
 
  March 31, 2024    
December 31, 2023
 
 
 
(unaudited)
       
ASSETS
           
Investments at fair value:
           
Non-control/non-affiliate investments at fair value (amortized cost of $53,602,697 and $53,471,317, respectively)
 
$
54,851,000
   
$
54,120,000
 
                 
Cash and cash equivalents
   
33,160,294
     
32,611,635
 
Interest receivable
   
1,675,075
     
1,755,360
 
Deferred offering costs
    333,320       -  
Prepaid expenses
   
261,473
     
39,276
 
Other assets     69,913       50,000  
Total assets
 

90,351,075
   

88,576,271
 
 
               
LIABILITIES
               
Transaction fees payable related to the Loan Portfolio Acquisition
    2,712,577       711,264  
Income-based incentive fees payable
 
1,511,253    
1,511,253  
Due to custodian
    468,829       -  
Offering costs payable
    332,564       -  
Management fee payable
    246,131       257,121  
Capital gains incentive fees payable
    207,507       87,583  
Audit fees payable
    136,623       123,998  
Administrator fees payable
    107,075       86,463  
Legal fees payable
    71,660       84,824  
Other payables
    16,676       13,822  
Professional fees payable
    11,750       17,233  
Valuation fees payable
   
9,405
      24,675  
Directors fees payable
   
258
      94,760  
Distributions payable
    -       2  
Excise tax payable
    -       10,655  
Total liabilities
 

5,832,308
   

3,023,653
 
 
               
Commitments and contingencies (Note 6)
    -
      -
 
 
               
 NET ASSETS
               
Common Stock, $0.01 par value, 100,000,000 shares authorized, 6,214,949 and  6,214,941 shares issued and outstanding, respectively
 

62,149
   

62,149
 
Additional paid-in-capital
   
85,030,601
     
85,041,203
 
Distributable earnings (Accumulated losses)
   
(573,983
)
   
449,266
 
Total net assets
 
$
84,518,767
   
$
85,552,618
 
NET ASSET VALUE PER SHARE
 
$
13.60
   
$
13.77
 

 See notes to financial statements.

SILVER SPIKE INVESTMENT CORP.

Statements of Operations
(Unaudited)
 
 
 
For the three months ended
 
 
 
March 31, 2024
   
March 31, 2023
 
INVESTMENT INCOME
           
Non-control/non-affiliate investment income
           
Interest income
 
$
2,726,497
   
$
2,457,839
 
Fee income
   
33,750
     
-
 
Total investment income
   
2,760,247
     
2,457,839
 
 
               
EXPENSES
               
Transaction expenses related to the Loan Portfolio Acquisition
    2,106,050       -  
Management fee
   
246,131
     
238,419
 
Capital gains incentive fees
    119,924       142,602  
Audit expense
   
106,625
     
97,883
 
Administrator fees
   
98,456
     
77,844
 
Insurance expense
   
66,279
     
69,082
 
Legal expenses
    58,051       98,760  
Other expenses
    19,191       19,504  
Custodian fees
    11,850       12,000  
Director expenses
   
5,526
     
35,944
 
Valuation fees
    1,973       73,065  
Income-based incentive fees
    -       203,821  
Professional fees
   
-
     
18,192
 
Total expenses
   
2,840,056
     
1,087,116
 
 
               
NET INVESTMENT INCOME (LOSS)
   
(79,809
)
   
1,370,723
 
 
               
NET REALIZED GAIN (LOSS) FROM INVESTMENTS
               
Non-controlled/non-affiliate investments
    -       -  
Net realized gain (loss) from investments
   
-
     
-
 
 
               
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) FROM INVESTMENTS
               
Non-controlled/non-affiliate investments
   
599,620
     
986,357
 
Net change in unrealized appreciation (depreciation) from investments
   
599,620
     
986,357
 
Net realized and unrealized gains (losses)
    599,620       986,357  
 
               
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS
 
$
519,811
   
$
2,357,080
 
 
               
NET INVESTMENT INCOME (LOSS) PER SHARE — BASIC AND DILUTED
 
$
(0.01
)
 
$
0.22
 
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS PER SHARE — BASIC AND DILUTED
 
$
0.08
    $ 0.38  
WEIGHTED AVERAGE SHARES OUTSTANDING — BASIC AND DILUTED
   
6,214,941
     
6,214,672
 

See notes to financial statements.

SILVER SPIKE INVESTMENT CORP.

Statements of Changes in Net Assets
(Unaudited)

 
 
Common Stock
             
 
 
Shares
   
Par Value
   
Additional
paid-in capital
   
Distributable
Earnings/
(Accumulated Loss)
   
Total
net assets
 
Balance, December 31, 2023
   
6,214,941
   
$
62,149
   
$
85,041,203
   
$
449,266
   
$
85,552,618
 
Net increase (decrease) in net assets resulting from operations
                                       
Net investment income (loss)
   
-
     
-
     
-
     
(79,809
)
   
(79,809
)
Net realized gain (loss) from investments
   
-
     
-
     
-
     
-
     
-
 
Net change in unrealized appreciation (depreciation) from investments
   
-
     
-
     
-
     
599,620
     
599,620
 
Total net increase (decrease) in net assets resulting from operations
   
-
     
-
     
-
     
519,811
     
519,811
 
Distributions to stockholders from:
                                       
Investment income-net
    -       -       -       (1,553,736 )     (1,553,736 )
Capital transactions
                                       
