BlackRock TCP Capital Corp.

Previous wording

The Company is a Delaware corporation formed on April 2, 2012 and is an externally managed, closed-end, non-diversified management investment company. The Company was formed through the conversion of a pre-existing closed-end investment company. The Company elected to be regulated as a BDC under the Investment Company Act of 1940, as amended (the “1940 Act”). Our investment objective is to seek to achieve high total returns through current income and capital appreciation, with an emphasis on principal protection. We invest primarily in the debt of middle-market companies as well as small businesses, including senior secured loans, junior loans, mezzanine debt and bonds. Such investments may include an equity component, and, to a lesser extent, we may make equity investments directly. Certain investment operations are conducted through the Company’s wholly-owned subsidiaries, Special Value Continuation Partners LLC, a Delaware limited liability company (“SVCP”), TCPC Funding I, LLC (“TCPC Funding”), TCPC Funding II, LLC (“TCPC Funding II”), TCPC SBIC, LP, a Delaware limited partnership (the “SBIC”), BCIC Merger Sub, LLC, a Delaware limited liability company and a wholly-owned subsidiary of SVCP (“Merger Sub”), BlackRock DLF-C 2026, LLC, a Delaware limited liability company and wholly-owned subsidiary of SVCP (“CLO Retention Holder”), and BlackRock DLF 2026-C CLO, LLC, a Delaware limited liability company and wholly-owned subsidiary of CLO Retention Holder (“CLO Issuer”). SVCP was organized as a limited partnership and had elected to be regulated as a BDC under the 1940 Act through July 31, 2018. On August 1, 2018, SVCP withdrew its election to be regulated as a BDC under the 1940 Act and withdrew the registration of its common limited partner interests under Section 12(g) of the Exchange Act and, on August 2, 2018, terminated its general partner, Series H of SVOF/MM, LLC, and converted to a Delaware limited liability company. Series H of SVOF/MM, LLC (“SVOF/MM”) serves as the administrator (the “Administrator”) of the Company. The managing member of SVOF/MM is the Advisor, which serves as the investment manager to the Company, TCPC Funding, TCPC Funding II and the SBIC. On August 1, 2018, the Advisor merged with and into a wholly owned subsidiary of BlackRock Capital Investment Advisors, LLC (“BCIA”), an indirect subsidiary of BlackRock, Inc. with the Advisor as the surviving entity. The SBIC was organized as a Delaware limited partnership in June 2013. On April 22, 2014, the SBIC received a license from the United States Small Business Administration (the “SBA”) to operate as a small business investment company under the provisions of Section 301(c) of the Small Business Investment Act of 1958.

Current wording

The Company is a Delaware corporation formed on April 2, 2012 and is an externally managed, closed-end, non-diversified management investment company. The Company was formed through the conversion of a pre-existing closed-end investment company. The Company elected to be regulated as a BDC under the Investment Company Act of 1940, as amended (the “1940 Act”). Our investment objective is to seek to achieve high total returns through current income and capital appreciation, with an emphasis on principal protection. We invest primarily in the debt of middle-market companies as well as small businesses, including senior secured loans, junior loans, mezzanine debt and bonds. Such investments may include an equity component, and, to a lesser extent, we may make equity investments directly. Certain investment operations are conducted through the Company’s wholly-owned subsidiaries, Special Value Continuation Partners LLC, a Delaware limited liability company (“SVCP”), TCPC Funding I, LLC (“TCPC Funding”), TCPC Funding II, LLC (“TCPC Funding II”), TCPC SPV, LP (formerly, TCPC SBIC, LP), a Delaware limited partnership (the “SBIC”) and BCIC Merger Sub, LLC, a Delaware limited liability company and a wholly-owned subsidiary of SVCP (“Merger Sub”). SVCP was organized as a limited partnership and had elected to be regulated as a BDC under the 1940 Act through July 31, 2018. On August 1, 2018, SVCP withdrew its election to be regulated as a BDC under the 1940 Act and withdrew the registration of its common limited partner interests under Section 12(g) of the Exchange Act and, on August 2, 2018, terminated its general partner, Series H of SVOF/MM, LLC, and converted to a Delaware limited liability company. Series H of SVOF/MM, LLC (“SVOF/MM”) serves as the administrator (the “Administrator”) of the Company. The managing member of SVOF/MM is the Advisor, which serves as the investment manager to the Company, TCPC Funding, TCPC Funding II and the SBIC. On August 1, 2018, the Advisor merged with and into a wholly owned subsidiary of BlackRock Capital Investment Advisors, LLC (“BCIA”), an indirect subsidiary of BlackRock, Inc. with the Advisor as the surviving entity. The SBIC was organized as a Delaware limited partnership in June 2013. On April 22, 2014, the SBIC received a license from the United States Small Business Administration (the “SBA”) to operate as a small business investment company under the provisions of Section 301(c) of the Small Business Investment Act of 1958.

Previous wording

by SVCP (the “Operating Facility”), amounts outstanding under a senior secured revolving credit facility originally issued by BlackRock Capital Investment Corporation, a Delaware corporation (“BCIC”), and assumed by Merger Sub (“Merger Sub Facility”), $325.0 million in senior unsecured notes issued by the Company maturing in 2029 (the “2029 Notes”) and notes offered in the CLO Transaction (as defined below) that closed on May 27, 2026 ((the “Secured Notes”) and, together with the Operating Facility, Merger Sub Facility and the 2029 Notes, the “Leverage Program”). Prior to being repaid, debt included $92.0 million in unsecured notes which were due December 2025 and originally issued by BCIC and assumed by Merger Sub (the “2025 Notes”) which were repaid on July 31, 2025, $325.0 million in unsecured notes due February 2026 (the “2026 Notes”) which were repaid on February 9, 2026, $100.0 million under a senior secured revolving credit facility (“Funding Facility II”) which was paid off on May 27, 2026 and $111.2 million in debentures guaranteed by the SBA (the “SBA Debentures”) which were paid off on June 17, 2026.

