Sixth Street Specialty Lending, Inc.

Previous wording

We are a specialty finance company focused on lending to middle-market companies. Since we began our investment activities in July 2011, through March 31, 2026, we have originated approximately $55.2 billion aggregate principal amount of investments and retained approximately $11.9 billion aggregate principal amount of these investments on our balance sheet prior to any subsequent exits and repayments. We seek to generate current income primarily in U.S.-domiciled middle-market companies through direct investment originations of senior secured loans and, to a lesser extent, originations of mezzanine and unsecured loans and investments in corporate bonds, equity securities, and other instruments.

Current wording

We are a specialty finance company focused on lending to middle-market companies. Since we began our investment activities in July 2011, through June 30, 2026, we have originated approximately $56.0 billion aggregate principal amount of investments and retained approximately $12.0 billion aggregate principal amount of these investments on our balance sheet prior to any subsequent exits and repayments. We seek to generate current income primarily in U.S.-domiciled middle-market companies through direct investment originations of senior secured loans and, to a lesser extent, originations of mezzanine and unsecured loans and investments in corporate bonds, equity securities, and other instruments.

Previous wording

By “middle-market companies,” we mean companies that have annual EBITDA, which we believe is a useful proxy for cash flow, of $10 million to $250 million, although we may invest in larger or smaller companies on occasion. As of March 31, 2026, our core portfolio companies, which exclude certain investments that fall outside of our typical borrower profile and represent 87.8% of our total investments based on fair value, had weighted average annual revenue of $425.1 million and weighted average annual EBITDA of $126.8 million. As of March 31, 2026, our core portfolio companies had a median annual revenue of $174.4 million and a median annual EBITDA of $53.5 million.

Current wording

By “middle-market companies,” we mean companies that have annual EBITDA, which we believe is a useful proxy for cash flow, of $10 million to $250 million, although we may invest in larger or smaller companies on occasion. As of June 30, 2026, our core portfolio companies, which exclude certain investments that fall outside of our typical borrower profile and represent 87.0% of our total investments based on fair value, had weighted average annual revenue of $464.8 million and weighted average annual EBITDA of $137.1 million. As of June 30, 2026, our core portfolio companies had a median annual revenue of $179.9 million and a median annual EBITDA of $56.5 million.

Previous wording

As of March 31, 2026, the average investment size in each of our portfolio companies was approximately $23.2 million based on fair value. Portfolio companies includes investments in structured credit investments, which include each series of collateralized loan obligation as a portfolio company investment. When excluding investments in structured credit investments, the average investment in our remaining portfolio companies was approximately $30.1 million based on fair value as of March 31, 2026.

Current wording

As of June 30, 2026, the average investment size in each of our portfolio companies was approximately $24.1 million based on fair value. Portfolio companies includes investments in structured credit investments, which include each series of collateralized loan obligation as a portfolio company investment. When excluding investments in structured credit investments, the average investment in our remaining portfolio companies was approximately $30.9 million based on fair value as of June 30, 2026.

Previous wording

As of March 31, 2026, the largest industry represented 18.3% of our total investment portfolio based on fair value.

Current wording

As of June 30, 2026, the largest industry represented 19.0% of our total investment portfolio based on fair value.

Previous wording

Investment Structuring. We focus on investing at the top of the capital structure and protecting that position. As of March 31, 2026, approximately 90.2% of our portfolio was invested in secured debt, including 89.3% in first-lien debt investments. We carefully perform diligence and structure investments to include strong investor covenants. As a result, we structure investments with a view to creating opportunities for early intervention in the event of non-performance or stress. In addition, we seek to retain effective voting control in investments over the loans or particular class of securities in which we invest through maintaining affirmative voting positions or negotiating consent rights that allow us to retain a blocking position. We also aim for our loans to mature on a medium term, between two to seven years after origination. For the three months ended March 31, 2026, the weighted average term on new investment commitments in new portfolio companies was 6.3 years.

Current wording

Investment Structuring. We focus on investing at the top of the capital structure and protecting that position. As of June 30, 2026, approximately 89.1% of our portfolio was invested in secured debt, including 88.3% in first-lien debt investments. We carefully perform diligence and structure investments to include strong investor covenants. As a result, we structure investments with a view to creating opportunities for early intervention in the event of non-performance or stress. In addition, we seek to retain effective voting control in investments over the loans or particular class of securities in which we invest through maintaining affirmative voting positions or negotiating consent rights that allow us to retain a blocking position. We also aim for our loans to mature on a medium term, between two to seven years after origination. For the three months ended June 30, 2026, the weighted average term on new investment commitments in new portfolio companies was 5.0 years.

Previous wording

Risk Mitigation. We seek to mitigate non-credit-related risk on our returns in several ways, including call protection provisions to protect future interest income. As of March 31, 2026, we had call protection on 72.7% of our debt investments based on fair value, with weighted average call prices of 108.1% for the first year, 104.3% for the second year and 101.7% for the third year, in each case from the date of the initial investment. As of March 31, 2026, 96.3% of our debt investments based on fair value bore interest at floating rates, with 100.0% of these subject to interest rate floors, which we believe helps act as a portfolio-wide hedge against inflation.

