Commission File Number | Exact name of registrant as specified in its charter, address of principal executive offices, telephone numbers and states or other jurisdictions of incorporation or organization | I.R.S. Employer Identification Number | ||
814-00832 | New Mountain Finance Corporation | 27-2978010 | ||
787 Seventh Avenue, 48th Floor New York, New York 10019 Telephone: (212) 720-0300 State of Incorporation: Delaware |
Large accelerated filer ý | Accelerated filer o | ||
Non-accelerated filer o | Smaller reporting company o |
Description | Shares as of November 8, 2016 | |
Common stock, par value $0.01 per share | 69,614,858 |
PAGE | ||
Item 1. | Financial Statements |
September 30, 2016 | December 31, 2015 | ||||||
Assets | |||||||
Investments at fair value | |||||||
Non-controlled/non-affiliated investments (cost of $1,413,930 and $1,438,415, respectively) | $ | 1,353,097 | $ | 1,377,515 | |||
Non-controlled/affiliated investments (cost of $45,472 and $89,047, respectively) | 46,684 | 87,287 | |||||
Controlled investments (cost of $105,353 and $41,254, respectively) | 119,198 | 47,422 | |||||
Total investments at fair value (cost of $1,564,755 and $1,568,716, respectively) | 1,518,979 | 1,512,224 | |||||
Securities purchased under collateralized agreements to resell (cost of $30,000 and $30,000, respectively) | 28,673 | 29,704 | |||||
Cash and cash equivalents | 49,794 | 30,102 | |||||
Interest and dividend receivable | 16,654 | 13,832 | |||||
Receivable from affiliates | 845 | 360 | |||||
Other assets | 2,235 | 1,924 | |||||
Total assets | $ | 1,617,180 | $ | 1,588,146 | |||
Liabilities | |||||||
Borrowings | |||||||
Holdings Credit Facility | $ | 308,913 | $ | 419,313 | |||
Convertible Notes | 155,552 | 115,000 | |||||
SBA-guaranteed debentures | 121,745 | 117,745 | |||||
Unsecured Notes | 90,000 | — | |||||
NMFC Credit Facility | 42,500 | 90,000 | |||||
Deferred financing costs (net of accumulated amortization of $11,268 and $8,822, respectively) | (15,038 | ) | (13,992 | ) | |||
Net borrowings | 703,672 | 728,066 | |||||
Payable for unsettled securities purchased | 45,690 | 5,441 | |||||
Management fee payable | 5,781 | 5,466 | |||||
Incentive fee payable | 5,432 | 5,622 | |||||
Interest payable | 4,370 | 2,343 | |||||
Deferred tax liability | 857 | 1,676 | |||||
Payable to affiliates | 567 | 564 | |||||
Other liabilities | 2,599 | 2,060 | |||||
Total liabilities | 768,968 | 751,238 | |||||
Commitments and contingencies (See Note 9) | |||||||
Net assets | |||||||
Preferred stock, par value $0.01 per share, 2,000,000 shares authorized, none issued | — | — | |||||
Common stock, par value $0.01 per share, 100,000,000 shares authorized, 64,005,387 and 64,005,387 shares issued, respectively, and 63,864,858 and 64,005,387 shares outstanding, respectively | 640 | 640 | |||||
Paid in capital in excess of par | 899,996 | 899,713 | |||||
Treasury stock at cost, 140,529 and 0 shares held, respectively | (1,707 | ) | — | ||||
Accumulated undistributed net investment income | 4,197 | 4,164 | |||||
Accumulated undistributed net realized gains on investments | 3,533 | 1,342 | |||||
Net unrealized (depreciation) appreciation (net of provision for taxes of $857 and $1,676, respectively) | (58,447 | ) | (68,951 | ) | |||
Total net assets | $ | 848,212 | $ | 836,908 | |||