Current wording

Our leverage program is comprised of amounts outstanding under a senior secured revolving credit facility originally issued by BlackRock Capital Investment Corporation, a Delaware corporation (“BCIC”), and assumed by Merger Sub (“Merger Sub Facility”) and $325.0 million in senior unsecured notes issued by the Company maturing in 2029 (the “2029 Notes” and, together with the Merger Sub Facility, the “Leverage Program”). Prior to being repaid or assumed, debt included $92.0 million in unsecured notes which were due December 2025 and originally issued by BCIC and assumed by Merger Sub (the “2025 Notes”) which were repaid on July 31, 2025, $325.0 million in unsecured notes due February 2026 (the “2026 Notes”) which were repaid on February 9, 2026, $100.0 million under a senior secured revolving credit facility (“Funding Facility II”) which was paid off on May 27, 2026, $107.2 million in debentures guaranteed by the SBA (the “SBA Debentures”) which were paid off on June 17, 2026, $120.0 million under a senior secured revolving, multi-currency credit facility entered into by SVCP (the “Operating Facility”) which was paid off on August 3, 2026, and $405.4 million in notes offered in the CLO Transaction (as defined below) that closed on May 27, 2026 (the “Secured Notes”), which were assumed by the CLO Retention Holder (as defined below) on August 4, 2026.

Previous wording

On May 27, 2026, the Company completed a collateralized loan obligation transaction involving approximately $535.8 million of debt and equity interests secured by a portfolio of middle-market loans through the CLO Issuer (“CLO Transaction”). In connection with the CLO Transaction, the CLO Issuer issued multiple classes of senior secured floating rate notes maturing in 2034. The Company, through the CLO Retention Holder, has retained all interests in the CLO Issuer.

Current wording

On May 27, 2026, the Company completed a collateralized loan obligation transaction through BlackRock DLF 2026-C CLO, LLC (the “CLO Issuer”) (the “CLO Transaction”). In connection with the CLO Transaction, the CLO Issuer issued multiple classes of senior secured floating rate notes maturing in 2034. Prior to the Continuation Vehicle Transaction (as defined below), SVCP owned 100% of the limited liability company interests in BlackRock DLF-C 2026, LLC (the “CLO Retention Holder”), which retained all interests in the CLO Issuer.

Previous wording

As a BDC, we are required to comply with certain regulatory requirements. For instance, we generally have to invest at least 70% of our total assets in “qualifying assets,” including securities and indebtedness of private U.S. companies, public U.S. operating companies whose securities are not listed on a national securities exchange or registered under the Securities Exchange Act of 1934, as amended, public domestic operating companies having a market capitalization of less than $250.0 million, cash, cash equivalents, U.S. government securities and high-quality debt investments that mature in one year or less. We are also permitted to make certain follow-on investments in companies that were eligible portfolio companies at the time of initial investment but that no longer meet the definition. As of June 30, 2026, 83.3% of our total assets were invested in qualifying assets.

Current wording

As a BDC, we are required to comply with certain regulatory requirements. For instance, we generally have to invest at least 70% of our total assets in “qualifying assets,” including securities and indebtedness of private U.S. companies, public U.S. operating companies whose securities are not listed on a national securities exchange or registered under the Securities Exchange Act of 1934, as amended, public domestic operating companies having a market capitalization of less than $250.0 million, cash, cash equivalents, U.S. government securities and high-quality debt investments that mature in one year or less. We are also permitted to make certain follow-on investments in companies that were eligible portfolio companies at the time of initial investment but that no longer meet the definition. As of September 30, 2026, 80.1% of our total assets were invested in qualifying assets.

Previous wording

As of June 30, 2026, 0.0% of our investments were categorized as Level 1, 0.2% were categorized as Level 2, 99.7% were categorized as Level 3 investments valued based on valuations by independent third-party sources, and 0.1% were categorized as Level 3 investments valued based on valuations by the Valuation Designee.

Current wording

As of September 30, 2026, 0.0% of our investments were categorized as Level 1, 0.2% were categorized as Level 2, 97.7% were categorized as Level 3 investments valued based on valuations by independent third-party sources, 0.1% were categorized as Level 3 investments valued based on valuations by the Valuation Designee, and 2.0% were valued using net asset value (“NAV”) per share (or its equivalent) as a practical expedient for fair value and have been excluded from the fair value hierarchy.

Previous wording

During the three months ended June 30, 2026, we invested approximately $25.0 million, comprised of new investments in 1 new and 1 existing portfolio companies, as well as draws made on existing commitments and PIK received on prior investments. Of these investments, $24.5 million, or 98.0% of total acquisitions, were in senior secured loans. The remaining $0.5 million, or 2.0% of total acquisitions, was comprised of equity investments. Additionally, we received approximately $111.6 million in proceeds from sales or repayments of investments during the three months ended June 30, 2026.

Current wording

During the three months ended September 30, 2026, we invested approximately $6.2 million, comprised of new investments in 1 existing portfolio company, as well as draws made on existing commitments and PIK received on prior investments. Of these investments, $5.7 million, or 91.5% of total acquisitions, were in senior secured loans. The remaining $0.5 million, or 8.5% of total acquisitions, was comprised of equity investments. Additionally, we had approximately $681.4 million of investment dispositions from sales or repayments of investments, including $457.5 million of investments, net of losses, sold through the Continuation Vehicle Transaction during the three months ended September 30, 2026.