Current wording

Risk Mitigation. We seek to mitigate non-credit-related risk on our returns in several ways, including call protection provisions to protect future interest income. As of June 30, 2026, we had call protection on 70.3% of our debt investments based on fair value, with weighted average call prices of 108.4% for the first year, 104.6% for the second year and 101.8% for the third year, in each case from the date of the initial investment. As of June 30, 2026, 96.1% of our debt investments based on fair value bore interest at floating rates, with 100.0% of these subject to interest rate floors, which we believe helps act as a portfolio-wide hedge against inflation.

Previous wording

Our Adviser is a Delaware limited liability company. Our Adviser acts as our investment adviser and administrator and is a registered investment adviser with the SEC under the Advisers Act. Our Adviser sources and manages our portfolio through a dedicated team of investment professionals predominately focused on direct lending, which we refer to as our Investment Team. Our Investment Team is led by our Adviser’s Co-Founding Partner, Co-President and Co-Chief Investment Officer Joshua Easterly, our Co-Head of Sixth Street Direct Lending and Co-Head of Growth Robert “Bo” Stanley, Co-Head of Direct Lending Michael Griffin, and our Adviser’s Co-Founding Partner, Chief Executive Officer, and Co-Chief Investment Officer Alan Waxman, all of whom have substantial experience in credit origination, underwriting and asset management. Our investment decisions are made by our Investment Review Committee, which includes senior personnel of our Adviser and affiliates of Sixth Street Partners, LLC, or “Sixth Street.”

Current wording

Our Adviser is a Delaware limited liability company. Our Adviser acts as our investment adviser and administrator and is a registered investment adviser with the SEC under the Advisers Act. Our Adviser sources and manages our portfolio through a dedicated team of investment professionals predominately focused on direct lending, which we refer to as our Investment Team. Our Investment Team is led by our Adviser’s Co-Chief Investment Officer, Co-Head of Sixth Street Direct Lending and Co-Head of Growth Robert “Bo” Stanley, Co-Head of Direct Lending Michael Griffin, and our Adviser’s Co-Founding Partner, Chief Executive Officer, and Co-Chief Investment Officer Alan Waxman, all of whom have substantial experience in credit origination, underwriting and asset management. Our investment decisions are made by our Investment Review Committee, which includes senior personnel of our Adviser and affiliates of Sixth Street Partners, LLC, or “Sixth Street.”

Previous wording

Sixth Street is a global investment business with over $130 billion of assets under management as of March 31, 2026. Sixth Street’s direct lending platforms include Sixth Street Specialty Lending and Sixth Street Lending Partners, which are aimed at U.S. middle-market loan originations and upper middle-market loan originations, respectively, Sixth Street Specialty Lending Europe, which is aimed at European middle-market loan originations. Additional Sixth Street core platforms include Sixth Street TAO, which has the flexibility to invest across all of Sixth Street’s private credit market investments, Sixth Street Opportunities, which focuses on actively managed opportunistic investments across the credit cycle, Sixth Street Credit Market Strategies, which is the firm’s “public-side” credit investment platform focused on investment opportunities in broadly syndicated leveraged loan markets, Sixth Street Growth, which provides financing solutions to growing companies, Sixth Street Fundamental Strategies, which primarily invests in secondary credit, and Sixth Street Agriculture, which invests in niche agricultural opportunities. Sixth Street has a long-term oriented, highly flexible capital base that allows it to invest across industries, geographies, capital structures and asset classes. Sixth Street has extensive experience with highly complex, global public and private investments executed through primary originations, secondary market purchases and restructurings, and has a team of over 750 investment and operating professionals. As of March 31, 2026, seventy-three (73) of these personnel are dedicated to direct lending, including fifty-nine (59) investment professionals.

Current wording

Sixth Street is a global investment business with over $135 billion of assets under management as of June 30, 2026. Sixth Street’s direct lending platforms include Sixth Street Specialty Lending and Sixth Street Lending Partners, which are aimed at U.S. middle-market loan originations and upper middle-market loan originations, respectively, and Sixth Street Specialty Lending Europe, which is aimed at European middle-market loan originations. Additional Sixth Street core platforms include Sixth Street TAO, which has the flexibility to invest across all of Sixth Street’s private credit market investments, Sixth Street Opportunities, which focuses on actively managed opportunistic investments across the credit cycle, Sixth Street Credit Market Strategies, which is the firm’s “public-side” credit investment platform focused on investment opportunities in broadly syndicated leveraged loan markets, Sixth Street Growth, which provides financing solutions to growing companies, Sixth Street Fundamental Strategies, which primarily invests in secondary credit, and Sixth Street Agriculture, which invests in niche agricultural opportunities. Sixth Street has a long-term oriented, highly flexible capital base that allows it to invest across industries, geographies, capital structures and asset classes. Sixth Street has extensive experience with highly complex, global public and private investments executed through primary originations, secondary market purchases and restructurings, and has a team of over 750 investment and operating professionals. As of June 30, 2026, seventy-five (75) of these personnel are dedicated to direct lending, including sixty (60) investment professionals.