Total liabilities and net assets | $ | 1,617,180 | $ | 1,588,146 | |||
Number of shares outstanding | 63,864,858 | 64,005,387 | |||||
Net asset value per share | $ | 13.28 | $ | 13.08 |
Three Months Ended | Nine Months Ended | ||||||||||||||
September 30, 2016 | September 30, 2015 | September 30, 2016 | September 30, 2015 | ||||||||||||
Investment income | |||||||||||||||
From non-controlled/non-affiliated investments: | |||||||||||||||
Interest income | $ | 34,735 | $ | 31,628 | $ | 106,743 | $ | 97,249 | |||||||
Dividend income | 83 | (509 | ) | 175 | (407 | ) | |||||||||
Other income | 2,557 | 1,619 | 4,776 | 3,496 | |||||||||||
From non-controlled/affiliated investments: | |||||||||||||||
Interest income | 720 | 1,594 | 3,929 | 3,820 | |||||||||||
Dividend income | 1,061 | 892 | 2,868 | 2,701 | |||||||||||
Other income | 284 | 1,020 | 902 | 1,642 | |||||||||||
From controlled investments: | |||||||||||||||
Interest income | 462 | 517 | 1,447 | 1,487 | |||||||||||
Dividend income | 1,919 | 673 | 3,380 | 1,864 | |||||||||||
Other income | 13 | 13 | 80 | 36 | |||||||||||
Total investment income | 41,834 | 37,447 | 124,300 | 111,888 | |||||||||||
Expenses | |||||||||||||||
Incentive fee | 5,432 | 5,034 | 16,266 | 14,969 | |||||||||||
Capital gains incentive fee | — | (490 | ) | — | — | ||||||||||
Total incentive fees | 5,432 | 4,544 | 16,266 | 14,969 | |||||||||||
Management fee | 6,883 | 6,373 | 20,537 | 19,039 | |||||||||||
Interest and other financing expenses | 7,171 | 5,788 | 20,544 | 16,863 | |||||||||||
Professional fees | 723 | 808 | 2,461 | 2,456 | |||||||||||
Administrative expenses | 586 | 647 | 2,054 | 1,804 | |||||||||||
Other general and administrative expenses | 390 | 370 | 1,206 | 1,252 | |||||||||||
Total expenses | 21,185 | 18,530 | 63,068 | 56,383 | |||||||||||
Less: management fee waived (See Note 5) | (1,102 | ) | (1,237 | ) | (3,662 | ) | (3,866 | ) | |||||||
Less: expenses waived and reimbursed (See Note 5) | — | (333 | ) | (347 | ) | (733 | ) | ||||||||
Net expenses | 20,083 | 16,960 | 59,059 | 51,784 | |||||||||||
Net investment income before income taxes | 21,751 | 20,487 | 65,241 | 60,104 | |||||||||||
Income tax expense (benefit) | 22 | (172 | ) | 113 | 130 | ||||||||||
Net investment income | 21,729 | 20,659 | 65,128 | 59,974 | |||||||||||
Net realized gains (losses): | |||||||||||||||
Non-controlled/non-affiliated investments | 1,150 | (37 | ) | 2,191 | (13,508 | ) | |||||||||
Net change in unrealized appreciation (depreciation): | |||||||||||||||
Non-controlled/non-affiliated investments | 3,837 | (8,360 | ) | 2,955 | 2,148 | ||||||||||
Non-controlled/affiliated investments | 109 | 313 | 84 | 1,041 | |||||||||||
Controlled investments | (800 | ) | (2,190 | ) | 7,677 | 4,544 | |||||||||
Securities purchased under collateralized agreements to resell | (957 | ) | — | (1,031 | ) | — | |||||||||
Benefit (provision) for taxes | 11 | (581 | ) | 819 | (1,217 | ) | |||||||||
Net realized and unrealized gains (losses) | 3,350 | (10,855 | ) | 12,695 | (6,992 | ) | |||||||||
Net increase in net assets resulting from operations | $ | 25,079 | $ | 9,804 | $ | 77,823 | $ | 52,982 | |||||||
Basic earnings per share | $ | 0.39 | $ | 0.17 | $ | 1.22 | $ | 0.91 | |||||||
Weighted average shares of common stock outstanding - basic (See Note 11) | 63,758,062 | 58,725,338 | 63,843,730 | 58,269,543 | |||||||||||