Reinvestment of stockholder distributions
    8       -       74       -       74  
Total net increase (decrease) in net assets from capital transactions
    8       -       74       -       74  
Total increase (decrease) in net assets     8       -       74       (1,033,925 )     (1,033,851 )
Effect of permanent adjustments
    -       -       (10,676 )     10,676       -  
Balance, March 31, 2024
   
6,214,949
   
$
62,149
   
$
85,030,601
   
$
(573,983
)
 
$
84,518,767
 
 
   
Common Stock
             

 
Shares
   
Par value
   
Additional
paid-in capital
   
Distributable Earnings/
(Accumulated Loss)
   
Total net
assets
 
Balance, December 31, 2022
   
6,214,672
   
$
62,147
   
$
84,917,788
   
$
1,495,794
   
$
86,475,729
 
Net increase (decrease) in net assets resulting from operations
                                       
Net investment income (loss)
   
-
     
-
     
-
     
1,370,723
     
1,370,723
 
Net realized gain (loss) from investments
   
-
     
-
     
-
     
-
     
-
 
Net change in unrealized appreciation (depreciation) from investments
   
-
     
-
     
-
     
986,357
     
986,357
 
Total net increase (decrease) in net assets resulting from operations
   
-
     
-
     
-
     
2,357,080
     
2,357,080
 
Capital transactions
                                       
Issuance of common stock
   
-
     
-
     
-
     
-
     
-
 
Total increase (decrease) in net assets
   
-
     
-
     
-
     
2,357,080
     
2,357,080
 
Effect of permanent adjustments
   
-
     
-
     
121,099
     
(121,099
)
   
-
 
Balance, March 31, 2023
   
6,214,672
   
$
62,147
   
$
85,038,887
   
$
3,731,775
   
$
88,832,809
 

See notes to financial statements.

SILVER SPIKE INVESTMENT CORP.

Statements of Cash Flows
(Unaudited)
 
 
 
For the three months ended
 
 
 
March 31, 2024
   
March 31, 2023
 
Cash flows from operating activities
           
Net increase (decrease) in net assets resulting from operations
 
$
519,811
   
$
2,357,080
 
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
               
Net change in unrealized (appreciation) depreciation from investments
   
(599,620
)
   
(986,357
)
Net (accretion of discounts) and amortization of premiums
   
(141,429
)
   
(140,819
)
Purchase of investments
   
-
     
(4,230,000
)
PIK interest capitalized
    (52,951 )     (11,573 )
Proceeds from sales of investments and principal repayments
    63,000       -  
(Increase)/Decrease in operating assets:
               
Interest receivable
   
80,285
     
(8,945
)
Other assets
    (19,913 )     -  
Prepaid expenses
   
(222,197
)
   
(222,328
)
Increase/(Decrease) in operating liabilities:
               
Income-based incentive fees payable
   
-
     
203,821
 
Management fee payable
    (10,990 )     238,419  
Capital gains incentive fees payable
    119,924       142,602  
Legal fees payable
    (13,164 )     57,773  
Transaction fees payable related to the Loan Portfolio Acquisition
    2,001,313       -  
Valuation fees payable
   
(15,270
)
   
72,185
 
Administrator fees payable
   
20,612
     
25,630
 
Audit fees payable
   
12,625
      (2,117 )
Directors fees payable
   
(94,502
)
   
3,895
 
Professional fees payable
   
(5,483
)
   
18,192
 
Other payables
   
2,854
     
(18,148
)
Due to custodian
   
468,829
      -  
Due to affiliate
    -       (37 )
Excise tax payable
    (10,655 )    
(80,566
)
Net cash provided by (used in) operating activities
   
2,103,079
     
(2,581,293
)
 
               
Cash flows from financing activities
               
Offering costs paid
    (756 )     -  
Distributions paid
    (1,553,664 )     -  
Net cash provided by (used in) financing activities
   
(1,554,420
)
   
-
 
 
               
Net increase (decrease) in cash and cash equivalents
   
548,659
     
(2,581,293
)
Cash and cash equivalents, beginning of period
   
32,611,635
     
35,125,320
 
Cash and cash equivalents, end of period
 
$
33,160,294
   
$
32,544,027
 

               
Supplemental and non-cash financing activities
               
Reinvestment of dividend distributions
  $ 74     $ -  

See notes to financial statements.

SILVER SPIKE INVESTMENT CORP.

Schedule of Investments
March 31, 2024
(Unaudited)
(in thousands)

Portfolio Company (1)
Type of Investment (2)
Investment
Date (3)
Maturity Date
Interest Rate (4)
 
Fair Value
Hierarchy (5)
 
Geographic
Region (6)
Non-
Qualifying
Asset (7)
 
Principal
Amount (8)
   
Amortized
Cost
   
Fair Value (9)
   
% of Net
Assets
 
Debt Securities - United States
                                         
Wholesale Trade (10)
                                         
Curaleaf Holdings, Inc.
Senior Secured Note
10/11/2022
12/15/2026
Fixed interest rate 8.0%
   
3
 
Northeast
Yes
   $
4,500
    $
4,026
    $
4,208
     
4.98
%
Dreamfields Brands, Inc. (d/b/a Jeeter)
Senior Secured First Lien Term Loan
5/3/2023
 5/3/2026
Variable interest rate PRIME(11) + 8.75% (7.5% PRIME Floor)
    3
  West
No    
4,320
      4,237       4,320       5.11  
PharmaCann, Inc.
Senior Secured Note
6/30/2022
6/30/2025
Fixed interest rate 12.0%
   