Previous wording

Our Adviser consults with Sixth Street in connection with a substantial number of our investments. The Sixth Street platform provides us with a breadth of large and scalable investment resources. We believe we benefit from Sixth Street’s market expertise, insights into industry, sector and macroeconomic trends and intensive due diligence capabilities, which help us discern market conditions that vary across industries and credit cycles, identify favorable investment opportunities and manage our portfolio of investments. Sixth Street and its affiliates will refer all middle-market loan origination activities for companies domiciled in the United States to us and conduct those activities through us. The Adviser will determine whether it would be permissible, advisable or otherwise appropriate for us to pursue a particular investment opportunity allocated to us.

Current wording

Our Adviser consults with Sixth Street in connection with a substantial number of our investments. The Sixth Street platform provides us with a breadth of large and scalable investment resources. We believe we benefit from Sixth Street’s market expertise, insights into industry, sector and macroeconomic trends and intensive due diligence capabilities, which help us discern market conditions that vary across industries and credit cycles, identify favorable investment opportunities and manage our portfolio of investments. The Adviser will determine whether it would be permissible, advisable or otherwise appropriate for us to pursue a particular investment opportunity allocated to us.

Previous wording

To date, 2026 has been marked by continued uncertainty in global markets, driven by investor concerns over inflation, elevated interest rates, ongoing political and regulatory uncertainty, including potential shifts in U.S. trade policy and the imposition of new tariffs, as well as geopolitical instability stemming from the conflicts in Ukraine and the Middle East.

Current wording

To date, 2026 has been marked by continued uncertainty in global markets, driven by investor concerns over inflation, elevated interest rates, ongoing political and regulatory uncertainty, including potential shifts in U.S. trade policy and the imposition of new tariffs, as well as geopolitical instability stemming from the conflicts in Iran and elsewhere in the Middle East and Ukraine.

Previous wording

Further contributing to economic uncertainty, the current U.S. presidential administration has signaled its intention to implement, and has started to implement, significant changes to U.S. trade policy, the size of the federal government, tax policy and the enforcement of various regulations. These policy shifts could introduce additional market instability and reduce investor confidence. For example, the U.S. government announced tariffs on goods imported from various countries to the United States and countries subject to such tariffs have imposed, or may in the future, impose reciprocal or retaliatory tariffs and other trade measures. We are actively monitoring macroeconomic developments and analyzing the potential impacts on our business, the businesses of our portfolio companies and the broader economic environment. In light of these developments, there can be no assurances that political and regulatory conditions will not worsen and/or adversely affect the Company, its portfolio companies or their respective financial performance.

Current wording

Further contributing to economic uncertainty, the current U.S. presidential administration has signaled its intention to implement, and has implemented, significant changes to U.S. trade policy, tax policy and the enforcement of various regulations and a reduction of the size of the federal government (and government spending). These policy shifts could introduce additional market instability and reduce investor confidence. For example, the U.S. government announced tariffs on goods imported from various countries to the United States and countries subject to such tariffs have imposed, or may in the future, impose reciprocal or retaliatory tariffs and other trade measures. In February 2026, the U.S. Supreme Court ruled that many of the tariffs recently imposed by the U.S. government exceeded its authority, thereby invalidating many, but not all, of such tariffs. Subsequent to the U.S. Supreme Court’s ruling, the U.S. presidential administration raised potential alternative means through which the administration could impose tariffs. We are actively monitoring macroeconomic developments and analyzing the potential impacts on our business, the businesses of our portfolio companies and the broader economic environment. In light of these developments, there can be no assurances that political and regulatory conditions will not worsen and/or adversely affect the Company, its portfolio companies or their respective financial performance.

Previous wording

We generate revenues primarily in the form of interest income from the investments we hold. In addition, we may generate income from dividends on direct equity investments, capital gains on the sale of investments and various loan origination and other fees. Our debt investments typically have a term of two to seven years, and, as of March 31, 2026, 96.3% of these investments based on fair value bore interest at a floating rate, with 100.0% of these subject to interest rate floors. Interest on debt investments is generally payable monthly or quarterly. Some of our investments provide for deferred interest payments or PIK interest. For the three months ended March 31, 2026 and 2025, 7.5% and 4.6%, respectively, of our total investment income was comprised of PIK interest.

Current wording

We generate revenues primarily in the form of interest income from the investments we hold. In addition, we may generate income from dividends on direct equity investments, capital gains on the sale of investments and various loan origination and other fees. Our debt investments typically have a term of two to seven years, and, as of June 30, 2026, 96.1% of these investments based on fair value bore interest at a floating rate, with 100.0% of these subject to interest rate floors. Interest on debt investments is generally payable monthly or quarterly. Some of our investments provide for deferred interest payments or PIK interest. For the three and six months ended June 30, 2026, 6.9% and 7.2%, respectively, of our total investment income was comprised of PIK interest. For the three and six months ended June 30, 2025, 5.0% and 4.8%, respectively, of our total investment income was comprised of PIK interest.