Diluted earnings per share | $ | 0.37 | $ | 0.17 | $ | 1.14 | $ | 0.86 | |||||||
Weighted average shares of common stock outstanding - diluted (See Note 11) | 71,145,932 | 66,002,469 | 71,158,044 | 65,514,142 | |||||||||||
Dividends declared and paid per share | $ | 0.34 | $ | 0.34 | $ | 1.02 | $ | 1.02 |
Nine Months Ended | |||||||
September 30, 2016 | September 30, 2015 | ||||||
Increase (decrease) in net assets resulting from operations: | |||||||
Net investment income | $ | 65,128 | $ | 59,974 | |||
Net realized gains (losses) on investments | 2,191 | (13,508 | ) | ||||
Net change in unrealized appreciation (depreciation) of investments | 10,716 | 7,733 | |||||
Net change in unrealized (depreciation) appreciation of securities purchased under collateralized agreements to resell | (1,031 | ) | — | ||||
Benefit (provision) for taxes | 819 | (1,217 | ) | ||||
Net increase in net assets resulting from operations | 77,823 | 52,982 | |||||
Capital transactions | |||||||
Net proceeds from shares sold | — | 79,415 | |||||
Deferred offering costs | 38 | (285 | ) | ||||
Dividends declared to stockholders from net investment income | (65,095 | ) | (59,240 | ) | |||
Reinvestment of dividends | 1,486 | 3,655 | |||||
Repurchase of shares under repurchase program | (2,948 | ) | — | ||||
Total net (decrease) increase in net assets resulting from capital transactions | (66,519 | ) | 23,545 | ||||
Net increase in net assets | 11,304 | 76,527 | |||||
Net assets at the beginning of the period | 836,908 | 802,170 | |||||
Net assets at the end of the period | $ | 848,212 | $ | 878,697 | |||
Capital share activity | |||||||
Shares sold | — | 5,750,000 | |||||
Shares issued from reinvestment of dividends | — | 257,497 | |||||
Shares reissued from repurchase program in connection with reinvestment of dividends | 107,970 | — | |||||
Shares repurchased under repurchase program | (248,499 | ) | — | ||||
Net (decrease) increase in shares outstanding | (140,529 | ) | 6,007,497 |
Nine Months Ended | |||||||
September 30, 2016 | September 30, 2015 | ||||||
Cash flows from operating activities | |||||||
Net increase in net assets resulting from operations | $ | 77,823 | $ | 52,982 | |||
Adjustments to reconcile net (increase) decrease in net assets resulting from operations to net cash (used in) provided by operating activities: | |||||||
Net realized (gains) losses on investments | (2,191 | ) | 13,508 | ||||
Net change in unrealized (appreciation) depreciation of investments | (10,716 | ) | (7,733 | ) | |||
Net change in unrealized depreciation (appreciation) of securities purchased under collateralized agreements to resell | 1,031 | — | |||||
Amortization of purchase discount | (2,342 | ) | (1,787 | ) | |||
Amortization of deferred financing costs | 2,446 | 2,180 | |||||
Non-cash investment income | (5,101 | ) | (4,374 | ) | |||
(Increase) decrease in operating assets: | |||||||
Purchase of investments and delayed draw facilities | (336,310 | ) | (397,745 | ) | |||
Proceeds from sales and paydowns of investments | 352,607 | 344,753 | |||||
Cash received for purchase of undrawn portion of revolving credit or delayed draw facilities | 86 | 157 | |||||
Cash paid for purchase of drawn portion of revolving credit facilities | — | (3,227 | ) | ||||