3
 
Midwest
No
   
4,250
     
4,131
     
4,016
     
4.75
STIIIZY, Inc. (f/k/a Shryne Group Inc.)
Senior Secured First Lien Term Loan
5/26/2022
5/26/2026
Variable interest rate PRIME(11) + 8.5%
(4.0% PRIME Floor)“1.0% PIK”
   
3
 
West
No
   
21,118
     
20,774
     
21,224
     
25.11
Verano Holdings Corp.
Senior Secured First Lien Term Loan
10/27/2022
10/30/2026
Variable interest rate PRIME(11) + 6.5%
(6.25% PRIME Floor)
   
3
 
Midwest
Yes
   
20,874
     
20,435
     
21,083
     
24.95
 
                     
$
55,062
     
53,603
     
54,851
     
64.90
 
                                                   
Total: Debt Securities -United States (64.90%):
                         
53,603
     
54,851
     
64.90
 
                                                   
Total: Debt Securities (64.90%):
                         
53,603
     
54,851
     
64.90
 
                                                   
Total Investment in Securities (64.90%):
                       
$
53,603
   
$
54,851
     
64.90
%
 
                                                   
Cash equivalents
                                             
State Street Institutional U.S. Government Money Market Fund (12)
      1
               
$
33,160
   
$
33,160
     
39.23
%
Cash equivalents (39.23%):
                         
33,160
     
33,160
     
39.23
 
                                                   
Total Portfolio Investments and Cash equivalents (104.13%):
                       
$
86,763
   
$
88,011
     
104.13
%


(1)
All portfolio companies are located in the United States, as determined by the location of the portfolio company’s headquarters.

(2)
No debt investment is non-income producing as of March 31, 2024.

(3)
Investment date represents the date of initial investment, at which date interest began accruing.

(4)
Interest rate is the fixed or variable rate of the debt investments.

(5)
See Note 2 – Significant Accounting Policies and Note 4 — Fair Value of Financial Instruments in the accompanying notes to the financial statements.

(6)
Geographic regions are determined by the respective portfolio company’s headquarters’ location.

(7)
Under the Investment Company Act of 1940, as amended (the “1940 Act”), a business development company (“BDC”) may not acquire any “non-qualifying asset” (i.e., an asset other than assets of the type listed in Section 55(a) of the 1940 Act, which are referred to as “qualifying assets”), unless, at the time the acquisition is made, qualifying assets represent at least 70% of the BDC’s total assets. As of March 31, 2024 the aggregate fair value of non-qualifying assets is $25,291 or 28.0% of the Company’s total assets.

(8)
Principal is net of repayments, if any, as per the terms of the debt instrument’s contract.

(9)
All investments were valued at fair value. See Note 4 — Fair Value of Financial Instruments in the accompanying notes to the financial statements.

(10)
The Company uses the North American Industry Classification System (“NAICS”) code for classifying the industry grouping of its portfolio companies.

(11)
As of March 31, 2024 PRIME is 8.50%.

(12)
The annualized seven-day yield as of March 31, 2024 is 5.26%.

See notes to financial statements.

SILVER SPIKE INVESTMENT CORP.

Schedule of Investments
December 31, 2023
 (in thousands)

Portfolio Company (1)
Type of Investment (2)
Investment
Date (3)
Maturity Date
Interest Rate (4)
 
Fair Value
Hierarchy (5)
 
Geographic
Region (6)
Non-
Qualifying
Asset (7)
 
Principal
Amount (8)
   
Amortized
Cost
   
Fair Value (9)
   
% of
Net Assets
 
Debt Securities - United States
 
 
 
 
       
 
                       
Wholesale Trade (10)
 
             
 
                       
Curaleaf Holdings, Inc.
Senior Secured Note
10/11/2022
12/15/2026
Fixed interest rate 8.0%    
3
 
Northeast
Yes
  $
4,500
    $
3,989
    $
4,140
      4.84 %
Dreamfields Brands, Inc. (d/b/a Jeeter)
Senior Secured First Lien Term Loan 5/3/2023 5/3/2026 Variable interest rate PRIME(11) + 8.75% (7.5% PRIME Floor)
    3   West No     4,320       4,229       4,320       5.05  
PharmaCann, Inc.
Senior Secured Note
6/30/2022
6/30/2025
Fixed interest rate 12.0%
   
3
 
Midwest
No
   
4,250
     
4,109
     
3,974
     
4.65
STIIIZY, Inc. (f/k/a Shryne Group Inc.)
Senior Secured First Lien Term Loan
5/26/2022
5/26/2026
Variable interest rate PRIME(11) + 8.5%
(4.0% PRIME Floor)“1.0% PIK”
   
3
 
West
No
   
21,065
     
20,682
     
20,749
     
24.25
Verano Holdings Corp.
Senior Secured First Lien Term Loan
10/27/2022
10/30/2026
Variable interest rate PRIME(11) + 6.5%
(6.25% PRIME Floor)
   
3
 
Midwest
Yes
   
20,937
     
20,462
     
20,937
     
24.47
 
 
 
 
 
         
 
 
$
55,072
     
53,471
     
54,120
     
63.26
 
 
 
 
 
         
 
                               
Total: Debt Securities - United States (63.26%):
 
         
 
           
53,471
     
54,120
     
63.26
 
 
 
 
 
         
 
                               
Total: Debt Securities (63.26%):
 