Previous wording

At June 30, 2026, our consolidated investment portfolio of $1,290.5 million (at fair value) consisted of 134 portfolio companies and was invested 91.5% in debt investments, primarily in senior secured debt. In aggregate, our investment portfolio was invested 86.8% in senior secured loans, 4.6% in senior secured notes, 0.1% in unsecured debt and 8.5% in equity investments. Our average portfolio company investment at fair value was approximately $9.6 million. Our largest portfolio company investment based on fair value was approximately 8.9% of our portfolio and our five largest portfolio company investments based on fair value comprised approximately 27.6% of our portfolio at June 30, 2026.

Current wording

At September 30, 2026, our consolidated investment portfolio of $543.5 million (at fair value) consisted of 126 portfolio companies and was invested 79.6% in debt investments, primarily in senior secured debt. In aggregate, our investment portfolio was invested 70.6% in senior secured loans, 9.0% in senior secured notes, 0.0% in unsecured debt and 20.4% in equity investments. Our average portfolio company investment at fair value was approximately $4.3 million. Our largest portfolio company investment based on fair value was approximately 19.3% of our portfolio and our five largest portfolio company investments based on fair value comprised approximately 38.5% of our portfolio at September 30, 2026.

Previous wording

The weighted average effective yield of our debt portfolio based on fair value was 11.2% at June 30, 2026 and 11.1% at December 31, 2025, excluding non-accrual and non-income producing loans. The weighted average effective yield of our total portfolio based on fair value was 10.5% at June 30, 2026 and 10.2% at December 31, 2025. At June 30, 2026, 93.9% of debt investments in our portfolio bore interest based on floating rates, such as the Secured Overnight Financing Rate (“SOFR”), Euro Interbank Offered Rate (“EURIBOR”), Canadian Overnight Repo Rate Average (“CORRA”), the Federal Funds Rate or the Prime Rate, and 6.1% bore interest at fixed rates. The percentage of floating rate debt investments in our portfolio that were subject to an interest rate floor was 94.8% at June 30, 2026. Debt and preferred equity investments in thirteen portfolio companies were on non-accrual status as of June 30, 2026, representing 1.6% of the portfolio at fair value and 7.4% at cost. At December 31, 2025, 94.2% of debt investments in our portfolio bore interest based on floating rates, such as SOFR, EURIBOR, CORRA, the Federal Funds Rate or the Prime Rate, and 5.8% bore interest at fixed rates. The percentage of floating rate debt investments in our portfolio that were subject to an interest rate floor was 98.1% at December 31, 2025. Debt and preferred equity investments in fourteen portfolio companies were on non-accrual status as of December 31, 2025, representing 4.0% of the portfolio at fair value and 9.7% at cost.

Current wording

The weighted average effective yield of our debt portfolio based on fair value was 11.1% at September 30, 2026 and 11.1% at December 31, 2025, excluding non-accrual and non-income producing loans. The weighted average effective yield of our total portfolio based on fair value was 9.4% at September 30, 2026 and 10.2% at December 31, 2025. At September 30, 2026, 88.0% of debt investments in our portfolio bore interest based on floating rates, such as the Secured Overnight Financing Rate (“SOFR”), Euro Interbank Offered Rate (“EURIBOR”), Canadian Overnight Repo Rate Average (“CORRA”), the Federal Funds Rate or the Prime Rate, and 12.0% bore interest at fixed rates. The percentage of floating rate debt investments in our portfolio that were subject to an interest rate floor was 89.0% at September 30, 2026. Debt and preferred equity investments in twelve portfolio companies were on non-accrual status as of September 30, 2026, representing 3.4% of the portfolio at fair value and 14.2% at cost. At December 31, 2025, 94.2% of debt investments in our portfolio bore interest based on floating rates, such as SOFR, EURIBOR, CORRA, the Federal Funds Rate or the Prime Rate, and 5.8% bore interest at fixed rates. The percentage of floating rate debt investments in our portfolio that were subject to an interest rate floor was 98.1% at December 31, 2025. Debt and preferred equity investments in fourteen portfolio companies were on non-accrual status as of December 31, 2025, representing 4.0% of the portfolio at fair value and 9.7% at cost.

Previous wording

Investment income totaled $40.0 million and $51.5 million, respectively, for the three months ended June 30, 2026 and 2025, of which $37.8 million and $50.1 million were attributable to interest and fees on our debt investments, $2.2 million and $1.4 million to dividend income primarily from our investments in 36th Street and Ohio Transmission Corp., and $0.0 million and $0.0 million to other income, respectively. Included in interest and fees on our debt investments were $0.8 million and $0.5 million of non-recurring income related to prepayments and $2.9 million and $0.9 million in amendment fees for the three months ended June 30, 2026 and 2025, respectively. The decrease in investment income for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 primarily reflects a decrease in portfolio size and a decrease in interest income due to lower SOFR rates during the three months ended June 30, 2026.

Current wording

Investment income totaled $28.5 million and $50.5 million, respectively, for the three months ended September 30, 2026 and 2025, of which $27.4 million and $48.9 million were attributable to interest and fees on our debt investments, $1.0 million and $1.6 million to dividend income primarily from our investments in 36th Street and Ohio Transmission Corp., and $0.1 million and $0.0 million to other income, respectively. Included in interest and fees on our debt investments were $6.5 million and $2.4 million of non-recurring income related to prepayments and $0.0 million and $0.1 million in amendment fees for the three months ended September 30, 2026 and 2025, respectively. The decrease in investment income for the three months ended September 30, 2026 compared to the three months ended September 30, 2025 primarily reflects a decrease in portfolio size as a result of the sale of assets in the Continuation Vehicle Transaction and a decrease in interest income due to lower SOFR rates during the three months ended September 30, 2026.