Cash paid on drawn revolvers | (10,899 | ) | (1,160 | ) | |||
Cash repayments on drawn revolvers | 8,111 | 4,299 | |||||
Interest and dividend receivable | (2,822 | ) | (4,156 | ) | |||
Receivable from affiliates | (485 | ) | 119 | ||||
Receivable from unsettled securities sold | — | 4,243 | |||||
Other assets | (299 | ) | (329 | ) | |||
Increase (decrease) in operating liabilities: | |||||||
Payable for unsettled securities purchased | 40,249 | (24,032 | ) | ||||
Management fee payable | 315 | (8 | ) | ||||
Incentive fee payable | (190 | ) | 231 | ||||
Interest payable | 2,027 | 1,367 | |||||
Deferred tax liability | (819 | ) | 1,217 | ||||
Payable to affiliates | 3 | (688 | ) | ||||
Other liabilities | 311 | (735 | ) | ||||
Net cash flows provided by (used in) operating activities | 112,835 | (20,918 | ) | ||||
Cash flows from financing activities | |||||||
Net proceeds from shares sold | — | 79,415 | |||||
Dividends paid | (63,609 | ) | (55,585 | ) | |||
Offering costs paid | (155 | ) | (141 | ) | |||
Proceeds from Holdings Credit Facility | 128,500 | 246,330 | |||||
Repayment of Holdings Credit Facility | (238,900 | ) | (328,900 | ) | |||
Proceeds from Convertible Notes | 40,552 | — | |||||
Proceeds from SBA-guaranteed debentures | 4,000 | 66,295 | |||||
Proceeds from Unsecured Notes | 90,000 | — | |||||
Proceeds from NMFC Credit Facility | 156,500 | 101,300 | |||||
Repayment of NMFC Credit Facility | (204,000 | ) | (83,800 | ) | |||
Deferred financing costs paid | (3,083 | ) | (2,829 | ) | |||
Repurchase of shares under repurchase program | (2,948 | ) | — | ||||
Net cash flows (used in) provided by financing activities | (93,143 | ) | 22,085 | ||||
Net increase in cash and cash equivalents | 19,692 | 1,167 | |||||
Cash and cash equivalents at the beginning of the period | 30,102 | 23,445 | |||||
Cash and cash equivalents at the end of the period | $ | 49,794 | $ | 24,612 | |||
Supplemental disclosure of cash flow information | |||||||
Cash interest paid | $ | 15,975 | $ | 12,764 | |||
Income taxes paid | 11 | 151 | |||||
Non-cash operating activities: | |||||||
Non-cash activity on investments | $ | 167 | $ | 60,652 | |||
Non-cash financing activities: | |||||||
Value of shares reissued from repurchase program in connection with dividend reinvestment plan | $ | 1,486 | $ | — | |||
Value of shares issued in connection with dividend reinvestment plan | — | 3,655 | |||||
Accrual for offering costs | 576 | 739 | |||||
Accrual for deferred financing costs | 371 | 103 |
Portfolio Company, Location and Industry (1) | Type of Investment | Interest Rate(10) | Maturity / Expiration Date | Principal Amount, Par Value or Shares | Cost | Fair Value | Percent of Net Assets | ||||||||||||||
Non-Controlled/Non-Affiliated Investments | |||||||||||||||||||||
Funded Debt Investments - Australia | |||||||||||||||||||||
Project Sunshine IV Pty Ltd** | |||||||||||||||||||||
Media | First lien (2) | 8.00% (L + 7.00%/M) | 9/23/2019 | $ | 6,826 | $ | 6,801 | $ | 6,732 | 0.79 | % | ||||||||||
Total Funded Debt Investments - Australia | $ | 6,826 | $ | 6,801 | $ | 6,732 | 0.79 | % | |||||||||||||
Funded Debt Investments - Luxembourg | |||||||||||||||||||||
Pinnacle Holdco S.à.r.l. / Pinnacle (US) Acquisition Co Limited** | |||||||||||||||||||||
Software | Second lien (2) | 10.50% (L + 9.25%/Q) | 7/30/2020 | $ | 24,630 | $ | 24,356 | $ | 18,349 | ||||||||||||