         
 
           
53,471
     
54,120
     
63.26
 
 
 
 
 
         
 
                               
Total Investment in Securities (63.26%):
 
         
 
         
$
53,471
   
$
54,120
     
63.26
%
 
 
 
 
 
         
 
                               
Cash equivalents
 
         
 
                               
State Street Institutional U.S. Government Money Market Fund (12)
 
    1
 
 
 
         
$
32,612
   
$
32,612
     
38.12
%
Cash equivalents (38.12%):
 
         
 
           
32,612
     
32,612
     
38.12
 
 
 
 
 
 
         
 
                               
Total Portfolio Investments and Cash equivalents (101.38%):
 
         
 
         
$
86,083
   
$
86,732
     
101.38
%


(1)
All portfolio companies are located in the United States, as determined by the location of the portfolio company’s headquarters.

(2)
No debt investment is non-income producing as of December 31, 2023.

(3)
Investment date represents the date of initial investment, at which date interest began accruing.

(4)
Interest rate is the fixed or variable rate of the debt investments.

(5)
See Note 2 – Significant Accounting Policies and Note 4 — Fair Value of Financial Instruments in the accompanying notes to the financial statements.

(6)
Geographic regions are determined by the respective portfolio company’s headquarters’ location.

(7)
Under the Investment Company Act of 1940, as amended (the “1940 Act”), a business development company (“BDC”) may not acquire any “non-qualifying asset” (i.e., an asset other than assets of the type listed in Section 55(a) of the 1940 Act, which are referred to as “qualifying assets”), unless, at the time the acquisition is made, qualifying assets represent at least 70% of the BDC’s total assets. As of December 31, 2023 the aggregate fair value of non-qualifying assets is $25,077 or 29.3% of the Company’s total assets.

(8)
Principal is net of repayments, if any, as per the terms of the debt instrument’s contract.

(9)
All investments were valued at fair value. See Note 4 — Fair Value of Financial Instruments in the accompanying notes to the financial statements.

(10)
The Company uses the North American Industry Classification System (“NAICS”) code for classifying the industry grouping of its portfolio companies.

(11)
As of December 31, 2023 PRIME is 8.50%.

(12)
The annualized seven-day yield as of December 31, 2023 is 5.32%.

See notes to financial statements.

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)

NOTE 1 — ORGANIZATION
 
Silver Spike Investment Corp. (an emerging growth company) (the “Company”, “we” or “our”) was formed on January 25, 2021 as a Maryland corporation structured as an externally managed, closed-end, non-diversified management investment company. The Company has elected to be treated as a business development company (“BDC”), under the Investment Company Act of 1940, as amended (“1940 Act”). In addition, for U.S. federal income tax purposes the Company adopted an initial tax year end of December 31, 2021, and was taxed as a corporation for the tax period ended December 31, 2021. The Company adopted the tax year end of March 31 and elected to be treated for U.S. federal income tax purposes as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”) for the tax period January 1, 2022 through March 31, 2022, as well as maintain such election in future taxable years. However, there is no guarantee that the Company will qualify to make such an election for any taxable year.
 
On February 4, 2022, the Company’s common stock began trading on the Nasdaq Global Market under the ticker symbol “SSIC,” and we completed our initial public offering of 6,214,286 shares of our common stock, par value $0.01, inclusive of an over-allotment option that was exercised on March 1, 2022 (“IPO”), for approximately $87 million.
 
The Company is managed by Silver Spike Capital, LLC (“SSC” or “Adviser”), a registered investment advisor under the Investment Advisers Act of 1940 with the Securities and Exchange Commission. SSC has engaged SS&C Technologies, Inc. and ALPS Fund Services, Inc. (“SS&C”), as sub-administrator, to perform administrative services necessary for the Company to operate.
 
The Company’s investment objective is to maximize risk-adjusted returns on equity for its shareholders. The Company seeks to drive return on equity by generating current income from debt investments and capital appreciation from equity and equity-related investments. The Company intends to achieve its investment objective by investing primarily in secured debt, unsecured debt, equity warrants and direct equity investments in private leveraged middle-market cannabis companies and other companies in the health and wellness sector. The debt investments are often secured by either a first or second priority lien on the assets of the portfolio company, can include either fixed or floating rate terms and will generally have a term of between two and six years from the original investment date.
 
On November 8, 2022, the Board of Directors (“Board”) of the Company approved a change in its fiscal year end from March 31 to December 31. Certain prior period information has been reclassified to conform to the current period presentation.

On February 18, 2024, the Company entered into a definitive Purchase Agreement (the “Loan Portfolio Acquisition Agreement”) with Chicago Atlantic Loan Portfolio, LLC (“CALP”), pursuant to which the Company would purchase all or substantially all of the portfolio investments held by CALP (the “Loan Portfolio”) in exchange for newly issued shares of the Company’s common stock with a net asset value equal to the value of the Loan Portfolio, each determined shortly before closing (the “Loan Portfolio Consideration”), subject to certain customary closing conditions (the “Loan Portfolio Acquisition”). The Board, including all the independent directors, upon the recommendation of a special committee composed solely of the independent directors (the “Special Committee”), has approved the Loan Portfolio Acquisition Agreement and the transactions contemplated thereby. The Company’s current officers would continue to be a part of the Company’s management team following the Loan Portfolio Acquisition. Assuming satisfaction of the conditions to the transaction, the Loan Portfolio Acquisition is expected to close in mid-2024. See “Note 12 – Proposed Loan Portfolio Acquisition” for further information regarding the Loan Portfolio Acquisition Agreement and the Loan Portfolio Acquisition.