Previous wording

Investment income totaled $82.6 million and $107.4 million, respectively, for the six months ended June 30, 2026 and 2025, of which $79.0 million and $102.6 million were attributable to interest and fees on our debt investments, $3.6 million and $4.7 million to dividend income primarily from our investments in 36th Street and Ohio Transmission Corp., and $0.0 million and $0.1 million to other income, respectively. Included in interest and fees on our debt investments were $3.1 million and $2.9 million of non-recurring income related to prepayments and $3.3 million and $1.1 million in amendment fees for the six months ended June 30, 2026 and 2025, respectively. The decrease in investment income for the six months ended June 30, 2026 compared to the six months ended June 30, 2025 primarily reflects a decrease in portfolio size and a decrease in interest income due to lower SOFR rates during the six months ended June 30, 2026.

Current wording

Investment income totaled $111.1 million and $157.9 million, respectively, for the nine months ended September 30, 2026 and 2025, of which $106.4 million and $151.6 million were attributable to interest and fees on our debt investments, $4.7 million and $6.3 million to dividend income primarily from our investments in 36th Street and Ohio Transmission Corp., and $0.0 million and $0.0 million to other income, respectively. Included in interest and fees on our debt investments were $9.7 million and $5.3 million of non-recurring income related to prepayments and $3.3 million and $1.1 million in amendment fees for the nine months ended September 30, 2026 and 2025, respectively. The decrease in investment income for the nine months ended September 30, 2026 compared to the nine months ended September 30, 2025 primarily reflects a decrease in portfolio size as a result of the sale of assets in the Continuation Vehicle Transaction and a decrease in interest income due to lower SOFR rates during the nine months ended September 30, 2026.

Previous wording

Total operating expenses for the three months ended June 30, 2026 and 2025 were $21.9 million and $23.9 million, respectively, comprised of $15.0 million and $17.1 million in interest expense and related fees, $4.2 million and $5.5 million in base management fees, $0.8 million and $0.9 million in professional fees, $0.4 million and $0.5 million in administrative expenses, and $1.5 million and $1.7 million in other expenses, respectively, offset by $0.0 million and $1.8 million in management fee waivers. The decrease in operating expenses for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 primarily reflects a decrease in interest expense as a result of lower debt outstanding and due to lower SOFR rates, partially offset by an increase in net management fees due to the Company not accruing a management fee waiver during the three months ended June 30, 2026.

Current wording

Total operating expenses for the three months ended September 30, 2026 and 2025 were $15.1 million and $23.2 million, respectively, comprised of $9.4 million and $16.8 million in interest expense and related fees, $3.0 million and $5.5 million in base management fees, $1.1 million and $0.8 million in professional fees, $0.6 million and $0.4 million in administrative expenses, and $1.0 million and $1.5 million in other expenses, respectively, offset by $0.0 million and $1.8 million in management fee waivers. The decrease in operating expenses for the three months ended September 30, 2026 compared to the three months ended September 30, 2025 primarily reflects a decrease in interest expense as a result of lower debt outstanding and due to lower SOFR rates, and a decrease in management fees due to a decrease in the Company's management fee base during the three months ended September 30, 2026.

Previous wording

Total operating expenses for the six months ended June 30, 2026 and 2025 were $46.0 million and $47.6 million, respectively, comprised of $31.0 million and $34.2 million in interest expense and related fees, $8.9 million and $10.9 million in base management fees, $2.2 million and $1.8 million in professional fees, $0.9 million and $1.2 million in administrative expenses, and $3.0 million and $3.1 million in other expenses, respectively, offset by $0.0 million and $3.6 million in management fee waivers. The decrease in operating expenses for the six months ended June 30, 2026 compared to the six months ended June 30, 2025 primarily reflects a decrease in interest expense as a result of lower debt outstanding and due to lower SOFR rates, partially offset by an increase in net management fees due to the Company not accruing a management fee waiver during the six months ended June 30, 2026.

Current wording

Total operating expenses for the nine months ended September 30, 2026 and 2025 were $61.1 million and $70.8 million, respectively, comprised of $40.4 million and $51.0 million in interest expense and related fees, $11.9 million and $16.5 million in base management fees, $3.3 million and $2.6 million in professional fees, $1.5 million and $1.6 million in administrative expenses, and $4.0 million and $4.6 million in other expenses, respectively, offset by $0.0 million and $5.5 million in management fee waivers. The decrease in operating expenses for the nine months ended September 30, 2026 compared to the nine months ended September 30, 2025 primarily reflects a decrease in interest expense as a result of lower debt outstanding and due to lower SOFR rates, and a decrease in management fees as a result of a smaller average portfolio, partially offset by an absence of management fee waivers during the nine months ended September 30, 2026.

Previous wording

Net investment income was $18.1 million and $27.6 million, respectively, for the three months ended June 30, 2026 and 2025. The decrease in net investment income for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 primarily reflects the decrease in total investment income, partially offset by a decrease in expenses during the three months ended June 30, 2026.

Current wording

Net investment income was $13.4 million and $27.3 million, respectively, for the three months ended September 30, 2026 and 2025. The decrease in net investment income for the three months ended September 30, 2026 compared to the three months ended September 30, 2025 primarily reflects the decrease in total investment income, partially offset by a decrease in expenses during the three months ended September 30, 2026.

Previous wording

Net investment income was $36.6 million and $59.8 million, respectively, for the six months ended June 30, 2026 and 2025. The decrease in net investment income for the six months ended June 30, 2026 compared to the six months ended June 30, 2025 primarily reflects the decrease in total investment income, partially offset by a decrease in expenses during the six months ended June 30, 2026.

Current wording

Net investment income was $50.0 million and $87.1 million, respectively, for the nine months ended September 30, 2026 and 2025. The decrease in net investment income for the nine months ended September 30, 2026 compared to the nine months ended September 30, 2025 primarily reflects the decrease in total investment income, partially offset by a decrease in expenses during the nine months ended September 30, 2026.