Second lien (3) | 10.50% (L + 9.25%/Q) | 7/30/2020 | 8,204 | 8,330 | 6,112 | ||||||||||||||||
32,834 | 32,686 | 24,461 | 2.88 | % | |||||||||||||||||
Total Funded Debt Investments - Luxembourg | $ | 32,834 | $ | 32,686 | $ | 24,461 | 2.88 | % | |||||||||||||
Funded Debt Investments - Netherlands | |||||||||||||||||||||
Eiger Acquisition B.V. (Eiger Co-Borrower, LLC)** | |||||||||||||||||||||
Software | Second lien (3) | 10.13% (L + 9.13%/Q) | 2/17/2023 | $ | 10,000 | $ | 9,353 | $ | 9,550 | 1.13 | % | ||||||||||
Total Funded Debt Investments - Netherlands | $ | 10,000 | $ | 9,353 | $ | 9,550 | 1.13 | % | |||||||||||||
Funded Debt Investments - United Kingdom | |||||||||||||||||||||
Air Newco LLC** | |||||||||||||||||||||
Software | Second lien (3) | 10.50% (L + 9.50%/Q) | 1/31/2023 | $ | 32,500 | $ | 31,793 | $ | 30,265 | 3.57 | % | ||||||||||
Total Funded Debt Investments - United Kingdom | $ | 32,500 | $ | 31,793 | $ | 30,265 | 3.57 | % | |||||||||||||
Funded Debt Investments - United States | |||||||||||||||||||||
TIBCO Software Inc. | |||||||||||||||||||||
Software | First lien (2) | 6.50% (L + 5.50%/M) | 12/4/2020 | $ | 29,550 | $ | 28,459 | $ | 29,221 | ||||||||||||
Subordinated (3) | 11.38%/S | 12/1/2021 | 15,000 | 14,647 | 13,425 | ||||||||||||||||
44,550 | 43,106 | 42,646 | 5.03 | % | |||||||||||||||||
Hill International, Inc. | |||||||||||||||||||||
Business Services | First lien (2) | 7.75% (L + 6.75%/M) | 9/28/2020 | 41,650 | 41,233 | 41,650 | 4.91 | % | |||||||||||||
Deltek, Inc. | |||||||||||||||||||||
Software | Second lien (3) | 9.50% (L + 8.50%/Q) | 6/26/2023 | 21,000 | 20,987 | 21,289 | |||||||||||||||
Second lien (2) | 9.50% (L + 8.50%/Q) | 6/26/2023 | 20,000 | 19,634 | 20,275 | ||||||||||||||||
41,000 | 40,621 | 41,564 | 4.90 | % | |||||||||||||||||
AssuredPartners, Inc. | |||||||||||||||||||||
Business Services | Second lien (2) | 10.00% (L + 9.00%/M) | 10/20/2023 | 20,000 | 19,263 | 19,925 | |||||||||||||||
Second lien (3) | 10.00% (L + 9.00%/M) | 10/20/2023 | 20,200 | 19,462 | 20,124 | ||||||||||||||||
40,200 | 38,725 | 40,049 | 4.72 | % | |||||||||||||||||
Navex Global, Inc. | |||||||||||||||||||||
Software | First lien (4) | 5.98% (L + 4.75%/Q) | 11/19/2021 | 4,574 | 4,539 | 4,505 | |||||||||||||||
First lien (2) | 5.98% (L + 4.75%/Q) | 11/19/2021 | 2,589 | 2,568 | 2,550 | ||||||||||||||||
Second lien (4) | 10.30% (L + 8.75%/Q) | 11/18/2022 | 18,187 | 17,978 | 17,642 | ||||||||||||||||
Second lien (3) | 10.30% (L + 8.75%/Q) | 11/18/2022 | 15,313 | 14,845 | 14,853 | ||||||||||||||||
40,663 | 39,930 | 39,550 | 4.66 | % |
Portfolio Company, Location and Industry (1) | Type of Investment | Interest Rate(10) | Maturity / Expiration Date | Principal Amount, Par Value or Shares | Cost | Fair Value | Percent of Net Assets | ||||||||||||||
Kronos Incorporated | |||||||||||||||||||||
Software | Second lien (2) | 9.75% (L + 8.50%/Q) | 4/30/2020 | $ | 32,632 | $ | 32,464 | $ | 33,350 | ||||||||||||
Second lien (3) | 9.75% (L + 8.50%/Q) | 4/30/2020 | 4,999 | 4,964 | 5,109 | ||||||||||||||||
37,631 | 37,428 | 38,459 | 4.53 | % | |||||||||||||||||
Tenawa Resource Holdings LLC (13) | |||||||||||||||||||||
Tenawa Resource Management LLC | |||||||||||||||||||||
Energy | First lien (3) | 10.50% (Base + 8.00%/Q) | 5/12/2019 | 40,000 | 39,894 | 38,175 | 4.50 | % | |||||||||||||