On February 20, 2024, SSC announced that it entered into a definitive agreement with Chicago Atlantic BDC Holdings, LLC (together with its affiliates, “Chicago Atlantic”), the investment adviser of CALP, pursuant to which a joint venture between Chicago Atlantic and SSC would be created to combine and jointly operate SSC’s, and a portion of Chicago Atlantic’s, investment management businesses, subject to certain customary closing conditions (the “Joint Venture”). The Joint Venture would cause the automatic termination of the Company’s existing investment advisory agreement with SSC. As a result, the Board unanimously approved, upon the recommendation of the Special Committee, a new investment advisory agreement with SSC to take effect upon closing of the Joint Venture, subject to Company stockholder approval. The new investment advisory agreement is identical, in all material respects, to the current investment advisory agreement. Upon the effectiveness of the new investment advisory agreement, the Company would be renamed Chicago Atlantic BDC, Inc. and SSC would be renamed Chicago Atlantic BDC Advisers, LLC.

On February 20, 2024, the Company announced that the Board unanimously approved an expansion of the Company’s investment strategy to permit investments in companies outside of the cannabis and health and wellness sectors that otherwise meet the Company’s investment criteria. The investment strategy change became effective on April 22, 2024.
 
10

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)
NOTE 2 — SIGNIFICANT ACCOUNTING POLICIES
 
Basis of Presentation
The Company’s financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), including the requirements under ASC 946, Financial Services—Investment Companies and Articles 6 and 12 of Regulation S-X. In the opinion of management, all adjustments of a normal recurring nature considered necessary for the fair presentation of the financial statements for the interim period presented have been made, and such adjustments are normal and recurring in nature. The current period’s results of operations are not necessarily indicative of results that may be achieved for the year.
 
Use of Estimates
The preparation of the financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions affecting reported amounts of assets and liabilities at the date of the financial statements (i.e. fair value of investments) and the reported amounts of income, expenses, and gains and losses during the reported period. These estimates are based on the information that is currently available to the Company and on various other assumptions that the Company believes to be reasonable under the circumstances. Actual results could differ materially from those estimates under different assumptions and conditions.
 
Investment Valuation
The Company’s investments are recorded at their estimated fair value on the Statement of Assets and Liabilities. Investments for which market quotations are readily available will typically be valued at the bid price of those market quotations. To validate market quotations, we utilize a number of factors to determine if the quotations are representative of fair value, including the source and number of the quotations. Debt and equity securities that are not publicly traded or whose market prices are not readily available are valued at fair value as determined in good faith by the Adviser, as the Company’s valuation designee (the “Valuation Designee”), based on inputs that may include valuations, or ranges of valuations, provided by independent third-party valuation firm(s) engaged by the Adviser. Generally, the valuation approach used for debt investments is the income approach. The approach derives a value based on either determining the present value of a projected level of cash flow, including a terminal value, or by the capitalization of a normalized measure of future cash flow. The discounted cash flow (“DCF”) method, one of the methodologies under the income approach, involves estimating future cash flows under various scenarios and discounting them to the measurement date. The discount rate represents a return required by a market participant in order to make an investment in the subject company.

Alternatively, the market approach or asset approach may be used. The market approach is a way of determining a value indication by using one or more methods that compare the portfolio company to similar businesses. Value indicators are applied to relevant financial information of the entity being valued to estimate its fair value. There are two methodologies to consider under the market approach: the guideline company method (“GCM”) and the controlling transaction method (“CTM”). The GCM is based on the premise that the pricing multiples of comparable publicly traded companies can be used as a tool to value privately held companies. The publicly traded companies’ ratios and business enterprise value provide guidance in the valuation process. Considerations of factors such as size, growth, profitability and return on investment are also analyzed and compared to the subject business. The CTM is based on the same premise as the GCM. Guideline transactions include change-of-control transactions involving public or private businesses for companies engaged in similar lines of business or with similar economic characteristics. The valuation considers the price at which the merger or acquisition took place to other factors in order to create a pricing multiple that can be used to determine an estimate of value for the subject company.

The asset approach provides an indication of the portfolio company’s value by developing a valuation-based balance sheet. This approach requires adjusting the historical assets and liabilities listed on the U.S. GAAP-based balance sheet to estimated fair values. The excess of assets over liabilities represents the tangible value of the business enterprise. The asset approach does not consider the relevant earnings capacity of a going concern business.

Effective September 8, 2022, pursuant to Rule 2a-5 under the 1940 Act, the Board designated the Adviser as the Valuation Designee to perform the fair value determinations for the Company, subject to the oversight of the Board and certain Board reporting and other requirements.

As part of the valuation process, the Adviser takes into account relevant factors in determining the fair value of our investments, including: the estimated enterprise value of a portfolio company (i.e., the total fair value of the portfolio company’s debt and equity), the nature and realizable value of any collateral, the portfolio company’s ability to make payments based on its earnings and cash flow, the markets in which the portfolio company does business, a comparison of the portfolio company’s securities to any similar publicly traded securities, and overall changes in the interest rate environment and the credit markets. When an external event such as a purchase transaction, public offering or subsequent equity sale occurs, the Adviser considers whether the pricing indicated by the external event corroborates its valuation.