Previous wording

Net realized gain (loss) on investments and foreign currency for the three months ended June 30, 2026 and 2025 was $(14.8) million and $(66.3) million, respectively. Net realized loss on investments and foreign currency for the three months ended June 30, 2026 was comprised primarily of $10.0 million in losses from the exit of our investment in AutoAlert, partially offset by a $2.4 million realized gain due to paydown activities at par in Thras.io. Net realized loss for the three months ended June 30, 2025 was comprised primarily of $23.8 million, $22.5 million, $11.1 million, and $10.7 million in losses from the restructuring of our investments in SellerX, Khoros, InMoment, and Renovo, respectively.

Current wording

Net realized gain (loss) on investments and foreign currency for the nine months ended September 30, 2026 and 2025 was $(122.0) million and $(204.3) million, respectively. Net realized gain (loss) on investments and foreign currency for the nine months ended September 30, 2026 includes $(99.5) million from non-controlled, non-affiliated investments, $(2.0) million from non-controlled, affiliated investments, and $(20.5) million from controlled investments. Net realized gain (loss) on investments and foreign currency for the nine months ended September 30, 2025 includes $(185.0) million from non-controlled, non-affiliated investments, $(4.1) million from non-controlled, affiliated investments, and $(15.2) million from controlled investments. Net realized loss on investments and foreign currency for the nine months ended September 30, 2026 was comprised primarily of $63.7 million in losses from the Continuation Vehicle Transaction, $19.1 million, $11.5 million, $9.1 million, and $4.6 million in losses from the restructuring of our investments in Alpine, Fishbowl, AutoAlert, and Suited Connector, respectively, and $4.2 million and $3.8 million in losses from the disposition of our investments in Paramount and Emerald, respectively, offset by $4.7 million in gains from the disposition of our investments in Domo. Net realized loss for the nine months ended September 30, 2025 was comprised primarily of $72.6 million, $24.6 million, $22.5 million, $11.5 million and $10.7 million in losses from the restructuring of our investments in Razor, Seller X, Khoros, InMoment and Homerenew Buyer, and $24.5 million, $13.2 million and $11.5 million in losses from the disposition of our investments in Securus and Conergy, respectively.

Previous wording

For the three months ended June 30, 2026 and 2025, the change in net unrealized appreciation (depreciation) was $1.3 million and $22.8 million, respectively. The change in net unrealized appreciation for the three months ended June 30, 2026 primarily reflects an $8.0 million reversal of previously recognized unrealized losses from the exit of our investment in AutoAlert, a $3.3 million reversal of previously recognized unrealized losses related to paydown activities at par on our investment in Thras.io, a $2.9 million unrealized gain on our investment in Job and Talent, partially offset by a $4.3 million unrealized loss on our investment in Pluralsight, a $3.3 million unrealized loss on our investment in PVHC, and a $2.1 million unrealized loss on our investment in Zilliant. The change in net unrealized appreciation for the three months ended June 30, 2025 primarily reflects $23.1 million, $20.3 million, $9.5 million and $7.7 million reversals of previously recognized unrealized losses from the restructuring of our investments in Khoros, SellerX, Renovo and InMoment, respectively, partially offset by a $9.6 million unrealized loss on our investment in AutoAlert, a $5.9 million unrealized loss on our investment in Brook & Whittle, a $4.7 million unrealized loss on our investment in 36th Street Capital, a $4.1 million unrealized loss on our investment in NEP Group, and a $4.1 million unrealized loss on our investment in Alpine.

Current wording

For the three months ended September 30, 2026 and 2025, the change in net unrealized appreciation (depreciation) was $(4.3) million and $94.1 million, respectively. The change in net unrealized appreciation (depreciation) for the three months ended September 30, 2026 includes $(3.1) million from non-controlled, non-affiliated investments, $(2.0) million from non-controlled, affiliated investments, and $0.8 million from controlled investments. The change in net unrealized appreciation (depreciation) for the three months ended September 30, 2025 includes $79.4 million from non-controlled, non-affiliated investments, $0.9 million from non-controlled, affiliated investments, and $13.8 million from controlled investments. The change in net unrealized depreciation for the three months ended September 30, 2026 primarily reflects an $11.5 million unrealized loss on our investment in Job and Talent, a $6.9 million reversal of previously recognized unrealized gains from the disposition of our investment in Domo, and a $2.5 million reversal of previously recognized unrealized gains from the disposition of our investment in Thras.io, partially offset by an $8.3 million reversal of previously recognized unrealized losses from disposition of our investments in the Continuation Vehicle Transaction, and $5.7 million and $4.7 million reversals of previously recognized unrealized losses from the disposition of our investments in Paramount and Emerald, respectively. The change in net unrealized appreciation for the three months ended September 30, 2025 primarily reflects $74.6 million reversal of previously recognized unrealized loss from the restructuring of our investment in Razor, $13.2 million, $4.9 million, $3.7 million, and $2.8 million reversals of previously recognized unrealized losses from the disposition of our investments in Conergy, INH Buyer, Iracore and Conventional Lending, respectively, and $7.3 million and $2.3 million in gains on our investments in NEP and Domo, respectively, partially offset by a $6.9 million unrealized loss on our investment in Alpine, a $1.5 million unrealized loss on our investment in Fishbowl, a $1.4 million unrealized loss on our investment in Pluralsight, a $1.3 million unrealized loss on our investment in SellerX, and a $1.3 million unrealized loss on our investment in Paramount.