ProQuest LLC | |||||||||||||||||||||
Business Services | Second lien (3) | 10.00% (L + 9.00%/M) | 12/15/2022 | 35,000 | 34,357 | 35,000 | 4.13 | % | |||||||||||||
Ascend Learning, LLC | |||||||||||||||||||||
Education | Second lien (3) | 9.50% (L + 8.50%/Q) | 11/30/2020 | 35,227 | 34,877 | 34,875 | 4.11 | % | |||||||||||||
Redbox Automated Retail, LLC | |||||||||||||||||||||
Consumer Services | First lien (2) | 8.50% (L + 7.50%/Q) | 9/27/2021 | 35,000 | 34,475 | 34,475 | 4.06 | % | |||||||||||||
Valet Waste Holdings, Inc. | |||||||||||||||||||||
Business Services | First lien (2) | 8.00% (L + 7.00%/Q) | 9/24/2021 | 29,700 | 29,381 | 29,700 | |||||||||||||||
First lien (3)(11) - Drawn | 8.00% (L + 7.00%/Q) | 9/24/2021 | 2,250 | 2,222 | 2,250 | ||||||||||||||||
31,950 | 31,603 | 31,950 | 3.77 | % | |||||||||||||||||
PetVet Care Centers LLC | |||||||||||||||||||||
Consumer Services | Second lien (3) | 10.25% (L + 9.25%/Q) | 6/17/2021 | 24,000 | 23,812 | 24,000 | |||||||||||||||
Second lien (3) | 10.50% (L + 9.50%/Q) | 6/17/2021 | 6,500 | 6,441 | 6,561 | ||||||||||||||||
30,500 | 30,253 | 30,561 | 3.60 | % | |||||||||||||||||
VetCor Professional Practices LLC | |||||||||||||||||||||
Consumer Services | First lien (4) | 7.25% (L + 6.25%/Q) | 4/20/2021 | 19,355 | 19,200 | 19,355 | |||||||||||||||
First lien (2) | 7.25% (L + 6.25%/Q) | 4/20/2021 | 7,813 | 7,664 | 7,813 | ||||||||||||||||
First lien (4)(11) - Drawn | 7.25% (L + 6.25%/Q) | 4/20/2021 | 2,684 | 2,660 | 2,684 | ||||||||||||||||
First lien (4)(11) - Drawn | 7.25% (L + 6.25%/Q) | 4/20/2021 | 113 | 111 | 113 | ||||||||||||||||
29,965 | 29,635 | 29,965 | 3.53 | % | |||||||||||||||||
CRGT Inc. | |||||||||||||||||||||
Federal Services | First lien (2) | 7.50% (L + 6.50%/Q) | 12/19/2020 | 29,720 | 29,541 | 29,795 | 3.51 | % | |||||||||||||
Integro Parent Inc. | |||||||||||||||||||||
Business Services | First lien (2) | 6.75% (L + 5.75%/Q) | 10/31/2022 | 19,856 | 19,500 | 19,557 | |||||||||||||||
Second lien (3) | 10.25% (L + 9.25%/Q) | 10/30/2023 | 10,000 | 9,908 | 9,650 | ||||||||||||||||
29,856 | 29,408 | 29,207 | 3.45 | % | |||||||||||||||||
Marketo, Inc. | |||||||||||||||||||||
Software | First lien (3) | 10.50% (L + 9.50%/Q) | 8/16/2021 | 26,820 | 26,426 | 26,418 | 3.12 | % | |||||||||||||
Ryan, LLC | |||||||||||||||||||||
Business Services | First lien (2) | 6.75% (L + 5.75%/M) | 8/7/2020 | 26,250 | 25,935 | 26,046 | 3.07 | % | |||||||||||||
DigiCert Holdings, Inc. | |||||||||||||||||||||
Software | First lien (2) | 6.00% (L + 5.00%/Q) | 10/21/2021 | 24,813 | 24,167 | 24,750 | 2.92 | % | |||||||||||||
Severin Acquisition, LLC | |||||||||||||||||||||
Software | Second lien (4) | 9.75% (L + 8.75%/Q) | 7/29/2022 | 15,000 | 14,869 | 15,000 | |||||||||||||||
Second lien (4) | 9.75% (L + 8.75%/Q) | 7/29/2022 | 4,154 | 4,116 | 4,154 | ||||||||||||||||
Second lien (4) | 10.25% (L + 9.25%/Q) | 7/29/2022 | 3,273 | 3,242 | 3,305 | ||||||||||||||||
Second lien (3) | 10.25% (L + 9.25%/Q) | 7/29/2022 | 1,825 | 1,807 | 1,843 | ||||||||||||||||
Second lien (4) | 10.25% (L + 9.25%/Q) | 7/29/2022 | 300 | 297 | 303 | ||||||||||||||||
24,552 | 24,331 | 24,605 | 2.90 | % |
Portfolio Company, Location and Industry (1) | Type of Investment | Interest Rate(10) | Maturity / Expiration Date | Principal Amount, Par Value or Shares | Cost | Fair Value | Percent of Net Assets | ||||||||||||||