The Adviser undertakes a multi-step valuation process, which includes, among other procedures, the following:

With respect to investments for which market quotations are readily available, those investments will typically be valued at the bid price of those market quotations;

11

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)
With respect to investments for which market quotations are not readily available, the valuation process begins with the Adviser’s valuation committee establishing a preliminary valuation of each investment, which may be based on valuations, or ranges of valuations, provided by independent valuation firm(s);

Preliminary valuations are documented and discussed by the Adviser’s valuation committee and, where appropriate, the independent valuation firm(s); and

The Adviser determines the fair value of each investment.

We conduct this valuation process on a quarterly basis.

We apply Financial Accounting Standards Board Accounting Standards Codification 820, Fair Value Measurement (“ASC 820”), which establishes a framework for measuring fair value in accordance with U.S. GAAP and required disclosures of fair value measurements. ASC 820 determines fair value to be the price that would be received for an investment in a current sale, which assumes an orderly transaction between market participants on the measurement date. Market participants are defined as buyers and sellers in the principal or most advantageous market (which may be a hypothetical market) that are independent, knowledgeable, and willing and able to transact. In accordance with ASC 820, we consider the principal market to be the market that has the greatest volume and level of activity. ASC 820 specifies a fair value hierarchy that prioritizes and ranks the level of observability of inputs used in determination of fair value. In accordance with ASC 820, these levels are summarized below:

Level 1 – Valuations based on quoted prices in active markets for identical assets or liabilities that we have the ability to access at the measurement date;

Level 2 – Valuations based on 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 for which all significant inputs are observable, either directly or indirectly; and

Level 3 – Valuations based on inputs that are unobservable and significant to the overall fair value measurement.

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 such 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 may ultimately be realized. Further, such investments are generally less liquid than publicly traded securities and may be subject to contractual and other restrictions on resale. If we were required to liquidate a portfolio investment in a forced or liquidation sale, it could realize amounts that are different from the amounts presented and such differences could be material.

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 previously.
 
Cash and Cash Equivalents
Cash and cash equivalents consists of funds deposited with financial institutions and short-term (maturity of 90 days or less) liquid investments and money market funds. Funds held in money market funds are considered Level 1 in the fair value hierarchy in accordance with ASC 820. Cash held in demand deposit accounts may exceed the Federal Deposit Insurance Corporation (“FDIC”) insured limit. The Company has not incurred any losses on these accounts, and the credit risk exposure is mitigated by the financial strength of the banking institution where the accounts are held. As of March 31, 2024 and December 31, 2023, cash and cash equivalents consisted of $33.16 million and $32.61 million, respectively, of which $33.16 million and $32.61 million, respectively, was held in the State Street Institutional U.S. Government Money Market Fund.
 
Earnings per share
Basic earnings per share is computed by dividing net increase (decrease) in net assets resulting from operations by the weighted-average number of common shares outstanding for the period. Other potentially dilutive common shares, and the related impact to earnings are considered when calculating earnings per share on a diluted basis using the treasury stock method.
 
Investment Transactions
Investment transactions are recorded on trade date. Realized gains or losses are recognized as the difference between the net proceeds received (excluding prepayment fees, if any) and the amortized cost basis of the investment using the specific identification method without regard to unrealized gains or losses previously recognized, and include investments written off during the period, net of recoveries. Current-period changes in fair value of investments are reflected as a component of the net change in unrealized appreciation (depreciation) on investments on the Statements of Operations. The net change in unrealized appreciation (depreciation) primarily reflects the change in investment fair values as of the last business day of the reporting period, including the reversal of previously recorded unrealized gains or losses with respect to investments realized during the period.
 
12

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)
Investments traded but not yet settled, if any, are reported in payable for investments purchased and receivable for investments sold on the Statement of Assets and Liabilities.
 
Interest and Dividend Income
Interest income is recorded on the accrual basis and includes accretion and amortization of discounts or premiums, respectively. Discounts and premiums to par value on securities purchased are accreted and amortized, respectively, into interest income over the contractual life of the respective security using the effective yield method. The amortized cost of investments includes the original cost adjusted for the accretion and amortization of discounts and premiums, respectively. Upon prepayment of a loan or debt security, any prepayment premiums and unamortized discounts or premiums are recorded as interest income in the current period.
 
When a debt security becomes 90 days or more past due, or if management otherwise does not expect that principal, interest, and other obligations due will be collected in full, the Company will generally place the debt security on non-accrual status and cease recognizing interest income on that debt security until all principal and interest due has been paid or the Company believes the borrower has demonstrated the ability to repay its current and future contractual obligations. Any uncollected interest is reversed from income in the period that collection of the interest receivable is determined to be doubtful. However, the Company may make exceptions to this policy if the investment has sufficient collateral value and is in the process of collection. As of March 31, 2024 and December 31, 2023, there were no loan investments in the portfolio placed on non-accrual status.
 
Interest income earned, excluding accretion of discounts and amortization of premiums, was $2,585,068 and $2,317,020 for the three months ended March 31, 2024 and 2023, respectively. As of March 31, 2024 and December 31, 2023, $1,675,075 and $1,755,360, respectively, were recorded as interest receivable.

Dividend income on preferred equity securities is recorded on the accrual basis to the extent that such amounts are payable by the portfolio company and are expected to be collected. 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.