Previous wording

For the six months June 30, 2026 and 2025, the change in net unrealized appreciation (depreciation) was $(0.8) million and $52.4 million, respectively. The change in net unrealized depreciation for the six months ended June 30, 2026 primarily reflects an $8.2 million unrealized loss on our investment in Job and Talent, a $7.1 million unrealized loss on our investment in Pluralsight, a $3.7 million unrealized loss on our investment in PVHC, and a $2.6 million unrealized loss on our investment in Zilliant, partially offset by $17.2 million, $12.3 million, $8.1 million, and $4.5 million reversals of previously recognized unrealized losses from the restructuring of our investments in Alpine, Fishbowl, AutoAlert and Suited Connector, respectively. The change in net unrealized appreciation for the six months ended June 30, 2025 primarily reflects a $23.9 million reversal of previously recognized unrealized loss from the disposition of our investment in Securus, $21.7 million, $18.8 million and $8.7 million reversals of previously recognized unrealized losses from the restructuring of our investments in Khoros, SellerX and Renovo, respectively, and a $10.5 million unrealized gain on our investment in Job and Talent, partially offset by a $10.2 million unrealized loss on our investment in Razor, an $8.1 million unrealized loss on our investment in Brook & Whittle, a $6.4 million unrealized loss on our investment in Alpine, and a $5.0 million unrealized loss on our investment in NEP Group.

Current wording

For the nine months ended September 30, 2026 and 2025, the change in net unrealized appreciation (depreciation) was $(5.1) million and $146.5 million, respectively. The change in net unrealized appreciation (depreciation) for the nine months ended September 30, 2026 includes $(20.2) million from non-controlled, non-affiliated investments, $(6.1) million from non-controlled, affiliated investments, and $21.2 million from controlled investments. The change in net unrealized appreciation (depreciation) for the nine months ended September 30, 2025 includes $146.2 million from non-controlled, non-affiliated investments, $(1.4) million from non-controlled, affiliated investments, and $1.7 million from controlled investments. The change in net unrealized depreciation for the nine months ended September 30, 2026 primarily reflects a $19.6 million unrealized loss on our investment in Job and Talent, a $7.8 million reversal of previously recognized unrealized gains on disposition of our investment in Domo, a $7.6 million unrealized loss on our investment in Pluralsight, partially offset by $16.6 million, $12.1 million, $8.1 million, and $4.5 million reversals of previously recognized unrealized losses from the restructuring of our investments in Alpine, Fishbowl, AutoAlert and Suited Connector, respectively, an $8.3 million reversal of previously recognized unrealized losses on the Continuation Vehicle Transaction, and $5.1 million and $4.0 million reversals of previously recognized unrealized losses on disposition of our investments in Emerald and Paramount, respectively. The change in net unrealized appreciation for the nine months ended September 30, 2025 primarily reflects $64.5 million, $21.9 million, $17.5 million, $8.3 million and $6.7 million reversals of previously recognized unrealized losses from the restructuring of our investments in Razor, Khoros, SellerX, Homerenew Buyer and InMoment, respectively, $23.9 million, $12.9 million and $7.5 million reversals of previously recognized unrealized losses from the disposition of our investments in Securus, Conergy and CIBT, respectively, $10.8 million and $4.9 million in gains on our investments in Job and Talent and Domo, respectively, partially offset by a $13.3 million unrealized loss on our investment in Alpine, an $8.1 million unrealized loss on our investment in Brook & Whittle, a $5.4 million unrealized loss on our investment in 36th Street Capital, a $4.8 million unrealized loss on our investment in Pluralsight and a $4.3 million unrealized loss on our investment in AutoAlert.

Previous wording

No incentive fees were accrued for three and six months ended June 30, 2026 and 2025 as a result of the Company's cumulative total return not exceeding the total return hurdle.

Current wording

No incentive fees were accrued for three and nine months ended September 30, 2026 and 2025 as a result of the Company's cumulative total return not exceeding the total return hurdle.

Previous wording

Depending on the level of taxable income earned in a tax year, we may choose to carry forward taxable income in excess of current year dividend distributions from such current year taxable income into the next tax year and pay a 4% excise tax on such income. Any excise tax expense is recorded at year end as such amounts are known. No excise tax was incurred for the six months ended June 30, 2026.

Current wording

Depending on the level of taxable income earned in a tax year, we may choose to carry forward taxable income in excess of current year dividend distributions from such current year taxable income into the next tax year and pay a 4% excise tax on such income. Any excise tax expense is recorded at year end as such amounts are known. No excise tax was incurred for the nine months ended September 30, 2026.

Previous wording

The net increase (decrease) in net assets applicable to common shareholders resulting from operations was $1.7 million and $(15.9) million for the three months ended June 30, 2026 and 2025, respectively. The increase in net assets resulting from operations during the three months ended June 30, 2026 was primarily due to lower net investment income, partially offset by lower net realized and unrealized losses and the $2.9 million realized loss on extinguishment of debt compared to the three months ended June 30, 2025. Realized loss on extinguishment of debt reflects the write-off of unamortized deferred debt issuance costs, unpaid contractual interest expenses, and legal fees associated with the terminations of Funding Facility II and the SBA Debentures.

Current wording

The net increase (decrease) in net assets applicable to common shareholders resulting from operations was $(66.8) million and $24.4 million for the three months ended September 30, 2026 and 2025, respectively. The decrease in net assets resulting from operations during the three months ended September 30, 2026 was primarily due to lower net investment income, higher net realized and unrealized losses, and the $1.3 million realized loss on extinguishment of debt compared to the three months ended September 30, 2025. Realized loss on extinguishment of debt primarily reflects the write-off of unamortized deferred debt issuance costs, unpaid contractual interest expenses, and legal fees associated with the termination of the Operating Facility in connection with the Continuation Vehicle Transaction.