nThrive, Inc. (fka Precyse Acquisition Corp.) | |||||||||||||||||||||
Healthcare Services | Second lien (2) | 10.75% (L + 9.75%/M) | 4/20/2023 | $ | 25,000 | $ | 24,580 | $ | 24,562 | 2.90 | % | ||||||||||
AAC Holding Corp. | |||||||||||||||||||||
Education | First lien (2) | 8.25% (L + 7.25%/M) | 9/30/2020 | 24,432 | 24,128 | 24,188 | 2.85 | % | |||||||||||||
Pelican Products, Inc. | |||||||||||||||||||||
Business Products | Second lien (3) | 9.25% (L + 8.25%/Q) | 4/9/2021 | 15,500 | 15,509 | 14,648 | |||||||||||||||
Second lien (2) | 9.25% (L + 8.25%/Q) | 4/9/2021 | 10,000 | 10,109 | 9,450 | ||||||||||||||||
25,500 | 25,618 | 24,098 | 2.84 | % | |||||||||||||||||
EN Engineering, LLC | |||||||||||||||||||||
Business Services | First lien (2) | 7.00% (L + 6.00%/Q) | 6/30/2021 | 21,161 | 20,985 | 21,161 | |||||||||||||||
First lien (2)(11) - Drawn | 7.67% (Base + 5.55%/Q) | 6/30/2021 | 2,194 | 2,174 | 2,194 | ||||||||||||||||
23,355 | 23,159 | 23,355 | 2.75 | % | |||||||||||||||||
KeyPoint Government Solutions, Inc. | |||||||||||||||||||||
Federal Services | First lien (2) | 7.75% (L + 6.50%/Q) | 11/13/2017 | 23,277 | 23,145 | 23,160 | 2.73 | % | |||||||||||||
TWDiamondback Holdings Corp. (15) | |||||||||||||||||||||
Diamondback Drugs of Delaware, L.L.C. (TWDiamondback II Holdings LLC) | |||||||||||||||||||||
Distribution & Logistics | First lien (4) | 9.75% (L + 8.75%/Q) | 11/19/2019 | 19,895 | 19,895 | 19,895 | |||||||||||||||
First lien (3) | 9.75% (L + 8.75%/Q) | 11/19/2019 | 2,158 | 2,158 | 2,158 | ||||||||||||||||
First lien (4) | 9.75% (L + 8.75%/Q) | 11/19/2019 | 605 | 605 | 605 | ||||||||||||||||
22,658 | 22,658 | 22,658 | 2.67 | % | |||||||||||||||||
Vision Solutions, Inc. | |||||||||||||||||||||
Software | First lien (2) | 7.50% (L + 6.50%/Q) | 6/16/2022 | 22,500 | 22,284 | 22,388 | 2.64 | % | |||||||||||||
TW-NHME Holdings Corp. (20) | |||||||||||||||||||||
National HME, Inc. | |||||||||||||||||||||
Healthcare Services | Second lien (4) | 10.25% (L + 9.25%/Q) | 7/14/2022 | 21,500 | 21,260 | 21,500 | |||||||||||||||
Second lien (3) | 10.25% (L + 9.25%/Q) | 7/14/2022 | 500 | 494 | 500 | ||||||||||||||||
22,000 | 21,754 | 22,000 | 2.59 | % | |||||||||||||||||
Weston Solutions, Inc. | |||||||||||||||||||||
Business Services | Subordinated (4) | 16.00%/Q | 7/3/2019 | 20,000 | 20,000 | 20,600 | 2.43 | % | |||||||||||||
IT'SUGAR LLC | |||||||||||||||||||||
Retail | First lien (4) | 10.50% (L + 9.50%/Q) | 10/23/2019 | 20,843 | 20,193 | 20,032 | 2.36 | % | |||||||||||||
Sierra Hamilton LLC / Sierra Hamilton Finance, Inc. | |||||||||||||||||||||
Energy | First lien (2) | 12.25%/S | 12/15/2018 | 25,000 | 25,000 | 18,040 | |||||||||||||||
First lien (3) | 12.25%/S | 12/15/2018 | 2,660 | 2,186 | 1,919 | ||||||||||||||||
27,660 | 27,186 | 19,959 | 2.35 | % | |||||||||||||||||
DCA Investment Holding, LLC | |||||||||||||||||||||
Healthcare Services | First lien (2) | 6.25% (L + 5.25%/Q) | 7/2/2021 | 17,676 | 17,531 | 17,676 | |||||||||||||||
First lien (3)(11) - Drawn | 7.75% (P + 4.25%/Q) | 7/2/2021 | 2,091 | 2,070 | 2,091 | ||||||||||||||||
19,767 | 19,601 | 19,767 | 2.33 | % | |||||||||||||||||
Aricent Technologies | |||||||||||||||||||||
Business Services | Second lien (2) | 9.50% (L + 8.50%/Q) | 4/14/2022 | 20,000 | 19,922 | 16,250 | |||||||||||||||
Second lien (3) | 9.50% (L + 8.50%/Q) | 4/14/2022 | 2,500 | 2,234 | 2,031 | ||||||||||||||||
22,500 | 22,156 | 18,281 | 2.16 | % | |||||||||||||||||
First American Payment Systems, L.P. | |||||||||||||||||||||
Business Services | Second lien (2) | 10.75% (L + 9.50%/M) | 4/12/2019 | 18,643 | 18,468 | 18,037 | 2.13 | % |
Portfolio Company, Location and Industry (1) | Type of Investment | Interest Rate(10) | Maturity / Expiration Date | Principal Amount, Par Value or Shares | Cost | Fair Value | Percent of Net Assets | ||||||||||||||
Project Alpha Intermediate Holding, Inc. | |||||||||||||||||||||
Software | First lien (2) | 9.25% (L + 8.25%/Q) | 8/22/2022 | $ | 18,000 | $ | 17,823 | $ | 17,820 | 2.10 | % | ||||||||||
iPipeline, Inc. (Internet Pipeline, Inc.) | |||||||||||||||||||||
Software | First lien (4) | 8.25% (L + 7.25%/Q) | 8/4/2022 | 17,820 | 17,665 | 17,820 | 2.10 | % | |||||||||||||
AgKnowledge Holdings Company, Inc. | |||||||||||||||||||||
Business Services | Second lien (2) | 9.25% (L + 8.25%/M) | 7/23/2020 | 18,500 | 18,372 | 17,726 | 2.09 | % | |||||||||||||
Confie Seguros Holding II Co. | |||||||||||||||||||||
Consumer Services | Second lien (2) | 11.50% (P + 8.00%/Q) | 5/8/2019 | 17,457 | 17,445 | 17,340 | 2.05 | % | |||||||||||||
YP Holdings LLC / Print Media Holdings LLC (12) | |||||||||||||||||||||
YP LLC / Print Media LLC | |||||||||||||||||||||
Media | First lien (2) | 12.25% (L + 11.00%/M) | 6/4/2018 | 16,285 | 16,198 | 15,959 | 1.88 | % | |||||||||||||
Greenway Health, LLC (fka Vitera Healthcare Solutions, LLC) | |||||||||||||||||||||
Software | First lien (2) | 6.00% (L + 5.00%/Q) | 11/4/2020 | 1,945 | 1,933 | 1,890 | |||||||||||||||
Second lien (2) | 9.25% (L + 8.25%/Q) | 11/4/2021 | 14,000 | 13,427 | 13,230 | ||||||||||||||||
15,945 | 15,360 | 15,120 | 1.78 | % | |||||||||||||||||
Netsmart Inc. / Netsmart Technologies, Inc. | |||||||||||||||||||||
Healthcare Information Technology | Second lien (2) | 10.50% (L + 9.50%/M) | 10/19/2023 | 15,000 | 14,639 | 14,850 | 1.75 | % | |||||||||||||
Amerijet Holdings, Inc. | |||||||||||||||||||||
Distribution & Logistics | First lien (4) | 9.00% (L + 8.00%/M) | 7/15/2021 | 12,696 | 12,604 | 12,602 | |||||||||||||||
First lien (4) | 9.00% (L + 8.00%/M) | 7/15/2021 | 2,116 | 2,101 | 2,100 | ||||||||||||||||
14,812 | 14,705 | 14,702 | 1.73 | % | |||||||||||||||||
SW Holdings, LLC | |||||||||||||||||||||
Business Services | Second lien (4) | 9.75% (L + 8.75%/Q) | 12/30/2021 | 14,265 | 14,143 | 14,265 | 1.68 | % | |||||||||||||
Poseidon Intermediate, LLC | |||||||||||||||||||||
Software | Second lien (2) | 9.50% (L + 8.50%/Q) | 8/15/2023 | 13,000 | 12,824 | 13,000 | 1.53 | % | |||||||||||||
QC McKissock Investment, LLC (14) | |||||||||||||||||||||
McKissock, LLC | |||||||||||||||||||||
Education | First lien (2) | 7.50% (L + 6.50%/Q) | 8/5/2019 | 6,479 | 6,434 | 6,479 | |||||||||||||||
First lien (2) | 7.50% (L + 6.50%/Q) | 8/5/2019 | 3,089 | 3,070 | 3,089 | ||||||||||||||||
First lien (2) | 7.50% (L + 6.50%/Q) | 8/5/2019 | 997 | 990 | 997 | ||||||||||||||||
10,565 | 10,494 | 10,565 | 1.25 | % | |||||||||||||||||
PowerPlan Holdings, Inc. | |||||||||||||||||||||
Software | Second lien (2) | 10.75% (L + 9.75%/M) | 2/23/2023 | 10,000 | 9,914 | 10,000 | 1.18 | % | |||||||||||||