Previous wording

Changes in our net investment income are primarily driven by the spread between the payments we receive from our investments in our portfolio companies against our cost of funding, rather than by changes in interest rates. Our investment portfolio primarily consists of floating rate loans, and our Revolving Credit Facility, 2026 Notes, 2028 Notes, 2029 Notes, and 2030 Notes after taking into account the effect of the interest rate swaps we have entered into in connection with these securities, all bear interest at floating rates. Macro trends in base interest rates like SOFR or other reference rates may affect our net investment income over the long term. However, because we generally originate loans to a limited number of portfolio companies each quarter, and those investments also vary in size, our results in any given period—including the interest rate on investments that were sold or repaid in a period compared to the interest rate of new investments made during that period—often are idiosyncratic, and reflect the characteristics of the particular portfolio companies that we invested in or exited during the period and not necessarily any trends in our business.

Current wording

Changes in our net investment income are primarily driven by the spread between the payments we receive from our investments in our portfolio companies against our cost of funding, rather than by changes in interest rates. Our investment portfolio primarily consists of floating rate loans, and our Revolving Credit Facility, 2026 Notes, 2028 Notes, 2029 Notes, 2030 Notes and 2031 Notes after taking into account the effect of the interest rate swaps we have entered into in connection with these securities, all bear interest at floating rates. Macro trends in base interest rates like SOFR or other reference rates may affect our net investment income over the long term. However, because we generally originate loans to a limited number of portfolio companies each quarter, and those investments also vary in size, our results in any given period—including the interest rate on investments that were sold or repaid in a period compared to the interest rate of new investments made during that period—often are idiosyncratic, and reflect the characteristics of the particular portfolio companies that we invested in or exited during the period and not necessarily any trends in our business.

Previous wording

Subsequent to the global financial crisis, the implementation of regulatory changes such as Basel III requirements, Leverage Lending Guidance, and the Volcker Rule, tightened risk appetites and reduced the capacity of traditional lenders to serve middle-market companies. We believe that these dynamics create a significant opportunity for us to directly originate investments. We also believe that the large amount of uninvested capital held by private equity firms will continue to drive deal activity, which may in turn create additional demand for debt capital.

Current wording

Subsequent to the global financial crisis, the implementation of regulatory changes such as Basel III requirements, Leverage Lending Guidance, and the Volcker Rule, tightened risk appetites and reduced the capacity of traditional lenders to serve middle-market companies. We believe that these dynamics have created a significant opportunity for us to directly originate investments. We also believe that the large amount of uninvested capital held by private equity firms will continue to drive deal activity, which may in turn create additional demand for debt capital.

Previous wording

As of March 31, 2026, our portfolio based on fair value consisted of 89.3% first-lien debt investments, 1.0% second-lien debt investments, 1.9% mezzanine debt investments, 4.6% equity investments, 2.8% structured credit investments and 0.4% joint venture investments. As of December 31, 2025, our portfolio based on fair value consisted of 89.2% first-lien debt investments, 0.9% second-lien debt investments, 1.8% mezzanine debt investments, 5.2% equity and other investments and 2.9% structured credit investments.

Current wording

As of June 30, 2026, our portfolio based on fair value consisted of 88.3% first-lien debt investments, 0.7% second-lien debt investments, 2.0% mezzanine debt investments, 4.7% equity investments, 2.7% structured credit investments and 1.6% joint venture investments. As of December 31, 2025, our portfolio based on fair value consisted of 89.2% first-lien debt investments, 0.9% second-lien debt investments, 1.8% mezzanine debt investments, 5.2% equity investments and 2.9% structured credit investments.

Previous wording

As of March 31, 2026, we had investments in 143 portfolio companies (including 36 structured credit investments, which include each series of collateralized loan obligation as a separate portfolio company investment) with an aggregate fair value of $3,313.4 million. As of December 31, 2025, we had investments in 143 portfolio companies (including 36 structured credit investments, which include each series of collateralized loan obligation as a separate portfolio company investment) with an aggregate fair value of $3,347.3 million.

Current wording

As of June 30, 2026, we had investments in 137 portfolio companies (including 33 structured credit investments, which include each series of collateralized loan obligation as a separate portfolio company investment) with an aggregate fair value of $3,302.1 million. As of December 31, 2025, we had investments in 143 portfolio companies (including 36 structured credit investments, which include each series of collateralized loan obligation as a separate portfolio company investment) with an aggregate fair value of $3,347.3 million.

Previous wording

For the three months ended March 31, 2025, the principal amount of new investments funded was $136.8 million in six new portfolio companies and four existing portfolio companies. For this period, we had $269.6 million aggregate principal amount in exits and repayments.

Current wording

For the three months ended June 30, 2026, the principal amount of new investments funded was $136.7 million in two new portfolio companies and one existing portfolio company. For this period, we had $192.1 million aggregate principal amount in exits and repayments.

Previous wording

For the three months ended March 31, 2026, the principal amount of new investments funded was $134.8 million in three new portfolio companies and four existing portfolio companies. For this period, we had $113.0 million aggregate principal amount in exits and repayments.