Previous wording

The net increase (decrease) in net assets applicable to common shareholders resulting from operations was $(14.6) million and $5.0 million for the six months ended June 30, 2026 and 2025, respectively. The decrease in net assets resulting from operations during the six months ended June 30, 2026 was primarily due to lower net investment income and the $2.9 million realized loss on extinguishment of debt, partially offset by lower net realized and unrealized losses compared to the six months ended June 30, 2025. Realized loss on extinguishment of debt reflects the write-off of unamortized deferred debt issuance costs, unpaid contractual interest expenses, and legal fees associated with the terminations of Funding Facility II and the SBA Debentures.

Current wording

The net increase (decrease) in net assets applicable to common shareholders resulting from operations was $(81.3) million and $29.4 million for the nine months ended September 30, 2026 and 2025, respectively. The decrease in net assets resulting from operations during the nine months ended September 30, 2026 was primarily due to lower net investment income, higher net realized and unrealized losses, and the $4.2 million realized loss on extinguishment of debt compared to the nine months ended September 30, 2025. Realized loss on extinguishment of debt primarily reflects the write-off of unamortized deferred debt issuance costs, unpaid contractual interest expenses, and legal fees associated with the terminations of the Operating Facility, Funding Facility II and the SBA Debentures.

Previous wording

On February 27, 2024, the Board of Directors approved a new dividend reinvestment plan (the “DRIP”) for the Company. The DRIP was effective as of March 18, 2024, and will apply to the reinvestment of cash distributions with a record date after March 18, 2024. Under the DRIP, shareholders will automatically receive cash dividends and distributions unless they “opt in” to the DRIP and elect to have their dividends and distributions reinvested in additional shares of the Company’s common stock. Notwithstanding the foregoing, the former shareholders of BCIC that participated in the BCIC dividend reinvestment plan at the time of the Merger have been automatically enrolled in the Company’s DRIP and will have their shares reinvested in additional shares of the Company’s common stock on future distributions, unless they “opt out” of the DRIP. For the six months ended June 30, 2026, approximately $1.0 million of cash distributions were reinvested for electing Participants through purchase of shares in the open market in accordance with the terms of the DRIP.

Current wording

On February 27, 2024, the Board of Directors approved a new dividend reinvestment plan (the “DRIP”) for the Company. The DRIP was effective as of March 18, 2024, and will apply to the reinvestment of cash distributions with a record date after March 18, 2024. Under the DRIP, shareholders will automatically receive cash dividends and distributions unless they “opt in” to the DRIP and elect to have their dividends and distributions reinvested in additional shares of the Company’s common stock. Notwithstanding the foregoing, the former shareholders of BCIC that participated in the BCIC dividend reinvestment plan at the time of the Merger have been automatically enrolled in the Company’s DRIP and will have their shares reinvested in additional shares of the Company’s common stock on future distributions, unless they “opt out” of the DRIP. For the nine months ended September 30, 2026, approximately $1.3 million of cash distributions were reinvested for electing Participants through purchase of shares in the open market in accordance with the terms of the DRIP.

Previous wording

The following table summarizes the total shares repurchased and amounts paid by the Company under the Company Repurchase Plan, including broker fees, for the six months ended June 30, 2026 and 2025:

Current wording

The following table summarizes the total shares repurchased and amounts paid by the Company under the Company Repurchase Plan, including broker fees, for the nine months ended September 30, 2026 and 2025:

Previous wording

Except for the 2029 Notes and Secured Notes Class C, all carrying values are the same as the principal amounts outstanding.

Current wording

Except for the 2029 Notes, all carrying values are the same as the principal amounts outstanding.

Previous wording

The applicable margin for SOFR-based borrowings could be either 1.75% or 2.00% depending on a ratio of the borrowing base to certain committed indebtedness, and is also subject to a credit spread adjustment of 0.10%. If Merger Sub elects to borrow based on the alternate base rate, the applicable margin could be either 0.75% or 1.00% depending on a ratio of the borrowing base to certain committed indebtedness.

Current wording

The applicable margin for SOFR-based borrowings, EURIBOR-based borrowings and CORRA-based borrowings could be either 1.75% or 2.00% depending on a ratio of the borrowing base to certain committed indebtedness. If Merger Sub elects to borrow based on the alternate base rate, the applicable margin could be either 0.75% or 1.00% depending on a ratio of the borrowing base to certain committed indebtedness. As of September 30, 2026, $0 million of the outstanding amount was subject to a SOFR credit adjustment of 0.10%. $2.9 million of the outstanding amount bore interest at a rate of EURIBOR + 2.00%. $4.0 million of the outstanding amount bore interest at a rate of CORRA + 2.00% with a credit adjustment of 0.30%.

Previous wording

Effective November 7, 2018, the Company’s Board of Directors, including a “required majority” (as such term is defined in Section 57(o) of the 1940 Act) of our Board of Directors, approved the application of the modified asset coverage requirements set forth in Section 61(a)(2) of the 1940 Act, as amended by the SBCAA (the “Asset Coverage Ratio Election”), which would have resulted (had the Company not received earlier shareholder approval) in our asset coverage requirement applicable to senior securities being reduced from 200% to 150%, effective on November 7, 2019. On February 8, 2019, the shareholders of the Company approved the Asset Coverage Ratio Election, and, as a result, effective on February 9, 2019, our asset coverage requirement applicable to senior securities was reduced from 200% to 150%. As of June 30, 2026, the Company’s asset coverage ratio was 160.3%.