Certain investments may have contractual PIK interest or dividends. PIK interest or dividends represents accrued interest or dividends that is added to the principal amount of the investment on the respective interest or dividend payment dates rather than being paid in cash and generally becomes due at maturity. If PIK interest or dividends are not expected to be realized by the Company, the investment generating PIK interest or dividends will be placed on non-accrual status. When an investment with PIK is placed on non-accrual status, the accrued, uncapitalized interest or dividends are generally reversed through interest or dividend income, respectively.
 
Fee Income
All transaction fees earned in connection with our investments are recognized as fee income and are generally non-recurring. Such fees typically include fees for services, including administrative, structuring and advisory services, provided to portfolio companies. We recognize income from fees for providing such structuring and advisory services when the services are rendered or the transactions are completed, and payment is received (generally immediately).

For the three months ended March 31, 2024 and 2023, the Company earned $33,750 and $0, respectively, in fee income.
 
Income Taxes
The Company adopted an initial tax year end of December 31, 2021 and was taxed as a corporation for U.S. federal income tax purposes for the tax period ended December 31, 2021. The Company adopted the tax year end of March 31, 2022 and elected to be treated for U.S. federal income tax purposes as a RIC under Subchapter M of the Code for the tax period January 1, 2022 through March 31, 2022, and intends to maintain such election in the current and future taxable years. To maintain its tax treatment as a RIC, the Company must meet specified source-of-income and asset diversification requirements and timely distribute to its stockholders for each taxable year at least 90% of its investment company taxable income. In order for the Company not to be subject to U.S. federal excise taxes, it must distribute annually an amount at least equal to the sum of (i) 98% of its net ordinary income for the calendar year, (ii) 98.2% of its capital gains in excess of capital losses for the one-year period ending on October 31 of the calendar year and (iii) any net ordinary income and capital gains in excess of capital losses for preceding years that were not distributed during such years. The Company, at its discretion (subject to the requirement to distribute 90% of its investment company taxable income as described above), may carry forward taxable income in excess of calendar year dividends and pay a 4% nondeductible U.S. federal excise tax on this income. If the Company chooses to do so, this generally would increase expenses and reduce the amount available to be distributed to stockholders. For the three months ended March 31, 2024 and 2023, the Company accrued excise taxes of $0 and $0, respectively. As of March 31, 2024 and December 31, 2023, $19,913 and $0, respectively, of overpaid excise taxes are included as Other assets in the Statement of Assets and Liabilities. As of March 31, 2024 and December 31, 2023, $0 and $10,655, respectively, of accrued excise taxes remained payable.

13

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)
The Company evaluates tax positions taken in the course of preparing the Company’s tax returns to determine whether the tax positions are “more-likely-than-not” to be sustained by the applicable tax authority in accordance with ASC Topic 740, Income Taxes (“ASC 740”). Tax benefits of positions not deemed to meet the more-likely-than-not threshold, or uncertain tax positions, would be recorded as tax expense in the current year. It is the Company’s policy to recognize accrued interest and penalties related to uncertain tax benefits in income tax expense.

Based on the analysis of the Company’s tax position, the Company has no uncertain tax positions that met the recognition or measurement criteria as of March 31, 2024 and December 31, 2023. The Company does not anticipate any significant increase or decrease in unrecognized tax benefits for the next twelve months. All of the Company’s tax returns remain subject to examination by U.S. federal and state tax authorities.

Distributions
Distributions to common stockholders are recorded on the record date. The amount of taxable income to be paid out as a distribution is determined by our Board each quarter and is generally based upon the future taxable income estimated by management. Capital gains, if any, are distributed at least annually, although the Company may decide to retain all or some of those capital gains for investment and pay U.S. federal income tax at corporate rates on those retained amounts. If the Company chooses to do so, this generally will increase expenses and reduce the amount available to be distributed to stockholders. Our distributions may exceed our earnings, and therefore, portions of the distributions that we make may be a return of the money originally invested and represent a return of capital distribution to shareholders for tax purposes.

Organization Expenses and Offering Costs
Organizational expenses
Costs associated with the organization of the Company are expensed as incurred. These expenses consist primarily of legal fees and other costs of organizing the Company.

As of March 31, 2024 and December 31, 2023, there were no unpaid organizational expenses.

Offering costs
These costs consist primarily of legal fees and other costs incurred in connection with the Company’s share offerings, the preparation of the Company’s registration statement, and registration fees.

Costs associated with the offering of common shares of the Company are capitalized as deferred offering and, if any, are included in deferred offering costs on the Statements of Assets and Liabilities. As of March 31, 2024 and December 31, 2023, deferred offering costs were $333,320 and $0, respectively. The deferred offering costs will be charged to capital upon the issuance of shares subsequent to the completion of the Loan Portfolio Acquisition. For the three months ended March 31, 2024 and 2023, no offering costs were charged to capital. As of March 31, 2024 and December 31, 2023, there were $332,564 and $0, respectively, of offering costs payable by the Company.

Transaction expenses related to the Loan Portfolio Acquisition
Transaction expenses related to the Loan Portfolio Acquisition at March 31, 2024 and December 31, 2023 were $2,817,314 and $711,264, respectively, and consisted primarily of legal fees incurred related to the Loan Portfolio Acquisition. See “Note 12 – Proposed Loan Portfolio Acquisition” for further information regarding the Loan Portfolio Acquisition Agreement and the Loan Portfolio Acquisition.

For the three months ended March 31, 2024 and 2023, the Company incurred transaction expenses related to the Loan Portfolio Acquisition of $2,106,050 and $0, respectively. As of March 31, 2024 and December 31, 2023, there were $2,712,577 and $711,264, respectively, of transaction expenses related to the Loan Portfolio Acquisition payable by the Company.
 