Current wording

For the three months ended June 30, 2025, the principal amount of new investments funded was $208.6 million in thirteen new portfolio companies and four existing portfolio companies. For this period, we had $388.7 million aggregate principal amount in exits and repayments.

Previous wording

For the three months ended March 31, 2026 SCP declared $0.7 million in distributions, of which $0.2 million was recognized as dividend income in the Company’s Unaudited Statements of Operations. As of March 31, 2026, the daily weighted average yield on our investment in Structured Credit Partners JV, LLC was 10.7%.

Current wording

For the three and six months ended June 30, 2026 SCP declared $5.1 million and $5.7 million, respectively, in distributions, of which $1.7 million and $1.9 million, respectively, was recognized as dividend income in the Company’s Unaudited Statements of Operations. As of June 30, 2026, the daily weighted average yield on our investment in Structured Credit Partners JV, LLC was 18.7%.

Previous wording

Operating results for the three months ended March 31, 2026 and 2025 were as follows:

Current wording

Operating results for the three and six months ended June 30, 2026 and 2025 were as follows:

Previous wording

Interest from investments, which includes amortization of upfront fees and prepayment fees, decreased from $106.6 million for the three months ended March 31, 2025 to $83.8 million for the three months ended March 31, 2026. The decrease in interest from investments was primarily the result of a decrease in reference rates for the three months ended March 31, 2026 compared to the same period in 2025. Paid-in-kind interest income increased from $5.4 million for the three months ended March 31, 2025 to $7.0 million for the three months ended March 31, 2026 due to increased PIK investments. Dividend income decreased from $0.9 million for the three months ended March 31, 2025 to $0.4 million for the three months ended March 31, 2026 due to the timing of dividend payments in 2025. Other income decreased from $3.4 million for the three months ended March 31, 2025 to $2.2 million for the three months ended March 31, 2026, primarily due to decreased miscellaneous fees earned during the three months ended March 31, 2026.

Current wording

Interest from investments, which includes amortization of upfront fees and prepayment fees, decreased from $101.2 million for the three months ended June 30, 2025 to $85.2 million for the three months ended June 30, 2026. The decrease in interest from investments was primarily the result of a decrease in reference rates for the three months ended June 30, 2026 compared to the same period in 2025. Paid-in-kind interest income increased from $5.8 million for the three months ended June 30, 2025 to $6.7 million for the three months ended June 30, 2026 due to increased PIK investments. Dividend income increased from $0.4 million for the three months ended June 30, 2025 to $2.0 million for the three months ended June 30, 2026 due to increased dividend yielding investments in 2026. Other income decreased from $7.6 million for the three months ended June 30, 2025 to $4.0 million for the three months ended June 30, 2026, primarily due to decreased miscellaneous fees earned during the three months ended June 30, 2026.

Previous wording

Operating expenses for the three months ended March 31, 2026 and 2025 were as follows:

Current wording

Operating expenses for the three and six months ended June 30, 2026 and 2025 were as follows:

Previous wording

Interest expense, including other debt financing expenses, decreased from $33.0 million for the three months ended March 31, 2025 to $28.3 million for the three months ended March 31, 2026. This decrease was primarily due to a decrease in the average interest rate on our debt outstanding, which decreased from 6.4% for the three months ended March 31, 2025 to 5.5% for the three months ended March 31, 2026 due to a change in the mix of our debt financing sources and a change in SOFR rates.

Current wording

Interest expense, including other debt financing expenses, decreased from $33.6 million for the three months ended June 30, 2025 to $30.1 million for the three months ended June 30, 2026. This decrease was primarily due to a decrease in the average interest rate on our debt outstanding, which decreased from 6.3% for the three months ended June 30, 2025 to 5.6% for the three months ended June 30, 2026 due to a change in the mix of our debt financing sources and a change in SOFR rates.

Previous wording

Management Fees (gross of waivers) decreased from $13.1 million for the three months ended March 31, 2025 to $12.6 million for the three months ended March 31, 2026 due to a decrease in average assets. Management Fees (net of waivers) decreased from $12.7 million for the three months ended March 31, 2025 to $12.3 million for the three months ended March 31, 2026. Management Fees waived were $0.3 million for the three months ended March 31, 2026 and $0.4 million for the three months ended March 31, 2025, pursuant to the Leverage Waiver. Any waived management fees are not subject to recoupment by the Adviser.

Current wording

Management Fees (gross of waivers) increased from $12.9 million for the three months ended June 30, 2025 to $13.0 million for the three months ended June 30, 2026 due to an increase in average assets for the three months ended June 30, 2026 compared to the same period in 2025. Management Fees (net of waivers) decreased from $12.6 million for the three months ended June 30, 2025 to $12.5 million for the three months ended June 30, 2026. Management Fees waived were $0.5 million for the three months ended June 30, 2026 and $0.3 million for the three months ended June 30, 2025, pursuant to the Leverage Waiver. Any waived management fees are not subject to recoupment by the Adviser.

Previous wording

For the three months ended March 31, 2026 and 2025, Incentive Fees were $8.5 million and $7.8 million, respectively, of which $8.5 million and $11.5 million, respectively, were realized and payable to the Adviser. For the three months ended March 31, 2026 there were no Incentive Fees accrued related to Capital Gains Fees. For the three months ended March 31, 2025 $(3.7) million of Incentive Fees were accrued related to Capital Gains Fees. As of March 31, 2026, these accrued Incentive Fees are not contractually payable to the Adviser.

Current wording

Incentive Fees related to pre-incentive net investment income decreased from $11.1 million for the three months ended June 30, 2025 to $8.7 million for the three months ended June 30, 2026. For the three months ended June 30, 2026, there were no Incentive Fees accrued related to Capital Gains Fees. For the three months ended June 30, 2025, $1.4 million of Incentive Fees were accrued related to Capital Gains Fees. As of June 30, 2026, these accrued Incentive Fees are not contractually payable to the Adviser.

Previous wording

Professional fees decreased from $2.0 million for the three months ended March 31, 2025 to $1.7 million for the three months ended March 31, 2026 due to lower independent third-party valuation firm and sub-agent administration costs. Other general and administrative fees were $1.3 million for the three months ended March 31, 2025 and $1.4 million for the three months ended March 31, 2026.

Current wording

Professional fees decreased from $2.6 million for the three months ended June 30, 2025 to $2.4 million for the three months ended June 30, 2026 due to lower audit related, independent third-party valuation firm and sub-agent administration costs. Other general and administrative fees were $1.3 million for the three months ended June 30, 2025 and $1.8 million for the three months ended June 30, 2026.

Previous wording

For the three months ended March 31, 2026 and 2025, we recorded a net expense of $1.2 million and $1.4 million, respectively, for U.S. federal excise tax and other taxes.

Current wording

For the three and six months ended June 30, 2026, we recorded a net expense of $1.3 million and $2.5 million, respectively, for U.S. federal excise tax and other taxes. For the three and six months ended June 30, 2025 we recorded a net expense of $1.3 million and $2.6 million, respectively, for U.S. federal excise tax and other taxes.

Previous wording

The following table summarizes our net realized and unrealized gains (losses) for the three months ended March 31, 2026 and 2025:

Current wording

The following table summarizes our net realized and unrealized gains (losses) for the three and six months ended June 30, 2026 and 2025:

Previous wording

For the three months ended March 31, 2026 and 2025, we had net realized losses on investments of $39.3 million and net realized gains on investments of $1.1 million, respectively. For the three months ended March 31, 2026 and 2025, we had net realized losses of $0.1 million and $0.2 million, respectively, on foreign currency transactions, primarily as a result of translating foreign currency related to our non-USD denominated investments. For the three months ended March 31, 2026 and 2025, we had net realized gains on foreign currency investments of less than $0.1 million and less than $0.1 million, respectively. For the three months ended March 31, 2026 and 2025, we had net realized losses on foreign currency borrowings of less than $0.1 million and $0.1 million, respectively. The net realized losses on foreign currency borrowings were a result of payments on our revolving credit facility.

Current wording

For the three and six months ended June 30, 2026, we had net realized gains on investments of $0.8 million and net realized losses on investments of $38.5 million, respectively. For the three and six months ended June 30, 2026, we had net realized losses of less than $0.1 million and $0.1 million, respectively, on foreign currency transactions, primarily as a result of translating foreign currency related to our non-USD denominated investments. For both the three and six months ended June 30, 2026, we had net realized gains on foreign currency investments of less than $0.1 million. For both the three and six months ended June 30, 2026, we had net realized gains on foreign currency borrowings of less than $0.1 million. The net realized gains on foreign currency borrowings were a result of payments on our revolving credit facility.

Previous wording

For the three months ended March 31, 2026, we had $50.2 million in unrealized gains on 16 portfolio company investments, which was offset by $85.2 million in unrealized losses on 127 portfolio company investments. Unrealized gains for the three months ended March 31, 2026 resulted from positive portfolio company specific developments and the reversal of prior period unrealized losses due to realizations. Unrealized losses for the three months ended March 31, 2026 resulted from negative credit-related adjustments, widening credit spreads, and the reversal of prior period unrealized gains due to realizations.

Current wording

For the three months ended June 30, 2026, we had $24.4 million in unrealized gains on 68 portfolio company investments, which was offset by $27.7 million in unrealized losses on 73 portfolio company investments. Unrealized gains for the three months ended June 30, 2026 resulted from positive portfolio company specific developments and the reversal of prior period unrealized losses due to realizations. Unrealized losses for the three months ended June 30, 2026 resulted from negative credit-related adjustments, widening credit spreads, and the reversal of prior period unrealized gains due to realizations. For the six months ended June 30, 2026, we had $65.9 million in unrealized gains on 27 portfolio company investments, which was offset by $104.2 million in unrealized losses on 120 portfolio company investments. Unrealized gains for the six months ended June 30, 2026 resulted from positive portfolio company specific developments and the reversal of prior period unrealized losses due to realizations. Unrealized losses for the six months ended June 30, 2026 resulted from negative credit-related adjustments, widening credit spreads, and the reversal of prior period unrealized gains due to realizations.