Current wording

Effective November 7, 2018, the Company’s Board of Directors, including a “required majority” (as such term is defined in Section 57(o) of the 1940 Act) of our Board of Directors, approved the application of the modified asset coverage requirements set forth in Section 61(a)(2) of the 1940 Act, as amended by the SBCAA (the “Asset Coverage Ratio Election”), which would have resulted (had the Company not received earlier shareholder approval) in our asset coverage requirement applicable to senior securities being reduced from 200% to 150%, effective on November 7, 2019. On February 8, 2019, the shareholders of the Company approved the Asset Coverage Ratio Election, and, as a result, effective on February 9, 2019, our asset coverage requirement applicable to senior securities was reduced from 200% to 150%. As of September 30, 2026, the Company’s asset coverage ratio was 241.0%.

Previous wording

Net cash provided by operating activities during the six months ended June 30, 2026 was $255.4 million, consisting primarily of the settlement of dispositions of investments (net of acquisitions) of $233.4 million and $22.0 million in net investment income (net of non-cash income and expenses).

Current wording

Net cash provided by operating activities during the nine months ended September 30, 2026 was $547.3 million, consisting primarily of the settlement of dispositions of investments (net of acquisitions) of $508.1 million and $39.2 million in net investment income (net of non-cash income and expenses).

Previous wording

Net cash used by financing activities was $159.0 million during the six months ended June 30, 2026, consisting primarily of $325.0 million in repayment of 2026 Notes, $205.2 million in net credit facility paydowns, $28.6 million in dividends paid to common shareholders, $2.9 million in repurchases of shares, and $2.7 million in payments of debt issuance costs, partially offset by $405.4 million in proceeds from issuance of Secured Notes.

Current wording

Net cash used by financing activities was $355.2 million during the nine months ended September 30, 2026, consisting primarily of $387.2 million in net credit facility paydowns, $325.0 million in repayment of 2026 Notes, $42.8 million in dividends paid to common shareholders and $2.9 million in repurchases of shares.

Previous wording

At June 30, 2026, we had $157.5 million in cash and cash equivalents.

Current wording

At September 30, 2026, we had $253.1 million in cash and cash equivalents.

Previous wording

The Operating Facility and Merger Sub Facility (in the aggregate) are secured by substantially all of the assets in our portfolio, including cash and cash equivalents, and are subject to compliance with customary affirmative and negative covenants, including the maintenance of a minimum stockholders’ equity, the maintenance of a ratio of not less than 150% of total assets (less total liabilities other than indebtedness) to total indebtedness, and restrictions on certain payments and issuance of debt. Unfavorable economic conditions may result in a decrease in the value of our investments, which would affect both the asset coverage ratios and the value of the collateral securing the Operating Facility and Merger Sub Facility, and may therefore impact our ability to borrow under the Operating Facility and Merger Sub Facility. In addition to regulatory restrictions that restrict our ability to raise capital, the Leverage Program contains various covenants which, if not complied with, could accelerate repayment of debt, thereby materially and adversely affecting our liquidity, financial condition and results of operations. At June 30, 2026, we were in compliance with all financial and operational covenants required by the Leverage Program.

Current wording

The Merger Sub Facility is secured by substantially all of the assets in our portfolio, including cash and cash equivalents, and is subject to compliance with customary affirmative and negative covenants, including the maintenance of a minimum stockholders’ equity, the maintenance of a ratio of not less than 150% of total assets (less total liabilities other than indebtedness) to total indebtedness, and restrictions on certain payments and issuance of debt. Unfavorable economic conditions may result in a decrease in the value of our investments, which would affect both the asset coverage ratios and the value of the collateral securing the Merger Sub Facility, and may therefore impact our ability to borrow under the Merger Sub Facility. In addition to regulatory restrictions that restrict our ability to raise capital, the Leverage Program contains various covenants which, if not complied with, could accelerate repayment of debt, thereby materially and adversely affecting our liquidity, financial condition and results of operations. At September 30, 2026, we were in compliance with all financial and operational covenants required by the Leverage Program.

Previous wording

Unfavorable economic conditions, while potentially creating attractive opportunities for us, may decrease liquidity and raise the cost of capital generally, which could limit our ability to renew, extend or replace the Leverage Program on terms as favorable as are currently included therein. If we are unable to renew, extend or replace the Leverage Program upon the various dates of maturity, we expect to have sufficient funds to repay the outstanding balances in full from our net investment income and sales of, and repayments of principal from, our portfolio company investments, as well as from anticipated debt and equity capital raises, among other sources. Unfavorable economic conditions may limit our ability to raise capital or the ability of the companies in which we invest to repay our loans or engage in a liquidity event, such as a sale, recapitalization or initial public offering. The Operating Facility, Merger Sub Facility, the 2029 Notes and the Secured Notes, mature in August 2029, September 2028, May 2029 and July 2034, respectively. Any inability to renew, extend or replace the Leverage Program could adversely impact our liquidity and ability to find new investments or maintain distributions to our shareholders.

Current wording

Unfavorable economic conditions, while potentially creating attractive opportunities for us, may decrease liquidity and raise the cost of capital generally, which could limit our ability to renew, extend or replace the Leverage Program on terms as favorable as are currently included therein. If we are unable to renew, extend or replace the Leverage Program upon the various dates of maturity, we expect to have sufficient funds to repay the outstanding balances in full from our net investment income and sales of, and repayments of principal from, our portfolio company investments, as well as from anticipated debt and equity capital raises, among other sources. Unfavorable economic conditions may limit our ability to raise capital or the ability of the companies in which we invest to repay our loans or engage in a liquidity event, such as a sale, recapitalization or initial public offering. The Merger Sub Facility and the 2029 Notes mature in September 2028 and May 2029, respectively. Any inability to renew, extend or replace the Leverage Program could adversely impact our liquidity and ability to find new investments or maintain distributions to our shareholders.

Previous wording

The following tables summarize dividends declared for the six months ended June 30, 2026 and 2025:

Current wording

The following tables summarize dividends declared for the nine months ended September 30, 2026 and 2025: