Fair Value Measurements

3 Months Ended

Mar. 31, 2026

Fair Value Disclosures [Abstract]

Fair Value Measurements

Note 5. Fair Value Measurements

The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the applicable measurement date.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment’s level within the fair value hierarchy is based on the lowest level of input that is significant to the overall fair value measurement. The Adviser’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the investment.

In addition to using the above inputs in investment valuations, the Adviser applies the valuation policy approved by its Board that is consistent with ASC 820. Consistent with the valuation policy, the Adviser evaluates the source of the inputs, including any markets in which its investments are trading (or any markets in which securities with similar attributes are trading), in determining fair value.

Investments whose values are based on the listed closing price quoted on the securities’ principal exchange are classified within Level 1 and include active listed equities. The Adviser does not adjust the quoted price for such instruments, even in situations where the Company holds a large position and a sale could reasonably impact the quoted price.

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 – quoted prices (unadjusted) in active markets for identical assets or liabilities that the Adviser has the ability to access at the measurement date.

Level 2 – inputs other than quoted prices included in Level 1 that are observable for the assets or liabilities, either directly or indirectly. Level 2 inputs include: quoted market prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 – unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The following tables present the fair value hierarchy of financial instruments according to the fair value hierarchy as described in Note 2. Significant Accounting Policies of these consolidated financial statements:

	March 31, 2026
	Level 1		Level 2		Level 3		Total
Secured Debt	$	—	$	14,879	$	140,602	$	155,481
Unsecured Debt		—		—		495		495
Equity Investments		—		—		329		329
Total non-controlled/non-affiliated investments		—		14,879		141,426		156,305
Short-Term Investments		3,614		—		—		3,614
Total Investments at fair value	$	3,614	$	14,879	$	141,426	$	159,919

	December 31, 2025
	Level 1		Level 2		Level 3		Total
Secured Debt	$	—	$	14,992	$	133,847	$	148,839
Unsecured Debt		—		—		501		501
Equity Investments		—		—		318		318
Total non-controlled/non-affiliated investments		—		14,992		134,666		149,658
Short-Term Investments		3,585		—		—		3,585
Total Investments at fair value	$	3,585	$	14,992	$	134,666	$	153,243

The following table presents changes in the fair value of financial instruments for which Level 3 inputs were used to determine fair value for the three months ended March 31, 2026:

	Three Months Ended March 31, 2026
	Secured Debt			Unsecured Debt			Equity Investments			Total Investments
Fair value, beginning of period	$	133,846		$	501		$	317		$	134,664
Purchase of investments (including received in-kind)		12,822			—			35			12,857
Proceeds from sale of investments and principal repayments		(5,006	)		—			—			(5,006	)
Net accretion of discounts and amortization of premiums on investments		87			1			—			88
Net change in unrealized appreciation (depreciation) on investments		(1,147	)		(7	)		(23	)		(1,177	)
Fair value, end of period	$	140,602		$	495		$	329		$	141,426
Net change in unrealized appreciation (depreciation) on non-controlled/non-affiliated investments still held at March 31, 2026	$	(1,105	)	$	(7	)	$	(24	)	$	(1,136	)

The following tables present quantitative information about the significant unobservable inputs of the Company’s Level 3 financial instruments. The 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, 2026
					Range
	Fair Value (1)		Valuation Technique	Unobservable Input	Low			High			Weighted Average (2)
Secured Debt	$	138,256	Market yield analysis	Market yield discount rates		7.11	%		10.68	%		8.65	%
		2,346	Recent transaction	Transaction price	N/A			N/A			N/A
Total Secured Debt		140,602
Unsecured Debt		495	Market yield analysis	Market yield discount rates		11.15	%		11.50	%		11.33	%
Equity Investments		294	Comparable company analysis	EBITDA multiples	11.5x			17.5x			14.6x
		35	Recent transaction	Transaction price	N/A			N/A			N/A
Total Equity Investments		329
Total	$	141,426

December 31, 2025

Range

Fair Value (1)

Valuation Technique

Unobservable Input

Low

High

Weighted Average (2)

Secured Debt

$

88,336

Market yield analysis

Market yield discount rates

7.55

%

10.43

%

8.47

%

44,352

Recent transaction

Transaction price

N/A

N/A

N/A

1,159

Market quotation

Quote

N/A

N/A

N/A

Total Secured Debt

133,847

Unsecured Debt

501

Recent transaction

Transaction price

N/A

N/A

N/A

Equity Investments

318

Recent transaction

Transaction price

N/A

N/A

N/A

Total

$

134,666

(1)As of March 31, 2026 and December 31, 2025, amounts of $2,381 and $46,330, respectively, included within the fair value of Level 3 assets were valued based on unobservable inputs not developed by the Adviser (e.g., broker quotes and transaction prices).

(2)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. The significant unobservable inputs used in the income approach are the discount rate used to discount the estimated future cash flows expected to be received from the underlying investment. The Company uses market discount rates for debt securities to determine if the effective yield on a debt security is commensurate with the market yields for that type of debt security. If a debt security’s effective yield is significantly less than the market yield for a similar debt security with a similar credit profile, the resulting fair value of the debt security may be lower. Significant increases in the discount rate would significantly lower the fair value of an investment; conversely significant decreases in the discount rate would significantly increase the fair value of an investment. The significant unobservable inputs used in the market approach are based on market comparable transactions and market multiples of publicly traded comparable companies. Increases or decreases in market comparable transactions or market multiples would result in an increase or decrease in the fair value.

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 the Company’s investments may fluctuate from period to period. Additionally, the fair value of the Company’s 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 the Company may ultimately realize. Further, such investments are generally subject to legal and other restrictions on resale or otherwise are less liquid than publicly traded securities. If the Company was required to liquidate a portfolio investment in a forced or liquidation sale, it could realize significantly less than the value at which the Company has recorded it. 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 in the valuations currently assigned. As of March 31, 2026 and December 31, 2025, the carrying amounts of the Company’s assets and liabilities, other than investments at fair value, approximate fair value due to their short maturities. Fair value is estimated by discounting remaining payments using applicable current market rates, which take into account changes in the Company’s marketplace credit ratings, if applicable, or market quotes, if available.