Previous wording

For the three months ended March 31, 2026 and 2025, we had unrealized gains of $8.4 million and unrealized losses of $11.0 million, respectively, on foreign currency borrowings, primarily as a result of fluctuations in the AUD, CAD, SEK, GBP and EUR exchange rates. For the three months ended March 31, 2026 and 2025, we had unrealized gains of less than $0.1 million and unrealized losses of less than $0.1 million, respectively, on foreign currency transactions.

Current wording

For the three and six months ended June 30, 2025 we had unrealized losses on foreign currency borrowings of $25.8 million and $36.8 million, respectively, on foreign currency borrowings, primarily as a result of fluctuations in the AUD, CAD, SEK, GBP and EUR exchange rates. For the three and six months ended June 30, 2025, we had unrealized gains of less than $0.1 million and unrealized losses of less than $0.1 million, respectively, on foreign currency transactions.

Previous wording

Since we began investing in 2011 through March 31, 2026, weighted by capital invested, our exited investments have generated an average realized gross internal rate of return to us of 16.8% (based on total capital invested of $9.3 billion and total proceeds from these exited investments of $11.9 billion). Ninety-one percent of these exited investments resulted in a realized gross internal rate of return to us of 10% or greater.

Current wording

Since we began investing in 2011 through June 30, 2026, weighted by capital invested, our exited investments have generated an average realized gross internal rate of return to us of 16.7% (based on total capital invested of $9.5 billion and total proceeds from these exited investments of $12.2 billion). Ninety-four percent of these exited investments resulted in a realized gross internal rate of return to us of 10% or greater.

Previous wording

Our current approach to hedging the foreign currency exposure in our non-U.S. dollar denominated investments is primarily to borrow the par amount in local currency under our Revolving Credit Facility to fund these investments. For the three months ended March 31, 2026 and 2025, we had $8.4 million of unrealized gains and $11.0 million of unrealized losses, respectively, on the translation of our non-U.S. dollar denominated debt into U.S. dollars; such amounts approximate the corresponding unrealized gains and losses on the translation of our non-U.S. dollar denominated investments into U.S. dollars for the three months ended March 31, 2026 and 2025. See Note 2 for additional disclosure regarding our accounting for foreign currency. See Note 7 for additional disclosure regarding the amounts of outstanding debt denominated in each foreign currency at March 31, 2026. See our Consolidated Schedule of Investments for additional disclosure regarding the foreign currency amounts (in both par and fair value) of our non-U.S. dollar denominated investments.

Current wording

Our current approach to hedging the foreign currency exposure in our non-U.S. dollar denominated investments is primarily to borrow the par amount in local currency under our Revolving Credit Facility to fund these investments. For the six months ended June 30, 2026 and 2025, we had $11.3 million of unrealized gains and $36.8 million of unrealized losses, respectively, on the translation of our non-U.S. dollar denominated debt into U.S. dollars; such amounts approximate the corresponding unrealized gains and losses on the translation of our non-U.S. dollar denominated investments into U.S. dollars for the six months ended June 30, 2026 and 2025. See Note 2 for additional disclosure regarding our accounting for foreign currency. See Note 7 for additional disclosure regarding the amounts of outstanding debt denominated in each foreign currency at June 30, 2026. See our Consolidated Schedule of Investments for additional disclosure regarding the foreign currency amounts (in both par and fair value) of our non-U.S. dollar denominated investments.

Previous wording

We intend to continue to generate cash primarily from cash flows from operations, future borrowings and future offerings of securities. We may from time to time enter into additional debt facilities, increase the size of existing facilities or issue debt securities. Any such incurrence or issuance would be subject to prevailing market conditions, our liquidity requirements, contractual and regulatory restrictions and other factors. In accordance with the 1940 Act, with certain limited exceptions, we are only allowed to incur borrowings, issue debt securities or issue preferred stock if immediately after the borrowing or issuance our ratio of total assets (less total liabilities other than indebtedness) to total indebtedness plus preferred stock, is at least 150%. For more information, see “Key Components of Our Results of Operations — Leverage” above. As of March 31, 2026 and December 31, 2025, our asset coverage ratio was 184.7% and 191.5%, respectively. We carefully consider our unfunded commitments for the purpose of planning our capital resources and ongoing liquidity, including our financial leverage. Further, we maintain sufficient borrowing capacity within the 150% asset coverage limitation under the 1940 Act and the asset coverage limitation under our credit facilities to cover any outstanding unfunded commitments we are required to fund.

Current wording

We intend to continue to generate cash primarily from cash flows from operations, future borrowings and future offerings of securities. We may from time to time enter into additional debt facilities, increase the size of existing facilities or issue debt securities. Any such incurrence or issuance would be subject to prevailing market conditions, our liquidity requirements, contractual and regulatory restrictions and other factors. In accordance with the 1940 Act, with certain limited exceptions, we are only allowed to incur borrowings, issue debt securities or issue preferred stock if immediately after the borrowing or issuance our ratio of total assets (less total liabilities other than indebtedness) to total indebtedness plus preferred stock, is at least 150%. For more information, see “Key Components of Our Results of Operations — Leverage” above. As of June 30, 2026 and December 31, 2025, our asset coverage ratio was 179.1% and 191.5%, respectively. We carefully consider our unfunded commitments for the purpose of planning our capital resources and ongoing liquidity, including our financial leverage. Further, we maintain sufficient borrowing capacity within the 150% asset coverage limitation under the 1940 Act and the asset coverage limitation under our credit facilities to cover any outstanding unfunded commitments we are required to fund.

