Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2023

As of December 31, 2023 and 2022, the Company’s investments were categorized as follows in the fair value hierarchy:



Valuation Inputs	December 31, 2023		December 31, 2022
Level 1—Price quotations in active markets	$	—	$	—
Level 2—Significant other observable inputs	1,614		571
Level 3—Significant unobservable inputs	262,316		6,131
	$	263,930	$	6,702

Schedule of Reconciliation Fair Value, Assets

The following is a reconciliation for the year ended December 31, 2023 and for the period from February 4, 2022 (Inception) through December 31, 2022 of investments for which significant unobservable inputs (Level 3) were used in determining fair value:


	For the Year Ended December 31, 2023
	Senior Secured Loans—First Lien		Subordinated Debt		Asset Based Finance		Total
Fair value at beginning of period	$	2,646	$	—	$	3,485	$	6,131
Accretion of discount (amortization of premium)	554		1		8		563
Net realized gain (loss)	(4)		—		—		(4)
Net change in unrealized appreciation (depreciation)	2,520		(12)		881		3,389
Purchases	204,802		947		54,339		260,088
Paid-in-kind interest	—		25		—		25
Sales and repayments	(6,204)		—		(1,672)		(7,876)
Transfers into Level 3	—		—		—		—
Transfers out of Level 3	—		—		—		—
Fair value at end of period	$	204,314	$	961	$	57,041	$	262,316
The amount of total gains or (losses) for the period included in changes in net assets attributable to the change in unrealized gains or losses relating to investments still held at the reporting date	$	2,533	$	(12)	$	881	$	3,402


	For the Period from February 4, 2022 (Inception) through December 31, 2022
	Senior Secured Loans—First Lien		Asset Based Finance		Total
Fair value at beginning of period	$	—	$	—	$	—
Accretion of discount (amortization of premium)	1		1		2
Net realized gain (loss)	0		—		—
Net change in unrealized appreciation (depreciation)	12		(7)		5
Purchases	2,633		3,491		6,124
Paid-in-kind interest	—		—		—
Sales and repayments	—		—		—
Transfers into Level 3	—		—		—
Transfers out of Level 3	—		—		—
Fair value at end of period	$	2,646	$	3,485	$	6,131
The amount of total gains or (losses) for the period included in changes in net assets attributable to the change in unrealized gains or losses relating to investments still held at the reporting date	$	12	$	(7)	$	5

Schedule of Valuation Techniques and Significant Unobservable Inputs Used in Recurring Level 3 Fair Value

The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements as of December 31, 2023 and 2022 were as follows:

Type of Investment

Fair Value at December 31, 2023

Valuation
Technique

Unobservable
Input

Range (Weighted Average)

Impact to Valuation from an Increase in Input(1)

Senior Debt

185,976

Discounted Cash Flow

Discount Rate

10% - 11.5% (10.9%)

Decrease

18,338

Cost

Subordinated Debt

961

Discounted Cash Flow

Discount Rate

15.4% - 15.4% (15.4%)

Decrease

Asset Based Finance

39,896

Discounted Cash Flow

Discount Rate

5.9% - 43.2% (8%)

Decrease

2,679

Waterfall

EBITDA Multiple

1.0x - 1.0x (1.0x)

Increase

292

Other(2)

14,174

Cost

Total

262,316

Type of Investment

Fair Value at December 31, 2022

Valuation
Technique

Unobservable
Input

Range (Weighted Average)

Impact to Valuation from an Increase in Input(1)

Senior Debt

1,263

Discounted Cash Flow

Discount Rate

10.9% - 11.6% (11.1%)

Decrease

1,384

Cost

Asset Based Finance

2,836

Discounted Cash Flow

Discount Rate

8.2% - 44.0% (14.3%)

Decrease

648

Cost

Total

6,131

__________

(1)Represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the input would have the opposite effect. Significant changes in these inputs in isolation could result in significantly higher or lower fair value measurements.

(2)Fair value based on expected outcome of proposed corporate transactions and/or other factors.