New Accounting Standards
In November 2023, the FASB issued Accounting Standard Update (“ASU”) No. 2023-07, Segment Reporting (Topic 280), which improves reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The amendment is effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024. We do not believe that the Company will be materially impacted by the adoption of ASU 2023-07.
 
NOTE 3 — INVESTMENTS
 
The Company seeks to invest in portfolio companies primarily in the form of loans (secured and unsecured), but may include equity warrants and direct equity investments. The loans typically pay interest with some amortization of principal. As of March 31, 2024, 84.8% of the portfolio (based on amortized cost) pays interest on a floating rate basis with a PRIME floor, and 15.2% of the portfolio (based on amortized cost) pays fixed interest. As of December 31, 2023, 84.9% of the portfolio (based on amortized cost) pays interest on a floating rate basis with a PRIME floor, and 15.1% of the portfolio (based on amortized cost) pays fixed interest. We will generally seek to obtain security interests in the assets of our portfolio companies that serve as collateral in support of the repayment of these loans. This collateral may take the form of first or second priority liens on the assets of a portfolio company. In some of our portfolio investments, we expect to receive nominally priced equity warrants and/or make direct equity investments in connection with a debt investment. In addition, a portion of our portfolio may be comprised of derivatives, including total return swaps. No such equity or derivative instruments were held as of March 31, 2024 or December 31, 2023.
 
14

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)
We expect that our loans will typically have final maturities of three to six years. However, we expect that our portfolio companies often may repay these loans early, generally within three years from the date of initial investment.
 
Portfolio Composition
The Company’s portfolio investments are in companies conducting business in or supporting the cannabis industries. The following tables summarize the composition of the Company’s portfolio investments by industry at amortized cost and fair value and as a percentage of the total portfolio as of March 31, 2024 and December 31, 2023.
 
   
March 31, 2024
 
   
Amortized Cost
   
Fair Value
 
Industry
 
Amount
   
%
   
Amount
   
%
 
Wholesale Trade
 
$
53,602,697
     
100.0
%
 
$
54,851,000
     
100.0
%
Total
 
$
53,602,697
     
100.0
%
 
$
54,851,000
     
100.0
%
 
   
December 31, 2023
 
   
Amortized Cost
   
Fair Value
 
Industry
 
Amount
   
%
   
Amount
   
%
 
Wholesale Trade
 
$
53,471,317
     
100.0
%
 
$
54,120,000
     
100.0
%
Total
 
$
53,471,317
     
100.0
%
 
$
54,120,000
     
100.0
%

The geographic composition is determined by the location of headquarters of the portfolio company. The following tables summarize the composition of the Company’s portfolio investments by geographic region of the United States at amortized cost and fair value and as a percentage of the total portfolio as of March 31, 2024 and December 31, 2023. Geographic regions are defined as:  West, for the states of WA, OR, ID, MT, WY, CO, AK, HI, UT, NV and CA; Midwest, for the states ND, SD, NE, KS, MO, IA, MN, WI, MI, IL, IN and OH; Northeast, for the states PA, NJ, NY, CT, RI, MA, VT, NH and ME; Southeast, for the states of AR, LA, MS, TN, KY, AL, FL, GA, SC, NC, VA, DE, WV and MD; and Southwest, for the states of AZ, NM, TX and OK.

   
March 31, 2024
 
   
Amortized Cost
   
Fair Value
 
Geographic Location
 
Amount
   
%
   
Amount
   
%
 
West
 
$
25,010,806
     
46.7
%
 
$
25,544,000
     
46.5
%
Midwest
   
24,566,014
     
45.8
   
25,099,000
     
45.8
 
Northeast
   
4,025,877
     
7.5
     
4,208,000
     
7.7
 
Total
 
$
53,602,697
     
100.0
%
 
$
54,851,000
     
100.0
%

   
December 31, 2023
 
   
Amortized Cost
   
Fair Value
 
Geographic Location
 
Amount
   
%
   
Amount
   
%
 
West
 
$
24,910,798
     
46.5
%
 
$
25,069,000
     
46.4
%
Midwest
   
24,571,197
     
46.0
   
24,911,000
     
46.0
Northeast
   
3,989,322
     
7.5
   
4,140,000
     
7.6
Total
 
$
53,471,317
     
100.0
%
 
$
54,120,000
     
100.0
%

The following tables summarize the composition of the Company’s portfolio investments by investment type at amortized cost and fair value and as a percentage of the total portfolio as of March 31, 2024 and December 31, 2023.
 
   
March 31, 2024
 
   
Amortized Cost
   
Fair Value
 
Investment
 
Amount
   
%
   
Amount
   
%
 
Senior Secured First Lien Term Loans
 
$
45,445,599
     
84.8
%
 
$
46,627,000
     
85.0
%
Senior Secured Notes
   
8,157,098
     
15.2
     
8,224,000
     
15.0
 
Total
 
$
53,602,697
     
100.0
%
 
$
54,851,000
     
100.0
%

15

SILVER SPIKE INVESTMENT CORP.

Notes to Financial Statements
(Unaudited)
   
December 31, 2023
 
   
Amortized Cost
   
Fair Value
 
Investment
 
Amount
   
%
   
Amount
   
%
 
Senior Secured First Lien Term Loans
 
$
45,372,626
     
84.9
%
 
$
46,006,000
     
85.0
%
Senior Secured Notes