Previous wording

As of March 31, 2026, we had $29.2 million in cash and cash equivalents, including $28.1 million of restricted cash. During the three months ended March 31, 2026, cash used in operating activities was $23.4 million, primarily attributable to funding portfolio investments of $162.8 million and a decrease in net assets resulting from operations of $26.0 million which was partially offset by repayments and proceeds from investments of $133.8 million and cash provided by other operating activities of $31.6 million. Cash provided by financing activities was $32.9 million during the period due to borrowings of $310.3 million which was partially offset by paydowns on our Revolving Credit Facility of $238.4 million and dividends paid of $39.0 million.

Current wording

As of June 30, 2026, we had $193.6 million in cash and cash equivalents, including $40.1 million of restricted cash. During the six months ended June 30, 2026, cash provided by operating activities was $45.0 million, primarily attributable to repayments and proceeds from investments of $335.5 million, an increase in net assets resulting from operations of $14.5 million and cash provided by other operating activities of $42.8 million which was partially offset by funding portfolio investments of $347.8 million. Cash provided by financing activities was $128.9 million during the period due to borrowings of $651.9 million which was partially offset by paydowns on our Revolving Credit Facility of $441.3 million, dividends paid of $73.2 million, deferred financing costs of $8.0 million and repurchases of common stock of $0.5 million.

Previous wording

As of March 31, 2025, we had $47.3 million in cash and cash equivalents, including $42.7 million of restricted cash. During the three months ended March 31, 2025, cash provided by operating activities was $149.9 million, primarily attributable to repayments and proceeds from investments of $291.9 million, an increase in net assets resulting from operations of $37.0 million and other operating activity of $4.7 million, which was partially offset by funding portfolio investments of $183.7 million. Cash used in financing activities was $130.0 million during the period due to paydowns on our Revolving Credit Facility of $609.5 million, dividends paid of $43.2 million and deferred financing costs of $7.3 million, which was partially offset by borrowings of $530.0 million.

Current wording

As of June 30, 2025, we had $39.2 million in cash and cash equivalents, including $35.3 million of restricted cash. During the six months ended June 30, 2025, cash provided by operating activities was $343.1 million, primarily attributable to repayments and proceeds from investments of $733.2 million and an increase in net assets resulting from operations of $96.0 million, which was partially offset by cash used in other operating activities of $26.6 million and funding portfolio investments of $459.5 million. Cash used in financing activities was $331.3 million during the period due to paydowns on our Revolving Credit Facility of $977.8 million, dividends paid of $85.9 million and deferred financing costs of $7.3 million, which was partially offset by borrowings of $739.7 million.

Previous wording

During the three months ended March 31, 2026 and 2025, we issued 314,450 and 302,922 shares of our common stock, respectively, to investors who have not opted out of our dividend reinvestment plan for proceeds of $5.5 million and $6.4 million, respectively.

Current wording

During the six months ended June 30, 2026 and 2025, we issued 668,927 and 578,912 shares of our common stock, respectively, to investors who have not opted out of our dividend reinvestment plan for proceeds of $11.3 million and $12.7 million, respectively.

Previous wording

No shares were repurchased for the three months ended March 31, 2026 and 2025.

Current wording

During the three and six months ended June 30, 2026, we repurchased 30,938 shares at a weighted average price per share of $16.17 inclusive of commissions, for a total cost of $0.5 million. During the three and six months ended June 30, 2025, no shares were repurchased.

Previous wording

As of March 31, 2026, aggregate commitments under the Revolving Credit Facility were $1.675 billion. The Revolving Credit Facility includes an uncommitted accordion feature that allows us, under certain circumstances, to increase the size of the Revolving Credit Facility to up to $2.5 billion.

Current wording

As of June 30, 2026, aggregate commitments under the Revolving Credit Facility were $1.525 billion. The Revolving Credit Facility includes an uncommitted accordion feature that allows us, under certain circumstances, to increase the size of the Revolving Credit Facility to up to $2.5 billion.

Previous wording

Pursuant to the Seventeenth Amendment dated May 1, 2026, with respect to $1.525 billion of commitments, the revolving period, during which period we, subject to certain conditions, may make borrowings under the Revolving Credit Facility, was extended to May 1, 2030 and the stated maturity was extended to May 1, 2031.

Current wording

Pursuant to the Seventeenth Amendment dated May 1, 2026, with respect to $1.525 billion of commitments, the revolving period, during which period we, subject to certain conditions, may make borrowings under the Revolving Credit Facility, was extended to May 1, 2030 and the stated maturity date was extended to May 1, 2031.